Madam President, I ask unanimous consent that the order for the quorum call be rescinded. Madam President, my friend and colleague Senator Manchin from West Virginia and I are on the floor today to…
Madam President, I ask unanimous consent that the order for the quorum call be rescinded.
Madam President, my friend and colleague Senator Manchin from West Virginia and I are on the floor today to talk about this issue of fentanyl.
This is a deadly synthetic opioid that is killing more people in our States than any other single drug. Unbelievably, Congress has only 15 days to act, and if we don't, some of these illegal fentanyl products are going to be legal again. This is exactly the wrong thing for us to do right now as, sadly, we are seeing a big increase in overdoses and overdose deaths because of the effects of the coronavirus pandemic.
We want to have bipartisan legislation that we have introduced, passed, that simply says: Let's not allow these illicitly manufactured and deadly synthetic opioids to suddenly become legal again.
If we don't act within 15 days, that will happen. Our bill would ensure that these deadly drugs continued to be scheduled--that is the technical term--scheduled by the Drug Enforcement Agency, meaning they would continue to be illegal.
Here is why we have to act. Fentanyl, a synthetic opioid, is more than 15 times more powerful than heroin, and it is incredibly addictive. For years, this has been coming to our shores from China, almost all of it through the mail until recently because we, frankly, passed legislation to cut down on mail deliveries, and instead, now much is coming through Mexico, across our southwest border.
It is a big reason overdose deaths in the United States surged to record highs during this COVID-19 pandemic, with more than 87,000 Americans--think about that--87,000 Americans died during the 12-month period between September 2019 and September 2020. That is a record. It is a terrible record.
When we have the actual numbers from 2020, it is going to be even worse. We just got these numbers from September 2019 until September 2020. When we have the numbers from January 2020 through December 2020, it will be even worse. That is what everybody says, and it makes sense. When you look at this data, the worst months are the months during the pandemic in 2020.
Again, we are very sadly, after several years of progress, looking at once again an increase in these overdose deaths. According to the Centers for Disease Control and Prevention, CDC, synthetic opioids like fentanyl are the biggest drivers of this tragic surge. We can project that more than half of these deaths are from this class of drug based on what we know from the 2019 data. That is the latest information we have. In 2019, there were 70,630 deaths, and more than half of those-- 36,359--involved fentanyl. Experts believe that fentanyl, sometimes mixed with other drugs like cocaine or crystal meth or sometimes heroin, continues to be the No. 1 killer.
It is such an enormous crisis because these drugs are so incredibly dangerous. It takes only 2 milligrams of fentanyl to kill an adult, which is why the DEA, Drug Enforcement Administration, permanently classified fentanyl as a schedule II drug.
In order to avoid prosecution, drug traffickers started making slight modifications to fentanyl. You have some evil scientist in China or in Mexico who makes a slight modification to fentanyl, sometimes adjusting a single molecule and creating what are called fentanyl analogs. In other words, it is not precisely pure fentanyl, and so unfortunately, although it has the same narcotic properties as fentanyl, these tiny variations allow these traffickers and these scientists to evade prosecution. Oftentimes, by the way, these analogs, like carfentanil, are even more deadly, believe it or not, than fentanyl itself.
In response, in 2018, the DEA temporarily scheduled fentanyl analogs, but under law, that designation expires after May 6--again, only 15 days from now. If that deadline lapses, evil scientists and criminals who run labs in China and Mexico will be able to avoid law enforcement as they flood the United States with unlimited slight variations of this deadly drug.
That is why Senator Manchin and I are calling on Congress to do the sensible thing: Pass the FIGHT Fentanyl Act to make these dangerous substances permanently illegal. That is what law enforcement wants, that is what our communities demand, and that is what we deserve to give them. It is long overdue that we make this designation permanent.
China, by the way, implemented classwide controls over fentanyl analogs in 2019. China's law defines fentanyl-related substances more broadly than the U.S. Government defines fentanyl-related substances. How ironic. Here is China, a country sending us this poison and actually making these drugs illegal in China, and they are not illegal here. How could that be?
I know some colleagues oppose permanent scheduling of these fentanyl drugs because they are concerned about mandatory minimum sentences and also that it could hinder research into future medications to treat addiction. Let me address both of those.
First, I share this concern about the harsh punishments that don't fit the nature of the crime. That is why our legislation ensures that mandatory minimum sentences are not automatically imposed. In any criminal case, we want the judge to look at the severity of the crime and consider all relevant factors in sentencing. So that issue is addressed.
There has been a great deal of conversation about the impact of prosecutions and incarcerations on specific populations, including minority communities, but what is often lost in this debate is the growing impact of fatal overdoses in these same communities.
Since 2016, while White fatalities decreased through 2019--the data we have--overdoses from opioids among Black Americans, particularly Black men, have actually accelerated. From 2011 to 2016, Black Americans had the highest increase in synthetic opioid-involved overdose death rates compared to all populations. So it is getting worse, not better, in these same minority communities.
While from 2017 to 2018, overall opioid-involved overdose fatalities decreased--remember we were making progress for the last several years. Overall, it decreased by just over 4 percent. Rates among Black and Hispanic Americans actually increased.
Another issue my colleagues have raised, again, is concern that permanently scheduled fentanyl and its analogs somehow hinders research in treating addiction. First of all, I agree that we need this research and need it badly. One example of this is coming up with naloxone, a miracle drug based on heroin that actually reverses the effects of overdose. It is a miracle. I have seen it work, and it saves lives.
Researchers have told me there are barriers to being approved to legally research schedule I substances. There is also a stigma to conducting this kind of research even though we know that it could lead to development of new treatments. I am open to working with colleagues to address these barriers, and I believe we can do that through legislation creating flexibility in the registration system for scientists. But we cannot let these deadly fentanyl drugs become legal in the meantime, and certainly we can't allow this to happen in the next 15 days.
Just before we came to the floor this afternoon, the House of Representatives passed a temporary measure. It is a 5-month extension of the ability to schedule these deadly drugs. Why would we do it for just 5 months? Let's do it permanently.
Now I am told: Well, we have a take-it-or-leave-it from the House. I hope that is not the case. If so, of course I will be for extending it rather than having it expire in 15 days. But let's act. Let's act responsibly. Let's act now.
The U.S. Senate should be taking the lead here in saying let's permanently classify these drugs, as everybody agrees they should be classified in the sense that they are dangerous narcotics that are killing literally tens of thousands of our fellow citizens every year.
Let's do the right thing for those communities. Let's do the right thing for law enforcement. Let's be sure they have the predictability and certainty in law enforcement to know that they can prosecute these criminals--these traffickers. We need to act now to address the threat of these deadly fentanyl drugs coming into our communities, and I urge the Senate to pass the FIGHT Fentanyl Act this week.
I yield the floor.
Mr. President, I welcome the Vice President, the President of the Senate, to our Chamber this evening.
I am here this evening to discuss the infrastructure plan that has been proposed by President Biden and the plan along with it for massive tax increases.
The Biden infrastructure plan totals a massive $2.3 trillion, but only about 20 percent of it actually goes towards funding anything that Members of either party have ever considered infrastructure. I support more infrastructure investment, as do, I believe, most if not all of my colleagues on both sides of the aisle.
The question is, What is infrastructure, and how do you pay for it? Roads and bridges, as an example in this proposal, are only about 5 percent of the plan. In fact, it provides more money for long-term care than it does for roads and bridges, more money for electric cars than it does for roads and bridges, and more money for schools and daycare than it does for roads and bridges. Many of these noninfrastructure ideas are worthy ones, and they should be debated and they should be considered but not as part of a self-described infrastructure bill, in part because the funding sources should be very different.
The price tag, $2.3 trillion--soon to be $2.7 trillion, we are told-- and also the scope of the bill are bad enough, but what I want to talk about tonight is the equally concerning way the Biden administration plans to pay for this massive new legislation. They want to pay for the bulk of it by completely reversing the progress we made
over the past few years in making America competitive again and making our workers competitive again.
In the 2 years before COVID-19, we saw record growth in jobs and wages, in large part thanks to the pro-growth policies we put in place through the 2017 tax cuts and reforms. The nonpartisan Congressional Budget Office has found that 70 percent of the savings from the 2017 corporate tax cuts went into workers' wages. Seventy percent, they say, went into workers' pockets. It is one reason that, leading up to the pandemic in February, a year and a couple of months ago, we had the 19th straight month--19th straight month--of wage growth of 3 percent or more annually. That was great news in my home State of Ohio. We hadn't had wage growth like that in over a decade, maybe two decades. Most of that benefit, by the way, went to middle and lower income workers--exactly what you want.
During that time period a couple of years before the pandemic hit, we tied the 50-year low in unemployment at 3.5 percent and had the lowest unemployment ever for Blacks and Hispanics. In fact, before the pandemic, we had reached the lowest poverty rate--10.5 percent--since we started recording this data back in 1959. It was the lowest poverty rate on record.
Importantly, tax reform also stopped these corporate inversions. You will remember this. Companies were actually becoming foreign companies so they could get from under our Tax Code. This made no sense. It was happening during the Obama administration and during the first year of the Trump administration. We also ended the so-called lockout effect, caused by a Tax Code that made it too expensive to bring foreign earnings back home. So people kept their earnings overseas. In fact, during those couple of years, the $1.6 trillion in overseas earnings has now come back home to invest and create jobs here--$1.6 trillion. We want that money here.
As a result of those changes, the largest U.S. companies increased domestic research and development spending by 25 percent to $707 billion, and capital expenditures went up by 20 percent to $1.4 trillion. The Biden plan would throw all of that positive progress out. It would change our competitiveness to put us back where we were before or worse.
The administration's corporate tax increase raises the combined Federal and State corporate rates from an average of 25.8 percent to 32.8 percent. It would put us, again, as having the highest rate in the developed world. These tax hikes, by the way, when you include the international tax hikes, are actually five times as large as the corresponding cuts in 2017, based on the analysis that has been done. By the way, this would also, of course, give us not just the highest tax rate among the developed countries but also a far higher tax rate than countries like China with whom we are trying to compete.
It also changes the international tax code to make it much more costly for U.S. companies to operate outside of the United States, punishing American workers who have jobs here supporting international sales. I use the example of Procter & Gamble in my hometown of Cincinnati. They are headquartered in Ohio, but they do business all over the world. They have told me that it will be far more expensive for them to do that, even uncompetitive for them to be working globally, because we will be the only developed country in the world that will charge them a tax to do that, and that will hurt the jobs in Cincinnati, OH, that support international sales.
It just doesn't make any sense. Why would we want to go back to that and have that lockout effect where profits are kept overseas and where companies actually become foreign companies?
In the Biden plan, it also eliminates the so-called foreign-derived intangible income provision. This was a carrot that we put in the law very deliberately, a carrot for companies to bring their intellectual property back here. By the way, that is what Google did. So did Cisco. So did Qualcomm. So did Synopsys. So did Facebook. They actually brought valuable intellectual property back home, creating high-paying high-tech jobs here in the United States of America. Why would we want to change that?
The bottom line is that this tax plan that has been proposed would make us uncompetitive again in the global economy, and the Biden administration knows it.
That is why, when Treasury Secretary Yellen announced the proposal to increase these taxes, she actually asked other countries around the world to raise their own corporate taxes. She pleaded with them: We are going to raise ours. You need to now raise your taxes.
Of course, when she said we need to do that to create a more level playing field, other countries in the world said: This is great. We are going to get more American investment and more business for our companies. In fact, right after she made that announcement, the Minister for Finance in Ireland was asked the question. He said he had no interest in joining America in raising taxes--nor do others. China is not going to raise its taxes. In fact, these countries are continuing to do what they have been doing, which is to knock down barriers to jobs and investment in their economies, and that makes sense from their points of view. It makes sense from our point of view to continue to be competitive also.
The tax increases would leave America standing alone atop the corporate tax rate chart. Studies by the nonpartisan Congressional Budget Office and others have shown that, again, it is American workers who will bear the brunt of these corporate tax hikes in the form of lost jobs and lower wages.
Because of the tax hikes, the University of Pennsylvania's Penn Wharton model, in analyzing this Biden plan, actually projects that we will see a nearly 1-percent decrease in the GDP and a 0.7-percent decrease in wages by 2031 over current projections. Now, this is extraordinary to me because that is despite the economic benefit--the obvious benefit--we are going to get from this infrastructure spending. So, despite all of that benefit, we are still going to see a reduction in our economy, or economic growth, and a reduction in wages. This harms American workers, particularly those toward the bottom of the economic ladder.
The bottom line is that the $2.1 trillion tax hike used to pay for this infrastructure bill will harm middle-class families and our businesses, and I believe the American people get that. They recognize that this is not the way forward for our economy or for our infrastructure.
Instead, let's follow the proven bipartisan model on infrastructure. Let's keep the plan to real infrastructure. Let's agree to what it is. Let's do it generously. Let's include broadband. Let's include water projects. Let's make it real infrastructure, though. Then let's come up with sensible pay-fors, including user fees. That is what the American people want, and that is what they deserve.
I yield the floor.