Well, I thank the gentleman from Iowa. And as always, it's great to be here with our friends from the Midwest and from the South. We represent the whole country, and it's such a great thing to be here, as we all got elected a couple of…
Well, I thank the gentleman from Iowa. And as always, it's great to be here with our friends from the Midwest and from the South. We represent the whole country, and it's such a great thing to be here, as we all got elected a couple of years ago and we have learned and listened very closely to what people are saying back home.
I know the gentleman from Wisconsin talked about jobs and sort of where we've come from, and I know the gentlelady from Ohio did the same thing. The ``where we've come from'' part didn't just start in the last 13, 14 months; unfortunately, it has been going on for a long time. A lot of that was decisions made in some cases by government, sort of incentivizing big decisions to send business overseas, encourage that through tax policy, and some of it has just been people making decisions that we've lost that American ingenuity.
Well, we haven't lost it, we all know that. This is the greatest country in the history of the world and our economy is the strongest. And, yes, we are being challenged right now, but this is when we are at our best. And that's the exciting part. This is a moment for us all to come together, put our arms around each other and say, what's great about America? Our worth ethic, our ingenuity, our technology, our innovation, this is what makes it. But we have to recognize that some of these policies--certainly when this administration started, a mere 13 months ago, we were losing 720 jobs per month. That's incredible. Now we are in a place where fortunately it's moving in the right direction--I think it was 20,000 or 30,000 jobs per month. Now, that's not good, we want to gain, we want to be at 100,000-plus; but, boy, that is certainly moving in the right direction, and that is what I am glad to see.
Now, I come from a State, Florida, which had 15 years of incredible prosperity, a lot of growth. For the people in my community, their property values went up, and their businesses were expanding. All good. The American Dream was happening over and over and over again. Yet, when the banks stopped lending, as we've been talking about, well, guess what? The merry-go-round stopped, and a lot of people are hurting right now. They are hurting psychologically; they are hurting emotionally; they are hurting physically.
The worst thing, as I know the gentlelady from Ohio talks about, is not to have that job, not to have that ability as a provider, a man or woman of a household, to bring that paycheck home, to get up in the morning and know you're going to do something productive and to make that example for your children. We want to make sure that people have that opportunity, and that's what we are working toward right now.
Well, as to this ``spur job creation'' part of the Blueprint for Recovery, there are two points I want to bring up:
One is the ``buy American'' concept. It's real simple. Every opportunity, when it comes to sourcing goods, services, and things like that, needs to be done in the United States. If there is anything that we can certainly promote, it's our providing those goods and services-- our local businesses. Your neighbor down the street, one you go to a church, to a synagogue, or to a supermarket with or one you coach Little League with is someone who works in the community. We want to give that businessperson and his or her employees or the people he works with an opportunity to be that source for government contracts and everything else--not to go overseas. We all understand the issue of free trade and all that, but free trade is fair trade, and
we want to make sure that, in this country, we are doing everything we can to promote our businesses first. It's real simple. I think most Americans get it. I think we've gotten a little off track over this thing, but that's a principle we need to pass and support and hold to.
Second--
Absolutely.
Absolutely.
We all understand the real game here, and it's not just about what they call ``tariffs.'' You may have heard of a ``tariff.'' That's a tax. If you bring something into a country, there is a tax to make it less competitive. Well, there are a lot of other ways to stop our wonderful American goods from going to other countries. They have lots of obstacles. It goes on in the auto industry all the time with emissions and lots of things that just make it practically impossible for us to sell.
Now, we can't force someone in Korea to buy one of our cars, but we should give him that choice. If we have the best products, consumers will buy our products, just like some products come into this country, and consumers make a choice. Right now, there are a lot of things going on to stop our products from going to other countries.
Sure.
That's exactly what it will do. I thank the gentleman for that example.
I have an example in my community, a company called Cross Match. It's a technology company. They make fingerprint equipment and things like that. They were bidding for a census contract, and a company that was sourcing it through a Korean company came in with all sorts of--not machinations--I would say, loopholes. This bill closes the loopholes, and I think that's exactly what we are all interested in.
The second thing I want to touch on, if I can, which the gentleman from Iowa (Mr. Braley) just talked about, is something which, I think, we all understand--the lifeblood of our economy. That is access to capital, to bank loans--to small business loans.
One thing I can say about this Congress is that I am really proud of the efforts that have been brought about through this Congress to make SBA, Small Business Administration, loans much easier to get. At this point, they are 90 percent guaranteed by the government. If you are a qualified veteran, 95 percent is guaranteed. These are good quality loans, but these aren't loans that are made by the government. They are made by banks, and they are guaranteed by the government.
We need to get our banks to start focusing on making these loans and other commercial loans. We are not asking banks to make ridiculous loans like some of those that took place before which were not properly collateralized. Yet, for good, creditworthy people, there are loads of small businesses that have long histories in our local communities. They know the loan officers at the banks, and they can work together and make loans happen.
One of the ideas being suggested is to take some of the payback money from some of the big banks that paid some of this money back and start bringing it down to the local level--to Main Street, to small banks, to community banks. We're not just talking about giving them the money like it happened before. Instead, it's an incentive to make the loans. If they make the loans, then they get discounts on the interest rates. This is what we have to do.
Absolutely.
I'll just conclude. There is so much more that everyone wants to say here, and there is so much to add. That's what's getting exciting about this work we're doing here.
Small businesses are the lifeblood of our economy. I mean many parts of our country do not have a lot of Fortune 500 companies. Those are great companies, and they add a lot of value to our country, but small businesses are going to be the businesses that get us out of this downturn, and we are beginning to see some good things. Bank lending is better than it was, but we need to encourage and find ways to make sure that the banks are lending so our small businesses can buy up some inventory, can buy up that capital equipment they need--a little deferred maintenance--and hire more people. That's the bottom line.
I just want to thank the gentleman for having this ``spur job creation'' because, I think, this is a huge part of how we are going to get our country back on track.
I want to thank the gentleman. Just sort of as an add-on to what we're talking about, we all know that homeownership in the United States is crucial. It's crucial for people knowing where to plant their investment. They're working hard over the years to make sure they have a place to live, and hopefully it will increase in appreciation. But that same description that Mr. Welch just gave us about banking practices, in some cases resulted in, unfortunately, a whole lot of people getting in way over their heads, a whole lot of lending that shouldn't have never been lent in the first place, and the foreclosure situation is really bad in many places.
I witnessed something over the weekend in West Palm Beach. In the West Palm Beach Convention Center a group came into town and said, We are going to bring together the lenders who, in many cases, have not been answering the phone, the line is busy or people haven't been getting answers, along with people that are having these real big problems, they can't make their mortgage payments. It's not like they're totally out of it. They may have had a job that was earning $50,000 a year, and they lost it, and now they're earning $35,000. Or, maybe a two-income household that they want to stay there. And we, as Americans, want them to stay there, if they can. We don't want abandoned houses. It just puts more pressure on the local streets and the local community.
At this event over the weekend--it was running for 5 days, 24 hours a day--and all the major lenders were there, except for one. It was really interesting; 5,500 people were in this building at one time. I'd never seen anything like this. And they had the lenders sitting across the table, here to here, and they were actually ironing out one after another. One guy had an 11 percent mortgage. It was reduced to 5\1/2\ percent. His payment went from $2,100 to $1,300. And I asked him, Can you make do? He said, Yes. I'm keeping my house. I'm sleeping tonight. My children know they have a place, a roof over their head tonight.
Well, this has been frustrating, but help is on the way. Help is on the way. And I think that the model has now been created. It's working in different parts of the country. But I'm really gratified to see that some people in south Florida were given that opportunity. There's a lot more to work through in all of our communities, but I'm starting to see some success, and that's part of how our recovery is going to happen, by putting the necessary pressure for people to get together and make this work.