I thank my friend for yielding. Mr. Speaker, I would like to express my sincere sorrow to the families of those who were killed or wounded in that accident and all mine accidents and remind our friends that this could have been done on…
I thank my friend for yielding.
Mr. Speaker, I would like to express my sincere sorrow to the families of those who were killed or wounded in that accident and all mine accidents and remind our friends that this could have been done on unanimous consent without a rule, but since the rule is here, I rise in support of defeating the previous question to the rule so that we can consider Mr. Price's motion
The 1996 Republican welfare reform successfully reduced welfare dependence and poverty and increased work and earnings. But despite that success, opponents have spent years trying to undermine welfare reform. They saw a new opening in the Democrats' 2009 stimulus law. In that trillion-dollar bill, they created a new $5 billion welfare emergency fund designed to promote welfare dependence all over again.
The new fund pays States if they increase welfare caseloads, among other outcomes. States have been less than eager to collect. By mid- May, less than half, $2.4 billion, had actually been claimed by States. Only three States received full shares. You know something is wrong when the Federal Government has trouble giving away money.
Mr. Price's motion would end this program right here and right now. And that is the right policy for a program that should never have been begun. Just consider how this emergency money has been spent so far. One of the largest chunks has been spent on something called ``non- recurrent short-term assistance.'' A program operated in New York last summer offers an example: New York used these funds to make one-time $200 payments to welfare and food stamp recipients supposedly for back- to-school purchases. But that's not how the money was really used. Some recipients used the money, as CBS News put it, to buy ``flat screen TVs, iPods, and video gaming systems.'' Convenience stores in low- income areas noted marked ``increases in beer, lotto, and cigarette sales.''
ATMs ran out of cash, so now we have no idea how those funds
were spent, but I suspect many can guess.
The Subcommittee on Welfare, on which I serve, recently had a hearing on this fund. One witness noted taxpayers already spend an incredible $953 billion per year on welfare and other low-income benefits. I asked the administration witness sent to us is she still asking for more welfare spending. I said, Is it your testimony that $953 billion is not enough? Her answer was telling: Who's to say what is enough?
It is time that the American people are saying this is enough and so should we.
[From the Political Hotsheet, Sept. 2, 2009]
Unplugged Exclusive: Stimulus Funds for School Supplies Misused
(By Sharyl Attkisson)
Getting kids back to school with the clothes and supplies
they need can strain the family budget. That's why the
Governor of New York decided to use federal stimulus funds
for a back-to school program. Needy families got a one-time
payment of $200 dollars per child to buy school supplies. It
adds up to $140 million of your tax dollars.
Neasey Hendricks, single mother of five, says she's putting
the money to good use.
``Definitely sneakers, try to save a little bit for a
haircut, a couple of pairs of pants, some shirts, get the
girls a few skirts,'' Hendricks says.
While few argued with the concept of helping low-income
families, nobody anticipated the chaos that would come next.
On August llth, the state of New York deposited the $140
million in stimulus money into the individual food stamp and
welfare accounts of people on public assistance. Some saw
their balance shoot up by a thousand dollars all at once. The
idea was they would use their regular welfare benefits card,
which acts like a debit card, to buy the school supplies.
There was just one problem. The letter from the state telling
them what the money was for didn't arrive until days later.
By then, it was too late.
``No one questions the intention of this particular
program. However there is an extraordinary distance between
the good intention of the program and the implementation of
the program,'' Monroe County's Commissioner of Health
Services Kelly Reed said on Wednesday's edition of
``Washington Unplugged,'' which first reported the story.
County Executive Maggie Brooks says social workers were
flooded with calls from merchants who were afraid fraud was
being committed.
``We had different retailers calling us and saying people
were coming in with their benefit transaction card, and they
are purchasing flat screen TV's, iPods and video gaming
systems,'' Brooks told CBS News. Brooks doesn't blame the
recipients--she blames the state for not ensuring the funds
were spent for school.
Businessman Josh Babin says the day stimulus money went
into the welfare accounts, business at his Rochester Cell
phone store doubled. And he doesn't sell school supplies.
``Most of them came in, picked up most of their accessories,
most of their products.''
Welfare recipients were also free to withdraw the money as
cash. That led to an unexpected run on ATM's across the
state. Brenda Smith, manager of a Wilson Farms store in
Monroe County, said most of her increase in sales when the
stimulus funds were disbursed were not in school supplies,
but in ``pre-pay cell or credit cards.'' She said her store's
ATM was wiped empty.
Managers of three Wilson Farms convenience stores in
Rochester also reported empty ATM machines and increases in
beer, lotto and cigarette sales.
Managers of four Tops Markets stores in Rochester had
similar stories. On West Avenue, the store's three ATM's were
all depleted by noon on August 11th. ``Large increase in
volume of customers but minimal spoke in sales which were not
in school supplies but rather candy racks at the register,''
stated investigative notes obtained by CBS News. So many
welfare customers were seeking cash back; the stores
implemented a $50.00 cash back limit on-the-spot. At the East
Ridge Road location, the ATM ran out of money on August 11 as
well. ``Numerous clients came in and purchase minimal items
to withdraw the $50.00 limit and then returned to other
cashiers in the store in order to retrieve all the money out
of their account,'' reads investigative notes. And on Upper
Falls Blvd., the Tops Market reported ``500 more customers''
but ``$4,000 less in sales'' than usual. Also, ATM's
containing $60,000 were entirely depleted.
On ``Unplugged'' Reed said one recipient ``had $1000
dollars on their card and jumped over a period of a few
minutes over eighteen lines in a Tops store buying something
for forty nine cents for two dollars for fifty cents and
getting fifty dollars back in cash,'' each time.
ATM's were also wiped out in hours at many Wegman's stores
statewide and the owner of a Sunoco station described
``scenes of panic'' at her store, with public assistance
customers flooding her ATM machine. Some of them, she says,
immediately used the cash to buy cigarettes and beer.
Monroe County investigators sampled the accounts of more
than 70 drug and alcohol rehabilitation clients and found
more than half of them withdrew their back-to-stimulus funds
entirely in cash.
New York Congressman Eric Massa (D-NY) supports the
stimulus bill, but said this program is flawed. ``It's a
matter of accountability,'' Massa said. ``Ensuring what's
happening with the funding. You and I both know where there's
crevices, the water will go through those crevices.''
New York State officials defend the stimulus program saying
no matter what welfare recipients purchased with the taxpayer
funds, it served to stimulate the economy. State spokesman
for the program, Kristen Proud said it stimulated the
economy. Supporters accuse critics of making unfair
stereotypes about welfare recipients. ``We have as many
examples of families using the dollars for school clothes,
school uniforms, school supplies,'' Proud said when asked
about reports of luxury items being purchased with the back-
to-school stimulus funds.
In Rochester, the Rev. Marlowe V.N. Washington, Pastor of
the Baber African Methodist Episcopal Church, contacted CBS
News to say that hundreds of grateful local residents have
been helped by the back-to-school funds, and that it's unfair
for anyone to assume they didn't spend the money on school
supplies. ``That is offensive, attacking and mean spirited,''
Washington told us. ``People need to hear how stimulus funds
have benefited American families and not hurt them.''
We asked the Inspector General on stimulus funds for
comment on this stimulus project. Based on our report, I.G.
spokesman Edward Pound told CBS News that his office has
notified the HHS Inspector General to make sure that agency
is aware of the problem. HHS is the department from which the
back-to-school stimulus funds to New York State originated.
Because debit cards don't list what was bought, state
officials say they'll never know how much of the $140 million
actually went for school supplies. Those who bought luxury
items didn't break any laws, because there were no strings
attached to the money. Little consolation to taxpayers who
were promised that they'd know how every dime of stimulus
funds was spent.