I reserve the right to object. Let me inquire as to what is pending now. I object. Madam President, it is my understanding the Senator from Louisiana is going to be the next speaker, but I ask unanimous consent at the conclusion of her…
I reserve the right to object. Let me inquire as to what is pending now.
I object.
Madam President, it is my understanding the Senator from Louisiana is going to be the next speaker, but I ask unanimous consent at the conclusion of her remarks that the Senator from Georgia be recognized, and that I be recognized after him.
Madam President, let me first comment on the comments made by the Senator from Georgia, because I was privileged to be in Afghanistan several years ago with the Oklahoma 45th, which actually took a great responsibility in the training over there and also turning over some of the training to the Afghans. They have done a good job, but as the Senator pointed out, this takes resources and it takes equipment and it takes money. I applaud him and join him in this effort to provide the resources necessary to make that happen.
Let me make a couple of comments. We will have some amendments coming up concerning the C-17. I wish to share maybe an opposing view to some of the things we have heard. I was deeply distressed, I guess it was in April, when we got the defense portion of the President's budget and the termination of such programs as the F-22, next generation bombers, the Future Combat System, and particularly doing away with our commitment to Poland and the Czech Republic to have an opportunity there to knock down a missile, an ICBM coming to the United States from Iran, when we know they should be having that capability by around 2015.
Today I want to mention a couple of things about the C-17. The Air Force budget justification documents state:
The C-17 can perform the entire spectrum of airlift
missions and is specifically designed to operate effectively
and efficiently in both strategic and theater environments.
I can remember when the first C-17 came in. The training takes place actually in my State of Oklahoma at Altus Air Force Base, and in 1995, it was the spring of 1995, the first C-17 swept into Altus Air Force Base. At that time the chief was General Fogleman, and I was honored to accompany him and actually sit in the right seat and see what this new spectacular airplane was.
We never dreamed at that time we would have the use of the C-17 to the extent we did in Bosnia and Kosovo, missions we did not dream at that time we would have to be confronted with.
Every time you watch the news or see a disaster or emergency of some type anywhere in this Earth where our military is involved, you are going to see the C-17. The country and its military must be able to engage globally, and the C-17 enables that engagement.
In my 22 years on the Hill, I have seen our airlift requirements increase, not decrease. I have had experience. Sometimes you talk about a system, a platform such as the C-17. Our dealing
with that doesn't happen in a vacuum. Right now we have other lift vehicles. We have the C-130s, better ones, the C-130Js and the C-130Es, which are getting old and outdated. I actually had two experiences on two of my trips coming into and out of Baghdad. One experience was when we actually lost not one engine but two engines. We are talking about some pretty old, beat-up E models that should not be flying right now.
The very next trip, I remember, was the first trip of our recently retired Senator from Florida when we actually received some SAM activity. We had to fire the flares. The reason we did, it was 8 minutes after taking off from Baghdad and the engines should have had us out of SAM's range. However, the E models are getting old and tired. So it is life threatening. I say that even though I am here to talk about C-17s.
We can absorb a lot of deficiencies we have in other areas by increasing our number of C-17s. Currently it is the only aircraft capable of performing every airlift mission, whether ferrying troops and supplies to remote airfields overseas or returning wounded servicemembers back home.
The Congressional Research Service has indicated that the C-17 was designed to fly 1,000 hours a year over 30 years. However, as our overseas commitments have grown since 2001, the fleet has averaged 1,250 hours per year instead of 1,000 hours a year. Some aircraft have even reached as high as 2,400 hours in a single year.
A November 2008 GAO study stated the C-17:
--production line is currently scheduled to close in
September 2010 with the supplier base and portions of the
line closing sooner.
The study concludes that:
Analysis indicates that once closed it would not be
feasible or cost effective to restart the production due to
the costs for hiring and training a new workforce,
reinstalling tooling, and reestablishing the supply base.
That is what the study concluded. The GAO estimates that restarting the line could cost up to $1 billion.
This is something we are always concerned with when you talk about altering the life of a particular platform, but this is one I don't see how we can get along without. I know we have the C-5. I remember the old C-141--a lot of lift capacity--a lot of tired C-130s, but the prize of all these capabilities is the C-17. While the administration objects to funding 10 additional C-17s based on 205 C-17s and the existing fleet of C-5 aircraft, the Air Force has cut the number of C-5s it plans to fully modernize by more than half because of substantial cost increases in the modernization efforts. In testimony to the House Armed Services Committee in May of 2009, the Air Force said it will fully modernize only 52 of the 40-year-old C-5s.
While we are upgrading some of these aircraft, some of these, specifically the C-5A, had to be retired. However, this Congress, by bill language, is preventing the Air Force from retiring any of the C- 5s. In terms of cost, the GAO calculated ``the DOE would need to fully modernize 7 C-5s to obtain the equivalent capability achieved from acquiring 1 C-17 and the costs would be 3 times more.''
It found the unit cost of modernizing one C-5 is $132 million, while the unit cost of one new C-17 is $267 million.
To put it another way, it would take seven modernized C-5s to provide the capability equivalent to one new C-17, or $924 million worth of work on modernizing the C-5 to provide the capability equivalent to procuring one additional new C-17 at $276 million. I am hoping when this issue does come up we will have a chance to think that through.
I would say this: Even if we were inclined to do that, to go along with the smaller number, it would seem to me that we should not be doing that until we have the Quadrennial Defense Review and the upcoming Mobility Capability and Requirements Study. It is my understanding these would come sometime early in 2010. I suggest we at least wait until we have the benefit of that report before taking such drastic action.
Let me mention one other thing that happened last night, for clarification. At midnight last night the highway program of the American people suffered a major loss because of a calculated decision that politics should trump common sense.
I have often thought that congressional inaction is a good thing sometimes, but in this case we failed miserably to do our job. As a result, we are unable to pass the 3-month extension of the highway program that Senator Boxer and I were pushing. It is very interesting when you have a combination such as that. Senator Boxer is a very proud liberal Democrat, I am a very proud conservative Republican, and we both agree one of the major functions of government is infrastructure, and right now we have a crumbling infrastructure. So our failure to work together to fix the rescission, which was $8.7 billion of highway money, before midnight yesterday has resulted in the following: Up to 17,000 jobs could be lost because States may be forced to cancel $500 million worth of projects. We are now stuck with a 30-day extension that cuts highway spending by 25 percent compared to 2009. The 3-month extension would have funded the 2010 equal to 2009.
The short length of this extension is now going to create uncertainty and erratic funding for States that are going to delay projects and gear down the letting of contracts.
I have to say this, too. There will be contracts, due to this 25- percent reduction, that are going to have to be defaulted. There are going to be lawsuits. There will be all kinds of problems that will result from this. It is not just my State of Oklahoma. I am sure the State of Alabama and other States have a crumbling infrastructure that needs to be addressed.
I was on the phone with Gary Ridley, who was our highway director for many years, and I always said he was the best highway director in the country. He is now Oklahoma's transportation secretary. He gave me the impact of our failure to act, just on my State of Oklahoma. He said we would normally receive $53.6 million of Federal money but instead are likely only to receive $36 million. That is the 25-percent reduction. They have a $28 million bond obligation which leaves them only about $8 million for letting projects, instead of $26 million. This means that they will likely only be able to let three or four projects in November, the first letting of the year, and probably none in December. That is my guess. That was his guess.
Here is the real-world impact of what we do here. This will be devastating for construction workers in Oklahoma and will be repeated in every State. This may come as a surprise to those in the other body who have said that this will have no effect on States. They are the ones over there in the House who have made it impossible for us to send something over there and get it complied with. I have been trying to pass a long-term extension with rescission fix since July. At that time opposition from Congressmen and Senators from both sides of the aisle prevented taking care of the problem.
Our attempts to set a prudent length for highway extension has been plagued by some people's unrealistic expectation that we can complete a 6-year transformational highway bill and plug a $150 billion shortfall in the next 3 months if we ``keep the pressure'' on. We do not even have the 3 months now, as of midnight last night. We are looking at 30 days, so it obviously cannot be done. We may have to repeat what we did a few years ago. Between the years of 2003 and 2005 we had a series of short-term extensions where you can't do any funding, planning in advance. That is kind of where we are today.
I was proud to be the chairman of the Environment and Public Works Committee in 2005 when we had a very robust transportation reauthorization bill.
Taking up an extension is always problematic. Unfortunately, some view this as an opportunity to make a point. There are those on my side of the aisle who will not hesitate to hold the entire highway program hostage in order to enumerate yet again their distaste for congressionally directed spending on highway projects. At the same time, the majority leadership has known for months this was coming but was unable to force the issue and take the time to have votes on this important issue. This could have been resolved weeks ago if they had been invested in it.
Fixing the rescission would increase the deficit by just under $500 million.
This is very significant. The other body wanted an offset for this, and they were right. So did I. I wanted an offset. I think the most reasonable offset is the unused stimulus funds. I have stated all along that there was not enough there in the stimulus bill to actually stimulate the economy. In fact, I had amendments during the debate on the stimulus bill that would almost triple the amount of money that would go into highway construction. Those are real jobs. That would be very meaningful. But according to CBO's most recent analysis that was done a month ago, only $85 billion of stimulus funds has actually been spent. Furthermore, less than 60 percent of the stimulus funds has even been obligated, leaving $150 billion in unobligated balances.
Money being unobligated means they do not have a plan for how they are going to spend it and are now nowhere near doing so.
This is clearly not stimulating the economy. It makes sense to move a fraction of this money to something that will actually save jobs--in this case, 17,000 jobs we can identify. It is something that would stimulate the economy and give us something at the end of the day for our money. It is a perfect source to pay for fixing the rescission.
In fact, Senator Vitter's approach from last July was to actually give President Obama's OMB, the Office of Management and Budget, the discretion to pick which stimulus funds would be cut. So he did not care which ones were cut; just we need to put these stimulus funds to work to create jobs. So they couldn't cut the things that were not working or were just congressional pet programs. This is simply cutting the worst 1 percent of the stimulus--something everybody should be able to agree to whether or not you voted for the stimulus, which I did not. But the other side blocked this approach in a show of partisanship. So Senator Boxer and I brokered a bipartisan agreement to use TARP funds, the Troubled Asset Relief Program. To me, this made sense because this would have offset the amount of money that would be lost in the rescission fix, as a way of doing it, and it would have actually taken care of the problem.
Some people thought this would have somehow affected the deficit, but it would not. It meant we would reduce TARP authority by $8.7 billion, which would reduce the deficit by $4.35 billion, according to CBO. Putting aside politics, penciling this out shows that $4.35 billion in deficit reduction, minus the cost of the rescission--$500 million-- means a deficit savings of just under $4 billion. I thought this was a good thing. We would preserve up to 17,000 jobs and reduce the deficit--clearly a win-win solution, I thought. I thought this up until late last night because I thought we were going to be able to do it. But there were objections.
We reduced funding for a program that was a bad idea from the inception. I opposed it initially. We are talking about TARP. I voted against it. A lot of those people who are complaining about the amount of money being spent voted for a $700 billion bailout, as it has been referred to. But I did not. I opposed it. Some people supported it, thinking the government buying so-called toxic assets was necessary. But then, when this money was given to unaccountable bureaucrats, it was used for buying insurance companies, car companies, and bailing out banks.
But some of my conservative colleagues opposed this approach because they want to use TARP money for debt reduction. I agree with that. As I pointed out, the compromise Senator Boxer and I were pushing would have resulted in a net reduction of the deficit of about $4 billion.
Even as I say this, I honestly don't understand their opposition. Those who talk about using TARP funds were willing to stimulate the funds, but the Democrats refused to do that. So we came up with another idea: Let's go ahead and use stimulus funds. If we used stimulus funds, I tought that would have overcome the objections that were on the floor last night, and I thought that was a good idea. Unfortunately, the Democrats did not want to do that.
So I think we have tried. I think it kind of demonstrates that it is a serious problem. We had a fix, and the Republicans and the Democrats were equally responsible for not getting it. Now we are going to pay the price. I don't know that the problem is worse in Oklahoma. It is probably not. It is about the same throughout the Nation. But speaking now as a conservative, one who is always ranked in the top two or three conservatives, I have always felt conservatives can be big spenders in some areas. One is defending America, as I talked about a few minutes ago, and the other is in our infrastructure. That is a function our government is supposed to perform.
So I think we failed last night. Hopefully, we will find some way to overcome this problem and get back on track.
I thank Senator Boxer and Secretary LaHood. They both tried very hard. We talked and worked for many hours. There are countless others on both sides of the aisle who worked together and tried to fix this problem. We didn't do it. Let's hope we can do it shortly.
I yield the floor.