Floor Statements

Mr. President, I want to speak on an issue which is as important to Americans as health care. In fact, it may be, today, more on their minds and may be a more critical issue. That is our national energy policy, particularly the increasingly high price of gasoline and petroleum.

About 2 weeks ago I asked my constituents in Idaho to contact me by e-mail and to tell me what the high price of gas meant in their lives. What was it doing? Was it another inconvenience or what was happening in their individual lives because of these high prices; secondly, to tell me what they thought Congress ought to do about it, what the solutions should be. Overnight I had almost 600 responses. The total now has risen to over 1,200 responses.The people in Idaho tell a story I am sure could be told by millions of people across this country about what the high price of gas means. It is not just an inconvenience; it is not just fewer trips to the restaurant or to the movies; it is impacting people's lives across the board in monumental ways that could, if we don't fix it, change the quality of life and the American dream. I am reading every one of these e-mails. I read stories from my constituents about those who end up at the end of the week with just about $40 or $50 left in their budget, and they haven't yet bought their food. They need to buy another tankful of gas so they can get to work and keep their job. That is the decision they have to make. They buy the gas because they have to keep their job. They try to figure out how to do with less food.

I have stories coming in from individuals who cannot any longer purchase their medicine. Their choice is food, medicine, or fuel. Now they are going without the medicines they need.

I read one this morning from a lady who needs to travel to a certain medical facility for medical treatment. She no longer has the ability to make these trips because she does not have enough money to pay for the gas. So she has had to try to make arrangements with her doctor to make some educated guesses about her health care, because she cannot get to the medical facility for the treatments she needs and the

analysis she needs to receive clear answers for her health care.

I get information from those who run businesses who talk about the fact that they are going to have to lay off employees. The list goes on and on and on. As they talk to me about what they think we should do, they have all the same commonsense ideas people across America are also coming forth with. We here in the Senate, I hope, are going to be debating a robust, full agenda of ideas about how to deal with this crisis. We will have a tremendous amount of ideas coming forward from Idaho. I told my constituents that I would get their ideas and their positions put into this debate. I am putting every one of those e-mails into the Congressional Record. I am going to talk about those e-mails and the responses and the ideas of my Idaho constituents in the debate as we move forward.

Another thing that is coming through loudly and clearly in the messages from my constituency is, they believe that the problem we face is largely a result of Congress's failure to enact a rational, meaningful energy policy for this country. Our failure to act is recognized. I believe they are right. I jokingly said in an interview today, when someone said, Congress is responsible for this, I said: It is kind of a national pastime to blame Congress for just about everything. But this time they have it right. This time Congress could have acted years ago, and we would be in a better position.

There is much we can do and need to do. We have an opportunity to do it. The American people, I hope, are watching. I hope they are weighing in heavily with their Senators and Congressmen to make sure that we act and that we don't sidestep the issue.

I think we will have an opportunity to act in the near future. The majority leader has put a bill on the floor that we hope will be coming forward soon that I believe should be a vehicle for a robust debate on energy policy. Unfortunately, this bill deals with only one issue, that of speculation in the futures markets. I want to talk about that for a minute. But my hope is we will have an open amendment process and that ideas about other pieces of the solution can be dealt with. Frankly, there is much more than simply the futures market to look at, as we seek to resolve our problems with the rising price of oil. In fact, it may be that futures market issues are in the lower category of potential results.

Our Federal Reserve Board chairman talked to us yesterday at the Banking Committee about this and said:

Another concern that has been raised is that financial

speculation has added markedly to upward pressures on oil

prices. Certainly, investor interest in oil and other

commodities has increased substantially of late. However, if

financial speculation were pushing oil prices above the

levels consistent with the fundamentals of supply and demand,

we would expect inventories of crude and petroleum products

to increase as supply rose and demand fell. But in fact,

available data on oil inventories show notable declines over

the past year.

He continues:

This is not to say that useful steps could not have been

taken to improve the transparency and functioning of our

futures markets, only that such steps are unlikely to

substantially affect the prices of oil or other commodities

in the longer term.

One of the concerns I have is that if Congress, once again, looks for a quick fix, says, hey, there is one problem here, there is too much speculation, we will stop that speculation in the futures market, and then we will have solved the oil crisis, then Congress will have once again failed to act in a responsible fashion. We need a rational energy policy.

I like to analogize that to how we would deal with our own investment portfolio. When they invest their own resources, Americans are constantly advised not to invest everything in one asset. Yet the United States has done that in our energy policy. We are far too dependent on petroleum as our source of energy, and we are far too dependent on foreign sources of that petroleum, as we have refused to develop and produce our own resources. We need to have a much more diverse energy policy and a more diverse energy portfolio, where we look at renewable fuels and alternative fuels, nuclear power. Yes, we will have to have a significant amount of petroleum for the future. We will still have a great need for petroleum, even as we seek to diversify. But there are is a lot we can do. Add to that what often is called the fifth source of energy, which is conservation, where we can be more efficient and much more effective in reducing our utilization of energy. Every barrel of oil not used, every kilowatt of electricity not used, is equivalent to one that is produced. We have to become aggressive in looking at these kinds of solutions.

Now, I understand the public is frustrated with the $4-plus price of gas. I understand how appealing and seductive it is to say we can solve this problem if we just address those energy speculators. I actually wish that were possible. But so far, most of the experts are saying that is not the source of the real problem. The underlying problem is one of supply and demand.

Now, there are things, as I said, we can do on the issue of the speculation in the futures markets. There are proposals to work on that, not the least of which is that we need to give the CFTC the authority to conduct the oversight of our futures markets to know what is happening and make recommendations to Congress about what changes, if any, should be made.

One of the first things we can do is to move through this Senate the confirmations of three members of the CFTC who still languish on our docket: Walt Lukken, Bart Chilton, and Scott O'Malia. They need to be moved promptly. If we are going to address the oversight of our futures markets, we need to put the cops on the beat and we need to not only put the members of the CFTC in place, confirm them, but we need to give them the resources for 100 new staff members that we have identified we need so they can aggressively and effectively look at and oversee the futures markets. That type of activity is appropriate.

But there are those who are proposing we do things to our futures markets that can cause great damage, and I am concerned the bill before us will do just that. The bill will not lower energy prices as it now sits because it attempts to address high oil prices but does so in a way that could actually increase volatility and make it harder for American companies to manage higher costs, and those costs will then have to be passed on to consumers.

It also will make it more difficult for companies, such as commercial producers, to hedge against higher prices. It imposes severe restrictions on investors and professional market participants. This means they would not be able to purchase the risk of higher prices from commercial producers who want to pass that risk on through derivative products.

Let me give an example. Let's say there is an oil producer who wants to build a new drilling rig and needs to finance that construction with a bank loan. Let's say this producer needs a $5 billion loan to engage in this new production that could help us. Any lender will insist that this producer lock in the price of its oil for at least 3, probably 5, years to make sure the producer has the cash flow to repay the loan. The oil producer goes to swaps dealers to look for the price of its oil and to hedge its loan for the next 3 years.

If we do not have an effective and smoothly running futures market, then that producer will not be able to effectively hedge the loan and will not be able to essentially obtain the contracts necessary to assure the bank that the producer can deliver on the loan. If the loan is not made, the investment is not made, and the production does not occur.

Those are the kinds of things that could happen if we improperly undo the smooth functioning of an effective futures market in this country.

The bill will also substantially limit the ability of pensions and other investors to protect themselves from higher prices and declining stock prices. It will allow the CFTC to break private contracts, something that I believe is going to be very detrimental in the marketplace.

But the bottom line, as I see it--and I will probably come back to the floor tomorrow to speak in more detail, as we have evaluated this bill more carefully--the bottom line is, even if the futures markets are the reason the price of oil is going up, the United States, simply by banning or regulating futures contracts in the United States, cannot change the conduct of investment in futures globally.

Petroleum is a global product. Petroleum futures are marketed globally. If we tell individuals or companies or entities they cannot invest in futures or their investment in futures will be subject to extremely high regulatory restrictions in the United States, they can simply go to Dubai, they can go to London, they can go elsewhere and invest in futures where there are exchanges that are willing and able and anxious for their business to come. These requirements in the current bill do not exist in these other markets, such as in the United Kingdom, which is actively seeking the jobs and tax revenue that come from the financial services companies that work with these industries. The bill will help accelerate the relocation of the derivatives business from the United States to London.

There are many other things we need to talk about. Yes, there are things related to the speculation in the futures markets that we can and need to do, but we have to be very careful.

As I said at the outset, I hope the debate we have in the Senate is not just about the futures markets. It has to be about the oil prices and what needs to be done in this country to deal with them. For example, the vast amount of the U.S. oil reserves, which are huge, are locked away from production. There will be proposals that need to get a vote on this Senate floor that we open that production. The first example I will give is the Outer Continental Shelf.

It seems to me we need to be as aggressive as possible in opening our production in the Outer Continental Shelf. The information I have is that 14 billion barrels on the Atlantic and Pacific shelves are available. If we were able to access that, that would be more than all of the U.S. imports from the Persian Gulf countries over the last 15 years.

There will be proposals to go into the oil shale areas in Colorado, Utah, and Wyoming. I understand more are being identified in North Dakota and Montana. The oil shale areas have more than three times the oil reserves of Saudi Arabia. Yet the United States will not allow us to access them. And we pay Saudi Arabia to bring us its oil and increase our balance of payment problems.

We need to look at conservation, where we work on plug-in electric cars and trucks, and move to a situation in which we get much more efficient in our country with regard to our energy. If we could increase the efficiency of our buildings and our transportation system, I understand, globally, we could probably reduce by one-third the energy consumption.

There are ideas that abound like these that we must debate on the floor of the Senate. As we get this opportunity, I am confident the American people, with the common sense my Idaho constituents are showing, can weigh in and help Congress understand, help this Senate understand the kinds of moves we must take. We must be bold. We must be comprehensive. We must look at the supply issues. We must look at the demand issues. And we must look at the market issues. But we must act.

I will conclude, Mr. President, with just that reminder from my constituents because, as I said before, as I read these e-mails, one thing that comes through unbelievably clearly to me is that the American people get it. My Idaho constituents get it. They know we can have a better energy policy, and they know that energy policy is achievable. They want Congress not to just take a baby step, not to duck the issue, or not to just take one little piece of the solution that might work a little bit; they want us to move forward with legislation that will address production of our own supplies and resources, expansion into new R&D technology, conservation, efficiency, renewable and alternative fuels, nuclear power, and many other areas. We have to do it fast. We have to do it now.

So my call tonight is an urgent plea to my colleagues, first and foremost, to get the issue of energy on the floor of this Senate, and then secondly to have a full and open and robust debate over all the ideas our colleagues can bring forward and to craft a bill that can then become a gem but more importantly can become a very rational, effective national energy policy for our country. If we do that, we will do one of the most important things we could possibly do with our time in the Senate in the next few weeks.

With that, Mr. President, I thank you and yield back any time I may have remaining.

Madam President, in mid-June, I asked Idahoans to share with me how high energy prices are affecting their lives, and they responded by the hundreds. The stories, numbering over 1,000, are heartbreaking and touching. To respect their efforts, I am submitting every e-mail sent to me through energy_prices@crapo .senate.gov to the Congressional Record. This is not an issue that

will be easily resolved, but it is one that deserves immediate and serious attention, and Idahoans deserve to be heard. Their stories not only detail their struggles to meet everyday expenses, but also have suggestions and recommendations as to what Congress can do now to tackle this problem and find solutions that last beyond today.

I ask unanimous consent to have the following letters printed in the Record.

Mr. President, in mid-June, I asked Idahoans to share with me how high energy prices are affecting their lives, and they responded by the hundreds. The stories, numbering over 1,000, are heartbreaking and touching. To respect their efforts, I am submitting every e-mail sent to me through [email protected] .gov to the Congressional Record. This is not an issue that will be easily resolved, but it is one that deserves immediate and serious attention, and Idahoans deserve to be heard. Their stories not only detail their struggles to meet everyday expenses but also have suggestions and recommendations as to what Congress can do now to tackle this problem and find solutions that last beyond today. I ask unanimous consent to have today's letters printed in the Record.

Mr. President, in mid-June, I asked Idahoans to share with me how high energy prices are affecting their lives, and they responded by the hundreds. The stories, numbering over 1,000, are heartbreaking and

touching. To respect their efforts, I am submitting every e-mail sent to me through [email protected] .gov to the Congressional Record. This is not an issue that will be easily resolved, but it is one that deserves immediate and serious attention, and Idahoans deserve to be heard. Their stories not only detail their struggles to meet everyday expenses but also have suggestions and recommendations as to what Congress can do now to tackle this problem and find solutions that last beyond today. I ask unanimous consent to have today's letters printed in the Record.

Mr. President, in mid-June, I asked Idahoans to share with me how high energy prices are affecting their lives, and they responded by the hundreds. The stories, numbering over 1,000, are heartbreaking and touching. To respect their efforts, I am submitting every e-mail sent to me through [email protected] .gov to the Congressional Record. This is not an issue that will be easily resolved, but it is one that deserves immediate and serious attention, and Idahoans deserve to be heard. Their stories not only detail their struggles to meet everyday expenses, but also have suggestions and recommendations as to what Congress can do now to tackle this problem and find solutions that last beyond today. I ask unanimous consent to have today's letters printed in the Record.

Mr. President, on June 20, five Treasure Valley Math and Science Center, TVMSC, students won first place overall in the Hydrogen Fuel Cell Model Car Challenge, an alternative energy model competition held in conjunction with National Science Bowl. The team, consisting of Alex Baca, Andrew Hoth, Kevin Brown and Eddie Smith, and alternate Paul Schroeder, also took fifth place honors in the National Science Bowl. The competition challenged students to design, build and race fuel cell model cars. The three components on which students were judged were the design document, a presentation of the use of hydrogen in transportation, and the race itself. The team was coached by Mark Anderson, physics teacher at TVMSC, Tony Baca of Hewlett Packard, and Barbara Jorden, legislative director for the Idaho Trial Lawyers Association. The team qualified for Nationals after sweeping the regional competition with eight trophies, four of which were for first place.

Alex, Kevin, Andrew, Paul and Eddie are all highly accomplished students, even as seventh and eighth-graders. Their interests range from the science disciplines of geography, earth science, chemistry, math, biology and computer science to liberal arts disciplines such as history and English. Their hobbies range from reading, painting, playing music and video and board games to drama, making scale models and playing air soft. The boys also participate in sports including football, soccer and tennis. The breadth of their interests and involvement will prepare them well for success in high school, college and the future careers of their choosing.

The Department of Energy, DOE, created the National Science Bowl competition in 1991 to help promote math and science education in high school and highlight the successes of students who excel in these fields. In 2002, DOE expanded the competition to middle school students.

Idaho can be proud of these exemplary students and their coaches for outstanding performance in the National Science Bowl and Hydrogen Fuel Cell Model Car Challenge. Idaho's strong heritage of math, science and engineering continues in our young people, keeping our State's student academic standards high and helping prepare Idaho youth for rewarding careers in these fields.

Mr. President, in mid-June, I asked Idahoans to share with me how high energy prices are affecting their lives, and they responded by the hundreds. The stories, numbering over 1,000, are heartbreaking and touching. To respect their efforts, I am submitting every e-mail sent to me through [email protected] .gov to the Congressional Record. This is not an issue that will be easily resolved, but it is one that deserves immediate and serious attention, and Idahoans deserve to be heard. Their stories not only detail their struggles to meet everyday expenses, but also have suggestions and recommendations as to what Congress can do now to tackle this problem and find solutions that last beyond today. I ask unanimous consent to have today's letters printed in the Record.

Madam President, in mid-June, I asked Idahoans to share with me how high energy prices are affecting their lives, and they responded by the hundreds. The stories, numbering over 1,000, are heartbreaking and touching. To respect their efforts, I am submitting every e-mail sent to me through energy_prices@crapo .senate.gov to the Congressional Record. This is not an issue that will be easily resolved, but it is one that deserves immediate and serious attention, and Idahoans deserve to be heard. Their stories not only detail their struggles to meet everyday expenses, but also have suggestions and recommendations as to what Congress can do now to tackle this problem and find solutions that last beyond today. I ask unanimous consent to have today's letters printed in the Record.

Mr. President, in mid-June, I asked Idahoans to share with me how high energy prices are affecting their lives, and they responded by the hundreds. The stories, numbering over 1,000, are heartbreaking and touching. To respect their efforts, I am submitting every e-mail sent to me through [email protected] .gov to the Congressional Record. This is not an issue that will be easily resolved, but it is one that deserves immediate and serious attention, and Idahoans deserve to be heard. Their stories not only detail their struggles to meet everyday expenses, but also have suggestions and recommendations as to what Congress can do now to tackle this problem and find solutions that last beyond today. I ask unanimous consent to have today's letters printed in the Record.

Mr. President, I am proud to announce the return of NASA mission specialist, teacher in space Barbara Morgan, not to Earth--that was 10 months ago--but to Idaho and Boise State University where she has been hired in a newly created position that will develop education initiatives in science, math, engineering, and technology. Barbara flew on the Shuttle Endeavor, Mission STS-118, from August 8- 21, 2007. She served as a mission specialist onboard Endeavor, working as a robotic arm operator in the

International Space Station assembly mission and conducting a teaching lesson from space, of which I was fortunate enough to be a part on the ground in Boise.

Barbara is a teacher by training. In 1985, she was selected to be the backup candidate for the NASA Teacher in Space Program, and trained with the late Christa McAuliffe for 4 months. After the shuttle tragedy in 1986, she returned to Idaho and taught second and third grades at McCall-Donnelly Elementary School. She continued to work with NASA's Education Division as the space designee, speaking publicly, designing curriculum, serving on the National Science Foundation's Federal Task Force for Women and Minorities in Science and Engineering, and as an education consultant. In 1998, NASA began the Astronaut Educator Program which replaced its Teacher in Space Program and Barbara was selected to train as a mission specialist. She began her 2-year training period that year and, upon completion in 2000, was given technical duties with NASA. She continued her duties and ongoing training in preparation for Mission STS-118 last summer.

In a preflight interview before STS-118, Barbara's extraordinary commitment to learning was revealed as she recounted of the beginning of her pilot training. She came to flight training with no flying background, and her initial pilot training experience was in a Cessna. Being unfamiliar with the communication language between pilots and air traffic controllers, she went to Radio Shack and bought a radio that gave her access to air traffic control so she could listen and become familiar with the language. In the course of that interview, one of Barbara's insights about the basics of learning, be it in a career or in school, revealed itself in a fine point about the importance of ``learning the language.'' She observed that once you master the ``language,'' be it an actual language or a set of terms used in a particular vocation or field of study, things become much easier. She understands very well that learning the ``language'' is the pathway to success.

Barbara has learned many languages, from that of an elementary school teacher to that of a pilot and NASA astronaut. Boise State University is very fortunate that she will be bringing her science, math, and engineering language skills to its students. It has been an honor for me to pay tribute to Barbara's remarkable achievements today and in the past, and I am certain that there will be many more to come. I offer her, Clay, and their children my heartfelt congratulations and an enthusiastic ``Welcome home to Idaho!''

Mr. President, in mid-June, I asked Idahoans to share with me how high energy prices are affecting their lives, and they responded by

the hundreds. The stories, numbering over 1,000, are heartbreaking and touching. To respect their efforts, I am submitting every e-mail sent to me through [email protected] .gov to the Congressional Record. This is not an issue that will be easily resolved, but it is one that deserves immediate and serious attention, and Idahoans deserve to be heard. Their stories not only detail their struggles to meet everyday expenses, but also have suggestions and recommendations as to what Congress can do now to tackle this problem and find solutions that last beyond today. I ask unanimous consent to have today's letters printed in the Record.

Mr. President, earlier this week, I asked Idahoans to share with me how high energy prices are affecting their lives, and they responded by the hundreds. The stories, numbering over 1,000, are heartbreaking and touching. To respect their efforts, I am submitting every e-mail sent to me through energy_prices@crapo .senate.gov to the Congressional Record. This is not an issue that will be easily resolved, but it is one that deserves immediate and serious attention, and Idahoans deserve to be heard. Their stories not only detail their struggles to meet everyday expenses, but also have suggestions and recommendations as to what Congress can do now to tackle this problem and find solutions that last beyond today. I ask unanimous consent to have today's letters printed in the Record.

Mr. President, I am honored to stand and speak today on the occasion of the 50th anniversary of the legislation establishing Alaska as our 49th State. I continue a tradition of sorts: A former Idaho Senator, Frank Church, stood in this same chamber 50 years ago, May 5, 1958, to be exact, to call for Alaska's statehood.

Let me begin, if I may, with the words Senator Church recited that day:

Wild and wide are my borders,

Stern as death is my sway,

And I will wait for the men who will win me--

And I will not be won in a day;

And I will not be won by weaklings,

Subtle, suave and mild,

But by men with the hearts of Vikings

And the simple faith of a child;

Desperate, strong and restless,

Unthrottled by fear or defeat,

Them I will guild with my treasure,

Them I will glut with my meat.

Send me the best of your breeding,

Lend me your chosen ones,

Them I will take to my bosom,

Them I will call my sons.

These lines come from a poem entitled, ``The Law of the Yukon,'' and were written by Robert W. Service, a Canadian poet who traveled north, caught up in the fever of the Klondike Gold Rush. The poem was inspired by the majesty of the land of the Northwest Territories and the Alaska territory, and for Senator Church set the stage for an impassioned, intricately argued plea for Alaska's statehood.

Senator Church spoke that day of taxation without representation. He referenced the treaty by which the United States acquired Alaska which said that the inhabitants of the Territory ``shall be admitted to the enjoyment of all the rights, advantages and immunities of citizens of the United States, and shall be maintained and protected in the free enjoyment of their liberty.'' Senator Church asked this body the question: ``Can it be that ours, too, will be the error of the Roman senate, which sapped the vitality and strength from the Roman Republic, refusing to extend the right of franchise, until government became a mockery, empty of empty of principle . . .?''

Fortunately for the United States in this matter, right prevailed that year, and those calling for Alaska's statehood were vindicated in their tireless quest.

The admission of Alaska into the Union represents a rejection of the status quo, a manifestation of the very American tendency to look beyond what is to what could be, and Alaska has exceeded all expectations. That historic 1958 debate about Alaska's statehood mentions things familiar today which remain the backbone of Alaska's economy and, by extension, are integral to the U.S. economy, salmon, oil and natural gas to name a few. Alaska enriched our inventory of public land immeasurably: forests rich in wildlife; the majestic mountains of the Denali and the breathtaking flanks and soaring peak of Mount McKinley; glaciers of incredible beauty; rivers teeming with salmon; and bays and harbors with orcas and other ocean wildlife. Alaska holds beauty and riches beyond measure above and below the land, rivers and oceans.

Periodically, the U.S. Senate does something that, in the words of Senator Church that year, falls outside the realm of meeting exigencies of the present. When the Senate bestowed statehood upon Alaska 50 years ago this week, it grasped the brief shining moment history had granted it and looked beyond partisan politics to do something great and glorious for the good of our Nation.

I appreciate the Senator from Alaska's invitation to speak during this auspicious time in Alaska's history. I am proud of the role of Idaho lawmakers in the history of Alaska's statehood, particularly Senator Church, and also Congresswoman Gracie Pfost who also supported Alaska's statehood that year. In fact, an editorial in the Fairbanks News-Miner on May 6, 1958 called Senator Church ``one of Alaska's greatest champions in Congress.''

Idaho and Alaska will always have much in common. Both western Rocky Mountain States, we face similar land use, wildlife and natural resource issues and we both celebrate the staggering beauty of our land. While Idaho does have the largest amount of wilderness area in the continental United States, it is dwarfed, of course, by Alaska which has the largest amount of Federal land of any State. Idaho and Alaska lawmakers can be proud of half a century of working together for the good of our States, our constituents and the mountain west.

Congratulations, Senator Murkowski and Senator Stevens, on the birthday of your great State.

I yield the floor.

Mr. President, earlier this week, I asked Idahoans to share with me how high energy prices are affecting their lives, and they responded by the hundreds. The stories, numbering over 1,000, are heartbreaking and touching. To respect their efforts, I am submitting every e-mail sent to me through energy_prices@crapo .senate.gov to the Congressional Record. This is not an issue that will be easily resolved, but it is one that deserves immediate and serious attention, and Idahoans deserve to be heard. Their stories not only detail their struggles to meet everyday expenses, but also have suggestions and recommendations as to what Congress can do now to tackle this problem and find solutions that last beyond today. I ask unanimous consent to have today's letters printed in the Record.

Mr. President, I ask unanimous consent the order for the quorum call be rescinded.

Mr. President, I ask unanimous consent to speak for 10 minutes as in morning business.

Mr. President, I rise to discuss the increasingly dire need to reauthorize the Secure Rural Schools and Community Self- Determination Act of 2000. It is commonly called the County Payments Act. We also need to fully fund the payment in lieu of taxes provisions, otherwise commonly called PILT funding.

One hundred years ago, legislation was enacted to provide for the return of a percentage of the U.S. Forest Service gross receipts to the States to assist counties that are home to our national forests with school and road services. The reason for this legislation was that these States, where there are very high percentages of Federal ownership of property, have a much smaller property tax base for their communities. Particularly, many of these rural communities exist in counties where most of the county--in some counties in Idaho over 90 percent of the county--is owned by the Federal Government. They have virtually no property base. Yet they have all the other issues that come with the land base to deal with in their counties--schools, roads, law enforcement, and the like. It was recognized that since the Federal Government was immune from paying property taxes, the Federal Government--which was the beneficiary from these counties and which had such significant land holdings in these counties--should provide some kind of compensation to the counties as an alternative to property taxes, which they would pay if they were not the Federal Government and exempt from paying those taxes. That is where you get the payment in lieu of taxes, or PILT payment. The Secure Rural Schools and County Self-Determination Act was something that followed up on the PILT legislation. Without these funds, many rural communities that neighbor national forests would be unable to fully meet school and road needs of local communities. In recent years, however, timber receipts have eroded

to the point where the Federal obligation to local rural communities is not met through these receipts alone.

To compensate for the shortfall and to prevent the loss of essential county schools and roads infrastructure, Congress enacted the Secure Rural Schools and Community Self-Determination Act. This law has provided assistance to communities whose regular Forest Service and Bureau of Land Management receipt-sharing payments have declined significantly. Unfortunately, it expired at the end of 2006. While funding to continue the program for 2007 was thankfully included in last year's emergency supplemental, this funding has run out.

I stood on the floor of this Senate almost 5 months ago asking my colleagues to make this overdue extension and funding a top priority or Congress. However, this extension has still not been achieved, and counties and school districts that were facing job losses 5 months ago are in an increasingly more difficult situation. People are losing their jobs and families across the Nation are being impacted. The education of children across this Nation is being affected. This is unacceptable.

In April, I joined a bipartisan group of Senators who sent a letter to the Senate Appropriations Committee seeking the inclusion of an extension and funding for the Secure Rural Schools and Self- Determination Act of 2000 in the Fiscal Year 2008 Emergency Supplemental Appropriations Act. The Emergency Supplemental that was passed by the Senate last month contained $400 million to continue county payments for another year. This funding would ensure the continued assistance for rural communities struggling to provide necessary services in areas with large amounts Federal land. This bridge funding is essential to ensure the continuation of needed school services in rural communities throughout the country while work continues on a longer term extension. I understand that unfortunately this funding was stripped out of the supplemental in negotiations between the House and the administration.

I remind this body that a multiple year extension and funding for county payments and PILT has the overwhelming support of a bipartisan majority of the Senate. In fact, 74 Senators voted in favor of an amendment to provide a mu1ti-year extension and funding in last year's emergency supplemental appropriations bill. However, as previously mentioned, this extension was pared back to one-year funding in the version that came out of conference and was enacted into law. Now, there is no funding and far less time.

What does a failure to extend the Secure Rural Schools and Community Self-Determination Act mean? It means the loss of more than 20,000 county and school employee jobs across the Nation. It means nearly 7,000 teachers and educational staff are estimated to lose their jobs. More than 100 teaching positions in Idaho alone will likely be affected. It means that 600 counties and more than 4,000 school districts in 42 States will not have the funds to fully provide needed services. It means incredible uncertainty to rural communities, counties, and families across the Nation during these difficult economic times. It means more than 8,000 road miles will not be maintained in Idaho alone. It means children in rural communities will have decreased access to quality education.

To help visualize the impact on rural communities of a failure to extend the program, I want to share some Idaho examples that were shared with me from my constituents: Shoshone County, ID, with a population of 15,000, expects 15 school instructional staff and as much as 55 percent of the county's road department employees to be affected. In Boise County, with a population of close to 7,000, the Road and Bridge Department will have to lay off the majority of its employees-- one half to three-fourths of the employees--within 1 year and only perform those activities that are necessary to public safety. Clearwater County, with a population of approximately 8,000, faces the loss of more than $500,000, which will greatly impact public safety because of lost services for road maintenance and law enforcement. I am told that Boundary County, with a population of 11,000, will not be able to blacktop roads and will have to let them deteriorate to gravel- based roads. We simply cannot allow this to occur in any State in this Nation.

Congress needs to demonstrate it is serious about getting this done. Families in rural communities across this Nation deserve no less. It is shameful that Congress may be recessing once again and Members will be heading home to their home States without passing an extension. The word disappointing is an understatement. This puts services in rural communities across this Nation in jeopardy, and it is simply wrong. We all need to work together to make this more of a priority. Over the years, this has been a bipartisan effort, and that simply must continue. This takes the commitment of all of us, including administration, House and Senate leadership to get this done.

I understand that other domestic spending has been included in the supplemental. I won't for a second diminish the need for those funds, but I must point out that county payments are vitally important and deserve to be included in the supplemental as well. I will continue to work with my colleagues to press for the inclusion of county payment funds. In December, Senators Craig, Smith, Murkowski, McCaskill, Dole, Stevens and Bennett joined me in urging the Senate leadership to attach a reauthorization of county payments and PILT funding to any legislative vehicles expected to be enacted before Congress concluded work for the year.

I continue to believe, as I did then, that we must pursue every opportunity to achieve enactment and attach an extension to every moving legislative vehicle. The counties of the United States which host our Federal properties are not allowed by Federal law to impose property tax on them for the services that those properties require.

This legislation honorably and fairly has met these responsibilities over the years until the last few years when Congress has struggled so hard to find its way through to extension and funding of these important needs.

I encourage my colleagues to act quickly, to act now, and to assure that we give the necessary priority to this county funding to get us past this crisis.

I yield the floor.