Continuing Appropriations
Madam President, it is a good thing that Democrats for the first time in 4 years passed a budget--at least brought one to the floor and passed it on a strictly partisan basis. Before that, they not only didn't pass one, they didn't bring…
Madam President, it is a good thing that Democrats for the first time in 4 years passed a budget--at least brought one to the floor and passed it on a strictly partisan basis. Before that, they not only didn't pass one, they didn't bring one to the floor for 4 years and refused to do so, even though a specific provision of the United States Code actually required them to do so. It was a stunning development.
Senator Conrad, then the Democratic chair of the Budget Committee, wanted to bring up budgets, fought to bring up budgets, and one time said he was going to bring up a budget. But Senator Durbin and others in the leadership apparently had a vote, and they voted against him. Senator Murray, to her credit, has gotten a budget through. The Presiding Officer is a member of that committee, and they got a budget through this year, which was a good thing. I am not sure, but I suspect Senator Murray was one of those who blocked Senator Conrad from even bringing up a budget for 4 years. So I think it is a bit aggressive to say Republicans are blocking a budget when the history is they haven't even voted on one.
Secondly, there are Members on this side of the aisle who simply say the legislation necessary to raise the debt ceiling again should be passed--like legislation should be passed--on the floor of the Senate, and it would require a 60-vote point of order where you have to have 60 votes to pass.
In conference, a raising of the debt ceiling would be put on the budget which only requires 51 votes for passage. We have simply said we would allow the budget to go to conference and agree to conference, but we want a commitment that our Democratic colleagues will not try to sneak through raising the debt ceiling on the budget--which doesn't require but 51 votes. Our colleagues have flatly refused. If they would make that agreement, we would go to conference.
I think our Democratic majority should agree to that. They have indicated they don't intend to put it on the budget. One time Senator Durbin said he didn't think it was appropriate to put it on the budget. If so, let's make clear we are not going to gimmick it up and add that to it.
The reason we have had such contention at this point in history is that we are facing fundamental challenges relevant to the whole future of America financially. It is a time of great importance. The American people understand this. The American people want us to take action to place this country on a sound financial path.
So we are heading to the debt ceiling. By law we limit the amount of money Congress can borrow and how much money we can spend above our current level. We are now spending about $3,500 billion a year and we are taking in about $2,800 billion a year. Think about it. That is what we are doing every year, and it is unsustainable.
In August of 2011 we faced a debt ceiling, and the American people told Congress: We want to clip back on your credit card. You are not going to continue to borrow this much money every year. Before you raise the debt ceiling, we want you to show that you are going to be more frugal and are going to manage our money better.
Republicans dug their heels in and said, Mr. President, we are not going to raise the debt ceiling until you agree to some financial constraints and that you are not going to keep spending recklessly every year.
After a tense time, a committee was formed and an agreement was reached, and this is what we agreed to: First, we would raise the debt ceiling $2.1 trillion. Then, over the next 10 years we would reduce the projected growth of spending by $2.1 trillion--one for one, as Speaker Boehner said.
So it gave Congress 10 years to find cuts. But in a little over 2 years, we have already borrowed another $2 trillion. We have hit the debt ceiling cap again, and we have not yet come close to saving the $2 trillion we promised to save.
And by the way, these are not really cuts. When you look at the U.S. budget, the budget was projected to increase spending from $37 trillion over
10 years to $47 trillion over 10 years. With the Budget Control Act, spending would increase from $37 trillion to $45 trillion over 10 years. That is not really a cut in spending, is it?
Yes, the way it has been carried out hits some departments more than others--particularly the Defense Department--and we need to adjust that. But fundamentally, the reduction in the growth of spending that was part of the BCA last year was not extreme, not irresponsible, and should and must be preserved.
But colleagues, the President of the United States, after signing that agreement in August--the sequester is part of the BCA. It was all part of the same deal that created the $2.1 trillion in savings. In January, after that August, he proposed a budget that would increase spending another $1 trillion and would raise taxes $1 trillion. That is basically what our colleagues passed in their budget this year: to spend $1 trillion more than the Budget Control Act said we should spend and raise taxes another $1 trillion over 10 years.
This is a total abdication of the promise we made to the American people. We said, OK, American people, we are going to vote to raise the debt ceiling. A lot of people didn't like any raising of the debt ceiling. Phone calls to my office were against any raising. People said, It is time for you guys to live within your means like I have to do in my house.
So we raised it. But we promised we wouldn't spend so much. We promised we would reduce spending by $2.1 trillion, but over 10 years. Do you know what a lot of cynics around here said? They said, Congress won't adhere to that. That is just a bunch of baloney. They promise that all the time, and then they breach their promises all the time. That is why the country is going broke.
That is exactly what the President did in January of 2012, 6 months after the agreement--he proposed to spend another $1 trillion above the amount of money we agreed to spend 6 months before. Why?
I didn't really want to sign that agreement. I didn't really want to cut that much money. So I am not bound by it. I didn't make a promise to the American people. I forgot all about that. That was 6 months ago. Oh, a 10-year promise, that we are going to contain the growth of spending for 10 years? Forget that. I don't want to do that. I want to spend more. I have investments I want to make. I have taxes I want to increase.
This is fundamentally what is occurring here. So we have got to stand firm and adhere at least to the containment of growth in spending in the Budget Control Act. We have to. Failure to do that is a capitulation in our promises to the American people, a total abandonment of any pretension that we will be fiscally responsible in this body. It is just unthinkable that we would abandon the limits we had in the Budget Control Act.
The sad truth is the Budget Control Act reductions in the growth of spending do not come close to putting us on a firm financial footing. We are still on an unsustainable debt course, as our Congressional Budget Office has told us.
Yes, we have seen a reduction in the deficits this year of $600 billion. People say that is great.
George Bush has been called profligate, and sometimes he was. The highest deficit he ever had was $470 billion. The year before his last year in office was $167 billion.
President Obama in his 6 years will have averaged almost $1 trillion a year in deficits. We have never, ever come close to that kind of deficit before in the history of the Republic.
So what does a budget say that says we want to tax people $1 trillion more and spend more money under these circumstances? I will tell you what it says.
From the President and the majority here in the Senate, it says: It is not our problem. We can't find any more ways to reduce the growth of spending. We can't save another dime. You people just don't understand. There is no way we can save any more money. We have a problem, though. And do you know who is responsible for it? You, the American people. It is your fault. You won't give us enough money. If you would just send more money, another $1 trillion, another $2 trillion, another $600 billion which was passed in January, just another few hundred billion more or a trillion here and a trillion there in taxes, why, we could solve all of the problems. Send us more money. And by the way, we will use that money to create government programs and government bureaucracies that impose great costs on the American economy and have in fact resulted in the declining wages of American workers to a degree that is not acceptable.
We need a growth-oriented, lean government--a lean government that serves the people for the least possible cost and reduces these deficits. Deficits themselves are pulling down the economic growth in our country. The size of our debt is so large, we have never had anything like it, it is already beginning to diminish the prospects for growth in our economy and reduces job creation and reduces wages.
I know we are in a tough time now. We certainly need to work our way out of this. But the President negotiated over the debt ceiling in August of 2011, and we made at least a step forward. In fact, it was the most significant fiscal step this country has taken, maybe in decades, and for the last 2 years we have actually spent less money than the year before. Think about it. To hear people talk, they would think the country is going to collapse.
But we have had a modest reduction in spending, and that has been good. It has been good. But it is not nearly enough to put us on a sustained path.
We need to save Social Security, we need to strengthen and save Medicare, we cannot afford the Affordable Care Act. We have witnessed a total misrepresentation on the Affordable Care Act with regard to its cost. The Government Accounting Office, an independent auditor, has told us it is going to add at least $6 trillion to the debt of the United States over the long term under its likely set of assumptions. It does not pay for itself--nowhere close. It is as unstable financially as Social Security is over the long term.
Let's keep working. Maybe we can develop some ways to confront our financial problems. It is absolutely critical that we do that. We have a moral responsibility to do that and we have to start working together to achieve it. I think the President needs to back off his statements that he will not negotiate on the continuing resolution or the debt ceiling.
I yield the floor.
I have a moment.
I thank the Senator. Of course that is correct. I understand the Speaker has indicated there is no guarantee that the increase in the debt ceiling would not be a part of a conference report that came out of conference committee. We have independent Senators in this body who simply said we do not think we should be subjected to having the debt ceiling increase without a full debate and the normal processes of 60 votes in the Senate. That is where the disagreement lies. People can have disagreements about the validity of their concern, but
it is a legitimate concern. If there is no intention to move a debt ceiling increase at 51 votes, why wouldn't my colleagues agree not to do it? That is the disagreement I think that now exists.
Madam President, I say to my colleague, through the Chair, it is very simple. Senators have rights. They have a right to assert those privileges on the floor of the Senate. We have Senators who say you should not do this, you should not raise the debt ceiling on the budget and we do not want to go to conference unless you do agree not to sneak that through without a full debate and 60-vote threshold on the floor of the Senate. Attaching it to a bill that is a budget deal that is huge and would have a lot of interest in it would make it even more difficult to separate that question out. Rightly or wrongly, that is their view.
I say I don't see any problem and I am amazed at the intransigence of the majority of not just accepting that. I don't think it is likely, as the Senator indicated, that the House would add that to it, frankly. I am not too worried about it. But some are and that is causing the disagreement right now. I think it would be great to go to conference. I would like to see a conference occur, frankly. I think it is an unusual and positive development that after 4 years of not even bringing a budget to the floor, that we now have the majority here passing a budget so we can try to do something with it in conference-- although I have to tell you, all of our colleagues, there is a big difference in the budgets. The budget passed out of the Senate with our majority that every Republican opposed completely busted the Budget Control Act. It is nowhere close to what was agreed to in that Act 2 years ago.
I think we have a huge gap to cover in conference. It is not impossible and it would probably be a healthy thing to start that process. I wish my colleagues would relent and commit not to try to sneak the debt ceiling increase in on the budget.
I thank the Chair. I appreciate my colleague, a member of the Budget Committee, who contributes ably and works hard to try to do the right thing around here.