I appreciate my colleague being here tonight, and I want to take a couple of minutes to talk about something that is not a political matter, really. It is a matter of our government: theirs, ours, Independents, Americans. We have seen…
I appreciate my colleague being here tonight, and I want to take a couple of minutes to talk about something that is not a political matter, really. It is a matter of our government: theirs, ours, Independents, Americans.
We have seen financial mismanagement of the assets of us all on a scale that really I don't remember in any history book of American history since this country was founded. Look, this is not something that is easy to talk about, because everyone who is in public office wants to give good news to people. We all have to run for elections, and one can't really run for an election talking about doom and gloom or about financial mismanagement. People want to hear uplifting things, people want to have hope, people want to hear, as I do, that things are going to get better. But, unfortunately, things are getting worse, and they are getting worse by the minute. That chart that you have has already changed. We are borrowing almost $1 million a minute, as we stand here tonight.
You know, under our system of government, we have an executive branch, we have a judicial branch, and we have a legislative branch. The legislative branch is supposed to make the law, the executive branch is supposed to execute the law, or carry it out, and the judicial branch is to interpret the law. Well, we have a breakdown. The legislative branch in the last 5\1/2\ years has abdicated completely its responsibility to oversee the money that is taken away from the citizens of this country involuntarily in the form of taxation.
The tax laws are written right here, in this room and on the other side of the Capitol in the Senate, and they are appropriated to the executive branch to be spent, hopefully on behalf of the citizens of this country. What we have seen, according to the September 6 GAO report, that is, the General Accounting Office report, is a complete abdication of any financial responsibility.
As a businessperson, one looks at the government of the United States and one sees a failing business. Not only is it failing because we continue to borrow massive amounts of money in my name and yours and everybody else's around here as a citizen of this country, but Congress, this Congress is not even asking this administration what did you do with the money. And if they asked the administration, the administration couldn't tell them.
The one thing I think that the American people ought to demand out of this Congress, or any other Congress, is what happened to the money. Tell us what you did with the money. We may not agree with it, but we want to know what happened to it. Well, they can't tell us. Sixteen of 23 Federal agencies, according to the GAO, cannot produce an audit. In other words, they can't tell you what they did with the money.
Not only that, you have a trailer picture you have shown before with all these trailers in Hope, Arkansas. The September 6 GAO report reflects that Congress has appropriated $88 billion to 23 different Federal agencies for Katrina relief, the great hurricane; but no central agency tracks the funding. So, in effect, neither Congress nor the American people have any way of knowing how the money is spent.
But we do know this: more than $10.6 billion has been awarded to private contractors for gulf coast recovery and reconstruction. Only 30 percent of all of those contracts were bid on a full and open competition. The others were just given as sole source single contracts to people for a myriad of things. FEMA, the Federal Emergency Management Agency, spent $3 million for 4,000 camp beds that were never used and $10 million to renovate a military barracks that was used as temporary housing for six people. No private company in the country could stand this kind of financial mismanagement.
Because of this subcontractor system that was put in place because of these sole source contracts, just given to friends I guess of the administration, taxpayers paid an average of $2,480 per roof for a repair job that should have cost under $300, according to a report from Knight-Ridder newspaper.
Credit card abuse. Credit card abuse by government employees after the storm led to the purchase of 2,000 sets of dog booties costing more than $68,000, a 63-inch plasma screen television costing $8,000, and 20 flat bottom boats, only eight of which FEMA has in its records, at twice the retail price. I wish I was making this stuff up. It comes out of the GAO report.
The Department of Homeland Security Inspector General identified 1,395 cases of reported criminal activity, including officials who accepted bribes to inflate the number of meals provided by one of these sole source government contractors and to falsify the amount of debris a company had removed.
After Katrina, FEMA purchased 24,967 manufactured homes and 1,755 modular homes at a cost of $915 million for housing and temporary offices. The Inspector General said that as of January of this year, only 4,600 manufactured homes and 100 modular homes had been used at all. You have got pictures of them sinking in the mud in Hope, Arkansas.
Again, this is not a political statement. I can't imagine the most partisan person in the world saying that this is good government, when we have money leaving here through a fire hose and nobody asking them where it is going or what happened to it, and if they did ask them, they couldn't tell them. They can't produce an audit. They can't tell you what they did with the money. This is the grossest kind much financial mismanagement on a scale that I can ever recall in the history of this country.
We don't even get to Iraq and all the sole source contracts that have been given there and the billions of dollars that cannot be tracked or traced or even accounted for. I don't like to pay taxes any more than anybody else, but the one thing I do expect is the Congress to at least exercise its oversight authority to the extent that they hold people accountable who are spending this money.
I know in business, you ask somebody, well, what is this expenditure for? ``I don't know, man. I can't tell you.'' Nobody would put up with that. No taxpayer would put up with it. And yet in our public life, in our public business, in the government of the United States it is happening every day, and people are tolerating it because you have a compliant Congress, a friendly administration. Nobody wants to embarrass anybody else.
So what we see here is the grossest kind of financial mismanagement on a scale that is literally breathtaking.
Announcement by the Speaker Pro Tempore
Thank you very much, Mr. Speaker. I will finish up, because what we have done is introduced a bill, it is not going anywhere, unfortunately, because we don't have the power to pass it or the votes to pass it, that basically says when the Inspector General of any agency identifies either, one, a situation where the agency can't tell you what they did with the money that was appropriated with them, or, two, they identify a high risk program, that is government talk for a program that doesn't work, then in that event Congress must hold a hearing, a public hearing, about this matter, whatever it may be, within 60 days, so that at least the citizens of this country will know that their money is being wasted or stolen or somehow mismanaged.
I think that is imminently reasonable. I can't imagine anyone saying we don't want to know what happened to the money we have taken away from people involuntary in the form of taxation and given to any administration. We simply don't want to know what happened to it. That to me is incredible and is not true.
So I hope people will demand that Congress engage in what its constitutional responsibility is, and that is to oversee what happens to the money they remove from people's pockets involuntarily. That is all we are asking in this House bill that you referred to, that they hold a hearing and find out what is going on. If they can't tell you what they did with it, as far as I am concerned, they don't get it next year.
This is a situation where we are literally mortgaging our country to people who do not have the same interest that the Americans have in world affairs, and we are not even paying attention to what we are doing.
I appreciate you doing this every Tuesday night, but I hope that we can do something about this situation, because it gets worse not by the minute now, it gets worse by the second as we continue to borrow.
We borrowed probably in the neighborhood of $20 million in the last 20 minutes. No country can survive that. We can't survive it. We used to say it is up to our children and grandchildren. But people say no, no, no, we are going to have all of these things. And who is going to pay for it? Just borrow the money, borrow the money, borrow the money.
Well, sooner or later, unless one can figure out how to repeal the laws of arithmetic, the financial mismanagement of this administration and the lack of oversight and accountability by this Congress is going to put this country literally in a deep black hole. Before it is too late, I hope that the people who care about this will rise up and say we want our government back, because that is what we are talking about.
You are talking about OPEC and the price of gasoline. Gasoline in July was $3-plus a gallon. Can
you name one thing that has changed between July and now as it relates to the world situation that would make gasoline come down? The uncertainty actually with regard to Iran and other oil producing countries is more now than it was then.
The only thing that has changed is we are closer to November 7th. No other factor has changed. And yet we see a dramatic reduction in the last couple weeks in gasoline prices. But the underlying factors are still there. All the uncertainty about the oil producing countries, whether it be Iraq or the situation in the Middle East, is the same as it was in July. It is interesting, isn't it?
We need to start on it tonight.