E PL UR UM IB N U U S Congressional Record United States th of America PROCEEDINGS AND DEBATES OF THE 104 CONGRESS, FIRST SESSION

Vol. 141 WASHINGTON, THURSDAY, APRIL 6, 1995 No. 64 Senate (Legislative day of Wednesday, April 5, 1995)

The Senate met at 9:30 a.m., on the As we make this prayer today as EMERGENCY SUPPLEMENTAL expiration of the recess, and was called every day, we make it in confidence APPROPRIATIONS ACT to order by the President pro tempore knowing You are a God of faithfulness The PRESIDING OFFICER. Under [Mr. THURMOND]. and covenant, a God of love, a God of the previous order, the Senate will now The PRESIDENT pro tempore. To- peace. Amen. resume consideration of H.R. 1158, day’s prayer will be offered by our which the clerk will report. guest Chaplain, Father Schlegel. He is f The assistant legislative clerk read president of the University of San Francisco. He has been endorsed by RECOGNITION OF THE ACTING as follows: Senator HATFIELD and Sheila Burke. MAJORITY LEADER A bill (H.R. 1158) making emergency sup- We are very pleased to have him with The PRESIDENT pro tempore. The plemental appropriations for additional dis- us. aster assistance and making rescissions for distinguished Senator from Wyoming. the fiscal year ending September 30, 1995, and SCHEDULE PRAYER for other purposes. Mr. THOMAS. Mr. President, on be- The Senate resumed consideration of The guest Chaplain, Father John half of the leader, let me say this Schlegel, office of the president, Uni- the bill. morning that the time for the two Pending: versity of San Francisco, offered the leaders has been reserved, and the Sen- following prayer: Hatfield amendment No. 420, in the nature ate will immediately resume consider- Let us pray: of a substitute. God, designer of life and author of all ation of H.R. 1158, the supplemental ap- D’Amato amendment No. 427 (to amend- that is good and beautiful. We know propriations and rescissions bill. It is ment No. 420) to require congressional ap- the hope of the majority leader that a proval of aggregate annual assistance to any You to be a God of harmony and whole- foreign entity using the exchange stabiliza- ness; a God who seeks justice and re- unanimous-consent agreement can be reached that will enable the Senate to tion fund established under section 5302 of wards goodness. title 31, United States Code, in an amount You give to Your daughters and sons complete action on the supplemental that exceeds $5 billion. many gifts, talents, opportunities, and appropriations bill today. Murkowski-D’Amato amendment No. 441 challenges. You have endowed those If an agreement cannot be reached, (to amendment No. 427) of a perfecting na- elected to this Chamber great opportu- Senators are to be reminded that a clo- ture. nities and great responsibility in con- ture vote on the Hatfield substitute is Daschle amendment No. 445 (to amendment ducting the public work of this land for scheduled for 2 p.m. today. Members No. 420) in the nature of a substitute. the common good of all. should be aware that rollcall votes Dole (for Ashcroft) amendment No. 446 (to As they deliberate may they be moti- could occur throughout the day. amendment No. 445) in the nature of a sub- stitute. vated by service and guided by con- Mr. President, I suggest the absence science. of a quorum. Mr. THOMAS addressed the Chair. Grant the Members of this Senate The PRESIDING OFFICER (Mr. The PRESIDING OFFICER. The Sen- and the whole Congress: wisdom to BURNS). The clerk will call the roll. ator from Wyoming is now recognized. their minds; clearness in their think- The assistant legislative clerk pro- Mr. THOMAS. Mr. President, I ask ing; truth in their speaking; love in ceeded to call the roll. unanimous consent to proceed as in their hearts; and enthusiasm for their Mr. THOMAS. Mr. President, I ask morning business. work. Help them be a source of unity unanimous consent that the order for The PRESIDING OFFICER. Without not division. Help them be seekers of the quorum call be rescinded. objection, it is so ordered. justice and forgers of equality. Help The PRESIDING OFFICER. Without f them to set the interest of the Nation objection, it is so ordered. PAPERWORK REDUCTION ACT OF above all else. Guide them, finally, to exercise their f 1995—CONFERENCE REPORT power to assist our fellow citizens to Mr. THOMAS. Mr. President, this re- feed the hungry among us; to ease the RESERVATION OF LEADERSHIP quest has been agreed to by both the burden of those in pain; and to make TIME minority and the majority leaders. our country, our communities, and our The PRESIDING OFFICER. Under I ask unanimous consent that the homes better places to live and to the previous order, the leadership time Senate now turn to the consideration work. has been reserved. of the conference report to accompany

∑ This ‘‘bullet’’ symbol identifies statements or insertions which are not spoken by a Member of the Senate on the floor.

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VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00001 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5274 CONGRESSIONAL RECORD — SENATE April 6, 1995 S. 244, the paperwork reduction bill; the authorization of appropriations for sion than any other was that of re- that the conference report be agreed OIRA. The Senate bill provided $8 mil- drafting section 3512, which provides to; and that the motion to reconsider lion for each of the next 5 years, while public protection against agency non- be laid upon the table. the House had an indefinite and perma- compliance with the Paperwork Reduc- The PRESIDING OFFICER. Without nent authorization. The conferees com- tion Act. Since 1980, the act has pro- objection, it is so ordered. promised on the Senate version for an vided a fundamental protection to The clerk will report. additional year. This 6-year authoriza- every citizen that he or she need not The assistant clerk read as follows: tion will prompt us to review the legis- The committee of conference on the dis- lation at some future time, which was comply with, or respond to, a collec- agreeing votes of the two Houses on the the underlying rationale of the Senate tion of information if such collection amendment of the House to the bill (S. 244) provision. does not display a valid control number to further the goals of the Paperwork Reduc- The House argued that OIRA has given by OMB as evidence that the col- tion Act to have Federal agencies become clearly been established as a matter of lection was reviewed and approved by more responsible and publicly accountable for reducing the burden of Federal paper- policy, if not in law, as a central organ OIRA. And if the collection does not work on the public, and for other purposes, of the Federal Government and a key display a valid control number, the having met, after full and free conference, instrument of current regulatory re- agency may not impose any penalty on have agreed to recommend and do rec- form efforts. The Senate responded the citizen who fails to comply or re- ommend to their respective Houses this re- that it was not its position to sunset spond. port, signed by a majority of the conferees. either the Paperwork Reduction Act or (The conference report is printed in OIRA. The lack of a permanent author- In order to strengthen and under- the House proceedings of the RECORD of ization of appropriations for OIRA has score congressional desire to protect April 3, 1995.) never before, even when it has expired, the public, the conferees included a Mr. ROTH. Mr. President, I am caused OIRA to terminate. definition of penalty at the end of sec- pleased to state that our bipartisan ef- I agree that OIRA has become a nec- tion 3502 to make clear that the term forts to strengthen the Paperwork Re- essary and permanent policeman of pa- not only applies to the payment of a duction Act, which began in the last perwork and regulation. But I also con- fine but also to the denial of a benefit. Congress, has now in this Congress be- tinue to hold my longstanding commit- What this means is that if an agency come bicameral. The conferees were ment to limited authorizations. Six does not comply with this act, it is in able to resolve the differences between years is a substantial period of time. A serious trouble. If an agency does not the Houses so that before the week is lot can change in 6 years. In 2001, it is act on a citizen’s request for a Govern- over the Congress will have concluded entirely appropriate that Congress re- ment benefit because the citizen did its work on a bill that significantly im- view the status of our paperwork re- proves upon current law. duction efforts and the role of OIRA. not complete a form that fails to dis- As my colleagues know, the 1980 Act A second major issue of disagreement play a valid OMB clearance number, it established within OMB the Office of between the Houses concerned the an- is the agency—not the citizen—that Information and Regulatory Affairs nual percentage goals for Government- stands in violation of law. Once this is [OIRA]. That offices was directed to re- wide reductions in paperwork burdens. determined, the agency would not only view the paperwork burdens created by The Senate set a 5 percent goal for owe the citizen the benefits due but the Federal Government. All collec- each of the next 5 years. The House set also perhaps interest as well. tions of information from 10 or more a 10 percent annual goal forever. Of Now there are some who may grum- persons must, with very few excep- course, all the conferees would like to ble that this provision is too weak. tions, be reviewed by OIRA for their see substantial reductions. The ques- Since 1980, section 3512 has included an need and practical utility and must re- tion was a practical one: what goal was alternative clause of public protection ceive a clearance number before they realistically achievable? Once we had requiring the collection of information can become effective. decided on a 6-year timeframe, the The fundamental purpose of this re- issue became more focused. While the to state that if it did not display a view process is to reduce the paper- House conferees made clear that their valid OMB control number, it was not work burden on the American public. 10 percent goal was to be set annually subject to the act. Some may view that Hence, the name given to this legisla- with respect to a new paperwork base- second clause as a tautology. That is tion. However, before this legislation line that would include new congres- how agencies have interpreted it. But now pending, because of the Supreme sional paperwork mandates, Senate some others have believed that it re- Court decision in Dole versus Steel- conferees were still concerned that 10 quires: First, that every effort by the workers, not all paperwork burdens percent a year for 6 years was unreal- Government to collect information, caused by the Federal Government had istic. After some discussion, it was even those not covered by the act, be to be reviewed and cleared. The Court agreed that the paperwork reduction accompanied by a statement advising said that the act applied to paperwork goals of the Federal Government that such collection is not required to that flowed from a private party to the should be set at 10 percent for each of have a clearance number; and second, Federal Government and not to in- the first 2 years and 5 percent for each that consequently a failure to provide stances where the Federal Government of the other 4 years. such advice would subject the collec- required a person to provide informa- A third major issue of disagreement tion to another person. concerned the House provision which tion of information to the public pro- As a policy matter, I have never fa- permitted OIRA to charge the users of tection sanctions of section 3512, even vored the distinction made in the Dole Government information more than though the collection was not subject case. The conference report makes the cost of disseminating such informa- to the act. clear that neither House of Congress tion. While there might be some in- Now the act specifies in section 3518 accepts this distinction. The Dole case stances where such an authority would certain exceptions from the act. A sub- is overturned, and the scope of OIRA’s be appropriate, the House provision poena is one example. Also, by defini- review authority is, as a consequence, was not crafted in any such limited tion, a collection of information falls enlarged by 50 percent. This change manner. The Senate conferees thought under the act only if 10 or more persons marks a major breakthrough in our pa- it was a little late in the legislative are involved. My view is that since a perwork reduction efforts. process to start isolating cir- subpoena is not covered by the act’s In noting the major effect of this leg- cumstances where charges in addition islation, I do not mean to imply that it to dissemination costs might be appro- clearance requirements and since a re- was a major issue with the House. It priate. Not having addressed this issue quest for information made to nine or was not. In fact, in view of the breadth at all in the Senate bill, the Senate fewer individuals is likewise not cov- of this legislation, the issues in dis- conferees asked that the House recede. ered, then in such cases the sanctions agreement were relatively few. And the House agreed. of section 3512 have no application. It Perhaps the most significant dis- Mr. President, the topic that cap- is simply foolish, in my opinion, to re- agreement concerned the duration of tured more time in conference discus- quire an agency to inform a person it is

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00002 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5275 dealing with about the laws that do not The final major item of disagreement fications, this provision has been trans- apply. concerned the standard by which regu- formed in conference from a pilot So with the concurrence of all the lations which include information col- project to a permanent program Senate conferees, this second clause lections are judged. Under current law, change. The provision, as modified, has was rewritten to be both feasible and OMB reviews such agency rules and the support of its original sponsor and useful. It now requires the agency to comments thereon applying the stand- of the Census Bureau. inform the person who is to respond to ard of section 3508—whether the collec- Two amendments dealing with the collections of information governed by tion is unnecessary) and thereafter ap- elimination of unnecessary reports to the act that such person is not required proves or disapproves after receiving Congress—one by Senator MCCAIN and to respond to the collection of informa- the agency’s response to OMB’s com- one by Senator LEVIN—were dropped at tion unless it displays a valid control ments. By what standard does OMB de- the insistence of the House. Conferees number from OMB. This statement of cide? Current law allows OMB to dis- had received correspondence from var- how section 3512 operates to protect approve if the agency’s response was ious congressional committees and the public technically need not appear unreasonable. The House sought to agencies raising technical and other on the collection of information itself. tidy up by cross-referencing section concerns about these provisions. Rep- That is because the term collection of 3508 rather than using the current law’s resentative CLINGER, who chaired the information includes more than Gov- formulation of unreasonable. conference, indicated that he favored ernment requests for information. An As a practical matter, there is no the purpose of the reports-elimination example of an additional item included real difference between whether the provisions but could not hold up the within the definition might be a rec- agency’s response to OMB’s comments Paperwork Reduction Act while var- ordkeeping requirement. In such case, are unreasonable in light of OMB’s ious concerns with these nongermane the collection of information might views on whether the agency’s collec- amendments were addressed. He said he not be a Government form but instead tion is unnecessary under section 3508 would introduce a companion bill in a legal requirement about which the and whether the collection is unneces- the House and would seek to move the agency provides instructions. sary under that section. Since both legislation there. While the conferees provided some standards—unreasonable and unneces- Finally, an amendment that ex- flexibility regarding the second clause sary—lack precision, there is nothing pressed the sense of the Senate regard- of section 3512(a), it is their intention in current law to stop OMB, unless per- ing the Oregon option was also dropped that the agency inform those who are suaded by the agency’s response, from in conference at the insistence of the to respond in a manner reasonably cal- disapproving a regulatory collection House conferees. culated to bring the matter to their at- because it would be unnecessary under Mr. President, the Paperwork Reduc- tention. If the collection is a Govern- section 3508. tion Act of 1995 passed both Houses on ment form to be completed and sub- Some of my Senate colleagues be- rollcall votes with not a single dis- mitted by a person, then that form lieve that the House position under- senting voice. I am pleased to report should bear the necessary statement to mined an important difference—a zone that the conferees have resolved all dif- fulfill the requirements of section of deference to be accorded agency ferences between the two bodies with 3512(a)(2). If the collection concerns rulemaking. The argument is that the result that we have even a stronger something else, such as recordkeeping, OMB may disapprove a regulation only bill than before. It should be noted that then the agency should make it section if the agency’s response is unreason- we could not have moved so swiftly to 3512(a)(2) statement as clearly as pos- able even if OMB believes that collec- passage and through conference with- sible in some document, such as in- tion is unnecessary. While the argu- out the bipartisan cooperation of Sen- structions regarding such record- ment tracks the words of current law, ator NUNN, the chief sponsor of S. 244, keeping. I am not persuaded that the zone of and Senator GLENN, the ranking minor- Moreover, in section 3512(b) the con- deference has any dimension to it at ity member of the Committee on Gov- ferees made clear that the protections all. Nor do I see what benefit would de- ernmental Affairs. I commend them for of section 3512 may be raised at any rive from making a distinction be- their hard work on this legislation not time during the life of the matter. The tween collections undertaken as part of only in this Congress but in the last. protections cannot be waived. Failure a regulation and those outside of a reg- Their effort set a mark not only in the to raise them at any early stage does ulation, which are covered only by sec- Senate but in the House and made en- not preclude later assertion of rights tion 3508. Either way, if the collections actment of this legislation possible under this section, regardless of any are unnecessary, they should be dis- within the first 100 days of the 104th agency or judicial rules to the con- approved. What is the compelling argu- Congress. trary. ment for allowing unnecessary collec- I urge my colleagues to approve this I believe that as a result of our tions to burden the American public conference report. changes to section 3512 we have sub- simply because the agency’s response Mr. GLENN. Mr. President, it gives stantially strengthened that section was not unreasonable? me great pleasure to rise before my and, in turn, the entire act. Any agen- Ultimately, the conferees decided to colleagues today and urge their accept- cy that fails to comply with the clear- keep current law because it satisfied ance of the conference report on our bi- ance provisions of this act does so at more conferees then did the House partisan legislation to reauthorize the its peril. Any collection of informa- version’s unambiguous language. Cur- Paperwork Reduction Act. This day tion, unless excepted by this act, must rent law satisfies the majority of con- has been a long time in coming. At be cleared by OMB. And this applies to ferees who believe that nothing stops long last, we can take our final step to- all agencies, including independent OMB from disapproving a regulatory ward presenting the President with a agencies. collection found to be unnecessary bill that I am sure he will sign and that Neither the House nor the Senate while it allows others to argue that I am equally confident will reduce pa- sought to change the policy of the 1980 some metaphysical zone of deference is perwork and improve the management Act that all agencies, including inde- preserved for regulatory collections. of Federal information resources. pendent agencies, have their informa- Mr. President, when we last came to Passage of this legislation is an ac- tion collections, even those by regula- the floor on S. 244, the Senate adopted complishment that I am very proud of. tion, subjected to OMB review and ap- several amendments that did not di- Reauthorization of the act was one of proval. So while exceptions are made rectly bear upon the Paperwork Reduc- my major priorities during my 6 years for certain law enforcement and intel- tion Act. Only one of those amend- as chairman of the Governmental Af- ligence activities, none is made for ments survived the conference. That fairs Committee. After several years of duck hunting or the safety and sound- amendment by Senator COVERDELL discordant debate about the act’s im- ness regulations of banking agencies, sought to reduce small business com- plementation, we fashioned a bipar- Apparently, no difficulties have arisen pliance burdens with the Quarterly Fi- tisan bill that resolved outstanding in the last 15 years under the 1980 Act. nancial Report Program at the Bureau issues and moved the act forward to So no change is made from current law. of the Census. With some minor modi- more clearly address new Information

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00003 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5276 CONGRESSIONAL RECORD — SENATE April 6, 1995 Age issues. This bill was unanimously plications, electronic benefits transfer of 1995 are the product of this reauthor- passed by the Senate on October 6, 1994. for food stamps distribution, electronic ization process and proof of its impor- Unfortunately, the House was unable data interchange to speed up Federal tance. to act before the end of the 103d Con- contracting, direct deposit for more ef- We strengthen the paperwork clear- gress. The legislation that we have be- ficient delivery of pay and retirement ance process in several ways. The most fore us today is this same bill, with benefits, computer matching to catch important reform is the establishment only a few minor changes. This year’s tax cheats, high capacity tele- of new detailed requirements for agen- House bill itself was also modeled very, communication networks and video- cies to evaluate paperwork proposals very closely on our bill. I am thus very conferencing for more efficient work and solicit public comment on them proud of the leadership our committee across the Nation and even the globe. before the proposals go to OMB for re- provided in the last Congress, the bi- These innovations are already a part of view. These new requirements will, partisan cooperation that continued Government. They also suggest some of first of all, ensure the more thoughtful into this Congress, and the accomplish- the opportunities still to come for im- development of only truly ‘‘necessary’’ ment that we now have before us. proving Government operations. agency information collection pro- The Paperwork Reduction Act is a vi- Unfortunately, as oversight by our posals. Just as importantly, these re- tally important law. Originally enacted committee and others has shown, the quirements will also help agencies in 1980, and reauthorized in 1986, the Government is not realizing the full more clearly and thoroughly make act serves two closely related and very potential of this technological revolu- their case for such proposals, and thus essential public purposes. First, the act tion. The Federal Government is sim- prepare for a fair hearing before OMB is key to the ongoing effort to reduce ply wasting millions and millions of on what is or is not ‘‘necessary for the Government paperwork burdens on the dollars on poorly designed and often in- proper performance of the agency’s American public. Too often, our citi- compatible systems. This must stop. functions,’’ as the law puts it. To- zens—individuals, businesses, State The Paperwork Reduction Act of 1980 gether, I believe, these expanded agen- and local governments, academic insti- took a first step on the road to reform cy requirements provide the greatest tutions, nonprofit organizations, and when it created information resources opportunity for progress in the war more—are burdened by having to fill management [IRM] policies to be over- against red tape. out questionnaires and forms that sim- seen by OMB. The Paperwork Reduc- We also strengthen the paperwork ply are not needed to implement the tion Act of 1995 strengthens that man- process by overturning the Dole versus laws of the land. Too much time and date and establishes new requirements United Steelworkers Supreme Court money is wasted in an effort to satisfy for agency IRM improvements. These decision regarding OSHA’s hazard com- bureaucratic excess. requirements focus on agency responsi- munication standard, so that informa- The Paperwork Reduction Act of 1980 bility for IRM improvement, including tion disclosure requirements are cov- took up the battle by transforming a results-oriented performance stand- ered by the OMB paperwork clearance leaky review process—created in 1942— ards. These strengthened requirements process. This ends a controversy of sev- into a strong centralized OMB clear- add needed detail to the larger IRM eral years and clarifies that the act ance process to control the information framework, with its essential oversight covers all paperwork requirements, not appetite of agencies all across the Fed- role for OMB, to ensure that we have just information that is collected for eral Government. The Paperwork Re- both management results and account- an agency’s own use. duction Act of 1995 strengthens this ability. The legislation balances proc- In other respects, the act’s OMB pa- process, primarily by increasing the ess controls with program and manage- perwork clearance standards remain paperwork reduction responsibilities of ment responsibility to provide IRM im- unchanged. In fact, the decision to the individual agencies, so that we can provements without stifling micro- overturn the Supreme Court ‘‘Haz make new progress in fighting Govern- management. Comm’’ decision is only appropriate ment redtape. In serving these twin, closely related given the continuing integrity of the The act’s second core purpose is to statutory purposes of paperwork reduc- procedure for OMB review of informa- improve Federal information resources tion and information resources man- tion collections required by regulation. management. This is not a separate or agement, the Paperwork Reduction Act As provided under the original 1980 act, secondary goal. Reducing the costs and of 1995 includes several notable accom- after commenting on regulatory paper- improving the efficiency and effective- plishments. work requirements in a proposed rule, ness of Government information activi- We reauthorize the act for 6 years. OMB may disapprove a final rule pa- ties is an essential element of paper- While the House proposed a permanent perwork requirement only if it finds work reduction. As the 1977 Federal pa- authorization, the conference agree- that the agency’s response to its com- perwork Commission commented, how ment contains a definite reauthoriza- ments are ‘‘unreasonable.’’ As Senator can Federal agencies reduce paperwork tion period. While the difficulties in re- KENNEDY said at the time, ‘‘[Without if they don’t know what information authorizing the act between 1983 and this provision,] this legislation would they possess or how best to use it? We 1986, and again from 1989 to the permit OMB to overturn * * * [an agen- simply cannot reduce paperwork bur- present, may suggest to some that the cy rulemaking] decision without even dens on the American people unless we act ought to be permanently reauthor- requiring OMB to justify its decision can get more efficient and effective in- ized, I draw a very different conclusion. publicly. This violates basic notices of formation activities out of Federal It is precisely because the act is so im- fairness upon which the Administrative agencies. portant, because it concentrates sig- Procedure Act is based, as well as con- Our entry into the Information Age nificant power in OMB—which is the cepts of due process embodied in the signals an even more fundamental President’s enforcer, if there ever was U.S. Constitution.’’ (S30178, November truth. We cannot provide efficient and one—and because there has been so 19, 1980). With this legislative history effective Government operations with- much controversy about OMB’s actions so clear, I am very pleased that the out efficient and effective information under the act—and its related regu- House receded to the Senate on this activities. Program operations, service latory review powers—that every effort point in the current legislation—our delivery, agency policy formulation must be made to provide and sustain committee and the Senate having al- and decisions—all now depend increas- serious congressional oversight. ready clearly decided to maintain un- ingly on information technology. Without a periodic reauthorization changed the paperwork clearance The scale of this transformation of schedule, I am afraid that our over- standards of the act. the Government from a paper-driven to sight would suffer. With the require- The Paperwork Reduction Act of 1995 a computer-driven operation is stag- ment for reauthorization, we are re- also provides needed detail to the act’s gering. The Federal Government is now quired to scrutinize the act and its im- general provisions on information dis- spending over $25 billion each year on plementation, and persevere in resolv- semination. OMB policy guidance re- information technology. We have truly ing differences and arriving at any sponsibilities are delineated, as are the entered the Information Age. Auto- needed statutory reforms. The reforms operational responsibilities of indi- mated data processing for program ap- found in the Paperwork Reduction Act vidual Federal agencies. The primary

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00004 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5277 theme running through these provi- ment and support the legislation. I am something of a unique point of view in sions is the obligation of Federal agen- very proud of our accomplishment in that each of us, of course, just came off cies to conduct their dissemination ac- bringing this legislation to final pas- an election, each of us campaigned for tivities in such a way as to ensure that sage of the conference report. This has a very long time in our States, each of the public has timely and equitable ac- been a cooperative bipartisan effort. us talked to many people, and each of cess to public information. A major We could not be here without the hard us believes that there was a message in element of this obligation is the man- work of Senator NUNN and Senator the election and that the responsibility date to make information available on ROTH, who is now chairman of the Gov- of responsive Government is to respond a nondiscriminatory and nonexclusive ernmental Affairs Committee. I would to that election and to the voice of the basis so as to avoid disadvantaging any also single out Senator BINGAMAN, my voters as we see it. class of information users. Public in- good friend from New Mexico, who, So, Mr. President, we, I think, have formation is public. It should not be- when he was on our committee, initi- going on here a great debate. It may come a source of revenue for agencies ated the reauthorization effort in 1989. not take the form of great debate in or a means by which to exercise propri- And, of course, as always, Senator terms of its physical approach, but the etary-like controls on information. CARL LEVIN of Michigan has played an great debate is between the way we see Finally, the legislation requires the important role, working to ensure that things happening, the way we see our- development of a Government Informa- our committee’s consideration of the selves as a society and as a country en- tion Locator Service [GILS] to ensure legislation helped the fight both tering into the new millennium, enter- improved public access to government against paperwork and for Government ing into the year 2000 in a relatively information, especially that main- efficiency. short 5 or 6 years and what shape we tained in electronic format, and makes This really has been a long-haul ef- see ourselves in as a nation going into other improvements in the areas of fort. And through those years, a small that new millennium. government statistics, records manage- group of staff have labored long and The great debate is whether or not ment, computer security, and the man- hard, again and again working over we want to go into that new century agement of information technology. drafts and coming up with legislative continuing as we are financially, con- These are important reforms. Of language to help us reach the point we tinuing as we are with the huge debt course, reaching broad bipartisan are at today. I want to thank Frank that we have, continuing as we are agreement on this legislation has in- Polk of Senator ROTH’s staff, Bill with deficits of $250 billion in that fore- volved considerable compromise. There Montalto with Senator NUNN, and Len seeable future or, in fact, whether we has been give and take on both sides. Weiss and David Plocher of my staff. want to seek to make some changes so The result, like most compromises, has We could not be here today without that we go into that millennium, so displeased some. I believe, however, their work. Finally, I want to thank that we go into that new century, with that the legislation represents a prac- Jeff Hill and Bruce McConnell of a nation that is financially and fiscally tical compromise that addresses many OMB’s Office of Information and Regu- responsible, and now is the time we real issues and moves the Government latory Affairs, and Dan Latta and Chris have to do that. forward toward the reduction of paper- Hoenig of GAO’s Accounting and Infor- That is the great debate, the great work burdens on the public and im- mation Management Division. Their debate that has been going on in the provements in the management of Fed- technical assistance throughout the House, the great debate that is going eral information resources. It should be legislative process was essential, and on here, the great debate that will take supported for its very significant provi- they deserve our thanks for their help. place over the next year in terms of the sions. We are now one short step from final budget. Basically, the debate is over- Even with this accomplishment, it enactment of the Paperwork Reduction spending. should be clearly understood that the Act of 1995. I strongly urge my col- We all have charts. Unfortunately, I legislative compromise does not re- leagues to join in supporting this very am not armed with a chart this morn- solve conflicting views on the OMB pa- important legislation. ing. The chart would show, however, perwork and regulatory review con- The PRESIDING OFFICER. Without that spending has gone up in this kind troversies that have dogged congres- objection, the conference report is of fashion, spending has gone up in the sional oversight of the Paperwork Re- agreed to. neighborhood of 5 percent a year for duction Act. As I said in my additional So the conference report was agreed many years and is designed to continue views in our committee report: to. to go up at 5 percent a year for the Support for the original act and for the Mr. THOMAS. Mr. President, I ask foreseeable future. The President’s current legislation should not . . . lead any- unanimous consent to proceed as in budget this year has a 5.5-percent in- one to overlook the problems that have frus- morning business. crease in spending. trated full implementation of the law. Fif- The PRESIDING OFFICER. Without So we talk a lot about the deficit, the teen years of Committee oversight have pro- objection, it is so ordered. deficit which is a result, of course, of duced a record replete with criticisms, large- f the difference between revenues and ly directed at OMB, for unbalanced imple- outlays, but really is the result of mentation of the Act. Slighting statistics, FRESHMAN FOCUS spending. If there was a message that I records management, information tech- Mr. THOMAS. Mr. President, as you nology management, privacy and security, think was universally discernible in and other aspects of information resources know, over the last several weeks, the November, it was that Government is management, OMB devoted itself to a paper- Senate freshmen have taken time on too big and that Government spends work clearance and regulatory review proc- various occasions to come to the floor too much. Most people agree with that. ess that occasioned repeated charges of in- to talk about the agenda that we be- If we are to have a reasonable debate, terference with substantive agency decision- lieve was prescribed during the last there needs to be a couple of things making. I believe that this record should not election, the agenda that the 11 of us, agreed to, a couple of things have to be be obscured...’’ (S. Report No. 104–8, p. 59): as new Republican Senators, would like stipulated. One struck me some time This record should remind us of our to see pursued in the Senate. back in our church in Cheyenne that continuing obligation to oversee the Our plan was to talk in morning busi- we attend, and the message that the act, at the same time that we move ness about that this morning. As you pastor had was that every day each of forward with the current legislation to know, the order has been changed, and us has a responsibility to make this a better fulfill its very important pur- we respect that. But until such time as better place to live. poses. the majority leader and the minority Whether a person is a Senator, In conclusion, the legislation before leader are able to pull up the bill, we whether a person is a carpenter, wheth- us strengthens the Paperwork Reduc- would like to proceed to talk about er a person is a rancher, we each, where tion Act. It also remains true to the in- some of the things that we think are we are, have a responsibility to make tent of the original 1980 act. Both the most important. this a better place to live. administration and the General Ac- We call this the freshman focus, and We do it in our own ways. We each counting Office concur in this judg- we think we do bring to this body have something different to contribute.

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00005 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5278 CONGRESSIONAL RECORD — SENATE April 6, 1995 But, Mr. President, we have, in addi- Let me suggest if we want to take a ously very successfully doing in living tion to the citizenship responsibility, look at the long range, we want to take up to their promises to the folks that we have the responsibility of being a look at your kids, my kids and our they made when they ran for office trustees for this country, being trust- grandkids, we need to have a little back last year. ees for the spending responsibilities of compassion about that. We need to The first thing I want to do is con- the United States—an awesome respon- have a little compassion about what gratulate the House, having voted, sibility it seems to me, one that goes kind of a financial position and respon- pretty strong showing last night, for a far beyond simply spending, goes far sibility for our Government will we tax reform bill and a tax cut bill—both beyond arithmetic, goes far beyond ac- have in the year 2000 unless we make a tax cut bill and a tax reform bill. It counting. It goes into the character of some changes. is a progrowth bill, a bill that is going a nation. Of course they are difficult. Of course to create more jobs, it will help fami- Whether or not we are able to pay for they are difficult changes. We must lies, eliminate the marriage tax pen- the things we want, whether we are make them. Americans voted for alty that has existed—which is a tre- willing to have a cost-benefit ratio and change in 1994. mendous break—an encouragement for decide for ourselves if it is worth pay- We have the greatest opportunity we people to marry, an encouragement to ing for, we pay for it. It is irresponsible have had for a very long time to take supporting families. to continue to put it on the credit card a look at programs and say are they It is a bill that says to seniors that for our kids. Our credit card is maxed fulfilling the objective? Is that the best we believe seniors have value and out. way to deliver services to people who worth, that seniors can, in fact, work Within the next month or 2 months, need them? To take a look at welfare past the age of 65 and earn a modest we will be asked to raise the debt and say, the purpose of welfare is to amount of money—$20,000, $15,000—and limit— $5 trillion. Talk about charts help people who need help and to help not lose your Social Security benefits, that impressed me a little some time them back into the workplace. A hand if you are age 65 to 70. ago, in 1970, the budget of this country up, not a handout. We think that that is important. It is was about $204 billion, in that cat- That is what we ought to be looking an important sign to seniors that we egory. Twenty-five years later, the in- for, and to measure those programs and understand that they have value to terest payment on the debt is more see if, indeed, they are successful, or is give to the communities and to give it than the entire cost of the Federal there a better way to do it. Do we need their businesses, and that we do not Government in 1970—not very long ago. 165 programs designed to go from want to discourage seniors out of the So the question in the great debate is school to work? Of course not. We need work force and penalize them at a rate how do we go into the 21st century? to put them together and look at du- of over 50 percent in taxation if they How do we go into the new millen- plicity and look at repetition and see if make over $9,600 a year as a senior. We nium? That is what the freshmen are there is a more efficient way to do it. think that that is a very positive thing focusing on. That is what this debate is about. that occurred in that tax bill last There is a great deal more to the de- Frankly, we are having a hard time night. bate on this question today of rescis- keeping that debate in the arena of The adoption tax credit provision sions, this question today of whether finding better ways to help people help which encourages adoption, we believe, we can find $15 billion to take out of themselves. That is what it is for. is also a very, very positive profamily spending, $15 billion that will not go on Mr. President, I hope as we go kind of tax change. And the list goes the debt. There is more to it than just through it, there will be a stipulation on. this spending issue. It has a good deal that we are setting out to find a better I want to commend them for the to do with national character. way, a better way to help people who great work that they did in paying for So that is what it is about. That is need help; a better way to provide in- the program. It is not a tax cut that what the freshmen are seeking to do. centives for everyone to work and take will increase the deficit. They offset it, Unfortunately, the opposition, rather care of themselves; a better way for the more than offset it, with spending re- than taking a look at where are we, business sector to invest, to create ductions in order to pay for the tax re- where do we need to go, what changes jobs, so that we can help ourselves; a ductions. do we have to make, what changes did better way to eliminate bureaucracy That is the kind of decision that we voters ask for, are saying, ‘‘Oh, no, we and duplicity so that we can deliver will have to be making, whether it is, cannot change. We want to continue services. in fact, better to have a person keep with the programs we have had. We That is what it is about. That is the their money or is it better to have a want to continue with the war on pov- responsibility that we have. person send their money here and for erty’’—which has failed. The war on Mr. President, I thank you, and I Washington to figure how best to spend poverty was started 30 years ago, and want to yield to my good friend from it, and of course take the cut for bu- there are more people in poverty now Pennsylvania, who certainly is one of reaucracy and write rules and regula- than there were then. the leaders in this effort to find better tions that make no sense, then send it We have the greatest opportunity ways so that we have a society of self- back. That is the difference. now than we have had for a very long improvement rather than dependence. I think it is a pretty easy call for time, a great opportunity to take a Mr. SANTORUM addressed the Chair. most Americans. I am not surprised look at where we are going. I suggested The PRESIDING OFFICER. The Sen- that it passed over in the House, and I there needs to be a stipulation in this ator from Pennsylvania. will not be surprised when it passes great debate, and that stipulation also Mr. SANTORUM. Mr. President, I over here in the Senate. has to be not only do we have a respon- ask unanimous consent I may proceed On a larger scale, I want to congratu- sibility to make it a better place to as in morning business. late the House for the great work that live, but also that people who want to The PRESIDING OFFICER. Without they have done. In 91 or 92 days they make changes have as much compas- objection, it is so ordered. passed nine major pieces of legislation, sion and as much caring as do those f nine major bills. The amount of work who do not. The idea that people want- that they did in working—and I know a ing to make a change and wanting to CONGRATULATIONS TO THE lot of folks around do not believe that take a look at where we are going sig- HOUSE Members of Congress and the Senate nifies that we want to throw everyone Mr. SANTORUM. I want to commend work very hard. I will say if we look at out on the street and there is no caring the Senator from Wyoming for his con- what the House of Representatives has and that it is simply a mathematical tinued effort to bring the freshmen done in this first 90 days, and the thing is absolutely wrong. I am begin- here to the floor on a regular basis to amount of hours they put in legislation ning to hear it. I hear it almost hourly talk about where this Senate is going in committees and in working groups from the opposition—the reason for not and how we are living up here in the and putting this stuff together to pass making a change is because it is not Senate to what the country said on No- this kind of massive change that they compassionate. vember 8, and what the House is obvi- promised, I think a person might think

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00006 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5279 again as to whether Members of Con- some point. That is terrible. It is ter- If you want to talk about the revolu- gress do in fact earn their keep. rible that we should require people to tion that is going on, that is the basic Let me suggest that the most impor- work. It is just unbelievable to me that premise. I care as much—I believe tant thing—I ask this question all the argument was made on programs that more—but I do not necessarily think I time—the most important thing that were trying to help people. We are try- am the best person equipped to make came out of the House of Representa- ing to give more responsibility and those decisions for everybody. We can tives was not the tax bill, was not the freedom and choices back to people, best make those decisions one-on-one, balanced budget amendment, was not but that is the way things are in this local communities and groups, as op- the line-item veto. town. If we do not keep the power then posed to here in Washington, DC. That The most important thing was they it is mean, because of course we are the is the fundamental argument. kept their promise. They kept their only ones who actually care about peo- So, when you look at the first 100 promise. They ran and they said, ‘‘If ple. You do not care about your neigh- days and you see what has happened in you elect us, we will do 1, 2, 3, 4, 5, 6, bor, we do. You do not care about your the U.S. House of Representatives, and 7, 8, 9, 10—we will do these 10 things. family, we do. We care about it more I believe what will happen in the U.S. We promise you we will bring them up than you do. Senate, if you look at what we have ac- and we will get a vote and we will work I am sitting right behind the desk of complished and the hope that we have our darndest to try to make that hap- the Senator from Texas, Senator given to Americans that we in fact can pen.’’ They could not promise passage GRAMM. I will never forget a statement change, that America, again, can be because you never know. But they he made on one of these talk shows. Ira good, that America can be great, I promised they would try their best. Magaziner was on and they were talk- think it is an inspirational story. Do you know what? They introduced ing about the health care plan of Clin- bills exactly the way it was written in ton’s a couple of years ago and Mag- We have done something in the the contract. They did not change it. aziner was making the point he does House—and I believe the Senate will They did not say, look, I am going to care about children, he does care about follow—we have done something that is cut taxes for middle-income people and the young people in this country and more important than any one par- then pass a tax increase. They did not the folks who are uninsured. He says, ticular thing, and that is, I hope, we say they were going to be for a bal- ‘‘I care for your children as much as have restored the faith that the Amer- anced budget amendment and then pass you do.’’ That is what he said to PHIL ican public used to have in their insti- big spending increases. No, they did ex- GRAMM, and what PHIL GRAMM said, I tutions. Because if they do not believe actly—exactly what they promised the think, was classic. And that is: ‘‘OK, in us, if what we say is irrelevant, if American public. And they succeeded what are their names? What are their they do not believe in anything we say names?″ on 90 percent of it. on the campaign trail, that we are just You see, we all care. But do we really They are batting .900. Ted Williams a bunch of folks who say what we need care about that one person? Do we real- would be proud—.900; 90 percent of to say to get elected—if they do not ly understand what their needs are? what they said they would try to do, have any faith in what we stand for, if Not what ‘‘the needs’’ are, but ‘‘their they did. they think all we are going to do is needs?’’ What ‘‘their concern’’ is? See, The only one they failed on was the change our minds when we get down that is the problem. We cannot deal constitutional amendment, which as here, then democracy itself is in dan- with ‘‘a concern.’’ We deal with ‘‘the most people know takes two-thirds of ger. concerns.’’ The problem is ‘‘the con- the body to pass, which is well beyond cerns’’ sometimes do not beat ‘‘a con- If people do not believe in us any- the number of Republicans that there cern.’’ And the closer we get to ‘‘a con- more, if we do not stand for anything are in the House of Representatives. cern’’ and the closer we can tailor and anymore, if all we are is symbols of a So: The first ever vote on term limits. allow the people who have the feeling corrupt institution that does not re- They failed, but 85 percent of the Re- and the relationship to deal with that spond to what the will of the public is, publicans supported it. They got a ma- concern, the better our country and then democracy fails. It falls from jority of the House to support it. It is the ‘‘gooder’’ our country is. within. building. It is on the track to eventu- This line has been used a lot around ally pass, probably after the next elec- Whether you agree with what the here and it is so true, the de House of Representatives has done, tion. So I think the country should Tocqueville line. ‘‘America is great,’’ look at the House of Representatives. whether you agree 10 percent, or 90 per- he wrote in Democracy In America, cent, or 100 percent, you have to stand One of the big concerns I had when I ‘‘America is great because America is came to the U.S. House, 4 years now, back and say ‘‘Well done. You did what good.’’ you said you were going to do. We may now here in the Senate, is I think the The people are good, they care about not like it but, darn it, you did. And public has lost trust in our institu- each other. They reach out to their fel- you have to tip your hat to that.’’ tions. They do not believe that we low man. There are volunteer organiza- mean what we say or say what we tions that developed here in the 1800’s Hopefully here in the Senate, while mean; we are here and all we care and 1900’s that just did not exist any- we did not sign the Contract With about is getting reelected and having where else in the world because Ameri- America, and no one in this institution some power and being able to throw cans cared about each other and felt did, and that is often repeated, we have our weight around. What the public that relationship and kinship. And he an obligation to do something. We have really wants does not really matter. It said America is a great country be- an obligation to follow through and let is just this big game down here. cause it is a good country. ‘‘And when the country know that elections do Is it not nice to know that promises America ceases being good it will cease matter; that when the country speaks, can be kept; that people do sometimes being great.’’ We are ceasing to be good we here in Washington, in both the mean what they say? They made some because we have delegated everything House and Senate, listen. hard decisions. A lot of this stuff was to this massive bureaucracy here in Mr. President, I yield the floor. not easy to do. A lot of it came, as you Washington to be good for us. probably heard in the last few weeks, You hear the people, as you will over The PRESIDING OFFICER. Who with a lot of criticism raining down on the next few months, get up and talk yields time? how mean-spirited this Contract With about: How can you be so mean as to Mr. THOMAS. Mr. President, I yield America is. not give money to—this or that. Folks, time to the chairman of our freshman I know it is mean to cut off a lot of it is not my money. See, I am taking group, the Senator from Oklahoma. bureaucrats here in Washington—that that money from somebody else who is mean—and to give that money back worked darned hard to make it. And The PRESIDING OFFICER. The Sen- to you. That is very mean to the people who says I know best how to spend ator from Oklahoma. who are here to protect the bureau- their money to help somebody else? The PRESIDING OFFICER (Mr. crats. I know it is mean to say people That is the basic premise of what is KEMPTHORNE). The Senator from Okla- who are on welfare have to work at going on here. homa is recognized.

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00007 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5280 CONGRESSIONAL RECORD — SENATE April 6, 1995 Mr. INHOFE. Thank you, Mr. Presi- in this country can take on a lot of re- thing the liberals want to do is to give bene- dent. I thank the Senator from Wyo- sponsibilities that Government has fits directly to the poor. They may not have ming for giving me some time to talk learned to assume. a trickle-down theory, but in practice they about this. I read something with interest the make sure that any benefits to the poor trickle down through layers of bureaucracy I do not think there is any subject other day. It is an article by Thomas and are siphoned off to pay the salaries, con- nor any issue in America right now Sowell. Thomas Sowell is an editorial sulting fees and research grants of all sorts that people are more concerned about writer. The name of his article is ‘‘A of ‘‘experts’’ with degrees. than what is happening with the budg- Dishonest Slogan.’’ This ‘‘Dishonest That is why studies have shown that every et and with the deficit. Slogan’’ is the one that is called trick- man, woman and child in America could be I just had an experience a minute ago le down. It seems as if the liberals feel raised above the official poverty level by di- with two very dear people, and I would that with Government, higher taxes rect transfers of money, at less than half the like to deviate a little. It fits very well are the answer to our problems—and cost of all the government’s antipoverty pro- grams. Lots of people who are not poor by into this. Two of the most beautiful this was said, by the way, on this Sen- any stretch of the imagination have to be women in America are Yvonne ate floor by the distinguished Senator taken care of out of antipoverty money. Fedderson and Sara O’Meara. They from West Virginia, Senator BYRD— Proposals to replace public housing pro- started many years ago an effort to ad- that we need higher taxes in America. grams, ‘‘retraining’’ programs and other so- dress the problem of child abuse. This Then when they talk about the fact cial experiments with hard cash given di- blue ribbon is in recognition of Child that they are giving tax reductions, rectly to the poor have repeatedly run into a Abuse Prevention Month that is taking they try to use slogans like ‘‘trickle buzz saw of opposition from liberals. They don’t mind more money being given to the place right now. Here is a bumper down.’’ poor—or to anybody else—but not at the ex- sticker. They started many years ago a Mr. President, I ask unanimous con- pense of programs that employ bureaucrats program outside of Government to do sent that, at this point in the RECORD, and ‘‘experts.’’ something effectively about the prob- this article by Thomas Sowell be print- These anomalies are not accidental. The lem of child abuse in America. ed. welfare state is ultimately not about getting We saw just yesterday a bill which There being no objection, the mate- more money into the hands of the poor but passed the House of Representatives rial was ordered to be printed in the about getting more power into the hands of government. In program after program, the that also recognizes that the problems RECORD, as follows: poor are to benefit only insofar as they allow of this country are not going to all be A DISHONEST SLOGAN themselves to be directed and manipulated addressed by Government. In fact, in (By Thomas Sowell) by their self-anointed saviors. many cases, Government is the prob- If there were a prize for the most dishonest When people get private sector jobs instead lem. phrase in politics, the competition would be of government handouts, the situation is This particular program, which was fierce and the outcome very uncertain. How- completely different. Capital gains tax re- started by Sara O’Meara and Yvonne ever, my nomination would be the phrase forms are needed simply to stop the govern- Fedderson many years ago, has a hot- ‘‘trickle-down economics.’’ ment from discouraging the investment that The trickle-down theory is supposedly the provides employment. line throughout the Nation. Anyone It is nonsense to call this ‘‘trickling down’’ who has an idea about or knowledge of notion that the way to benefit the poor is to have the government provide benefits to the because the investment has to happen first, child abuse can call 1–800–4–A–CHILD. rich, which will then trickle down to the and workers have to be hired first and paid The reason I bring this up, Mr. Presi- poor. But there is simply no such theory— first, before the investor has any hope of dent, is because this is a national prob- not in Adam Smith, not in John Maynard reaping any gains. Since capital gains come lem. It seems to me that in the last 40 Keynes, not in Milton Friedman. Not in any- last, not first, they do not ‘‘trickle down.’’ years the very liberal Congress in both body. Obviously, the higher the capital gains tax Houses has felt that you had to respond My specialty within economics is the his- rate, the less the incentive to invest and hire. If you want more Americans employed, to these problems by starting some tory of economics theories—but there is no history of any such theory. you don’t punish people for employing them. new Government program. I suggest to Still, no political campaign is complete Otherwise, the investors have every incen- you that most of the programs which without liberals accusing conservatives of tive to invest their money in some other address the problems in the Nation applying trickle-down theories to benefit the country that doesn’t have such high capital today are not Government programs, rich, instead of having the government give gains taxes—or doesn’t have capital gains they are programs in the private sec- benefits directly to the poor. With Repub- taxes at all. tor. This program is a perfect example. licans likely to raise the issue of reducing But the liberals are so politically depend- the capital gains tax in the next Congress, ent on class warfare, and on their own role as They have in every State and every saviors of the poor, that they are very slow contiguous State—and perhaps the oth- Democrats will no doubt cry that this is a ‘‘tax break for the rich’’ based on ‘‘trickle- to admit that there wouldn’t be so many ers too—a program where people can down economics.’’ poor for them to save if there were more jobs call a hotline and do something about Let’s go back to square one. There is no in- created by the economy. On the other hand, one of the most serious problems in vestment income to tax until after an invest- if they are not playing the role of saviors of America, which is child abuse. ment has been made and people hired—and the poor, how are they to get re-elected? The Government has a number of after it all works out successfully, which is Mr. INHOFE. Mr. President, the idea programs. But I suggest to you when by no means guaranteed. In short, the bene- is that nobody benefits from a capital you look at the effectiveness of these fits to investors come after the benefits to gains tax or some of these tax reduc- programs it is far more effective to those they employ, not before. tions until they have actually provided When investments finally pay off, perhaps have one that is run by the private sec- years later, it would make no sense to call a stimulus to the economy. For exam- tor, that is staffed by volunteers, than the eventual profit simply income for the ple, if you have a capital gains tax, the having one that is a Government pro- year in which it is received. That is why cap- individual who will eventually benefit gram. Our problem is we have become ital gains are taxed differently from ordi- from that tax cannot benefit until he accustomed to assuming that the prob- nary income. has already started a company, already lems can be addressed by the Federal Often there is no real capital gain at all, invested his money, already met a pay- Government better than by the private except on paper. If you bought an asset back roll, and already hired people. What when the price level was half of what it is sector. today, and you sold the property for twice the liberals in Congress refuse to recog- In the bill that was passed yesterday what you paid for it, then you have just kept nize is that for each 1 percent increase in the House of Representatives, there up with inflation. If you sell it for 50% more in economic activity in America, it is a tax incentive for families to take than you paid for it, you have actually lost produces an additional $24 billion of care of their own children as opposed part of the real value. new revenue. to Government taking care of them. Even when your capital ‘‘gain’’ does not I am so sick and tired of sitting on There is a tax incentive—not many keep up with inflation, the government still the floor here listening to the liberal people are aware of this—of $500 for taxes you on it. Moreover, these kinds of Members of Congress talk about how it ‘‘gains’’ go into the statistics supposedly people to take care of the elderly. This showing that ‘‘the rich are getting richer did not work in the 1980’s, how we tried is something that many people did not and the poor are getting poorer.’’ tax reductions in the 1980’s and look know was in that bill, which just Despite tilting against the windmills of a what happened to the deficit. Well, the passed yesterday. The idea is families nonexistent trickle-down theory, the last deficit went up during that decade, but

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00008 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5281 it did not go up because we had tax re- time income for taxes to support the would work? Let us put spending caps ductions. It went up because the Mem- Government programs. Stop and think on. If we initiate a resolution that says bers of the House and the Senate have about that. we are not going to let any Govern- an insatiable appetite to spend money The other day, we had an interesting ment program increase more than 2 that is not theirs and are borrowing it visitor. We had a number of visitors percent, we would not touch one pro- from future generations. from all over the world. This was dur- gram, not have a reduction in one pro- I will give you an example. Back in ing the National Prayer Breakfast. We gram, not have elimination of one pro- 1980, the total revenues that were de- had people from all over the world gram, and we would be able to balance rived from the marginal tax rates in there. I was in charge of a group of the the budget by the year 2002. America were $244 billion. Then, in national visitors from the Ukraine, That is because—and most people do 1990, the total revenues that were de- from Eastern Europe and some of that not realize it and you are not going to rived from the marginal tax rates in area. One man was here from Moldavia. hear it said by a lot of the liberals here America were $466 billion. What hap- He asked me a very interesting ques- in Congress—our problem is not where pened during that 10-year period? Dur- tion. He said, ‘‘Senator INHOFE, here in to cut programs but how to stop the ac- ing that 10-year period, we had the the United States, how much can you celerated growth. And when you hear greatest tax reductions in this Nation’s keep?’’ people like the President standing up history. Remember, the highest rate I said, ‘‘Pardon me? I do not under- and saying proudly, ‘‘We are cutting went down from 70 percent to 28 per- stand what you are saying.’’ the deficit,’’ that is garbage. cent. We had capital gains tax reduc- He said, ‘‘Well, when you earn some- There is an article everyone should tions. We had reductions all the way thing, how much do you have to give read. It was in the Reader’s Digest last down so that people knew they could the Government?’’ year. It was called ‘‘Budget Baloney.’’ keep more of the money that they I said, ‘‘Well, that is a real inter- And in it they described how Members made. This stimulated people to invest esting question.’’ I kind of established of Congress say they are cutting the in equipment, in company, in employ- a guess because there is not really a deficit. They described it this way: ment, and it did, to borrow a phrase very simple answer to that question They say let us say you have $5,000 but that is often abused by our President, when you stop and think about what you want to buy a $10,000 car. All you it did ‘‘grow America.’’ So we almost the Government really absorbs. have to say is I really want a $15,000 doubled the revenue during that 10- But he said, ‘‘We are celebrating in car, but I will settle for a $10,000 car year period when we had the largest Moldavia. We are so thrilled that fi- and I have cut the deficit by $5,000. tax reduction. nally, after all these years of com- That is the way they do things I would like to mention one of the munism, we now have a free economy. around here. things that I told the Senator from We now have a free society. We now Let me suggest to you that there is Wyoming, Senator Thomas, that I can own property. We now can buy going to be a come-home-to-roost time. would make a reference to; that is, the businesses and we can work hard and There is going to be a time when these moral issue that we are dealing with pass on to future generations that individuals who have habitually voted right now. I gave a talk not long ago which we reap.’’ for expanded Government into our lives where I had the pictures of two beau- I said, ‘‘In your country, how much and are not a part of the revolution of tiful children on an easel behind me. do you have to give the Government?’’ November 8 are going to have to come Those two beautiful children I identi- He said, very proudly, ‘‘We get to keep back and take the consequences. fied in the first hour as being my two 20 percent.’’ I said, ‘‘How does that I would like to show you just two grandchildren, Glade and Maggie. Each work?’’ He said, ‘‘Well, when you earn charts that we put together back when of them will be celebrating their sec- money, if you earn a dollar, you have we were debating the balanced budget ond birthday this month. They are to give 80 cents of that dollar to the amendment to the Constitution. beautiful little children. Government.’’ They do not wait until This chart shows the characteriza- When people talk about the programs year end, Mr. President. This is some- tion of those Members of the Senate they say are going to be cut when we thing that is ongoing. And then we who were voting for an amendment have passed a balanced budget amend- looked around at each other and called the Right To Know Act. Now, ment—and we will try to reach a bal- thought, here are these people, seeking what this was was an amendment to anced budget—and they try to pull on their freedom, so excited about this, the balanced budget amendment to the the heartstrings of America and say they are all through with communism, Constitution, and it said show us ex- that all these great, wonderful Govern- and they can benefit and they can en- actly where you are going to cut every ment social programs are going to be rich themselves and future generations program. Obviously, you cannot do cut, they neglect to tell you who is and how happy they were, and yet they that 7 years in the future. But we ana- really going to be punished by these have to give to Government 80 percent lyzed the voting behavior of the 41 Sen- programs, who is really going to be of what they have. ate cosponsors of this bill. We find that punished if we do not do something to Mr. President, that brings it really to every one of them voted yes on the $16 bring the budget into balance, which the surface of where we are today. If we billion President Clinton tax stimulus we are going to do. And I do not want do not do something to change this program which was the largest increase to sound partisan here, but by Repub- path, we will be behind Moldavia. It in spending that we have had in one licans taking over the House and the will cost our future generations 82 bill, I believe, in the history of the Senate, you are going to see some cuts. cents on the dollar. Congress; that every one of the 41 who You are going to see come growth caps. So I would like to think that this is had signed on as cosponsors to this But you will see our budget come back not a fiscal issue. It is a moral issue. amendment was ranked by the Na- into balance, and we are targeting We are going to see in the next few tional Taxpayers Union as either a D right now the year 2002. weeks the Republicans coming out in or an F. In other words, the people who Let us look at what is going to hap- the House and the Senate with a pro- were behind this were the people who pen if we do not do this in America. Ac- gram, with a budget, a proposed budget were the big spenders in Congress. cording to the CBO and all the other that would eliminate the deficit by the Then the most revealing chart is the analysts, where are we in America year 2002. I disagree with the way we one that shows what is going to happen today if we do not have some type of a are doing it. I hate to be the one who to a lot of these people by showing change in the program that we have disagrees with my own party. I have what did happen to them in the revolu- had? They have said that, if we con- talked to different people who are on tion of November 8. tinue to go on as we have gone in the the Budget Committee, and I say I On November 8, there were either de- past, if we do not pass a balanced budg- think we are making a mistake when feated or retired in the Senate eight et amendment, if we do not bring it we come out with a budget and say ex- Senators. Of the eight Senators, all into balance, that a person who is born actly where we are going to cut pro- eight voted for the spending increase. today, during his or her lifetime, will grams, where we are going to expand This was the spending increase that have to pay 82 percent of his or her life- programs. Why not do what we know put all kinds of subsidized programs in

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00009 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5282 CONGRESSIONAL RECORD — SENATE April 6, 1995 there, supposedly to stimulate the What we did was to remove the anti- So, I hope, by the same token, every- economy. All of them voted for the tax trust exemption given to major league one in the Senate will join with Sen- increase. The tax increase was the 1993 baseball. I hope that the full Judiciary ator THURMOND, Senator HATCH, and tax increase that President Clinton Committee, the Senate and the other myself—an interesting coalition, if had. It was characterized as the largest body will take this up and pass it rel- ever there was one—and would with- single tax increase in the history of atively soon. draw the antitrust exemption. It is not public finance in America or any place Baseball has for decades had a special deserved by baseball. It should not be in the world, and those are not the exemption from the antitrust laws, continued for baseball. They should be words of conservative Republican JIM which laws apply to everything else, treated as anybody else. INHOFE. Those are the words of PATRICK every other business in this country Their behavior in the past year has MOYNIHAN, who at that time was chair- and every other professional sport. shown why they should not have that man of the Senate Finance Committee. What this means is that baseball and special exemption, if they ever really Further down here they all had ei- those who own it and run it are basi- deserved it. But whether they have de- ther D or F ratings by the National cally above the law. served it or not, they have now lost it. Taxpayers Union. In other words, they Now they have shown what this We should take it away. were the big spenders, and those are means. They have shown great disdain the ones who were defeated. They are for the fans, for those who do not make So, Mr. President, I hope that this not here. Look around. They are not the $1 million salaries, like the people legislation will work its way through here. who park the cars, that sell peanuts the committee process fairly quickly, In the House of Representatives, 66 of and beer and hot dogs and soda at the come to the floor of the Senate, and be them went out. Almost all of the 66 various stadiums, for the communities voted upon. voted yes on the stimulus bill, voted that have taxed their people through I have watched some of the activities yes on the tax increase, and had a D or bond issues to build stadiums, for those of the baseball teams, I mean things F rating by the National Taxpayers who make the pennants and the T- that are so petty, so petty. For exam- Union. shirts and the baseball caps, and even, ple, the way they treat Little League So I just suggest to you, Mr. Presi- in the State of Vermont, those who teams. dent, that we make it abundantly clear make the souvenir bats given out on When I was a youngster and when my to the liberals in Congress, the few lib- bat day. Such people have been out of children were, the idea was, if you had erals who are left, because most of jobs over the past year because of the a Little League team, you built up them were wiped out in the November baseball strike. some following for various teams. You 8 revolution, there is going to be an- And throughout all of this, people, proudly wore the logos of a team—the other wave coming up in 1996, and this some acting in extremely high-handed Red Sox, the Yankees, whoever else it is the opportunity for us to be fiscally fashion, are able to say, ‘‘Well, the fans might be. responsible, for us to be able to stand be damned. Because we have this ex- Now they say: ‘‘Well, we will require up and say no to some of these useless emption from antitrust, we can act to- each one of those children to pay us $6 programs that have outlived their use- gether. We can do whatever we want.’’ for the privilege of having their logo on fulness and say yes to future genera- The antitrust exemption was pro- their uniform.’’ This is just penny-ante tions, including my two grandchildren, vided for baseball on the assumption baloney. Glade and Maggie Inhofe. This is what that those who control baseball would is going to work for America, and this act in the best interest of the game and What it does, it says, ‘‘We expect you is probably the centerfold of the revo- the best interest of the fans, would do to be fans supporting us, but, kid, lution of November 8. it responsibly and that we would have you’re going to pay for it.’’ Mr. President, I suggest the absence a strong commissioner. The practical I recall as a child being at Fenway of a quorum. matter is they have done none of this Park and seeing some of the greats of The PRESIDING OFFICER. The in the last few years. baseball come by. If you held out a clerk will please call the roll. I recall testimony in a hearing that baseball, they would autograph it for The legislative clerk proceeded to Senator THURMOND and I had in which you. And they were paid a tiny fraction call the roll. the question was asked: Let us assume Mr. LEAHY. Mr. President, I ask of what is paid to these multimillion- baseball did not have an exemption unanimous consent that the order for aires today who tell you, ‘‘Yes, you can from the antitrust laws and let us as- the quorum call be rescinded. come in and for x number of dollars we sume we saw the situation, the sorry The PRESIDING OFFICER. Without may give you the autograph.’’ This is situation, we have seen for nearly a objection, it is so ordered. spoiling the whole idea of baseball. Mr. LEAHY. Mr. President, I under- year in baseball. If the owners came in So, as I said, Mr. President, we ought stand that the parliamentary situation and said, ‘‘Oh, by the way, Congress, to lift their antitrust exemption. They is that we are in morning business; is give us something you have not given do not deserve it. They never really that correct? any other business. Give us an exemp- earned it in the first place, and they The PRESIDING OFFICER. Tech- tion from the antitrust laws.’’ Would have done nothing to keep it today. nically speaking, the Senate is on H.R. they not be laughed off Capitol Hill? Of Let us get rid of it. Let us treat them 1158. course, they would. as the business they have become and Mr. LEAHY. Mr. President, if no one Republicans and Democrats alike, let us stand up for the fans for a else is seeking recognition, I ask unan- both in the Senate and the House, change. imous consent to proceed as though in would say, ‘‘We are not going to give you that. We are not going to give you I have seen a situation in the hear- morning business. ings where even the acting commis- The PRESIDING OFFICER. Without this special exemption from the anti- sioner of baseball in his testimony objection, it is so ordered. trust laws that we don’t give to foot- tried to mislead the Senate; gave con- f ball or basketball or General Motors or Dow Chemical or Monsanto or Apple flicting testimony, gave testimony REMOVING THE ANTITRUST EX- Computers or anybody else. We are not that turned out not to be true; and did EMPTION FROM MAJOR LEAGUE going to give it to you. And especially not move to correct his testimony. BASEBALL we are not going to give it to you be- This is the kind of disdain that they Mr. LEAHY. Mr. President, yester- cause of the way you have been act- show for the Congress. day the Senate Subcommittee on Anti- ing.’’ Well, then let us not give them the trust, Business Rights and Competition We would not pass a statutory ex- exemption to the laws. You can have of the Committee on the Judiciary emption, and I daresay, Mr. President, disdain for the laws, you can have dis- voted out S.627, the Hatch-Thurmond- there would not be one Member of the dain for the game, you can have dis- Leahy bill clarifying the application of U.S. Senate that would vote to give dain for your own responsibilities, you our antitrust laws to major league them an antitrust exemption today, can have disdain for your own fans, but baseball. yet they have it. we are not going to give you a special

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00010 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5283 exemption under the law to carry out Those are really the three steps that we can save the American people—tax- that disdain. I articulate. payers—that much money in this com- Mr. President, I suggest the absence In the second step, what I had said ing fiscal year because we really do not of a quorum. was each month throughout the legis- need to spend that money even though The PRESIDING OFFICER. The lative year we deal with legislation the money has been authorized to be clerk will please call the roll. that spends money. We can make the spent. The legislative clerk proceeded to conscious decision not to spend as Now we have had some disagreements call the roll. much, to limit Federal spending. When in the Senate about whether we should Mr. KYL. Mr. President, I ask unani- it comes time to appropriate the funds, agree to the House level of $17 billion. mous consent that the order for the we can set priorities and we can end There has been some disagreement be- quorum call be rescinded. passing appropriations bills that limit tween the Democrats and Republicans The PRESIDING OFFICER. Without the growth in Federal spending. as to where to save that money. objection, it is so ordered. Mr. President, we have heard the fig- I am hopeful that within a few min- f ures that if we adopt a tax relief plan utes the majority and the minority for the American people we can still leader will announce an agreement BUDGET BALANCING IS A THREE- balance the Federal budget by the year which represents not totally a Repub- STEP PROCESS 2002 if we limit growth in Federal lican view or a Democratic view but a Mr. KYL. Mr. President, I wanted to spending to 2 percent a year. We are view that both share, that we need to comment on two things, one which has not talking about draconian cuts, but save as much money as possible. just occurred and one which is about to talking about limiting the growth in While it will not get to the $17 billion occur, I hope. We know that last night spending. level that the House of Representatives the House of Representatives passed So the first step is to try to save has adopted, it will be close to that. It historic tax relief for the American money that we do not have to spend will be in the range of $16 billion, I people. I want to address that for a mo- next year through a rescissions bill. hope, and that we will then be able to ment. The second step is to make the tough quickly adopt that rescissions package, Second, we know there have been dis- additions each week, each month, as go into conference with the House so cussions between the majority and mi- this year goes by, as we pass the appro- that as soon as we return from the nority leader on an attempt to reach priations bills, to spend less money Easter recess we can send to the Presi- an agreement on a rescissions package than we had anticipated spending. dent savings of between $16 and $17 bil- which we could conclude before the If we do that each year for 7 years, lion. Easter recess. we will have achieved a balanced budg- Some people have said, why are we Mr. President, the House of Rep- et by the year 2002, without the need taking time to deal with that problem resentatives adopted a rescissions for a constitutional amendment. when we have a much bigger problem package of about $17 billion and the We know that would provide more of developing a budget of over $1 tril- Senate has been working on a package discipline, would give the Congress a lion? Beginning the process of reducing somewhat less than that. It is our hope better ability to control spending, but Federal spending over a period of 7 between the majority and minority we we will deal with the issue of the con- years to reach a balanced budget, per- can come to an agreement on a pack- stitutional amendment later this year haps in the order of magnitude of $1 age which would represent our effort to and probably next year. trillion over the 7-year period. meet the House, if not precisely their Let me go back to the first of those What is $17 billion? Well, we have all figure, at least something close to it so three steps, the rescission package, be- quoted Everett Dirksen, who use to that as the House and Senate take the cause that is what has been before the speak in this Chamber, and who made recess during the Eastertime, our con- Senate for the past week. famous ‘‘A billion here and a billion stituents back home would know that The idea of rescissions—not a term there, pretty soon you are talking real both the House and Senate were seri- that the American people would nec- money.’’ To the American people, $17 ous about saving money. essarily relate to—but the idea of re- billion is a lot of money, and it is a Mr. President, during the last cam- scissions is to simply not spend money very good downpayment on the savings paign, as I was running for this office, that we counted on spending, because that we have to make in the future. people asked me what it would take to we really do not have to spend it. Because of the consternation I have balance the budget? I said it is a three- Here is an example: We appropriate seen expressed on the floor here about step process. money to the General Services Admin- some of the savings even within the $17 The first thing we can do is imme- istration to build a building. We say it billion package, it makes it clear to me diately try to save some of the money will cost $2 million, so here is the that it will be a very hard process if we that the Congress has already appro- money for it. GSA lets out the bids but cannot agree to some of the things that priated. We know that every year there none of the companies that would bid are in the $16 or $17 billion package, is money appropriated that really can- on it gives the GSA a bid they want to how will we agree to something 10 not be spent very effectively. If we accept. The bids do not supply the times greater than that or 100 times could make a head start on balancing right kind of construction or architect greater than that? the budget by just saving some of that or something. Clearly, we have to start from the money for next year, it would dem- So the GSA does not let the bids for bottom up. Each program has to be onstrate our commitment to a long- the contract, so the contract is delayed prioritized, and we have to try and find term goal of balancing the budget. a year. That $2 million which has been savings everywhere we can. In each That is what the rescission package appropriated for next year, really, can- line of that Federal budget, there is is about. I will come back to that in a not efficiently be spent next year. The something to be saved. When we add it moment. The second step, of course, is construction project on which it was all up, it adds up to big dollars. the decisions that we make throughout supposed to be spent cannot be built. If we only look to the big programs, the year for that year’s budget. The Why should we force the GSA to then we are forced to look at things third step, of course, is the long-term spend that money on something? We like Social Security and Medicare and balancing of the budget process which I can rescind the money. We can call defense. Frankly, most Senators under- have contended can only be done effec- that money back, and save it for this stand that there is much about those tively through the adoption of the bal- year, and either decide to apply it to programs which precludes the Senate anced budget amendment, because deficit reduction or apply it to some from making the huge savings that without the discipline of the constitu- other expenditure for next year. would have to be made there if we ig- tional requirement to balance the There are a lot of different programs nore the smaller programs. budget I have always felt it doubtful that we have been talking about re- It is important to start at a level of Congress would actually develop the scinding money in. The net result has rescissions. I am very, very hopeful willpower and the commitment to see been an agreement that somewhere be- that within a few minutes our leader- that difficult project through. tween $13 or $14 billion and $17 billion, ship will indicate an agreement on a

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00011 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5284 CONGRESSIONAL RECORD — SENATE April 6, 1995 rescissions package of $16 to $17 billion much has been achieved. We should be New Jersey. It passed the House Inter- that we can adopt, and begin this proc- prepared to talk about that. But most national Relations Committee yester- ess of balancing the Federal budget. important—most important we should day, I am told, by a vote of 33 to 0. Just one more comment, since I see be prepared to listen to our constitu- Obviously, the support is there. I the Senator from Alaska is here and ents when we go home now, to listen hope the State Department will be sen- wishes to speak. I wanted to comment for 3 weeks to what they have to tell sitive to the recommendations of the on what the House of Representatives us. Have we been doing the right thing? Congress. did last night. It was historic, Mr. Do you want us to continue on this We have a rather interesting situa- President. Never in the history of the path? My guess is, when we come back, tion with regard to our relations with country has a body as the House of we will be energized with the spirit of Taiwan, as well as China, but clearly Representatives in less than 100 days our constituents telling us to carry on, we should not allow the People’s Re- adopted the sweeping legislation that keep on with that fight, balance the public of China to dictate who can visit the House of Representatives has now Federal budget, save this money in re- the United States. Again, we are not adopted. Nine out of the 10 points in scissions and provide tax relief for talking about an official state visit; we the Republican Contract With America American families. I think that will be are talking about allowing President were adopted, concluding last night their message to us. I cannot wait to Lee to make a private visit. He has re- with the historic $180 billion-plus tax get back and hear it. cut for the American people. A tax cut Several Senators addressed the ceived two invitations that the Senator which guarantees not to cost in terms Chair. from Alaska is aware of. One is to come of the deficit but has added to the def- The PRESIDING OFFICER (Mr. visit his alma mater, Cornell Univer- sity, where he has been asked to make icit reduction planning. FAIRCLOTH). The Senator from Alaska In other words, the House committed is recognized. an address. Further, he has been ex- to reducing the Federal budget deficit Mr. MURKOWSKI. Mr. President, let tended an invitation to the U.S.-ROC and achieving a balanced budget by the me commend my colleague and a num- Economic Council Conference. This is year 2002, and in addition, providing for ber of the freshman Senators for their an organization whose purpose is to $180 billion in tax cuts for the Amer- initiative in pursuing appropriate ac- promote trade and commerce between ican people. tion relative to cutting Federal spend- Taiwan and the United States. That or- This is in keeping with the commit- ing. While I have been around here a ganization will be meeting in Anchor- ment that many made in the last elec- little longer than they have, I think age, AK, my home State, in September. tion to our constituents and to the de- their energy and commitment is to be In both instances, the State Depart- sires of the American people expressed recognized, and I think the spirit of ment has discouraged the issuance of to Members in the last election. leadership in relationship to the tough these invitations and implied that they I want to commend the House of Rep- decisions that have to be made are cer- would not look favorably on a request resentatives and all of the people there for a visa. who thought it important enough not tainly evidenced in this new group that only to express the intention to bal- has joined our membership. That is offensive to this Senator. The I believe we are in morning business? ance the budget but also to allow suggestion of the State Department is The PRESIDING OFFICER. Tech- American families to keep more of that allowing President Lee to visit nically, we have before us H.R. 1158, what they earn and to allow American the United States would upset rela- FEMA supplemental appropriations. businesses to generate the capital, to tions with the People’s Republic of Mr. MURKOWSKI. I ask that I may create the jobs to employ the people, to China. I think we have to recognize the extend my remarks concerning an invi- create the kind of employment that we gigantic strides that have been made tation to allow the President of Taiwan know is necessary to bring people out by Taiwan over the years. They ended to visit the United States. I assume of poverty and create a high standard their martial law. They have initiated under the rescission package before us, of living for working Americans, for all free and fair elections. They have a unanimous consent would be suffi- of middle America. very vocal press. Human rights have This is an important commitment cient? steadily improved. They have the de- that needed to be kept. And it is up to The PRESIDING OFFICER. That is velopment of a strong second party. the Senate, after we return from the correct. And Taiwan ultimately is a friendly, Easter recess, to follow through on our Mr. MURKOWSKI. Mr. President, I democratic, stable, and prosperous na- part of that commitment. Our tax cut had intended to offer an amendment to tion. They are the 5th largest trading program may not be precisely what the the rescission package which would ex- partner of the United States, and the House program was. It might be a little press the sense of the Congress that the world’s 13th. They buy twice as much bit less, in terms of money. We know President of Taiwan, Lee Teng-hui, be from the United States as the People’s that there is a little bit different point allowed to visit the United States. Republic of China. They are among the of view here. It is my understanding it is unlikely holders of the largest foreign reserves I, for one, would be happy to adopt that I will have an opportunity to offer of any country. They contribute to every penny of the tax cuts adopted by such an amendment. But I intend, at international causes. an appropriate time in the near future the House of Representatives. To me, But our country continues to give a every one of them is justified and I will to offer the amendment to another ve- hicle and request an up or down vote. cold shoulder to the leader of Taiwan, be urging that we do that here on the President Lee. It went so far that last Senate floor. But even if it is not ex- The amendment I intended to offer May in Hawaii when President Lee was actly identical, I think we can be proud would have been identical to Senate in transit from Taiwan to Central and we can go back to the American Concurrent Resolution 9, which has 52 America, the State Department refused people and say we kept our promises to bipartisan cosponsors, including, I am to allow President Lee an overnight you, we kept our commitment, if we proud to say, both the majority and visit. The State Department continues are able to adopt a program of tax re- minority leaders of this body. Senate to indicate that a private visit will not lief that is close to what the House Concurrent Resolution 9 passed the be allowed. They suggest that the adopted last night. Foreign Relations Committee unani- I think it is important for us in the mously 2 weeks ago. United States would allow transient Senate to say to our colleagues in the Specifically, that resolution calls on stops. That means perhaps the airplane House, ‘‘Job well done. You did what our President to allow President Lee of can stop for refueling and President you promised you would do. You set Taiwan to come to the United States, Lee would be allowed to get off and the stage for us to come in behind you not on a state visit but on a private perhaps spend the night. and to finish the job and we are com- visit. It is an identical resolution to One of the inconsistencies I would mitted to doing that when we return House Concurrent Resolution 33, which like to bring out—and this came up on from this Easter recess.’’ was introduced in the House by Con- a recent trip I made to both Taiwan I think, as we prepare to go back and gressmen LANTOS of California, SOL- and Beijing—is the expanding relation- spend time with our constituents, OMON of New York, and TORRICELLI of ship between Taiwan and the People’s

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00012 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5285 Republic of China. I learned of an orga- have had in this body about most-fa- the United States Congress and six different nization called the Association for Re- vored-nation status for China. I have administrations. He has played a central role lations Across Taiwan Straits. That is supported MFN for China, and most of in the Taiwan model that so many nations the organization in Beijing. On the Tai- my colleagues have also supported it are now seeking to emulate. Today Taiwan is an emerging democracy and an economic wanese side, there is the organization under the premise that engagement powerhouse. Yet while Taiwan has made called the Mainland Affairs Council. helps bring about change. We can bring great strides in response to the calls for re- Although the People’s Republic of about greater recognition on human form and has achieved international eco- China is telling the United States not rights if we establish a dialog, open nomic distinction, the United States has to have any relations with Taiwan be- trade, and commerce. So we apply it to continued to treat Taiwan like an inter- cause it would offend the People’s Re- China. But with regard to Taiwan, we national pariah. Many Members of Congress public of China, there is a relationship will not even invite the President of and the American public were outraged last between Taiwan and the People’s Re- the Republic of China on Taiwan for a May at the Administration’s refusal to allow President Lee to stay overnight in Hawaii en public of China through these two or- visit to the United States. This is a pri- ganizations that have been established route to a presidential inauguration in Cen- vate visit. We are not talking about a tral America. It undercuts American credi- and that meet regularly. The Associa- state visit. bility and concern for human rights when a tion for Relations Across Taiwan By the number of supporters on the country like Taiwan with its strong democ- Straits and The Mainland Affairs Coun- amendment, 52 bipartisan cosponsors, ratization record is treated so badly. cil talk about everything but politics. the State Department should get the It is in the American national interest to They talk about trade, they talk about message of the prevailing attitude in allow President Lee to visit. In so doing, commerce, they talk about hijacking. this body. As I said when I started, I America will reaffirm its commitment to I think it is fair to say the Chinese am not going to have an opportunity to freedom and democracy and to friendship business men and women are among offer this as an amendment before this with the people of Taiwan. We cannot con- tinue to let China dictate U.S. policy or de- the best in the world. They are moti- body on the rescissions package. But I vated, obviously, by the opportunity termine who can and cannot visit the United intend to bring it up later for an up- States. It weakens the Clinton Administra- for trade and commerce. So they are down vote because that is perhaps the discussing between them matters of in- tion and compromises the U.S. world leader- only way the State Department can ship to allow even the appearance of taking terest and matters that are beneficial understand the prevailing attitude. orders from Bejing or being bullied by China. to both. They have even announced Finally, the U.S.-ROC Economic As you know, President Lee’s visit has proposals for direct shipping from Tai- Council conference is to be held in An- strong bipartisan support in both Houses of wan to the southern provinces in China chorage in September. Visiting Alaska the U.S. Congress. Having visited Taiwan that would bypass Hong Kong. would not be a political statement. We three times yourself, you undoubtedly recog- Here we have a situation of inconsist- consider ourselves almost another nize Taiwan’s strategic importance to main- ency, and it is beyond this Senator to taining the balance of power in East Asia. country. We are out there all by our- understand how the State Department Also, Taiwan is important as a friendly part- selves and I think it is appropriate that can overlook that. Trade and com- ner of the United States, particularly in President Lee participate in an eco- merce is flourishing between Taiwan trade, education, and diplomacy. Today Tai- nomic meeting. Lee’s alma mater, Cor- and the People’s Republic of China, yet wan is the seventh largest trading partner of nell University, as I indicated earlier, the United States and buys more than twice the People’s Republic of China dictates is another completely private matter. as many annually from the U.S. as does the to us that we cannot extend a private So I call on my colleagues to vote to People’s Republic of China. Both the Tai- visit to the President of Taiwan. wanese American community and the Amer- I have a great respect and fondness send a strong signal to the administra- tion at an appropriate time when I ican business community will support your for their representatives. favorable decision to permit President Lee’s I know the Ambassador. I have had have an opportunity to bring up the visit. A visit to the U.S. by the President of the pleasure of meeting Chairman amendment. Taiwan is not only in America’s national in- Deng. But the People’s Republic of I also ask unanimous consent that a terest but in line with the democratic tradi- China bellows about virtually every- letter be printed in the RECORD. This is tional values that the United States stands thing that we do— United States pres- a letter from David W. Tsai, President for. sure at the United Nations on human of the Center for Taiwan International Congressional and grass roots support for rights, world trade organization mem- Relations. President Lee’s visit is building, and I urge bership and anything we do with regard There being no objection, the letter you to take immediate steps to welcome President Lee to the United States. to Taiwan. That is the litany. It is ex- was ordered to be printed in the RECORD, as follows: Sincerely, pected. We should recognize it for what DAVID W. TSAI, Ph.D., it is. But we should not be dictated by CENTER FOR TAIWAN President, Center for the terms and conditions which they INTERNATIONAL RELATIONS, Taiwan International Relations. Washington, DC, March 15, 1995. mandate. This letter is also endorsed by the fol- In my opinion, in the end the Peo- President WILLIAM J. CLINTON, The White House, lowing Taiwanese American organizations: ple’s Republic of China will make cal- Washington, DC. World Taiwanese Chambers of Commerce culations about when and what to risk DEAR PRESIDENT CLINTON: I am writing to (President: Jentai Tsai), N.Y. with regard to their philosophy of urge you to demonstrate your Administra- Taiwanese Import and Export Association doing business and participating in our tion’s support for global democratization by (President: Wen-chu Huang), N.Y. markets. We should simply do the permitting President Lee Teng-hui of Tai- North America Taiwanese Medical Asso- same. wan to visit the United States. In particular, you should allow President Lee, a distin- ciation (President: Bernard Tsai, M.D.), Po- There is precedent for a visit by Lee. tomac. I will be specific. This administration guished Ph.D. alumnus of Cornell University, to visit his alma mater this summer, where Taiwanese Christian Church Council of has welcomed other unofficial leaders North America (Chair: Rev. David Chen), to the United States. The Dalai Lama he has been invited to give the prestigious Olin Lecture to over 2,000 returning Cornell Santa Ana. called on Vice President Gore over the alumni all over the world. He should also be Taiwanese American Citizens League objections from the People’s Republic permitted to address the Economic Council (President: David D. Tsay, Ph.D.), Houston. of China. Yasser Arafat came to the meeting in Alaska as an honored speaker Society of Taiwanese Americans (Rep- White House ceremony. He was once re- later this year. Such visits are well-provided resentative: Wilbur Chen), Bethesda. ferred to as a supporter of terrorism. for within United States policy toward Tai- Gerry Adams has been granted numer- wan. In addition, the Administration should Mr. MURKOWSKI. Mr. President, I ous visas over Great Britain’s objec- take advantage of President Lee’s visit to see my good friend, the Senator from tion. In each case the administration, I the U.S. by granting him an audience with West Virginia, on the floor. I would be yourself. happy to yield to him. think, made the correct choice to allow President Lee, a political reformer, has us to advance American goals. Presi- significantly advanced democracy in Taiwan. Mr. BYRD. Mr. President, I thank dent Lee’s visit would do the same. He is committed to the further democratiza- the distinguished Senator. I have no I would also call my colleagues’ at- tion of the island nation—a process which desire to have the floor. I thank the tention to the extended debates we has been encouraged and prodded along by Senator.

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00013 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5286 CONGRESSIONAL RECORD — SENATE April 6, 1995 Mr. MURKOWSKI. I wish my friend a some instances 75 and 100 percent. That is exactly what happened, Mr. good day and thank him. Mortgage rates are absolutely unreal- President. The peso went from 3.5 to f istic. The reality of lost jobs, higher the dollar to 6.5 in barely 2 months, taxes, higher inflation, and when we and now that this debt is due these in- MEXICO’S DEBT look at the obligation of who pays this vestors are completely insulated from Mr. MURKOWSKI. Mr. President, let back, we find it is the citizens of Mex- the financial crisis that is affecting all me speak very briefly about another ico. It is the economy of Mexico. other sectors of the investment com- amendment that I was prepared to Businesses operating in Mexico are munity and the working community in offer. But, again, because of the cir- not being bailed out by this commit- Mexico. cumstances on the floor, it is not going ment, which is the first advance of to be presented. It is an issue that is some $52 billion. Mexico has already One asks the question why? It is be- ongoing. I would like to speak briefly used $13 billion to pay off the debt cause the United States Government on the merits of the issue, although, as which comes from the United States; has decided to give Mexico these bil- I have said, the amendment will not be hence, the United States taxpayer. lions of dollars to pay off these inves- offered. Companies that have put brick and tors. Now, who are these investors? As This was to be a very simple and very mortar in the ground for new plants I said, they are sophisticated investors. straightforward amendment. It would and employ Mexican citizens are not They are the investors who went out require the Government of Mexico to the beneficiaries of this money. In fact, there and took a risk because the provide our Government with informa- they are suffering from the havoc attractiveness of 20 percent interest tion relative to the names of the indi- caused by the interest rate explosion. suggested that risk was worth taking. viduals or institutions that are re- They cannot borrow for inventory. These are not the ordinary Mexican deeming Mexico’s debt when the re- They cannot borrow for expansion. people. demptions are made with the funds American mutual fund investors—let This was done because the United provided by the United States Govern- me repeat that—American mutual fund States Government has decided to give ment. As my friend in the chair, the investors whose funds invest on the billions of dollars to Mexico to pay off Presiding Officer, will recall, this pack- Mexican Bolsa are not being bailed out. these investors. If we had not come to In fact, these equity investors have age is almost $52 billion. the rescue, then these investors would seen the value of their holdings drop It is the contention of the Senator have had to suffer the financial con- more than 50 percent, and in some from Alaska that is a bailout that has sequences that everyone else in Mexico cases the loss of these stocks are even been crafted by the United States must face. Why should these investors larger. So the questions are, Well, through the Treasury Department. It is be bailed out? We do not bail out the where is this money going? Who is it my understanding that Mexico has al- investors who put money in Orange ready used some $13 billion to pay off going to benefit? Mr. President, you know who is being County bonds. Why are these investors the debt, of which $5 billion initially in Mexico so very special? has come from the United States. An- bailed out. So do I. The owners of the other $15 billion of American taxpayer so-called tesobono debt. Most people do One of the reasons, obviously, we do money is at risk. That is money that not even know what a tesobono is. In not know who they are. That makes came from the Exchange Stabilization fact, this debt really did not exist a them special. We know who the inves- Fund that was set up when we went off year ago. It is the Mexican debt which, tors are who bought Orange County the gold standard. when it comes due, is paid in pesos. bonds. Who bought these tesobonos? We are all aware of the fact that the It is rather interesting how the fi- We do not know. They could be Amer- nancial intrigue of this adjustment oc- administration came to the Hill to ican investors, Japanese or German in- curs. However, the important thing to seek support for the Mexico bailout. vestors, they could very well be some recognize is the amount of pesos that But they could not get our support and of the billionaires who live in Mexico the debt-ridden holder receives at ma- decided that they would find another City and are friends of the controlling turity is linked to the peso-dollar ex- avenue to bail out Mexico. And they PRI party. change rate. Mexico, unfortunately, came up with the $20 billion that is in made a decision to issue this type of What we do know is that whoever the Exchange Stabilization Fund, the debt early last year because it was owns this debt is really cashing in, and International Monetary Fund, the finding it more and more difficult to they are shipping their money where? Bank for International Settlements, attract more investors to finance its They are shipping it out of Mexico. In and others and the commitment now is debt. fact, so many tesobono owners were some $52 billion. That sounds rather curious, does it immediately converting their proceeds It is rather interesting to reflect on not, that they have to have foreign in- into dollars that the peso began to that because the Senator from New vestors to finance their debt? Yet that crash above seven to the dollar, and York and I had a colloquy some time is the reality that Mexico faced. Can- then the Mexican Government decided ago. And both our recollections are ada has to have foreign investors to fi- to stop paying off tesobono debt in that the current debt of Mexico, as nance its debt. I noted the other day a pesos and immediately paid the debt in communicated by the assistant to the figure which indicated that 29.6 percent dollars. Where did the money come President of Mexico at a meeting we of the Canadian budget was to pay in- from? It came from the United States. had, was in the area of $70 billion. The terest on the debt. That is almost a Whose dollars are they using? They are current debt is debt payable in a year. third. When you get into that area, the using U.S. taxpayer dollars. We are This debt is to meet an obligation ball game is almost over. It is almost bailing them out. Why? We are being issued by the Mexican Government in over. told it is to stabilize the monetary and the form of bonds. These are bearer Now, the foreigners, of course, in currency system. bonds. That means we do not know who order to invest, when they see a situa- holds them. It is like a check payable That is what we are told. If you buy tion that is less than stable, demand some shares on the New York or Amer- to cash. higher interest rates, and they de- ican Stock Exchange and lose money, The question my amendment at- manded as much as 20 percent from we do not bail you out. tempts to address is who is being bailed Mexico. Not only that, but that de- out? Is it the Mexican people? Is it manded that the debt be linked to the But if we had not bailed out the bond Mexican financial institutions? We peso/dollar exchange rate. holders and the Mexican Government, have not been able to get a definitive These are very shrewd investors, Mr. what would they have done? They answer from the Department of the President. They know that money goes would have done as everybody else who Treasury. It is my opinion that the or- to the highest return and the least runs in to credit problem. They sit dinary citizens of Mexico are not being risk. And they must have foreseen that down and work a deal out. You know bailed out. In fact, the ordinary citizen the peso could be devalued, and they you cannot get 100 percent back on the of Mexico is currently facing interest wanted to ensure that they would suf- investment. You might get 40 percent. rates that are clearly out of reach, in fer no currency risk. But that is the way the process works

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00014 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5287 in the ordinary debtor/creditor situa- ality dictates that if my amendment The PRESIDING OFFICER. The tion. Then we would know who the passes and Mexico does provide the in- clerk will call the roll. holders of the tesobono debt are. They formation we are seeking, we will prob- The bill clerk proceeded to call the would have to come forth, submit their ably never know who really holds that roll. bearer bonds through investment bro- debt. It will probably be reported in the Mr. FAIRCLOTH. Mr. President, I kers, commercial, international banks. name of the Bank of Panama, the Bank ask unanimous consent that the order We would know who they are and they of the Bahamas, a couple of major bro- for the quorum call be rescinded. would sit down and work out a deal. kerage house firms, but I think it im- The PRESIDING OFFICER (Mr. MUR- That is what should have been done. portant that this body focus on this KOWSKI). Without objection, it is so or- I believe it is important that the principle: that it was an unnecessary dered. American taxpayers know who the re- and unwise action taken by this admin- cipients of this debt are. Some have istration at the expense of the U.S. f said, what difference does it make who taxpayer to favor the holders of an ex- STRIKER REPLACEMENT they are? I think it is important when traordinary type of foreign debt that American taxpayer money is used to was issued out there to make them Mr. FAIRCLOTH. Mr. President, on provide a guarantee on a foreign gov- whole when we do not do it to any March 23, I introduced S. 603—a bill to ernment debt to a very select group of other investor when their investments nullify Executive Order 12954 which holders of debt. Not only are they turn bad. But we made an exception for prohibits Federal contracts with any going to get their principal back; they these investors. company that hires permanent replace- are going to get the interest back—20 The New York Times reported last ments for striking workers. This is the percent. Sunday: companion bill to H.R. 1176 introduced You and I, where do we go to get 20 Most of those investors, a mix of rich by Chairman GOODLING of the Com- percent? I do not know. Maybe you get Americans and other foreigners, have swept mittee on Economic and Educational in line down there and buy some up their hefty profits and immediately trans- Opportunities. Yesterday, Mr. GOOD- ferred their money out of the country of LING’s committee held a hearing on tesobonos. But we ought to know who Mexico. the beneficiaries are because we know H.R. 1176, at which testimony was Now, if that is true, Mr. President, that it is not the Mexican economy given concerning the fundamental we have not done Mexico a favor. We that is the beneficiary. This is not flaws of this Executive order. Many of have put a burden on the taxpayer and going to do a thing for the Mexican the same issues were addressed in this the Mexican economy because they are economy. Those holders of that debt Chamber when the distinguished Sen- the ones we expect to pay that back. ator from Kansas, Chairman KASSE- are moving that money out of Mexico. So that is the extent of my state- Yet, the Mexican economy, the Mexi- BAUM, ably led an effort to limit fund- ment and my concern, Mr. President. ing for the implementation of the Ex- can citizens are expected to pay it And I urge my colleagues who have an- back. In the conditions that exist in ecutive order. guished over whether or not the Con- We lost that fight, but the opponents Mexico that is unlikely to occur. gress should take a position on this Now, many of my colleagues make of this Presidential power grab will not matter to recognize that we have an the point that we cannot indicate that rest until the Executive order is over- obligation to the U.S. taxpayer to we are supporting a process and then turned and balance is restored to this make an accounting of the worthiness not follow it through. The problem Nation’s labor policies. of a $20 billion commitment, and that with this sales package, Mr. President, Today, I would like to speak briefly is not what we have done. about just a few of the more recent and is we did not understand it in the first I would feel entirely different in this place. We were told continually we compelling criticisms of the Executive matter if I felt this was an investment order. were going to stabilize the Mexican in the Mexican economy which would economy. What we are doing is paying I share the opinion of those who con- benefit the Mexican taxpayer. clude that the order is invalid because off the debt of sophisticated investors It is like, if you borrow money, Mr. it exceeds the President’s constitu- who bought those tesobonos who are President—and I know you are a busi- tional and statutory authority. The standing in line to get United States nessman—and you could use that Justice Department’s legal memo- dollars and will bail out and they are money to make more money, that is a randum in justification of the order not going to put that money back in good thing. You are employing more cites a statute which was enacted in Mexico. people; you are building up inventory. 1949 to implement the recommenda- There are assumptions that a large But if you borrow money and you have tions of the Hoover Commission. portion of this debt is held by Ameri- to mortgage your income to pay it The Justice Department takes the cans, yet the Treasury Department back, I may be doing you a grave dis- position that this statute authorizes claims that these bearer instruments favor. are of a nature where they do not know That is the principle that I think is the President to adopt any regulation who owns the debt. applicable in this particular case of which promotes economy and effi- I do not know who controls the debt. bailing out this select group of inves- ciency in Government procurement. But what if we found out that $5 billion tors, whom we have no knowledge of at However, there is no Supreme Court of the debt was owned by the Bank of the expense of the Mexican taxpayer. decision that supports the Justice De- Libya or maybe the debt was owned by Mr. President, I have concluded my partment’s interpretation of this stat- an investment house operating as a statement. I intend to pursue this mat- ute as conferring such sweeping Presi- front for the Government of Iraq or ter at a later date when the oppor- dential authority. Iran. Would not the taxpayer be curi- tunity arises with an appropriate vehi- Moreover, the Congressional Re- ous? Do we not have an obligation as cle. search Service recently concluded that we sign off on this money as a Congress In the meantime, I ask my colleagues Executive Order 12954 ‘‘may not survive to know who those recipients are? Is it to consider the merits of my statement even the most restrained judicial scru- too much to demand that when Amer- this morning relative to identifying tiny.’’ ican taxpayer dollars are used by the who the beneficiaries are of our $20 bil- We must be clear about the legal Government of Mexico to pay off an in- lion commitment. This is just a part of foundation which restricts the Presi- vestor or speculator the identity of the current Mexican debt, which will in dent’s authority to issue an Executive that investor or speculator be known? this year require some $70 billion in order regarding a central tenet of na- Because again, we are being told that order to meet the obligations of the tional labor policy. this has to happen to solidify the econ- Mexican government. The National Labor Relations Act omy of Mexico. It is going to solidify I thank the Chair and I wish the Pre- itself authorizes the hiring of replace- the holders of those bearer notes. siding Officer a good day. ment workers—and by so doing, limits What my amendment seeks to ac- I yield the floor. Presidential authority to regulate the complish is to try to identify who Mr. President, I suggest the absence relationship between management and those holders are. Mr. President, re- of a quorum. striking employees. The President has

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00015 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5288 CONGRESSIONAL RECORD — SENATE April 6, 1995 not been granted authority under any of Congress means prioritizing the tax but who do pay substantial social statute to alter this carefully balanced needs of the American people within security and Medicare taxes, could congressional design. our fiscal constraints. What the Con- have received the credit. This version If this order is not overturned, just tract With America does is give the is now nonrefundable. And what that imagine the possible consequences of wealthy a higher ranking over working means is that those earning $200,000 allowing the President to bypass Con- class families and children in this will not be affected, but that the work- gress and issue directives on any and country. ing poor of this country have once all matters relating to Federal con- I can sum up the winners in the last again lost out. tractors. 100 days easily, the super wealthy and LOSERS/OPENING For example, President Clinton the billionaires. Unfortunately the list And who else loses, well, these tax would be permitted to unilaterally im- of losers is much longer, children, stu- loopholes and tax breaks are paid for at pose on Federal contractors a mandate dents, hard working middle-income the expense of middle Americans who to implement the type of health care families, and the list goes on. The los- will have to pay more to send their plan which he advocated last year and ers are those who would greatly benefit children to college or to a child care which was so thoroughly and soundly our investment in the people of this program. These breaks are also being rejected by Congress and the American great Nation, quality education for our paid for by the children in this coun- people. children, job training for young people try, thousands of kids, who are on In issuing Executive Order 12954, and adults, efforts calculated to help waiting lists to attend a Head Start President Clinton has made a sweeping prepare this Nation for the future. Program. For example, in my home- assertion of Presidential power which WINNERS/EXPATRIOTS town of Chicago, only 26 percent of all is completely at odds with our con- Who are some of the winners in the poor children qualifying for Head Start stitutional system of separated and first 100 days? Some of the winners are able to attend a program because of enumerated powers. It should not be al- have been big. The big winners include the shortage of slots available. lowed to stand, and during the 104th 24 billionaires who escape $1.4 billion in I would like to take a moment to Congress we should commit ourselves income and estate taxes by renouncing talk about the many other educational to reversing this ill-conceived prece- their citizenship, the expatriots who programs that will suffer as a result of dent. abandon this great land that has the past 100 days. I would also like to Mr. President, I yield the floor and helped them gather their wealth. review, in somewhat greater detail, the suggest the absence of a quorum. Democrats tried to close that loophole consequences of these ill-considered ac- Ms. MOSELEY-BRAUN addressed the in the Finance Committee we were out- tions to decimate programs that invest Chair. voted by the Republican majority. in this country’s future. The PRESIDING OFFICER. Will the Our current tax laws are not neutral. Mr. President, it is an understate- Senator from North Carolina withhold To favor those that would renounce ment to say that it is vital to the in- his request? The Senator from Illinois their citizenship over hard working terest of our Nation that we maintain is seeking the floor. loyal American citizens who are strug- quality public education for all Ameri- Mr. FAIRCLOTH. Mr. President, I am gling to get by. cans. Education is not just a private sorry. I did not see the Senator from Il- A few dozen ex-patriots take advan- benefit, but a public good. It is the cor- linois. tage of this loophole in Federal tax nerstone of a healthy democracy and as I withdraw the request for a quorum laws by removing their assets beyond a society, we all benefit from a well call. the reach of U.S. taxing jurisdiction educated citizenry. What quality edu- Ms. MOSELEY-BRAUN. I thank the just before renouncing their U.S. citi- cation results in is the means by which Senator from North Carolina. zenship, thereby avoiding taxation of we prepare our children to succeed, to The PRESIDING OFFICER. The Sen- the appropriated value of their assets. earn a living, participate in the com- ator from Illinois is recognized. The While they enjoyed the benefits of munity and give something back to Chair apologizes. I was raptured by the U.S. citizenship—police protection, their communities. Senator from North Carolina, and my roads, schools, national security, and head was turned the wrong way. I wish countless of other Government serv- LOSERS/EDUCATION AND THE WORKFORCE her a good day. ices—they looked for ways to get Education is also the vehicle to un- derstanding the technology that has f around paying their fair share of taxes. Although the Senate Finance Com- reshaped our workplace. This country WINNERS AND LOSERS OF THE mittee voted to eliminate this loop- is experiencing a new era in economic CONTRACT hole, the provision was restored in con- competition. If we are to succeed and Ms. MOSELEY-BRAUN. Mr. Presi- ference. This is nothing short of as- retain our competitiveness into the dent, I would like to discuss the first tounding. At the same time that Re- 21st century, there must be a renewed 100 days of Congress, and the winners publican leaders in the House were pro- commitment to education in this coun- and losers of the Contract With Amer- posing massive cuts to be placed on the try. ica. backs of the children and families of The results of a failed commitment We have heard a lot from those who this country, the House Republicans to our educational system will have di- would compliment the leaders in the chose to continue granting massive rect ramifications on this country’s House for their speedy answers to some benefits to billionaires. work force—the private sector—and of this Nation’s most pressing prob- WINNERS/HOUSE TAX PACKAGE this country’s economy. Every day, lems. Many will say that they have Among the other winners, are those businesses across this country are try- made history for their ability to ad- that would benefit from the House tax ing to cope with the fact that a great dress so many issues in a mere 100 and spending package that has been la- percentage of the work force is func- days. I dare say, though, that if the beled the crown jewel of the Contract tionally illiterate. Every day, thou- Contract With America makes history, With America. I fail to see the glitter sands of Americans are being told that it will not be for its achievements, but in this jewel. they do not qualify for jobs because for the reckless manner in which crit- Among the tax cuts is a provision they lack a high school diploma, or a ical issues were considered, issues that which will give families that pay taxes college degree. have will have a severe negative im- eligibility for a $500 tax credit for each Mr. President, our continued com- pact on the lives of countless Ameri- child under the age of 18, including mitment to education will mean jobs cans. families earning more than $200,000 a for the American people. At the outset, I want to say that we year. Nonetheless, as other leaders of our all know that spending must be re- But what this crown jewel does is re- countries continue to recognize the in- duced. We all know that the deficit verse an original proposal which would creasing importance of education, must be brought under control. This is have made the credit partially refund- many in this country continue—and I why I supported the balanced budget able, meaning that some low-income am sorry to say, many Members of amendment. But out jobs as Members working families, who pay no income Congress—continue to wear blinders.

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00016 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5289 We must not retreat from this commit- related with community type, the per- thousands of students to serve their ment. centage of minority students, and the country while earning money for their HOUSE RESCISSIONS BILL percentage of economically disadvan- own education. A promise that has The rescissions bill sent to this taged students. been made to these thousands of young chamber by the U.S. House of Rep- Mr. President, this is simply unac- Americans; the communities they resentatives would cut $1.7 billion from ceptable and the proposed cuts to edu- serve; the charitable groups they serve the 1995 Department of Education cational programs are also simply un- with; and, the partners who share the budget. It enacted this legislation acceptable. There is no reason why our costs of the National Service program, would cut: $481 million from the Safe Nation’s children should not have will be broken. Thousands of working and Drug Free Schools Program; $261 equal access to the best education families who depend on the promise of million from vocational education and technology resources available. college scholarships for service, will literacy programs; $186 million from EDUCATION INFRASTRUCTURE lose this valuable financial assistance. the Goals 2000 program; $113 million Let me mention briefly the first GAO The House rescission on AmeriCorps from chapter 1, and $50 million from bi- report, released in February, on the will mean that the almost 700 projected lingual education programs. state of school facilities. This report number of students who could take The House has also recommended re- found that our Nation’s public schools part in the program in fiscal year 1995 scinding critical funding for programs need $112 billion to restore their facili- will be rejected. which advance our Nation’s education ties to ‘‘good’’ overall condition. Mr. President, I would like to use technology infrastructure, which I will And what is the Republican response City Year Chicago—the model program also address. These cuts include: to our Nation’s schoolchildren? I am that AmeriCorps is based on—as an ex- $30 million from the Educational sorry to report that the House rescis- ample of some of the outstanding and Technology Program, a program which sions bill would also slash funding for desperately need work that is being promotes equal access for all elemen- all new education initiatives, including done by students in the Chicago area. tary and secondary students to the the education infrastructure act which Some of the community service work educational opportunities made avail- I introduced last April to help local includes: The Alter Group Team—Mem- able through advances in technology. school boards improve the physical $10 million from the Star Schools—a bers work with Bethel New Life, a com- conditions of our schools and ensure munity development corporation in the program designed to improve instruc- the health and safety of their students. tion in math, science, foreign lan- Garfield Park neighborhood, a low-in- EDUCATION CUTS IMPACT ON ILLINOIS guages, and other subjects through come area in Chicago. Projects include While the Senate bill does restore telecommunications technologies. It designing and piloting a computer-lit- some of the educational funding, it is also supports eligible telecommuni- eracy program for adults and assisting not enough. The cuts are still deep and cations partnerships organized on a in the renovation of both a hospital, will have a great impact on children statewide or multistate basis to de- which will become senior housing and a throughout this country. I would like velop and acquire telecommunications school, which will become transitional to use my State of Illinois as an exam- equipment, instructional program- housing for battered women. ple. Some of the Senate-recommended ming, and technical assistance. The First Chicago/Harris/LaSalle/ $2.7 million from the Ready to Learn cuts will result in the following loss to Northern Trust Team—Members are Program, the first national goal which the children in Illinois alone: Dis- running a teaching assistant program advantaged Students Program, (Title at the Brian Piccolo Elementary states that all children should start ¥ I): $3.4 million; Safe & DrugFree School in West Humboldt Park, a pub- school ready to learn. The program ¥ Schools: $4.3 million; Goals 2000: lic elementary school serving approxi- helps local school districts meet this ¥ goal by supporting the development $2.4 million. mately 966 African-American and and distribution of educational tele- HIGHER EDUCATION Latino students. Each team member vision programming for preschool chil- The contract’s attack on education works as a teaching assistant in a dren. does not stop at the grade school and classroom, tutoring children with spe- GAO REPORT high school levels. College students and cial needs, assisting in bilingual class- Mr. President, last year, I asked the middle-income American families will es, or helping to implement special art GAO to conduct a nationwide study on also pay a higher price. or education programs. the condition of our Nation’s public For example, the proposed elimi- Mr. President, these are just two ex- school facilities. Earlier this week, I nation of four higher education pro- amples of what’s being done under the elaborated on the second of those re- grams—supplemental educational op- AmeriCorps Program after only 6 full ports—released this week by GAO— portunity grants, Federal work study, months of operation. I would like to Perkins loans, and the State student which focuses on our Nation’s edu- submit for the RECORD, a complete list cation technology infrastructure needs. incentive grants, along with the elimi- of the AmeriCorps Community Service I would like to just briefly comment on nation of the ‘‘in-school interest for- Programs underway in Chicago, and this critical subject again. giveness exemptions on student ask unanimous consent that the list be loans’’—will increase the cost of col- This GAO report concludes that our printed in the RECORD following my Nation’s public schools are not de- lege for American families by $20 bil- statement. signed or sufficiently equipped to pre- lion over the next 5 years. Eliminating the subsidy on school in- The PRESIDING OFFICER. Without pare our children for the 21st century. objection, it is so ordered. More specifically, the GAO report terest forgiveness alone would mean (See exhibit 1.) found that more than half of our Na- the following for middle-American tion’s schools lack six or more of the families: 4.5 million current borrowers Ms. MOSELEY-BRAUN. Across this technology elements necessary to re- will accrue interest on their loans country, more than 20,000 AmeriCorps form the way teachers teach and stu- while they are still in school; a student members have begun to serve their dents learn including: computers; who borrows $17,125 over 4 years would neighbors; children, the elderly, stu- printers; modems; cable tv; laser disc owe $3,150 or more and have his or her dents, and persons with AIDS. players; VCR’s, and TVs. monthly payments increased by more AmeriCorps members have taught or In fact, the GAO report found that than 18 percent and, in my State of Illi- tutored more than 9,000 pre-school, ele- even more of our Nation’s schools do nois, the number of students who will mentary, and junior high school stu- not have the education infrastructure pay more for student loans will in- dents in basic educational skills. They necessary to support these important crease by 198,053. have launched after-school and sum- audio, video, and data systems. More AMERI CORPS mer tutoring programs for more than importantly, this second GAO report The contract’s attack on young peo- 4,600 kids. And they have organized confirmed our worst fears, the avail- ple continues. Republican attempts in hundreds of community service ability of education technology in our the House to gut the AmeriCorps Pro- projects, cleaning up neighborhoods Nation’s public schools is directly cor- gram would eliminate opportunities for and providing food for the elderly.

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00017 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5290 CONGRESSIONAL RECORD — SENATE April 6, 1995 CLOSING fidence to excel academically. They lead I recently met with a group of con- In closing, I want to make clear what small groups in math and reading, work cerned women in Illinois to discuss the I am for and what I am not for. As I closely with troubled students and teach les- continued relevance of affirmative ac- stated at the start of my remarks, a lot sons in English as a Second Language and art. The Team also participates in such spe- tion. The idea of the meeting arose of what the spending process includes cial programs as the celebration of Young quite naturally. As with any other de- is prioritizing. By providing the needed Readers Day, for which corps members ro- bate that is happening here in Wash- and long overdue support for edu- tated classrooms and read to over 700 chil- ington, I try to reach out to those in cational programs, job training pro- dren. The creation of perfect attendance and my State who will be impacted by grams, and programs for children, we honor roll certificates for the entire school, changes that Congress might make, in invest in this country’s future. Cutting and the renovation and reorganization of the order to get the input of their collec- these opportunities is clearly in the Spry School Library for reopening can also be credited to the team members. The tive wisdom. wrong direction. We must not retrench Amoco Team is currently working on a vio- The meeting was arranged when we, on our commitments to young people lence prevention curriculum, which the team at last, had a few days to spend back in and American families. will take to classrooms throughout the the State. As you know, Mr. President, Mr. President, before the celebrating school. we have not been able to get back of the contract and the first 100 days THE RONALD MC DONALD CHILDREN’S CHARITIES home as much as we would like. So the begins, the American people need to TEAM understand who’s been invited to this The Ronald McDonald Children’s Charities meeting was arranged somewhat hast- party. If you are a billionaire, or part Team is helping to run an after school club ily; we did not have a great oppor- of the small percentage of the super- at the Chicago Youth Centers-Lower North tunity to plan for it. Nor were we able wealthy elite in this country, your in- in Cabrini Green for over 100 children. The to provide interested parties with team’s service is focused on expanding the much in the way of advance notice. vitation has been signed, sealed, and curriculum offered at the youth center and delivered. strengthening the educational components of However, as it turned out, the meet- For the rest of American people—the the program. The team members not only ing was a resounding successful. children, students, or hard-working, tutor the young children in the program, but Frankly, I do not think I could have middle-income Americans—I dare say, create and run after school clubs such as even imagined how successful it would your invitation has been lost in the Arts and Crafts, No-Bake Cooking, Tum- be, or how many people would rear- mail. bling, Volleyball/Softball, Basketball, and range their plans to meet with me on a Chorus. Along with their work with the EXHIBIT 1 After School Club, the team is succeeding in moment’s notice. CITY YEAR CHICAGO—COMMUNITY SERVICE changing the face of the Youth Center. The My office was filled with women who UPDATE—AS OF MARCH 1995 team has painted most of the building’s inte- spanned the political and economic THE ALTER GROUP TEAM rior surface, repaired the outside fence, cre- spectrum. There were women who had The Alter Group Team is working with ated a mural in the gymnasium, and com- pleted many other physical service projects spent their lives doing grassroots polit- Bethel New Life, a Community Development at the Center. When not at the Center, the ical organizing, and women who had Corporation in the Garfield Park neighbor- Ronald McDonald Children’s Charities Team spent their lives working in corporate hood. In the mornings, the Alter Group works in partnership with Careers for Youth Team members participate in a variety of America. There were women who had and Uptown Habitat for Humanity on the group and individual projects under the di- started their own businesses from West side. They are painting and installing rection of Bethel New Life staff. Corps mem- scratch, as well as women working in light fixtures in a two-flat apartment build- bers are designing and piloting a computer- ing, so that a family can move in this unions and associations. Many of the literacy program for adults; organizing com- Spring. women present had also spent years ex- munity improvement and gardening projects; clusively as homemakers. helping to organize a volunteer week and THE DIGITAL EQUIPMENT CORPORATION TEAM other community events; and assisting in The Digital Equipment Corporation Team Despite the diversity of viewpoints the renovation of both a hospital which will runs an after school club for approximately and backgrounds represented at the become senior housing and a school which 80 children at the Price School in the Grand meeting, there was a near unanimity of will become transitional housing for bat- Boulevard community through Chicago’s response. The women in that room tered women. In the afternoons, the team Youth and Family Resource Center. Under the supervision of the Digital Team, the chil- wanted to know why Congress would members tutor students in the after school choose this moment in time to turn its program in Bethel’s affiliate elementary dren study and work on their homework for school. two hours tech day. Corps members give the back on the promise of equal economic special attention and individual tutoring opportunity, when so much work re- THE FIRST CHICAGO/HARRIS/LASALLE/NORTHERN that is often difficult for teachers to provide TRUST BANK TEAM mains yet to be done; at a time when, in a classroom context. Following comple- despite all of our efforts, a glass ceiling The Bank Team is running a City Year in tion of their homework, the children can Schools Program at the Brian Piccolo Ele- still works to prevent qualified women participate in one of the Digital Team’s and minorities from making full use of mentary School in West Humboldt Park, a After School Clubs: ‘‘An Exploration of Cul- public elementary school serving approxi- ture;’’ Art; Rap Session (a discussion group); their collective talents. mately 966 African-American and Latino stu- Dance; Music; Reading and Writing Work- The women at the meeting wanted to dents. Each team member works as a teach- shop; and Athletics. The Team also works know how Congress could ignore the ing assistant in a classroom, tutoring chil- with Habitat for Humanity/Careers for dren with special needs, assisting in bilin- overwhelming evidence that affirma- Youth doing renovation and carpentry for tive action benefits not only individ- gual classes, or helping to implement special low cost housing on the West Side. In addi- art or physical education programs. Corps tion, Team members work with the Chicago uals, but employers and society as members also act as role models for the Historical Society’s Neighborhoods; Keepers well. Finally, they wanted to know young students by establishing an environ- of Culture Exhibition, a project created to what they could do to help preserve ment of common goals and values and pro- collect, interpret and exhibit the histories of this country’s commitment to equal- moting the City Year values of team work four Chicago neighborhoods. The entire Dig- ity, opportunity, and fairness. and inclusivity. When the school day is fin- ital Team is also being trained as AIDS ished, the team continues working on a Counselors, and this Spring will begin doing Every woman at that meeting agreed project designed to improve students’ self- AIDS/HIV outreach in the Little Village that she would have been denied oppor- image and enliven the school environment community. tunity in the absence of affirmative ac- through the creation of inspirational ban- tion. Every woman agreed that she had ners. (Mr. FAIRCLOTH assumed the chair.) been provided with opportunities be- THE AMOCO TEAM f cause the climate created by affirma- The Amoco Team also works in partner- tive action helped to encourage diver- ship with an elementary school: the John AFFIRMATIVE ACTION sity and inclusion, and helped to open Spry Community School in Little Village. Ms. MOSELEY-BRAUN. Mr. Presi- up fields of endeavor that might have Spry is a pre-kindergarten through eighth grade school with approximately 1,300 stu- dent, I would like to take up another otherwise been closed to her. And, dents. By working individually in classrooms subject that is probably as controver- more importantly—or as importantly— as teaching assistants, City Year corps mem- sial as the Contract With America and every woman there could recall a road- bers are helping to give students the con- what has happened in the last 100 days. block that had been placed in her way

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00018 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5291 as she tried to become an equal partici- It is interesting to note that there is need to do is look around their board- pant in the marketplace. an old expression, ‘‘How does it play in room or their classroom to figure out The barriers to equal opportunity, Peoria,’’—a town that is, of course, in what is really going on. As Clarence and the roadblocks that one runs into my State of Illinois. How does it play Brown, personnel director at Peoria’s because of gender are not subjects that in Peoria? This is a short-hand way to Bradley University, stated: most women generally discuss. Frank- cut through the beltway issues and get ly, most women would prefer to meet Everyone still believes the Government is to what the people out in the heart of forcing businesses to hire minorities—it’s the potholes and the ruts in the road, the country think about the issue. not. At every workshop, somebody brings to confront them head on and over- There was a major story that re- that up. We say, look around you, and in come them, if possible, and then move cently appeared in the Peoria Journal most of those workshops there are no mi- on. Yet every woman present agreed Star, a major newspaper in Peoria, norities at all, and most of the people there that congressional efforts to repeal af- that gives us a sense of how this issue, are white males. firmative could only serve to put ce- the affirmative action debate, is play- Mr. President, as I have said before ment on the glass ceiling, and to make ing in Peoria. and will say again, I agree that all af- those hurdles higher. If that happens, The headline of the article is enti- firmative action programs should be Mr. President, these women will come tled, ‘‘Toward a Middle Ground: Re- subject to review. Everything that we out of the woodwork. Letters and Think Affirmative Action, But Don’t do in Government, if the Government phone calls will pour in from across Kill It; Issue Demands Caution.’’ is to function effectively, from time to this Nation, Mr. President, as women I ask unanimous consent that the time, be subject to scrutiny and ac- tell their stories. The sentiment in text of the article be printed in the countability. But there is a difference that room can be summed up quite RECORD following my remarks. between review and retreat. In fact, the simply: Women cannot, and will not, The PRESIDING OFFICER. Without issue we are facing right now is that we turn back. objection, it is so ordered. make certain that retreat does not The simple fact is that many of these (See exhibit 1.) women were in professions that women mean retrenchment. It is important Ms. MOSELEY-BRAUN. I would like that efforts to promote diversity are could not even enter 20 years ago. to discuss a few points made by that Many of the women in the room had fair to everybody. It is important that article, because I think it is helpful for the affirmative action initiatives do been hired for jobs or had received pro- those of us in this body to be aware of motions that would have been unthink- what they say they do and that we how some people in America’s heart- able in 1965, or even 1975. And all of weed out the companies that run land feel about the affirmative action them felt that the existence of affirma- amuck and bureaucrats that run issue. tive action in the laws and in executive amuck and make a rash of regulations First and foremost, the people in Pe- orders in this country had opened that are illogical. oria are echoing the conclusions doors, had created a climate of diver- So review in and itself can be an op- reached last week by the Department sity, had created an environment for portunity for improvement of affirma- of Labor’s glass ceiling commission: af- their inclusion. tive action but it should never be used firmative action makes good business Finally, despite the progress they as an excuse for retrenchment from our sense. As the article states: had made, all of these women felt that commitment to fairness. A half-dozen Peoria area employers and there were still barriers to their ad- As the Peoria Journal Star article vancement, that the glass ceiling was educators contacted over the last week said they make special efforts to promote diver- concludes: all too real. They concurred that ef- sity not because the Federal regulators are It would be a mistake to abandon the forts by this Congress to retreat from on their backs, but because it’s in their in- the commitment to equal opportunity broad commitment to act affirmatively to terest. In some circumstances and with some make for a more inclusive America: To re- in the workplace would have the effect individuals, a black cop or teacher can be cruit, to recognize the value in diversity, to of putting cement on that glass ceiling, more effective than a white one. A rape vic- provide more opportunities to those, regard- and make it much more difficult for tim may be more willing to tell her story to less of sex or color, who have too little from women to participate in the economic, a female reporter. A Hispanic salesman may the moment of birth. political and social life of this country. be better able to reach that market. It’s not In other words, an absence of dis- Given the enthusiastic reaction at just black students who benefit from attend- the meeting that took place in my of- ing college; whites are more fully educated— crimination is not enough. The Federal wiser if you will—for having black class- Government, employers, and our uni- fice, I was frankly not surprised to mates and roommates. learn 2 days ago that a Coalition for versities must reach out beyond the Equal Opportunity is being formed in Mr. President, these are businesses in traditional groups and ensure that all Illinois. At a press conference on the Peoria, not New York or even Chicago. people are given the opportunity to 17th of April, more than 40 women’s, This is Main Street, not Pennsylvania succeed in America. civil rights, labor, religious, and busi- Avenue. And these Main Streeters rec- Some have argued that, even if the ness organizations will announce their ognize that affirmative action is more Federal Executive order on affirmative intentions to work to preserve equality than a private benefit; it is a public action is repealed, businesses will con- and fairness in Illinois and throughout good. If we can open opportunity to a tinue to seek out diversity because it is the Nation. They announced their in- student or a job applicant who has been the right thing to do. It affects the bot- tention to begin to galvanize and work previously excluded from consider- tom line in a positive way. That is pos- to explain to women what affirmative ation, obviously, that person benefits. sible. But I do not think promotion of action really means—the truth of it. What is less obvious, but just as impor- diversity would proceed as rapidly in I gave a statement on the floor the tant, is that society benefits as well. the absence of legal guidance. Indeed, other night, Mr. President, in which I The Journal Star’s article continued it is likely to slow down and some of went some detail about the truth of af- on to point out that, while America the evidence suggests that where the firmative action—what the myths are, has made great strides in equal oppor- legal requirement has changed affirma- what the realities are, and how women tunity, there is still much work to be tive action efforts have slowed down. done. The dream of America as a color- and minorities will be affected by ef- The more probable scenario is de- blind society has not yet been realized forts to repeal it. scribed this way in the article from the even though all of us want, I think, to For those who may be wondering if Peoria paper: the reaction of that group is atypical, move in that direction. There are still I can assure you, it is not. There is a entire professions, entire companies The other possibility is that ending Fed- tendency in Washington to get wrapped and even entire industries that remain eral affirmative action mandates will make virtually off-limits to women and mi- our workplaces and campuses look more Ger- up in what is happening here on the manic than American. The commitment to Senate floor. Sometimes, we can lose norities, particularly in the upper-lev- minority recruiting will fade as time passes. sight of what people are saying out els. The glass ceiling report reached Blacks shackled by poor schools and single- there in the real world, what is actu- that conclusion after years of pains- parent families will be more disadvantaged ally going on in communities. taking research; in reality, all people than they already are in competition for

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00019 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5292 CONGRESSIONAL RECORD — SENATE April 6, 1995 spots in good colleges, necessary to put them If any objective should command our ‘‘Everyone still believes the government is in competition for good jobs. Minorities and complete consensus, it is ensuring that forcing businesses to hire minorities—it’s women who would be otherwise competitive every American has a chance to suc- not,’’ says Clarence Brown, Bradley Univer- will run up against the good-old-boys net- ceed. And in any event, the facts will sity’s personnel director. ‘‘At every work- work and the human tendency toward the fa- shop somebody brings that up. We say look miliar—to give the job to somebody who not support tagging blacks and other around you, and in most of them there are no looks and things as you do. minorities with any failures of affirma- minorities at all and most of the people Is that what we want from America? tive action programs. there are white males.’’ That scenario runs counter to the Mr. President, I will close on a note Yet most employers and universities do American dream, the dream of oppor- of caution from the Peoria Journal make special efforts to make their offices tunity for everyone, the dream of trav- Star: and their student bodies look more like eling as far as your abilities will take There are fewer threats to the Nation’s fu- America. you; or, as many parents put it to their ture that a wide divide between angry whites A half-dozen area employers and educators and disenfranchised blacks. children, the dream that any one of us contacted over the last week said they do so could one day grow up to be the Presi- Those who would seek to enlarge not because federal regulators are on their dent of the United States. If that that divide by using affirmative action backs, but because it’s in their interest. In some circumstances and with some individ- dream is to have any basis in reality, as a racial ‘‘wedge’’ issue may score short-term political points; but they do uals, a black cop or teacher can be more ef- we cannot retreat from our commit- fective than a white one. A rape victim may ment to affirmative action. To those so at the expense of America’s long- be more willing to tell her story to a female who will easily dismiss the Peoria term future. Before we travel down reporter. A Hispanic salesman may be better Journal Star observations, and my re- that road, I urge everyone to consider able to reach that market. It’s not just black marks on this subject, again I have al- the voices of reason coming from students who benefit from attending Brad- ready made one more detailed speech America’s heartland. We all stand to ley; whites are more fully educated—wiser, if about this issue, and I intend to make gain from their wisdom. you will—for having black classmates and others about this issue to focus in on Thank you very much, Mr. President. roommates. particular parts of the debate and par- I yield the floor. A colorblind society, free from all dis- ticular issues going to the facts of this EXHIBIT 1 crimination, is a wonderful goal, but it’s not [From the Peoria Journal Star, Mar. 12, 1995] the reality. And so most of those questioned issue, I would like to remind whoever say they’d remain committed to the wisdom is listening that Illinois has long been TOWARD A MIDDLE GROUND: RETHINK AFFIRM- of diversity, in the absence of legislation. a bellwether State on the issue of equal ATIVE ACTION, BUT DON’T KILL IT; ISSUE That’s one of the arguments made by those opportunity. DEMANDS CAUTION who call for dismantling federal affirmative As far back as 1914, a woman’s orga- Call it the revenge of the angry white action programs. guys. nization known as the Kappa Suffrage But it’s also an argument that ends up run- Club realized the link between equality Claiming white males denied access to a janitorial training program, the United ning in circles. To wit: Race and sex should of women, and equality for minorities, States Justice Department last week sued Il- not be considered. Laws that require their and worked for the election of the first linois State University. ISU President consideration should be repealed. Without black alderman in the city of Chicago. Thomas Wallace responded that the program laws, employers and institutions will con- The League of Women Voters was has been set up to integrate a largely white, tinue their voluntary efforts to attract more founded in Illinois in 1919 by Carrie male work force. White men weren’t pre- minorities because a diverse work force is in their interest. Hence, race and sex will be Chapman Catt, who stated at the time cluded from joining, Wallace said. But the Justice Department alleges none were among considered—and all those white guys who that ‘‘Winning the vote is only an think that’s why they failed to get hired or opening wedge, but to learn to use it is the 60 people trained and hired between 1987 and 1991. promoted will be angry still. a bigger task.’’ It’s not often lately that the feds have The other possibility is that ending federal I know that there are attempts by gone to bat for white guys, especially those affirmative action mandates will make our some to turn the affirmative action who allege they are being denied an oppor- workplaces and campuses look more Ger- issue into a cynical debate about race. tunity to become janitors because of gender manic than American. The commitment to We cannot allow that to happen. There or skin color. Before affirmative action minority recruiting will fade as time passes. are too many problems facing this sought to put the power of programming be- Blacks shackled by poor schools and single- country—problems of job creation, def- hind the pledge of opportunity, most of the parent families will be more disadvantaged icit reduction, education—that need positions that paid Buick-buying money than they already are in competition for our collective energy. To divide Ameri- went to white men. Why would they mind if spots in good colleges, necessary to put them custodial jobs went to blacks? in competition for good jobs. Minorities and cans one from the other is not only We have come not quite full-circle in the 30 women who would be otherwise competitive counterproductive, it is irresponsible. years since President Lyndon B. Johnson will run up against the good-old-boys net- and I submit irresponsible debate. Af- committed the country to guaranteeing work and the human tendency toward the fa- firmative action is about opportunity, black Americans ‘‘not just equality as a miliar—to give the job to somebody who and affirmative action is about giving right...but equality as a fact.’’ What fol- looks and thinks as you do. There will be our country the ability to compete in lowed was a host of federal programs—the fewer black doctors and business executives the world economy, in this world mar- Library of Congress lists 160—which seek to and teachers. increase the number of minorities and All this is a long-winded way of saying ketplace on an equal par and with the women in college and medical school, behind capacity to tap the talents of 100 per- that affirmative action is an extraordinarily jackhammers and at the kneehole side of complex and explosive issue. It’s admirable cent of the people of this country. vice-presidential desks. That it did, though As our country is able to tap the tal- that we want to be a society free of racial or imperfectly (women benefited more fully sexual bias, but we are not. What to do about ents of 100 percent, we grow stronger as than blacks) and with fallout. that remains a huge and divisive issue. a nation and we are better able to par- The fallout is the growing resentment of A story in this newspaper a couple of ticipate and to compete. To close that whites. Only a few take their cases to court: the Colorado contractor who lost a federal weeks ago reported that President Clinton door to, put cement on the glass ceiling had decided to review all affirmative action at this point in time, it seems to me, highway job to a minority firm which sub- mitted a lower bid and the white school- plans to search for a middle ground: ‘‘Affirm- turns this country in the absolute teacher, hired on the same day as a black, ative action review carries a no-win risk,’’ wrong direction and will put us on a who was laid off when her employer opted for read the headline. Yet a compelling case can course that I hate frankly to imagine. diversity over a coin-toss. be made for an effort to find a middle ground I hope that over the months as we More often, white males who believe on this issue. discuss this issue that people who care they’ve been victimized take their cases to The House began last month by repealing about it will, one, focus in on the fact their buddies: They can’t get hired, they legislation that granted tax breaks for com- and, two, hear the voices of reason can’t get into law school, they don’t have a panies that sell broadcast stations to minori- coming from the America’s heartland. shot at a promotion because they are being ties. No sound argument could be made for discriminated against. But with some nota- filling the pockets of rich white men so We all stand to gain from the wisdom ble exceptions, it’s not the best case. For the blacks could get into broadcast. Minority of people who are out in the real world work force, especially at higher reaches and set-asides deserve a look; so do bidding rules trying to make our country work as in the professions, remains predominantly that result in more expensive contracts be- one America. white and largely male. cause race or gender offset a low bid.

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00020 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5293 But it would be a mistake to abandon the come up in a timely manner. This is even mention campaign finance re- broad commitment to act affirmatively to not something that needs to be evalu- form. The American people want cam- make for a more inclusive America: to re- ated at length anymore such as welfare paign finance reform, but it is very cruit, to recognize the value in diversity, to reform or the whole issue of how to cut easy on that issue to confuse people, to provide more opportunities to those, regard- the Federal deficit. Those are very less of sex or color, who have too little from say that if the Democrats write the the moment of birth. There are fewer threats complicated subjects. This is an easy bill, it is going to help out the Demo- to the nation’s future than a wide divide be- subject. It is not the kind of thing that crats; if the Republicans write it, it is tween angry whites and disenfranchised- should wait until later this year or the going to help the Republicans. And it is blacks. If ever an issue demanded a middle end of session. It is important that the terribly confusing because it involves ground, free of reckless passion, this is it. gift ban be enacted now so that the so many different issues of PAC’s and Mr. FEINGOLD addressed the Chair. negative effect it has on this institu- campaign limitations, contribution The PRESIDING OFFICER (Mr. tion and the perceptions of this institu- limitations. I think it is a tragedy that COVERDELL). The Chair recognizes the tion are mitigated now. But that is not it was not a part of the contract and Senator from Wisconsin. what has happened. before us. But that does not surprise Mr. FEINGOLD. I thank the Chair. I The distinguished majority leader on me. I would have expected that espe- January 10 said that it was his intent thank the Senator from Illinois. I ap- cially after the effort to kill the cam- to try to move the bill as quickly as he preciate hearing her remarks, particu- paign finance reform bill in this body could. He said: larly on affirmative action. last year. Mr. President, I ask unanimous con- I am not certain about any date. I am not sent that I my speak as if in morning certain it will be May 31. It could be before, I am not surprised about the com- business. maybe after May 31. plete ignoring of the whole health care The PRESIDING OFFICER. Without Some of us hoped at least the end of issue in the Republican contract, which objection, it is so ordered. May would be a good target time to everybody in the Senate said was an Mr. FEINGOLD. I thank the Chair. solve this problem, certainly by the important issue; everybody said they Memorial Day recess. wanted universal coverage somehow f Unfortunately, Mr. President, that is and acknowledged the 40 million Amer- ALLOWING GIFTS AND SPECIAL not the position now. We have received icans with no health care coverage. Ev- BENEFITS a list not too long ago of must-do items erybody said we have to deal with it Mr. FEINGOLD. Mr. President, I entitled, ‘‘The must-do list for Memo- somehow, but there is no action on it. want to state first of all that, as we get rial Day Recess, nonexclusive.’’ There is hardly mention of it. Among the items listed on there are to the end of the Republican contract Again, though, Mr. President, I am some very important items: The de- of 100 days, it is time to take stock. not surprised. I saw that one coming. fense supplemental appropriations bill, Everyone is taking stock of what is in Health care became a symbol of some- the contract, what is passed, what has the line-item veto, which we have taken care of in this House, regulatory thing that Government should not get not passed, what is not in the contract. involved in at all during the 103d Con- The piece I want to discuss today is moratorium bill, which we have moved out, product liability, the self-em- gress, and I think that is a regrettable something that just is not included; result. that is, whether we are going to ban ployed health insurance extension—we the practice of allowing gifts and spe- have taken care of that—FEMA supple- What I am surprised by, Mr. Presi- cial benefits from private interests to mental, which we are dealing with now, dent, is that the folks running the Re- Members of Congress. crime bill, budget resolution, tele- publican contract believe that it is just I want to thank my colleague, the communications bill, and various other fine to not include the gift ban and not Senator from New Jersey, Senator items are listed as likely. take it up in a timely manner. It is not Nowhere on that list is there any important enough apparently to be LAUTENBERG, and the Senator from suggestion either that we will be tak- handled in the first 100 days. I thought Minnesota, Senator WELLSTONE, for ing up the gift ban, or that we are like- it was just too obviously inconsistent keeping up this fight during a series of ly to take up the gift ban before the months when in effect it appears that with the tone and the spirit of the Re- Memorial Day recess, so I am begin- publican contract and the November 8 the effort to ban the gifts has been ning to get concerned. The majority ruled out of order. It is not part of the elections to ignore the fact that the leader had given us what I thought was gift ban is one of the greatest symbols contract. So we do not come out here a pretty strong commitment this bill and talk about it. of the corruption that exists in this would be taken up in a reasonable time town. That is what I would have This came up in the very first week but we are not getting that indication when we addressed something that thought. After eliminating the free now. And I am beginning to wonder gym, the free health care, the special Democrats have supported that was in- why. cluded in the Republican contract— stationery, and all the little perks that Mr. President, a lot of things have certainly should go—and I am glad there have not been many—namely to not surprised me about these first 100 make sure that Members of Congress they are gone—I would have thought it days of the Republican contract. That was just incredible that either party have to live by the rules that we make does not mean I like them, but they did for everyone else. It makes sense. It felt safe and secure not trying to get not surprise me. I am not surprised rid of the use of gift giving to Members passed overwhelmingly, if not unani- that the House of Representatives, that mously, and a lot of us thought—cer- of Congress. It seems like just offering talked so loudly about deficit reduc- up raw meat to the folks who do the tainly the three Senators behind the tion, yesterday passed a $200 billion gift ban—what a perfect opportunity ‘‘Prime Time’’ television show, begging step in the wrong direction in the form them to come and photograph Members the first week to get rid of this out- of tax cuts for everyone including some rageous practice. of Congress on tennis trips paid for by of the very wealthiest people in our so- special interests. So we tried to put it on the bill. We ciety. I am not surprised. The Repub- were defeated by almost a pure party lican contract was voodoo mathe- That is what I would have thought. line vote. matics from the beginning. It is about But that is not the perception. That is It is not very surprising in light of having your cake and eating it, too, not the approach. The approach is to the fact that the new majority wanted saying you are for deficit reduction, stonewall the gift ban issue. And why to set the agenda. I understand that. saying you are for balancing the budg- would Members of Congress continue to We protested. But I certainly did not et and then as fast as you can trying to allow that perception to exist? Well, I see it as outrageous given the fact that make sure that everybody in the coun- guess the conclusion I have come to is it was the first week and that there try is happy with you by giving you a because the giving of gifts to Members would be other opportunities. At that tax cut that you cannot afford. I am of Congress by private interests, by point, though, we received something not surprised by that. special interests—not by the Govern- that I think most of us perceived as an I was not surprised but dismayed ment—is not any old perk given by the assurance that the gift ban issue would that the Republican contract does not Government like the haircuts and

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00021 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5294 CONGRESSIONAL RECORD — SENATE April 6, 1995 other things that have been discovered many times in the Chamber—I guess I the problem of special interests and the here and, I hope, changed. It is some- will be saying it many more times—we problem of lobbying. I think the an- thing different. have had a law basically banning all swer there is to limit the amount of The practice of gift giving and spe- these kinds of gifts in Wisconsin for 20 money, total amount of money, that cial interest influence behind closed years. It has worked extremely well. can be spent, or at least make sure doors is a key link in a chain of influ- Although we certainly have problems that those who abide by the limits get ence, Mr. President, a circle of influ- with special interest influence in our an advantage to make up for the loss of ence that operates in this town to cre- Government as well, it is a very dif- advantages of the greater spending. ate a culture of special interest influ- ferent culture in Wisconsin govern- I also think you ought to get a ma- ence. Among the links in this chain are ment because of the Wisconsin gift ban. jority of your campaign contributions the practice of the revolving door— The type of thing that happened that from your own home State, something Members of Congress and staff mem- was described in the Washington Post many Republicans have proposed. I bers working a while here and then this week could not happen. think that would really dilute and finding a nice job downtown and find- In an article in the ‘‘In The Loop’’ limit the influence of special interests ing out that they can, in effect, trade section a couple of days ago, entitled and lobbyists in the campaign finance on their experience here to get a job ‘‘Hospitality Sweet,’’ a recent fact context. lobbying later on. That is one link. finding trip was described as follows: But this is different. This is about Another major link, of course, is the Some House Republicans have come up personal enrichment. This is about, in horrible problem of the way our cam- with a neat way to fulfill their promise of effect, having an opportunity to subtly paign financing system works—the slashing the cost of Congress. When members buy the time, the precious time, of news today in the Washington Post of of the Resources Committee recently held Members of Congress. This is about the incredible numbers of new con- field hearings on endangered species and creating a feeling of personal, not pro- tributions coming into the national wetlands in Louisiana, the trip included din- fessional, obligation between one indi- ner at Armand’s in the French Quarter. Republican committee now that they Who picked up the tab? The not-so-disin- vidual and another, one who happens to are in charge of both Houses. You can terested Louisiana Farm Bureau Federation, be a Member of Congress, one who hap- mention the book deals. You can men- Midcontinent Oil and Gas Association, pens to be a lobbyist for a special inter- tion the piece of legislation that is be- American Sugar Cane League and Louisiana est. This is about the opportunity to fore us in the Senate Judiciary Com- Land and Exploration company. use gift giving and buying dinners and mittee today, the so-called regulatory And then: giving trips to achieve undue access to reform bill. A week later, it was dinner in San Antonio, Members of Congress. Mr. President, in that bill it is seri- sponsored and paid for groups like the Texas It is part of a chain, as I have had ously proposed and apparently is going Cattle Feeders Association, Texas Sheep and said, it is part of a circle of influence to be passed that the review of these Goat Raisers, San Antonio Farm and Ranch that I think has broken down the trust regulations, when they get to the high- Real Estate Board and Texas Association of between the American people and their est level, will not be done by a disin- Builders. elected representatives. terested group but will include a so- Mr. President, there was a rather Mr. DORGAN. Will the Senator from called peer review panel that will in- lame response from one of the staff Wisconsin yield for a question? clude the very interests that have a fi- members of the House Members trying Mr. FEINGOLD Yes, I yield for a nancial interest in the outcome of to explain why there was no problem question. what happens with those rules. with this. Mr. DORGAN. Mr. President, I was That is a link in this chain. And so is Mr. Johnson said: listening to the Senator from Wis- the practice of giving gifts and free We just consider this to be local hospi- consin talk about gifts. I had come trips by lobbyists to Members of Con- tality. It’s an opportunity for Members to over to speak about something else, gress. discuss issues with people from Lou- but in many respects it relates to the The gift giving practice is the piece isiana.* * * We didn’t solicit any of these companies. I feel confident if any environ- issue of gifts. I thought I would ask the of the chain of special influence that mental groups had come forward and offered Senator a question about it. has to do with feeding and pampering to have a luncheon or media opportunity we Last evening, the House of Rep- Members of Congress, and it is part of would have tried to accommodate them. resentatives passed a tax cut bill, a system that tears the people of this Mr. President, if they try to accom- about $190 billion lost in revenue for country away from the people they modate all these meals, they are going the Federal Government in the 5-year thought they elected to represent to have to go to a weight-loss clinic period, about $630 billion lost in rev- them. pretty soon. enue during the next 10 years. It is no wonder that the Republican In Wisconsin, you cannot do this. If The same people who were the loud- contract does not mention the gift ban. you want to meet with constituents est proponents of changing the Con- It is no accident that the 104th Con- and sit down with them at a meal, that stitution to require a balanced budget gress blocked action on that issue so is fine, but you have to pay your own now have taken a bunch of polls and far. Is it not interesting, if you listen way. Sometimes the waiter or the have found out if they offered a tax to the talk show hosts, the rather con- waitress is a little irritated because cut, it would be very popular. So they servative talk show hosts that talk they have to write out separate checks. pass a tax cut bill. about all the perks in Congress, they But that is the worst thing that hap- It is the wrong way to balance the will talk about the pension problems pens. You pay your own way. You do budget. The first step is to cut Federal here and the fact that the pension sys- not do the kind of stuff that was done spending and to use the money to cut tem needs reform, which I agree with, just recently by the House Republicans the Federal deficit. Then we should they will talk about anything that has who said they felt they had to do this turn our attention to the Tax Code and to do with a Government perk but they in order to investigate concerns in try to promote some fairness in the seem to not talk about this practice of their State. Tax Code. meals and gifts and special benefits, Mr. President, the problem is not But I find it interesting looking at personal benefits to Members of Con- that we cannot enact a gift ban or com- the numbers in this bill passed by the gress. The only time I have ever heard ply with one. It is just too darn simple House last evening. Last night they it discussed on one of those shows was to get rid of this horrible practice. talked about this being a tax cut for on the Jim Hightower show. He was in- Mr. President, let me just be clear. I families; this is a family-friendly tax terested in pointing out what happened consider this gift ban issue to be very, cut to kind of help out working fami- the first week of Congress. But basi- very important. But I do consider it to lies. This morning I looked at the num- cally it is not mentioned. be sort of the kid brother to the bigger bers. If you added it all up together— I can tell you the failure to mention issue, which I consider to be campaign the child credit, capital gains cuts, it is not because it is something very finance reform. eliminating the alternative minimum difficult to enact or follow. A gift ban I am not suggesting in any way that tax for corporations and a whole series works very, very well. I have said getting rid of gift-giving would solve of other things—and figure out who

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00022 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5295 benefits, here is what the numbers What I want to say in response, since nothing.’’ The folks who work for a liv- show. It shows that if you are an Amer- I know the Senator wants to speak at ing pay taxes. They cannot get by ican with over $200,000 in income, you more length about the tax cut, is that without paying taxes. So we con- get an $11,200 cut in your tax bill. If there is a common thread between the structed an alternative minimum tax you are an American who has an aver- various parts of the contract. There is that worked. age income of less than $30,000, your a connection between the fact that the The legislation they passed last night tax cut under the House bill was a gift ban is not mentioned in the con- in the House of Representatives says, whole $124. In other words, if you are tract and campaign finance is not men- ‘‘Let’s get rid of the alternative min- earning above $200,000, you can expect tioned in the contract, but the tax cuts imum tax for corporations’’—with 2,000 to get a check in the mail for $11,200. are there for the wealthy, the so-called corporations benefiting to the tune of That is a pretty good gift. regulatory reform is included for the washing away $4 billion in revenue an- These folks say this is for working very interests that probably still do nually. The way I calculate it, that is families. Well, working families that need some regulation. The common about a $2 million a corporation every make over $200,000 a year get an $11,200 thread is this: year. Talk about gifts? There is a gift. tax cut—at a time when we have debt If you have a lot of resources and you I bet there was not much debate about up to our neck trying to figure out how have a lot of lobbyists here in Wash- that. we try to deal with this Federal def- ington, you are not going to get nicked Mr. FEINGOLD. Mr. President, if I icit—and then the working families by the Republican contract. You just may respond briefly, I am very glad the earning $30,000 or less get an $124 tax are not. If you are on welfare, you are Senator mentioned some of the spe- cut. going to get nicked. If you have a cifics of the 1986 bill, because as he was It is the old cake-and-crumbs ap- lunch coming to you at school, you are speaking, I realized, in 1986, we had a proach. Give the cake to the very rich going to get nicked. But if you have Republican President and, I believe, we and the crumbs to the rest and say, any kind of serious interest supporting still had a majority of Republicans in ‘‘Everybody benefits.’’ you on this Republican contract, you We are told that broad capital gains the Senate. Although that bill had are not going to get nicked. tax cuts help everybody. That is kind It is worse than that. This giant $190 flaws, there were changes in acceler- of like saying, OK, you take 40,000 peo- billion piece of legislation that the ated depreciation, and limits to the ple and put them over in Camden House passed makes a complete farce practice of using tax loss farming, Yards; fill every seat. And then say, out of the notion that the contract has which was something of great concern ‘‘I’m going to pass out $100 million to anything to do with deficit reduction. to farmers in Wisconsin. There were these folks.’’ And you pass out $1 to Everyone knows it. limits on some of the most visible as- 39,999 people and to the other person I have to say to the Senator from pects of tax deductions that seemed to you give all the rest of the money. And North Dakota and the Chair, I was the be unfair. then you go outside and crow that ev- first Member of Congress—I am proud What is ironic, Mr. President, is that erybody in that place got some money. of this—of 535 Members of Congress, I here we have now, again, the majority Yes, they did—but one person got al- was the first one to say ‘‘No tax cuts.’’ of the Republican Party in the U.S. most all of it and all the rest of them I said it the day after the November 8 Senate—as well as the other body—and got just a little. So you can make the election and I said it the day after the they are doing just the reverse. claim that everybody benefits, but the President proposed his tax cut. The Los fact is one person got most of the bene- There was a book written about the Angeles Times said there was one lone fits. success of the 1986 bill called ‘‘Show- So that is the circumstance of the voice that thinks this should not hap- down at Gucci Gulch.’’ Gucci Gulch, of tax cut. At a time when we should be pen. course, is where all the lobbyists were dealing with the deficit honestly, we It is not nice to say, ‘‘I told you so.’’ with their Gucci shoes, and it was a Re- have people taking polls and cutting I do not get to say it very often. On publican, the Senator from Oregon, taxes that promote enormously bene- this one, it feels good to say it; that who I believe chaired that famous ficial gifts to the very wealthy in this the people of this country know better meeting. Tax loopholes were limited. country. than the people in this town and the Here we are, again, many years later Has the Senator had a chance to take people in this town are beginning to with just the reverse happening: The a look at what happened last evening wake up, especially in the Senate, that restoration of some of these special and what I think is essentially gifting it is a total fraud on the American peo- deals at a time when the deficit is far to the wealthiest Americans in this ple to say you are for balancing the worse than it was in 1986. generous tax cut proposed by the ma- budget and then start handing out $200 So let me simply conclude, Mr. Presi- jority party in the House? billion or $700 billion in tax cuts, tax dent, by saying what I have told my Mr. FEINGOLD. I am happy to re- gifts. The sad thing is, it is the repeat- constituents back home regrettably. spond to the Senator from North Da- ing gift after gift after gift after gift to They say, ‘‘How is it going out there in kota. the same people. Washington? How is the Republican I did not want to see that headline Mr. DORGAN. Will the Senator yield contract working out? Are you clean- this morning, but I did. And I did have for one additional question? ing things up?’’ And I have to tell them a chance to take a look at it. Mr. FEINGOLD. Yes. the truth, and the truth is that the lob- Mr. DORGAN. The Congress in 1986 Let me say, first of all, to the Sen- byists in Washington have never had changed the tax law. And maybe it did ator from North Dakota that long be- bigger smiles on their faces than they not do such a great job. But it really fore I had the honor of being elected to do now. This is the happiest time for tried to eliminate all the artificial this body, I admired the Senator from lobbyists in America in many, many North Dakota when he was in the other things in the tax laws that promoted years, because they are running the body as one of the true leaders in the artificial investments and tried to let show. Congress on the issue of tax reform and the marketplace make the decisions tax fairness. He knows this stuff. about where the investments would go. And as a final example, there was a And so when he speaks about what Prior to that time, we had a cir- rather disturbing occurrence in front of this is all about, and what the tax cut cumstance in this country where you the Senate Judiciary Committee re- for all Americans supposedly, but espe- could pick out some of the biggest cently where our staff members were cially for wealthy Americans, is all names in American corporate life and told to come to a staff briefing by the about, he knows exactly what he is find out that they made billions of dol- Republican majority staff on the regu- talking about. He was a key force for lars in profits, and what did they pay latory reform bill. the positive aspects of the 1986 tax re- in taxes? Zero. Nothing. As I understand it, although I have form, parts of which I think are at So in 1986, we put in place an alter- not been here for very long, it is nor- least an example of when Washington native minimum tax that worked, and mal practice for majority staff folks to got some things right. So I think his we said, ‘‘You can’t make billions of brief the minority staff on what is comment is very appropriate. dollars in profits and end up paying going to be proposed by the Chair. But

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00023 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5296 CONGRESSIONAL RECORD — SENATE April 6, 1995 they were not briefed really by the ma- It is not surprising to me that one and have three kids, that child tax jority staff. They were briefed by a would discover the answer to a ques- credit means nothing to you. Zero. couple of attorneys. And when they tion, ‘‘Would you like lower taxes,’’ There is no $500 a child. You get zero. were asked who they were they said, that the answer ‘‘yes’’ would be the The fact is, this tax bill is the same ‘‘We’re the folks who represent 12 to 15 popular answer. ‘‘Yes, of course, we’d old thing from the same old boys that corporations that basically wrote this like to have lower taxes. We’d like to have always proposed this kind of rem- thing.’’ Apparently, several times, have a tax cut.’’ I understand that. I edy: It gives a very large tax cut to the when questions were asked about de- understand any poll in this country very, very wealthy and gives a few tails of the document, the Republican would achieve that result. crumbs to the rest. majority staff was even overruled by But there are times when we have to these attorneys, lobbyists from down- choose between what is right and what Why? They believe if we pour in a lot town Washington. is popular. Although I think it may be of money at the top that somehow the I think that is another symbol, an- popular for them to be talking about magnificence of the top will spend this other link in the chain of special influ- tax cuts, I am convinced it is right in a way that will help the rest. ence that I am afraid has infected this only for us to talk about how to get I happen to think that the American town more this year than at any time this country’s fiscal policy under some economic engine runs and works best in recent history. control. We are up to our neck in debt. when we give working families some- So, Mr. President it is time to pass We are choking on fiscal policy debt, thing to work with. If we give a tax the gift ban. It is time to clean that up budget debt and trade debt, and we cut—and I do not think we ought to on the bipartisan basis that I thought must straighten it out. until we have solved the deficit prob- we were going to do last time with an Not more than a month or two ago, lem in this country—we ought to pro- overwhelming 93-to-4 vote. we had people on the floor of this Sen- vide real tax relief to real working I am very delighted to yield in order ate trying to change the U.S. Constitu- families. to allow further discussion of what I tion in order to require a balanced It is interesting to me as I have said, consider to be an even more important budget. Among those who bellowed the issue: The need to let the Senate do its that the very same people who have loudest about changing the U.S. Con- fought the hardest to change the Con- job by getting rid of this foolish tax stitution are some of the same ones cut at a time when all available dollars stitution because they say we must who now say what we want to do is not balance the Federal budget are the have to be devoted to eliminating the balance the budget, we want to cut Federal deficit. first ones out of the chute who say now taxes. This is a stew that we have tast- that we have had this debate about pol- I yield the floor. ed before. This recipe was concocted in Mr. DORGAN addressed the Chair. itics and polls over the Constitution, 1981, and it resulted not in a balanced The PRESIDING OFFICER. The we will have another debate about poli- budget, as was promised by 1984. In fact Chair recognizes the Senator from tics and polls about our favorite sub- it resulted in staggering massive public North Dakota. ject: Cutting taxes, or cutting tax now, Mr. DORGAN. Mr. President, I appre- debt over the last decade and a half. which we know exacerbates the deficit. Mr. President, nearly $4 trillion ago in ciate the presentation of my colleague It does not reduce the Federal budget from Wisconsin. I note the Senator debt we learned the lessons of this di- lemma. deficit, but expands and explodes the from Arkansas, Senator BUMPERS, is on Federal budget deficit. Only those who the floor, I think intending to speak a Our job is very simple. It is to ag- gressively cut spending and to use the do not care about this country’s deficit bit about the tax-cut bill that was could be proposing something that irre- passed by the House of Representatives money to cut the Federal deficit. And even to start paying down on the na- sponsible at this point in this country’s last evening. history. Might I ask about the order of the tional debt and then turn our attention Senate. Are we in morning business? to finding out how we can change the Yes, I said I know it might be pop- The PRESIDING OFFICER. No, the tax system; yes, then to give some re- ular but it is not right. We all ought to Senate is on the supplemental appro- lief, but especially to give relief to put our shoulder to the wheel and do priations bill. As the Senator will note middle-income working families who what is right. We know what is right— from the remarks that we have heard had to bear the burden of this Tax Code cut spending and use the money to cut before the Senate, it would be in order over all these years. the deficit. to ask unanimous consent. But to decide now at a time when we Those who are off trying to suggest Mr. DORGAN. I ask unanimous con- have this staggering debt, to decide we should give tax cuts to the rich sent to speak as in morning business now that what we need to do is the pop- when we are choking on Federal debt for 7 minutes. ular thing to simply propose a tax cut in this country do no service to this The PRESIDING OFFICER. Without of $200 billion or in the next 10 years country or its future or its children. nearly three-quarters of a trillion dol- objection, it is so ordered. We are seeing a bill come out of the lars loss of revenue is preposterous. It f House of Representatives that has the may be popular, but it is not right. IT MAY BE POPULAR, BUT IT IS I had not spoken about the specifics same old proposals. I mentioned to the NOT RIGHT of the tax cut yesterday because it will Senator from Wisconsin a proposal to Mr. DORGAN. Mr. President, I will not surprise anybody to learn the spe- eliminate the alternative minimum not take a great amount of time be- cifics. It is the same old Republican tax. I could bring names of compa- cause I made some points here already. philosophy: Call it a tax cut for the nies—I will not, but I could bring I did want to come and speak briefly rest, and give a big tax cut to the rich. names of companies to the floor—that about the action last evening with re- Call it a tax cut for families, and give every single American would recognize spect to one portion of the Contract a big tax cut to rich families. immediately, companies that made $1 With America in the House of Rep- Class warfare? No, it is not class war- billion, $500 million, $3 billion, $6 bil- resentatives. fare to talk about that. It is talking lion, and paid zero in Federal income As almost everyone understands, the about who gets what check in the mail taxes. Paid less money in Federal in- Contract With America is a document as a result of these tax reductions. come taxes than some person out there that resulted from substantial polling If you are a family that has over working for $14,000 a year, struggling, of focus groups that the Republican $200,000 in income, the bill that passed working 10 hours a day, working hard Party did all across this country. They last evening in the House of Represent- all year, and they end up paying a tax. were polling to try to understand what atives is going to give you an $11,200 a An enterprise making $6 billion over is popular, what do people want, what year average tax cut. If you are a fam- a few years ends up paying zero. So we do people think we should do, how will ily with less than $30,000 in income, change that and said, ‘‘You cannot end they react positively to words and you are going to get all of $124 and, in up paying zero any more. You have to phrases and ideas, and they put that fact, a whole lot of folks are going to pay an alternative minimum tax at the together in a contract. get nothing. If you make $15,000 a year very least.’’

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00024 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5297 It is called fairness. What did the and change our tax system. I do not be- want to say that one of the things that House of Representatives do? They lieve it is right at this time, given the my wealthier friends not only back passed a bill that says we do not care problems our country faces, to propose home but across the country say to me about fairness. We will abolish alter- as a matter of public policy, very large is, ‘‘The thing I do not like about native minimum tax and go back to tax cuts to very big special economic Democrats is they promote class war- the good old days of zero tax obligation interests, and then come to the floor of fare.’’ for some of the biggest special inter- the Senate and the House and crow The Senator from North Dakota al- ests in this country. about how Members want to change luded to that. I do not believe in class At the same time, they are saying, the Constitution to eliminate the Fed- warfare. I believe in fairness, justice, ‘‘Let’s give away the store in those cir- eral budget deficit. and the judicial system, as well as in cumstances,’’ and just that provision— Anybody who wants to eliminate the our economy. the one provision on the alternative Federal budget deficit can do it hon- What happened in the House last minimum tax—gives away $4 billion to estly. The honest way is to aggres- evening is one of the most bizarre 2,000 companies. Mr. President, $4 bil- sively reduce Federal spending in areas things I have witnessed in my 20 years lion washed away to 2,000 companies. where we ought to reduce Federal in the U.S. Senate. A tax cut—a tax That is $2 million a company. spending, and continue to make invest- cut—of about $180 billion over the next I do not know how that is justifiable ments where we ought to make invest- 5 years but which balloons to about in the circumstances of the fiscal pol- ments, especially in the lives of chil- $600 to $700 billion for the 10-year pe- icy problems and deficit dilemma prob- dren and then use the savings from re- riod. lem we have in our country. How is it ducing Federal spending to reduce the In other words, $180 billion for the justifiable? How will the proponents Federal budget deficit. first 5 years, and between $400 and $500 justify coming to the floor of the Sen- When we have set this country on a billion for the next 5 years. ate and saying, ‘‘We don’t have enough course in a constructive path to solve They say they will identify cuts to money anymore to provide an entitle- that problem, we ought to turn to the pay for it. We see in the House they ment to a school hot lunch to a poor Tax Code. When we turn to the Tax can do that because they only have to kid. We will eliminate the entitlement Code, we should not have middle-in- project 5 years out. Our budget in the status to a hot school lunch,’’ because come families turn out to be the losers. Senate requires the Senate to come up we frankly cannot afford it. Every single time somebody monkeys with a 10-year projection. But we can afford to give somebody with the Tax Code, especially the ma- To get on with the story, I do not with a $400,000 or $200,000 annual in- jority party, somehow middle-income like class warfare but how do we say to come a check for $11,200 a year and say, families end up getting less or end up the American people that the tax bill ‘‘Partner you are lucky. Here is a big paying the bill to provide tax cuts and that passed last evening provides a tax tax break for you.’’ big tax rebates and big generous re- cut for people who make over $200,000 a We are running this big deficit and funds to the wealthiest Americans. year, provides them a tax cut of we have to cut back on dozens of pro- We ought to have learned in the last $11,266—and that is per year—and pro- grams dealing with issues of nutrition, 50 years what works and what does not vides an average for those who make issues of child abuse on Indian reserva- work. What works is to give working zero to $30,000 a year, gives them $124 a tions, just name it, cutting back all of families something to work with. The year. them, because we cannot afford it. biggest advantage we can provide Mr. President, for the people who They say, ‘‘But we can afford to hand working families in this country today make less than $30,000 a year, the tax over a very large tax refund to some of is to reduce the Federal budget deficit. cut last night will not even buy a 13- the biggest economic special interests We do that by cutting spending and inch pizza for the family to enjoy on in this country.’’ using the savings to reduce the deficit. Friday nights. Are we engaging in class I know when I finish speaking, and When we finish that job, then I think warfare to bring up this fact? Is it class when the Senator from Arkansas fin- we can turn to the Tax Code. And I warfare to point out the unbelievable ishes speaking, there will be people think we will do a substantially dif- unfairness of this situation? I ask the who say, ‘‘Well, it is the same old com- ferent job than was done over in the American people and my colleagues, if plaint: Class warfare.’’ You should not House of Representatives for fair tax you are going to provide a tax cut, how stand up and talk about who actually cuts, for a fair tax system, for those do you say to the American people that gets the benefit. Because if we talk people in this country who work hard those who make over $200,000 a year are about who gets the benefit, and you de- and who have borne the cost of Govern- going to get a $11,000 tax cut and peo- scribe someone with $200,000 income ment for far too many years. ple who make $30,000 or less get a $124 getting an $11,200 check, and someone Mr. President, I will have more to tax cut? Class warfare? It is utterly the with $30,000 income getting $124, some- say about this subject along with some most bizarre thing I have ever seen. how you are being unfair. charts tomorrow. I notice my friend Who do you think needs the tax cut It is unfair to point that out to the from Arkansas, a man noted for charts, most, the guy making $200,000 a year or American people. That is not class war- has brought charts to the floor, so I am the guy with a wife and two kids mak- fare. That is a discussion of what is anxious to hear what he has to say. I ing $30,000 a year? real about the proposals to change our yield the floor. Let’s discuss the capital gains part of revenue system. Mr. BUMPERS addressed the Chair. the tax bill. Capital gains occur when I will support substantial changes in The PRESIDING OFFICER. The you buy and sell stocks or other prop- our whole revenue base when we are Chair recognizes the Senator from Ar- erty. I agree with Felix Rohatyn, who I through this process of honestly trying kansas. watched on CNBC yesterday, who said, to get this budget deficit under con- Mr. BUMPERS. Mr. President, I ask ‘‘I have never understood what eco- trol. unanimous consent I be permitted to nomic benefit this country derives Frankly, our revenue system does proceed for up to 10 minutes as in when somebody sells General Electric not work as well as it should. Our rev- morning business and uses the money and buys DuPont enue system ought to be changed in a The PRESIDING OFFICER. Without stock.’’ What does that do for the econ- wholesale way to encourage savings. objection, it is so ordered. omy, except fatten some broker’s fees? Our revenue system ought to be f But look at this chart showing who changed in a substantial way to tax benefits from the capital gains tax cut. more consumption than we tax and to TAX FAIRNESS Who benefits from it? You guessed it. encourage savings. Mr. BUMPERS. Mr. President, I can- Those who make $100,000 a year or We ought not keep taxing work every not add or detract from what the Sen- more are going to get 76 percent of the chance we get. We hang every social ator from North Dakota has just elo- benefit of this capital gains tax cut. good on a payroll tax. Frankly, our quently said. What does this poor stiff get who payroll taxes are too heavy. I bow to I do have some charts that perhaps makes only $30,000 a year? Only 6.4 per- no one to my interest and desire to try are a little more graphic, but I also cent of the capital gains tax cut. Class

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00025 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5298 CONGRESSIONAL RECORD — SENATE April 6, 1995 warfare? Who believes that is fair, Mr. But what happened? The deficit did speak again on the subject and again President? Who believes that the peo- not go down as promised. Look where and again. My side may lose just as 11 ple making $100,000 a year or more— it went. By the time we were supposed of us lost in 1981. But I am absolutely which includes every single Member of to have a balanced budget in 1983, we certain without intending to be arro- Congress—who believes we ought to be had $200 billion deficits and we have gant or self-serving that it will be one getting 76 percent of this tax cut. How never had one less than that since. of the greatest travesties ever to befall can I believe that this is fair while the Ironically, I can remember the last this Nation. people of my State—where the median year Jimmy Carter was President, the Mr. President, I yield the floor. family income is less than $30,000 a deficit was $65 billion and people were f year—will get only 6.4 percent of the threatening to impeach him. Unthink- EMERGENCY SUPPLEMENTAL cut? able. Mr. President, here is a USA Today No, Mr. President, I am not voting APPROPRIATIONS ACT poll. It points out what I have been for a tax cut. I am going to vote the The Senate continued with the con- saying for months around here. I never way 70 percent of the people of this sideration of the bill. lost a friend voting for a tax cut. It is country want me to vote. When it Mr. DOLE addressed the Chair. so wonderful to be able to vote for a comes to fairness, the tax cut, even if The PRESIDING OFFICER. The tax cut and go back home and say, desirable, is hopelessly inequitable and Chair recognizes the majority leader. ‘‘Look what we did,’’ and beat our unfair. The greatness of this Nation, Mr. DOLE. Mr. President, we had chests. I get letters from people who the greatness of the Constitution, is it hoped that we might have an agree- want their taxes cut. But I get more says each one of us counts. We are all ment reached on the rescissions bill. letters from people who want the def- somebody. But apparently that will not be pos- icit reduced. People who are making Whether you like Jesse Jackson or sible. So there will be a cloture vote at $30,000 a year or less would gladly give not, I always like it when he has those 2 o’clock. We will file cloture again up that $124 tax cut in return for a bal- kids say, ‘‘I am somebody.’’ The soul of today for a vote on Saturday because anced budget. Do you know why? Be- America is that each one of us counts. we intend to finish this bill before we cause if we balance the budget, it will And no one of us should count for leave for the Easter recess; spring re- hold down inflation and interest rates. $12,000 or $11,000 a year more than the cess. Mortgage interest will be less, interest people who did not happen to be born I would hope that our colleagues on on car loans will be less, the economy quite so wealthy. the other side would understand that will be more stable, the dollar will sta- This chart shows where the deficit we, this Senator and the Democratic bilize. Why in the name of God are we has been going since Bill Clinton be- leader, worked in good faith most of considering this tax cut when polls like came President. There it is in 1995. yesterday into the evening until 9 or 10 this one indicate that 70 percent of the Here are his projections for the out- o’clock. So did other Members on our people in this country say they want years and here is the projection the side of the aisle, the Senator from the deficit reduced before they want a American people want. They want that Pennsylvania, and both Senators from tax cut? Only 24 percent of the people deficit to continue going down. They Arizona. And we believe we gave up a in this poll said, ‘‘I want the tax cut do not expect miracles, but they do ex- great deal to get an agreement. I over deficit reduction.’’ pect a responsible, thoughtful Congress thought there was an agreement until I Do you know who the House agreed to give this Nation a chance. Give our read it in the morning paper. with when they passed the tax cut last children a chance. You are not ever So I was surprised when I later night? Not with the 70 percent of the going to achieve the greatness of this learned that our colleagues on the people who say, ‘‘Deficit reduction Nation by cutting student loans, or other side did not agree to the agree- first.’’ And, actually, not with the 24 AmeriCorps, where people can pay off ment we thought we had agreed to. percent of people who say they want a their student loans. Having said that, I hope we can in- tax cut more than they want deficit re- When the families of America sit voke cloture. If we do that, a lot of duction. No, the House agreed with this around the dinner table in the evening these amendments will disappear. I do 5 percent of people who say, ‘‘We want and talk about what they love most, it not know how we can deal with 100- both.’’ That is what the House is say- is not the tax cut. It is not that Mer- and-some amendments that are out ing. ‘‘We are going to cut your taxes cedes out in the driveway. It is not there. But if cloture is obtained, that and balance the budget, too.’’ Think that nice big split-level home. It is not will shorten the process a great deal. about it—5 percent of the people in this the farm out back or that posh office I do not know where the hot buttons country saying we want both—and that downtown. What they talk about most are on the other side. I maybe know of is where the House comes down. is loving their children. In light of one or two of them. But it seems to me We tried that $3.5 trillion ago in 1981. that, what do you think the ordinary many of the so-called ‘‘cuts’’ were in Here is a graph that shows pointedly American person with a family be- effect funny money and many of the and precisely what happened. In 1981— lieves—that he or she should get a few add-ons are not going to be spent ei- and I remember it well—Ronald Rea- dollars more in spendable income or ther. But if both sides felt they had a gan’s press conference, after Congress that this Nation ought to start living good position, I fail to understand what passed his tax cut plan. He said, ‘‘You within its means so that those children may have derailed the whole process. have given me the tools. Now I will do have a real opportunity, not a saran- But there will be a cloture vote at 2 the job. We will balance the budget by wrapped opportunity, but a real one. o’clock. The second-degree amend- 1984 and with a little luck we will bal- I come down on the side of all of ments must have been filed by 1 ance it in 1983.’’ Those were Ronald those American families. My children o’clock. So it is too late to file second- Reagan’s words. are all grown. I have two grand- degree amendments. Well, it did not happen. Instead the children. They deserve better than It is still my hope that Senator deficit shot up to record levels. I want they are going to get if we do not re- DASCHLE and I can bring everybody to- it put on my epitaph that I was 1 of the verse our overspending ways; if we do gether here. I think we are pretty 11 U.S. Senators who voted against not show the kind of responsibility much together on this side. What we those 1981 tax cuts. I said, ‘‘You will they have a right to expect of us. want is an agreement with no amend- create deficits big enough to choke a Mr. President, I believe the Senate ments. We do not want an agreement mule.’’ They turned out to be big will show a great deal more discretion and then have everybody say we have enough to choke an elephant. in dealing with this, and if we do not, 10 amendments here and 10 amend- Look at this chart. Here was our def- if we do not, the chart you saw a mo- ments there. If you have an agreement, icit in 1981 and here is how the Reagan ment ago of what happened from 1980 you have an agreement. Right now we administration said they would reduce to 1995 will just be compounded. do not have an agreement. the deficit. That was the promise. That Mr. President, I have taken more So I just urge my colleagues to be pa- was the siren song that an irrespon- time than I really intended to take. I tient, to take two aspirins, take a nap, sible Congress bought into. feel very strongly about it and will whatever. If we finish this today, we

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00026 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5299 will finish some conference reports, they cut back a little bit on the rate of dent’s suggestion to us to take this and hopefully we will be in session to- the increase with the Hatfield sub- money out, said it was not needed— morrow but no votes. If we do not fin- stitute. Federal administrative travel, some- ish today, we will be in session tomor- The Democratic leader did not like thing that they agreed to, that they row with votes and we will be in ses- that. So he jacked it back up. OK. We suggested we increase, we increased to sion on Saturday with votes. said, fine. You want to jack up some a cut of $225 million. By the way, that Mr. BUMPERS. Will the majority programs and put them back to the is out of a $107 billion budget we are leader yield for a question? level that they were before, which was taking out $225 million for Federal Mr. DOLE. Certainly. I yield. a dramatic increase over where we travel, hardly something that the pub- Mr. BUMPERS. The announced con- were last year, you think those are the lic is concerned about, that we are not sent agreement has not been pro- most important, we understand the traveling enough around here; water pounded yet has it? sensitivity you have, we are willing to infrastructure; and, oh, the sticking Mr. DOLE. Only with respect to the work on that. point. We took out of their sacred little adoption of the Jordan amendment. As Senator DOLE, and other fresh- cow $21 million of $312 million. We took Mr. BUMPERS. How many amend- men, came forward with an amend- $21 million out of the Corporation for ments do you anticipate would be al- ment, we said we believe we should off- Public Broadcasting. lowed under an agreement? set these expenditures not with money In the end, we would have had sav- Mr. DOLE. We thought we had nar- from a year or two down the road— ings of $1.6 billion. They had additional rowed it down to about four on each which is what the minority leader, the spending of $800 million which would side. We thought some of those were Democratic leader—they pulled back get us a net deficit reduction out of acceptable. Some who had problems money out that was funny money from this amendment of $800 million. So we with the CPB, said, ‘‘Well, give us $20 years down the road. You want to both win. They get $800 million more million somewhere else in spending re- spend money this year, let us take spending, we get $800 million in deficit straints.’’ So they have to be ‘‘this or money out this year. That is the way reduction, so everybody sort of stands nothing.’’ we should do things around here, not even. I think, as has been the attitude cer- spend more money this year and find I always thought that is what com- tainly of the Democratic leader, Sen- funny money down the road to pay for promises were all about. And so I am ator DASCHLE, as we both know, it can it. We have been doing that a long time hopeful that in the next 45 minutes, still come together, and I hope it would around here. Let us get serious. the other members of the Democratic because we could finish late afternoon And so we got serious. We made a se- caucus who seem to be holding up this and that would be probably the last rious compromise. And we thought we compromise take a look at this and re- vote until we come back from recess. had a serious compromise agreement alize it is in the best interests of this Mr. BUMPERS. I thank the leader. that would have accomplished three body and this Congress and this coun- Mr. SANTORUM addressed the Chair. major things. No. 1, it would have try to move forward with this com- The PRESIDING OFFICER (Mr. given the minority leader, Senator promise piece of legislation and get THOMPSON). The Senator from Pennsyl- DASCHLE, and folks on his side almost this enacted. vania. all of what they wanted in this in- Mr. President, I ask unanimous con- Mr. SANTORUM. Thank you, Mr. crease in social spending—almost. In- sent that a paper entitled ‘‘Possible President. stead of $1.3 billion, we give $800 mil- Compromise’’ be printed in the Mr. President, I am incredibly dis- lion in more spending—$800 million in RECORD. appointed at the outcome of this nego- more spending on many programs that There being no objection, the article tiation. I had hoped that the good-faith are not exactly well received on this was ordered to be printed in the effort of the majority leader who side of the aisle, like the AmeriCorps RECORD, as follows: stayed here late last night and worked Program. We gave them an increase in Possible Compromise on this bill late, and diligently, and I the AmeriCorps Program from what [Dollars in millions] think more than bent over backward to the Appropriations Committee had sug- accommodate leadership on the Demo- gested. We allowed an increase of $100 Cost cratic side to help them restore some Add-Backs: million in a program that in our Women, Infants, Children ...... $35.0 of the money that they felt was so des- amendment we wanted to cut by $200 School to Work ...... 25.0 perately needed for programs that they million. Child Care ...... 8.4 have long fostered and supported in So from where we started, we gave Head Start ...... 42.0 this institution. them a $300 million increase. That was Goals: 2000 ...... 60.0 We have been working with the ma- not good enough. We gave them all the Title I Education ...... 72.5 jority leader, several members of the money they wanted in WIC, school-to- Impact Aid ...... 16.3 Safe and Drug-free Schools ...... 100.0 freshmen class, Senator KYL from Ari- work, child care, Head Start, $60 mil- Indian Housing ...... 80.0 zona, Senator ASHCROFT from Missouri, lion of the $67 million they wanted for Housing Modernization ...... 220.0 Senator MCCAIN from Arizona, and my- Goals 2000, title I, impact aid, safe and Americorps ...... 105.0 self have been working to try to craft drug-free schools, Indian housing, Community Development Banks .... 36.0 an amendment that recognizes the con- housing modernization, community de- cerns of the minority and at the same velopment banks—every social pro- Total ...... 800.2 time preserve some of the objections gram, all the way down, they got al- that we had to the bill. Frankly, we most all of what they wanted. We took Savings thought we were pretty generous. some of their cuts. Some of the things Offset: The minority leader came in and they used in the original Daschle Foreign Operations ...... $25.0 asked in the original amendment, the amendment to pay for this bill we ac- HUD Section 8 Project Reserves ..... 500.0 Airport Improvement ...... 700.0 amendment that was pending, for al- cepted, we accepted as ways to pay for Libraries ...... 10.0 most $1.3 billion in more spending, this. Federal Admin. and Travel ...... 225.0 more spending on almost all social pro- And we said, OK, in exchange for not Water Infrastructure ...... 62.0 grams; just more social program spend- getting all that you wanted, we will IRS ...... 50.0 ing. These were not, just so you under- not take all that we wanted. We will Corp. for Public Broadcasting ...... 1 21.6 stand, the bill that came to the floor of get rid of a lot of the proposed reduc- the House—the Hatfield substitute was tions that we wanted. And we put on Total ...... 1597.0 not—had increases in these programs. the table some pretty minor things, Deficit Reduction ...... 796.8 Addendum: Items in Dole amendment Every one of these programs that the folks—reducing the foreign operations, used in Defense Conference: minority leader asked for already had foreign aid by $25 million—$25 million; Foreign Ops ...... $40.0 an increase from last year. They al- libraries by $10 million—and by the Legal services ...... 15.0 ready had an increase, and in many way, the libraries money was the Presi- 1 $3.4 million in 1997. cases huge amounts of increases. But dent’s rescission; that is the Presi- Mr. SANTORUM. I yield the floor.

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00027 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5300 CONGRESSIONAL RECORD — SENATE April 6, 1995 APOLOGY FOR RADIO REMARKS populous counties, and even if they The report also conveniently fails to Mr. D’AMATO. Mr. President, two were selected randomly, the results provide any information on the effect mornings ago I gave a radio interview would not have been much better. Fil- of large tort awards on settlements. In on the Imus talk show program. ings are not random occurrences; the other words, one could ask, are settle- I am here on the Senate floor to give number of filings in any set of counties ments made more often now without a statement as it relates to that epi- cannot possibly represent anything but regard to the merits of the case be- sode. the counties that are being surveyed. cause of the threat of an expensive Worse, this study does not even in- It was a sorry episode. suit? This study does not answer that volve the use of the most rudimentary Mr. President, as an Italian-Amer- question, and it does not do it, of sampling techniques. It relies on only ican, I have a special responsibility to course, because it also conveniently the 75 largest counties and further be sensitive to ethnic stereotyping. I failed to include any data on award stratified them so that only samples of fully recognize the insensitivity of my amounts. the data in some of the counties were Lastly, this report does not limit remarks about Judge Ito. My remarks used. were totally wrong and inappropriate. I After reading over this study, you itself to the torts with which we are know better. What I did was a poor at- will find that there is a lack of rational most concerned, those that affect prod- tempt at humor. I am deeply sorry for sampling methodology in selecting ucts, like product liability, those that the pain I have caused Judge Ito and which counties would be used. There is affect premises liability and medical others. I offer my sincere apologies. absolutely no evidence contained in malpractice. It does not include any of Mr. President, I suggest the absence this Bureau of Justice Statistics spe- those. Instead, it includes auto torts, of a quorum. cial report that the counties selected which make up more than 60 percent of The PRESIDING OFFICER. The are in any way representative of the all tort cases considered. This seems to clerk will call the roll. entire United States. make every other tort look minor, The bill clerk proceeded to call the However, once the counties were se- even though auto torts are very com- roll. lected, only a few of those were used to mon. Generally, they are very quickly Mr. GRASSLEY. Mr. President, I ask select various kinds of data. The coun- settled and, generally, they involve unanimous consent that the order for ties were divided into four strata, al- only one or two parties and relatively the quorum call be rescinded. though it is not clear how the strata small amounts of money. By adding The PRESIDING OFFICER. Without were defined. In the first strata, all 14 auto torts, the average time for the objection, it is so ordered. counties were selected for the first disposition of all torts falls to about 19 Mr. GRASSLEY. Mr. President, I ask stage of the study; in the second strata, months, whereas the auto torts aver- unanimous consent to speak as if in only 12 of 15; in the third, only 10 of 20; age less than 17 months. morning business for 7 minutes. and in the fourth, only 9 of 26. In the Yet, all other torts average more like The PRESIDING OFFICER. Without second phase, the study relied on inter- 2 years, involve more parties and they objection, it is so ordered. val or random samples. It seems un- involve much larger amounts of f usual to use more than one sampling money. method as they have here. These are just a few of the criticisms REPORT OF THE BUREAU OF JUS- In this study, it reads: that can be leveled at this flawed and TICE STATISTICS ON TORT CASE Contrary to the belief that there has been ill-conceived report. But the more tell- FILINGS an explosion of tort litigation, tort case fil- ings have remained stable since 1986 accord- ing criticism has to do with the timing Mr. GRASSLEY. Mr. President, ing to multi-State data. of its release. I am concerned about the today I want to discuss a Bureau of Now, there is no rational way to possible political manipulation behind Justice Statistics special report that is identify whether there has been an ex- the report. We all know that President supposed to be released in the very plosion in tort filings or not from this Clinton, and one of the most powerful near future. I am very disturbed about study, since the data is limited to 1990 special-interest supporters, the Trial what I consider to be the political ma- for the first phase of the study and for Lawyers Association, opposes tort re- nipulation of a Government report. a 1-year period from mid-1991 to mid- form. Apparently, the original plan was This draft report concerns tort cases 1992. It should also be pointed out that to have the report out before the House in State courts. One of the so-called the study was based on phone inter- considered tort reform. The goal now findings of what is, undoubtedly, a views in only 45 of the 75 largest coun- seems to be to release it before the flawed report, is that tort case filings ties. Senate takes up tort reform. The Bu- have remained steady and that there is Now, to determine whether there was reau of Justice Statistics claims the no tort litigation explosion. an explosion in tort filings, it seems to study has been in the system for sev- I believe this document by the Bu- me that you would need to start with eral years. If this is so and they, in- reau of Justice Statistics was clearly data at least as far back as 1970, or deed, had several years to compile this prepared for political reasons. This is maybe as late as 1980, and run a longi- study, why is it so limited and so con- underscored by the fact that the study tudinal analysis to see what happened. veniently timed? conveniently omits any study of the The study simply declares out of thin I strongly believe that this document cost of torts; it omits all Federal li- air that ‘‘multi-State data’’ since 1986 by the Bureau of Justice Statistics was ability suits; and it is a scientifically proves that there has not been any clearly prepared for political reasons. flawed telephone-based survey on only such explosion. Another concern I had Once again, this is underscored by the a fraction of the counties in the United was the fact that no financial data of fact that the study conveniently omits States. In addition, the report does not any kind was shown anywhere in the any study of the cost of tort, no study even address many of the important report. Let me stress that again. In of the cost of torts. It omits all Federal issues regarding tort reform. this whole study of tort liability explo- liability suits and is a scientifically Included in this report are some of sion, there is no financial data of any flawed telephone-based survey of only a the results from a study of tort cases kind involved in the report. fraction of the counties in the United in State courts. The study claims that This means that there is no way to States. the basis of this report is a representa- identify the most important of all indi- tive sampling of the courts in which cators. The report simply omits any In addition, the report does not ad- half of all tort cases nationwide are ad- discussion of whether the size of tort dress the real issues, such as what ef- judicated. I disagree with that, Mr. awards had changed over the years. fect do large awards have on settle- President. Because there are no financial data, ments, and is there extensive venue First of all, the report only involves there is no way to see if venue shop- shopping for those counties which con- 16 States and a total of 75 counties out ping is real or not. For example, we sistently make the most outrageous of our more than 3,000 counties, but know that awards in certain counties awards? there is nothing scientific about their in Texas are extreme. However, you You could hypothesize about the an- selection. They are simply the 75 most would not know that from this report. swers to these questions. That is why

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00028 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5301 our civil justice system is in need of re- cluded in debate on the floor this after- I want to emphasize as loudly and as form, and studies like this, I think, noon becomes increasingly unlikely. I plainly as I possibly can, our desire is cloud the issue. If this report comes am disappointed because I feel it was not to hold up this bill. Our hope is out as written, the Justice Department an effort made on the part of many that we do not have to hold up this bill. should be embarrassed, the people in Senators—Republicans and Demo- Our hope is that before we leave here, the Bureau of Justice Statistics should crats—to bridge our differences to ac- Democrats and Republicans can come be ashamed that they allowed them- complish what we all want. to time agreements on amendments. selves to be used for political purposes, The amendment that I have had We will have up-or-down votes on the and I hope the Justice Department will pending has now been pending for a amendments that are proposed on this try to reestablish some credibility and week. Unfortunately, we have not had side and do so in a way that will allow integrity by refusing to release this re- the opportunity during these negotia- Members to get our business accom- port or at least require it to meet min- tions to vote on it or on any other plished. Democratic amendment. We have been imum scientific standards. We will finish, we will have final pas- hopeful that over the course of the last I also hope and even challenge the sage, and we can all go home satisfied, several days, we could have come to media to look into this matter and however the votes may fall. We only shine some light on the political ma- some conclusion about the agreement or about at least a time limit relating hope we will be given the opportunity neuvering that is going on over at the to have up-or-down votes on these Justice Department. to the amendments, and come to some conclusion this week in one way or the issues because that is critical to the The Assistant Attorney General, or degree of enthusiasm, the degree of Associate Attorney General, Mr. other. That now does not look possible. But the fact is, because we have not support that we ultimately will have Schmidt, will be briefed on this tomor- for the bill itself. row. He has an opportunity to make been given an opportunity to have sure this study, if it is going to be used votes on these amendments, we will I think it is very clear that for a lot as a basis, is done in a more scientific come to the cloture vote this afternoon of different reasons, we have not been and intellectually honest way and, not having had one vote on one Demo- given a right today to offer those most importantly, it seems to me, cratic amendment. As a result, I urge amendments, and it is equally as clear since this study has been supposedly my colleagues to protect our right to that, unless we block cloture this going on for a long period of time, that offer these amendments. I urge my col- afternoon, we will not have that right we do not let it come out at just about leagues to recall how important it is after 2 o’clock today. this time that the Senate is going to that the amendments that we have of- So, Mr. President, I come to the floor discuss the issue of tort reform. fered over the course of the last couple to express regret. In good faith we have There has to be the integrity of an of weeks dealing directly with the con- not been able to accomplish what I sin- cerns that have been raised on this agency, as the Justice Department, cerely had hoped we could accomplish. floor now for more than 7 days, that we particularly under this Attorney Gen- Having said that, we now must accom- have the opportunity to have good de- eral, seems to have a great deal of inde- plish what our original intent was, bates about those issues prior to the pendence and integrity, to make sure which was try to protect all three goals time we come to closure on this vote. that there is not this sort of manipula- As I have said on several occasions, as we move toward final passage of this tion that is going to undercut the prin- we really have three goals here: legislation. cipal approach to running the Depart- The first goal is to ensure the Fed- I urge my colleagues to weigh care- ment that our Attorney General has eral Emergency Management Adminis- fully their decision on this cloture mo- assumed. tration is adequately funded. tion. I hope that we can defeat it, not I hope that my speaking at this point The second goal is to ensure that we in the interest of extending debate, not will encourage another look-see at this provide the necessary deficit reduction in the interest of prolonging this issue report, and I hope that the report that that this rescissions package will any longer than we have to, but in the I have seen will not be the one that allow, and we are now at a point of $15 interest of accomplishing the three comes out. I think there are plenty of billion in the total deficit reduction goals and protecting our rights to offer checks and balances within our system package. amendments and improve legislation to see that it does not, and I hope those And the third goal was one that all of as these occasions arise. checks and balances will work in this us on this side of the aisle feel espe- instance. I yield the floor. cially strongly about. So, Mr. President, to accommodate my colleagues who have amendments f That is, if we are going to do it, we should do it right. If we are going to do to the bill, it is important at this EMERGENCY SUPPLEMENTAL it, we should ensure that we do not eat point, from a parliamentary procedure APPROPRIATIONS ACT the seed corn. We should ensure that as motion only, to withdraw my amend- The Senate continued with the con- we remember our priorities, we remem- ment to allow others to offer the sideration of the bill. ber our kids and working families who amendments that they will so offer. I Mr. DASCHLE addressed the Chair. are struggling to ensure that they can will certainly come back at a later The PRESIDING OFFICER. The mi- be productive citizens in this country. time and describe, as we intend to, the nority leader. Those are the three goals. Our whole importance of the amendments that Mr. DASCHLE. Mr. President, last effort, the amendment that we have will make in the composite what our night, the majority leader and I an- pending, is designed to accomplish amendment was originally designed to nounced that we had a tentative agree- those three goals. Without that amend- do as it was laid down last Friday. We ment with regard to the pending legis- ment, unfortunately, all we do is ac- will do that at a date or at a time lation. We had hoped that as a result of complish the first two goals. We pro- later, perhaps today. our negotiations, which have been con- vide adequate funding for FEMA. We AMENDMENT NO. 445 WITHDRAWN ducted in good faith on both sides, it provide for necessary deficit reduction, would lead, hopefully, to an oppor- but we do it at the expense of kids. We Mr. DASCHLE. Mr. President, at this tunity to come to some closure in the do it at the expense of people who are time I withdraw my amendment. not-too-distant future on this impor- counting on these investments so they I yield the floor. tant matter. can be the productive, working people The PRESIDING OFFICER. The mi- Unfortunately, as a result of dif- that they want to be. nority leader has that right. Amend- ferences on both sides of the aisle with That is what this debate was about. ment No. 445 is withdrawn. regard to the agreement, amendments So this cloture vote is very important. are likely which would significantly It is a cloture vote that will allow The amendment (No. 445) was with- alter the result of the negotiations Members the opportunity to accom- drawn. that have been ongoing. plish all three goals. Without defeating The PRESIDING OFFICER. As a re- As a result, the real prospect that the cloture we will not have that protec- sult, the second-degree amendment No. agreement could be successfully con- tion. 446, which was pending thereto, falls.

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00029 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5302 CONGRESSIONAL RECORD — SENATE April 6, 1995 Mr. PRYOR. Mr. President, may I ings. The distinguished Democratic aside last week so we could move on to ask the Chair if we are in morning leader just said he would like to see other issues. We are about 3 degrees business at this time? this bill passed. The President has said down the line past that amendment. The PRESIDING OFFICER. The he would like to see this legislation But in an effort to move this legisla- pending business is H.R. 1158. passed. We want it passed. Everybody tion, I think an agreement had been Mr. PRYOR. Mr. President, I ask wants it, but we do not seem to be able worked out that would have dealt with unanimous consent that I may speak to get it. that and a number of other issues so we as in morning business. I really think we need to work—— could bring it all to a vote. But they The PRESIDING OFFICER. Without Mr. KENNEDY. Will the Senator are related. All of these are related. We objection, it is so ordered. yield on that point? have to decide what we are going to do Mr. PRYOR. Mr. President, I thank Mr. LOTT. To be able to find an with the Jordan aid, where is it going the Chair. agreement to bring all these issues to to go? Of course, it is on this bill but it (The remarks of Mr. PRYOR per- conclusion, one that I think would be is not on the DOD appropriations bill, taining to the introduction of S. 687 are basically satisfactory to both sides. as I understand it, right now. So we are located in today’s RECORD under Sure, we disagree on how we should get trying to get all these to positions ‘‘Statements on Introduced Bills and there. But maybe we should have just where we can complete all this legisla- Joint Resolutions.’’) started voting, taking up issues and tion. The PRESIDING OFFICER. The Sen- voting on them a week ago. But there Several Senators addressed the ator from Mississippi. was a feeling that we could reach an Chair. Mr. LOTT. Mr. President, I just rise agreement, and that negotiating start- Mr. SANTORUM. Will the Senator to really express my great disappoint- ed I think last Thursday, and here we yield? I just wanted to follow up on a ment that, after working for over a are a week later, emptyhanded. comment you made, which is the—— week, no agreement has been reached So I really urge my colleagues here Mr. FORD. May I say to the Senator on this legislation. Now we will be this afternoon to vote for this cloture that you go through the Chair. going to a cloture vote at 2 o’clock. I motion so we can limit the list of Mr. SANTORUM. Mr. President, of certainly hope that cloture will be in- amendments to somewhat of a reason- the 72—— voked. I remind my colleagues if that able number, at least germane amend- The PRESIDING OFFICER. The Sen- is done, we still will have lots of time ments, and begin to get some limit on ator from Mississippi has the floor. to debate—30 hours, I believe. Germane the time so we can bring all these Mr. LOTT. Mr. President, I yield for amendments would still be in order. I issues to a conclusion. That is all we a comment to the Senator from Penn- think most of the key amendments are asking for. That is all we were sylvania; for a question to the Senator that colleagues on that side of the aisle seeking yesterday. from Pennsylvania. have been interested in would be ger- I think it would certainly serve us The PRESIDING OFFICER. The Sen- mane. well if we would invoke cloture here ator from Pennsylvania. But as it stands right now, I believe and then go forward. Mr. SANTORUM. Mr. President, is it there are some 72 amendments on one Failing that, let us see if we cannot not true, I ask the Senator from Mis- side pending and a number on the other enter into some time agreements, some sissippi, that 41 of the 72 Democratic side. We still have 100 amendments at understanding about the limit of amendments would be germane after the desk. Many of them are obviously amendments. There has been no reduc- this cloture vote? So 41 of the amend- not germane and really nobody ever in- tion really in the number of amend- ments that have been filed—41 is hard- tended for them to actually be voted ments that are pending out there. So I ly a paltry sum—would be germane on, I suspect. will be glad to yield to the Senator after this cloture vote would have been But after a week of negotiations, we from Massachusetts, if he would like acted upon? basically came up emptyhanded. I for me to yield. We are going to have to Mr. LOTT. I might respond, Mr. know there was a lot of good-faith ef- vote here in a minute. President, that is my understanding. I fort. I thought a reasonable agreement Does the Senator want me to yield? I think most all of the portions of the had been worked out between the yield to the Senator from Arkansas. pending Daschle amendment, with Daschle amendment and the Dole Mr. PRYOR. Does the Senator from maybe one exception, could be offered amendment that was pending, with an Mississippi yield for a question? under this cloture vote. understanding there would still be a Mr. LOTT. Sure. Mr. SANTORUM. My second question few amendments that would be offered Mr. PRYOR. I cannot figure out for would be, of the Daschle amendment on both sides—two, three, four, five, the life of me who over here is slowing add-backs that we have debated here whatever—but that we would find a down the defense supplemental appro- for several days, is it not also the Sen- way to bring it to conclusion. priations bill. Could you name anyone ator’s understanding that every single Here we are Thursday afternoon. Pre- who is slowing down that particular one of those add-backs would be eligi- sumably, we are going to go out to- bill over here? ble to be added back after cloture, with night or tomorrow or Saturday or Mr. LOTT. They are all related, if I the exception of the Goals 2000 provi- sometime for the Easter recess period. might respond to the Senator. sion which is neither in the House nor I just have to raise this specter. Are we Mr. PRYOR. We have been overly the Senate bill? now going to just let this die off, go off anxious to get that bill out and get it Mr. LOTT. Mr. President, I might re- into the night with no results? No De- sent to the President. We are anxious spond, I have not looked at every one partment of Defense supplemental ap- to get this bill acted upon. All last of them on that list to make sure or propriations? No Jordan aid? No rescis- week, we were involved basically with find out if that would be true, but I un- sions package? Is this the total white an amendment offered by a Republican derstand there is—maybe the Goals flag of our effort to begin to seriously Senator, our friend Senator D’AMATO, 2000 would be the only one not open to deal with the needs for supplemental from New York, relative to Mexican be offered after the cloture vote. appropriations, commitments that aid. We have been trying our very best Mr. SANTORUM. I thank the Senator have already been made and paid for in to start voting on some amendments for yielding. the Department of Defense, in disaster offered on this side, and we have yet to Mr. LOTT. Mr. President, I yield the aid? And the first opening effort, the have been afforded that opportunity. floor, in view of the time, for the clo- first shot to begin to deal with the def- Mr. LOTT. I will respond to the Sen- ture vote. icit? Are we not going to be able to do ator, there has been an effort going on The PRESIDING OFFICER (Mr. any of that? Just collapse in a puddle to try to work out a process where we THOMAS). The Senator from Kentucky. of nothingness here in the Senate? could vote on the related amendments, Mr. FORD. Mr. President, I hear all I cannot believe my colleagues would a number of amendments, and bring it this blame put on us. In the last 2 want to allow this to happen. We need all to a conclusion. We have not had years, all the blame has been the other to find a way to begin to make some the Mexican amendment really before way. I wish some of the leadership on savings. This bill provides some sav- us for quite some time. That was set the other side would give me an hour

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00030 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5303 so they could explain to me how they VOTE Connie Mack, Craig Thomas, Jesse Helms, John H. Chafee, Thad Cochran, provided for gridlock in the last session The PRESIDING OFFICER. The so I would be better at gridlock this Mark Hatfield, Pete Domenici, Dan question is, Is it the sense of the Sen- Coats, and Judd Gregg. session. ate that the debate on the Hatfield You are now 6 days late on the budg- Mr. DOLE. Mr. President, let me in- amendment number 420 to H.R. 1158, dicate to the distinguished Democratic et. In the last 2 years, we have had the the supplemental appropriations bill, budget on time. It was due April 1. It is leader, who is on the floor, it is still shall be brought to a close? my hope that we can reach some agree- due out here, by both Houses, on April The yeas and nays are required. The 15. We hear all this moaning and groan- ment. It seems to me we are not that clerk will call the roll. far apart. We ought to be able to do it. ing and crocodile tears as it relates to The legislative clerk called the roll. we will not do that; we want to start I am certainly prepared to sit down The yeas and nays resulted—yeas 56, with the Democratic leader, or anyone saving; we want to start saving—but nays 44, as follows: we have a budget that is due to put us else, if there is a problem. But, just in [Rollcall Vote No. 127 Leg.] on the track to 2002 and you are 5 days case we cannot work it out, then I have late, and we are not going to get it YEAS—56 filed a cloture motion, because I do probably until May. Abraham Gorton Moynihan think it is important that we finish Ashcroft Gramm I say to my friend, let us get a budget Murkowski this bill so we can take up the defense Bennett Grams Nickles supplemental bill and some other out here. Let us really start doing Bond Grassley Packwood things. Brown Gregg Pell things after that. Burns Hatch Pressler But I am prepared and I think the The PRESIDING OFFICER. The time Campbell Hatfield of the Senator has expired. Roth Democratic leader is prepared and, Chafee Helms Santorum Coats Hutchison hopefully, our colleagues are prepared. Mr. DOLE. Mr. President, if I could Shelby Cochran Inhofe proceed for 1 moment—1 minute? Simpson It seems to me we have one of two Cohen Jeffords Smith choices. Either we try to finish this to- The PRESIDING OFFICER. Without Coverdell Kassebaum objection, it is so ordered. Craig Kempthorne Snowe night with no votes tomorrow, or we Mr. DOLE. Mr. President, I still hope D’Amato Kyl Specter will be here tonight and tomorrow and DeWine Lott Stevens maybe Saturday. But, that is up to our we can work this out. We were about Thomas Dole Lugar colleagues. I cannot believe any of that close, or closer. The Democratic Domenici Mack Thompson leader and the Republican leader Faircloth McCain Thurmond these amendments are so critical they worked throughout the day with other Frist McConnell Warner cannot wait until the next supple- Senators on both sides. We thought we NAYS—44 mental or until the appropriations bills start arriving. had an agreement. Akaka Feingold Leahy We thought we had an agreement. I Baucus Feinstein Levin I think there was a lot of give and still hope it is possible to get the Biden Ford Lieberman take on each side in good faith. I Bingaman Glenn agreement. If that happens, we could Mikulski thought we were almost there. But if Boxer Graham Moseley-Braun we make an agreement and everybody finish our work very quickly today and Bradley Harkin Murray there would be no votes tomorrow or Breaux Heflin Nunn says, ‘‘Well, I will make the agreement Bryan Hollings Pryor but I want to go back and offer an Saturday. But if not, then I do not Bumpers Inouye Reid amendment to try to undo the agree- think we have any other choice other Byrd Johnston Robb Conrad Kennedy ment,’’ then we do not have an agree- than to try to complete this bill to- Rockefeller Daschle Kerrey ment. Either we have an agreement or night with or without cloture. Sarbanes Dodd Kerry we do not have an agreement. So I still think there is a genesis of Dorgan Kohl Simon an agreement here. I would say to the Exon Lautenberg Wellstone I can agree, if you let me have 25 White House, I hope that you will help chances to improve on what I have al- The PRESIDING OFFICER. On this ready agreed upon, but I do not think us reach an agreement, because, until vote, the yeas are 56, the nays are 44. there is an agreement, there will not be that is an agreement. Three-fifths of the Senators duly cho- I hope that we can resolve everything any defense supplemental taken up in sen and sworn not having voted in the this body. so that, when it comes to the floor, I affirmative, the motion is not agreed can persuade the Senator from New f to. York to withdraw the amendment with Mr. REID. Mr. President, I suggest reference to Mexico. He has not done CLOTURE MOTION the absence of a quorum. that yet. We have the Jordan aid in The PRESIDING OFFICER. Under The PRESIDING OFFICER. The this package that I know the adminis- the previous order, the hour of 2 p.m. clerk will call the roll. tration is very concerned about. having arrived, the clerk will report The assistant legislative clerk pro- So I hope there would be some way to the motion to invoke cloture. ceeded to call the roll. bring it together in the next, say, 45 The legislative clerk read as follows: Mr. DOLE. Mr. President, I ask unan- minutes to an hour. CLOTURE MOTION imous consent that the order for the I also remind my colleagues on this We, the undersigned Senators, in accord- quorum call be rescinded. side of the aisle, there is a Republican ance with the provisions of rule XXI of the The PRESIDING OFFICER. Without conference in progress in S. 207 which Standing Rules of the Senate, hereby move objection, it is so ordered. will end, hopefully, at 3 o’clock. to bring to a close debate on the Hatfield f I am happy to yield the floor or yield amendment No. 420, to H.R. 1158, the supple- CLOTURE MOTION to my colleague from South Dakota. mental appropriations bill, signed by 17 Sen- Mr. DASCHLE addressed the Chair. ators as follows: Mr. DOLE. Mr. President, I send a Senators Mark, Hatfield, Pete Domenici, The PRESIDING OFFICER. The mi- cloture motion to the desk. nority leader. Rick Santorum, Larry Pressler, Mitch The PRESIDING OFFICER. The McConnell, Slade Gorton, Rod Grams, Mr. DASCHLE. Mr. President, as I Ben Nighthorse Campbell, Conrad clerk will report. said before the vote, it was not our de- Burns, Mike DeWine, Nancy Kasse- The legislative clerk read as follows: sire to hold up this bill. I will reiterate baum, Ted Stevens, Jesse Helms, Rob- CLOTURE MOTION my sincere desire to work with the ma- ert F. Bennett, Spencer Abraham, Dirk We, the undersigned Senators, in accord- jority leader in finding an agreement. Kempthorne, and Fred Thompson. ance with the provisions of rule XXII of the What I hope we might be able to do, f Standing Rules of the Senate do hereby perhaps, is to maybe run two tracks, move to bring to a close debate on the Hat- get some debate and offer some of these CALL OF THE ROLL field amendment No. 420 to H.R. 1158, the supplemental appropriations bill: amendments. We could maybe work The PRESIDING OFFICER. By unan- Bob Dole, Fred Thompson, Rick out some short time agreements and imous consent, the quorum call has Santorum, Alfonse D’Amato, Chuck have a good debate, rather than just been waived. Grassley, Trent Lott, Larry Craig, putting the Senate in a quorum call,

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00031 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5304 CONGRESSIONAL RECORD — SENATE April 6, 1995 and then work simultaneously to see if aisle claim never to have signed it, and calls them reform. It reruns a lot of we might not be able to address some many Americans have no idea what it 1980’s political bumper sticker slogans of these concerns. is, much less any idea of its various and calls them a program for change. I agree with the majority leader. We provisions. The term ‘‘contract’’ is usu- The Revolution has come to Wash- are close and perhaps we can find a way ally reserved for binding documents ington! Rejoice all mad-as-hell citi- to accommodate many of the concerns which two or more parties have agreed zens! Well, if this is a revolution, it raised on both sides of the aisle. to and signed. But, not so with this so- must certainly be called the retread But perhaps at the same time we called contract with America. It is sim- revolution. Term limits, balanced might be able to accommodate some ply the wish list of the extreme faction budget amendment, line item veto, en- Senators who have been waiting pa- of one political party, packaged to sell hanced rescission, separate enrollment, tiently to be able to offer amendments. better by giving it the legitimacy of tax cuts—there is a tough one; there is If we could do that, perhaps that might the word ‘‘contract.’’ It is clever, es- a tough one—all of these old bald tires even accelerate our progress. sentially meaningless ad-man lingo, have been around for years. I reiterate my sincere desire, and I probably conjured up by some pollster. And what about those tax cuts? Mr. think the desire on this side, to work But, in any event, the Nation will, no President, earlier this year the House in earnest and try to accommodate ev- doubt—at least part of the Nation—be of Representatives passed the balanced eryone and successfully complete this glued to the TV sets on Friday evening budget constitutional amendment in bill. to hear the 100-day report on the just 2 days—2 days. A similar measure I yield the floor. progress of the so-called contract, as failed to pass the Senate by only two Mr. DOLE. Will the Senator yield? promised. But everything about this votes. During the debate on these pro- We are prepared to vote on the amend- made-for-TV drama will be somewhat posals, Republicans nearly drowned the ment of the Senator from Massachu- of a fantasy. American people in a sea of rhetoric setts. I do not think we need any addi- First, as I have already indicated, the proclaiming the need for such an tional debate on that. I am for it, not contract is merely a made-up device. amendment. that it makes any difference. Second, the so-called 100-day report is Deficit reduction, it was claimed, was Mr. KENNEDY. We are quite pre- not occurring after 100 days. Friday, the most pressing issue facing Congress pared to vote. I do not think we need April 7, will only be the 94th day since today. We heard a lot about our respon- additional time. We wanted to do that the convening of the 104th Congress. sibility to future generations, about at the earliest possible convenience. The real 100th day will occur on Thurs- the need for fiscal discipline, and about We welcome the opportunity to have a day, April 13th, smack in the first week the need to make tough choices. The rollcall vote. of the April congressional recess. So we American people were told that there Mr. DASCHLE. I think the distin- will be getting the report on the so- would be shared sacrifice among all for guished Senator from New York will be called contract, which is not really a the good of the Nation. Everyone was interested in speaking to the amend- contract, on the so-designated 100th going to do his fair share to beat back ment prior to the time we vote, but I day, which is really only day 94. But, the economic dragon of deficit spend- am sure there could be some relatively then of what import are messy details ing. brief time agreement that we could when one is busy manufacturing non- For weeks we heard lofty speeches in work out to accommodate him, and news while conducting a pseudo revolu- this body over the need to reduce defi- others, who may yet want to speak. tion? cits. Now, for the House to come right But I do not think it will take that We will undoubtedly hear of the wild along behind that debate and enact a long. I suggest we do that. success of the so-called contract when, huge tax cut financed by cuts in gen- Mr. DOLE. Why do we not agree to in fact, only two of its provisions have eral spending makes a mockery of all have the time between now and 3 been enacted into law, and these two the hot air we heard in this body about o’clock equally divided and then vote were relatively noncontroversial. In re- deficit reduction. To suggest squan- at 3 o’clock? I think the Senator from ality, two of the contract’s major te- dering our budget savings on tax favors West Virginia also wants to speak on nets, the balanced budget amendment for the well to do and for big corpora- some other issue. and the term limits proposals have tions is just plain crazy. For the House Mr. BYRD. I can wait. gone down to defeat, while a third, a of Representatives to pass a tax cut Mr. DOLE. Is that satisfactory? misnamed proposal being loosely called giveaway which will cost the American Mr. DASCHLE. If the majority leader line-item veto which, by the way, may people $189 billion over 5 years and ap- will let me consult with the distin- be found to be unconstitutional, may proximately $700 billion over 10 years is guished Senator from New York, Sen- be stuck in a House/Senate conference clearly walking away from any serious ator MOYNIHAN, to see how much time for perhaps a long time. Only in Wash- attempt to reduce the deficit. he may require, we can resolve this ington would this type of report card We will hear a lot of talk about the matter very soon. be touted as successful. Rather than a winners and the losers under the so- Mr. DOLE. While the minority leader 100-day report on the progress of the called contract in the coming days. is checking, I suggest the absence of a contract, this coming performance But, in my view, there are no winners quorum. might be better billed as a 94-day alibi when what should be a serious attempt The PRESIDING OFFICER. The for the failure of an extremist agenda. to address the Nation’s problems is re- clerk will call the roll. The truth of the matter is that the placed with glitzy media shows, over- The legislative clerk proceeded to so-called contract is pretty much of a blown rhetoric, one-line solutions, and call the roll. flop. And just like a bad play in the junk legislation enacted in a rush to Mr. BYRD. Mr. President, I ask unan- theatre, a bomb is a bomb. You can meet a phoney deadline, and huge tax imous consent that the order for the punch up the dance numbers, spice up cuts designed to benefit the well to do. quorum call be rescinded. the dialog and gussy up the costumes a We all lose. We all lose when that kind The PRESIDING OFFICER. Without little bit, but in the end a flawed script of superficial excuse for leadership is objection, it is so ordered. will flop and nothing on God’s green offered to the people as a substitute for f earth will save it. the real thing. Likewise, at the end of this particu- The truth is that Barnum and Bai- FIRST 100 DAYS OF SO-CALLED larly bad show this so-called contract ley’s is not the only show in town this REVOLUTION will also be judged a flop and a failure. week. All of this touting of a revolu- Mr. BYRD. I thank the Chair. That will happen because the contract tion and praising of a nonexistent con- Mr. President, tomorrow we will hear is a giant gimmick comprised of other tract with America is nothing more about the first 100 days of the so-called lesser gimmicks, and it does not ad- than a less entertaining version of the revolution, and about the success of dress real problems in our Nation. It same sort of circus. the misnamed contract with America. I merely packages several old canards This contract is a sham and it will call the contract misnamed because so which are holdovers from the last pop- ultimately be judged a failure because many Senators on both sides of the ular Republican administration and the American people will never choose

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00032 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5305 the so-called contract over the Con- 1986 to provide for taxation of accrued tion can take place to help children, stitution, the Constitution of the gains at the time that a person relin- particularly toddlers, as defined by the United States of America. It will fail quishes U.S. citizenship; and it is the Carnegie Commission report; the Pro- because it is mostly form devoid of sub- sense of the Senate that the amend- gram for Women, Infants, and Children stance. It will fail because it opts out ment referred to should take effect as [WIC], which provides expectant moth- of trying to find solutions to real prob- if enacted February 6, 1995. ers with high-quality nutrition; the lems, and instead tries to rig the game This is defined as the billionaires’ School-To-Work Program, that is being and rearrange our cherished checks and amendment. reviewed now before our Human Re- balances in order to further a mis- Just to review the amendment very sources Committee and will provide guided political agenda. And it will fail quickly, Mr. President, it was part of one-stop shopping for youth trainees; because it plays on people’s fears and the small business health care deduc- and the child care program, which is so anger, instead of nourishing their tion bill to permit the self-employed to essential for working families to en- hopes and their dreams. deduct 25 percent of their premiums. sure that their children are adequately It will also fail, I believe because of It had been included by the Finance cared for. the genius of the Framers in their Committee, and was a part of the legis- The amendment restores approxi- crafting of a U.S. Senate, designed to lation which we passed. This provision mately $700 million in these programs. slow things down, educate the public addressed a serious loophole in the In- Other programs in the amendment for and talk things through in extended ternal Revenue Code. training and housing total $700 million. debate. That loophole can be explained as That requires a restoration of $1.4 bil- For my part, I only wish that tomor- follows: An individual can accumulate lion, and we have spent days debating row night, instead of the touting of massive sources of wealth, owe their this amendment. By and large, most some made-up, fabricated so-called fair share of taxes to the Internal Rev- members of the Senate have voted in Contract With America in a partisan enue Code, renounce their American favor of these programs. A handful attempt to manufacture fervor for a citizenship, become what I consider to have not, but by and large it has been political agenda, the American people be a Benedict Arnold, change their a bipartisan effort. will hear a detailed explanation of how residency to another country, and ef- At the same time, we are not recov- the last 94 days have once again dem- fectively avoid and evade any responsi- ering the $1.4 billion from those Ameri- onstrated the innate wisdom, power, bility to pay their fair share of taxes cans who are renouncing their citizen- and grandeur of the only contract ever on all unrealized gains. ship and turning their backs on Amer- It has been estimated that the cost of agreed to by the people of America and ica. If they were not renouncing their this tax avoidance is $3.6 billion, in- sworn to by all of the Members of the citizenship, they would owe that cluding both American citizens and Senate and the House. That contract is money to the Federal Treasury. We permanent resident aliens. the Constitution of the United States have not recaptured that money. It was It is important to note that the of America. dropped in the conference committee measure reported out of the Finance Mr. President, I yield the floor. on the small business legislation. The Committee related only to American The PRESIDING OFFICER. The mi- small business legislation with the ap- citizens. I am hopeful that the Finance nority leader is recognized. propriate language, which had been ac- Committee and the Ways and Means Mr. DASCHLE. Mr. President, I have cepted in the Finance Committee, ac- Committee, when they revisit this consulted with colleagues on this side cepted on the floor of the Senate, and issue, will consider the administra- and I think as a result of our discus- went to the conference, came back tion’s proposal, which would include sions in recent minutes that we will be without the necessary language. able to enter into a fairly short-time both American citizens and permanent With this amendment, we are saying agreement on this particular amend- resident aliens. that the membership feels that this ment. This provision only affects about 25 loophole must and should be closed, Whatever length of time the distin- Americans a year. But the cumulative and will be closed at the first oppor- guished Senator from Massachusetts loss to the Federal Treasury is $1.5 bil- tunity. And the date will be made ret- would like to speak I think will be all lion over a 5-year period and $3.6 bil- roactive to the date of original intro- the time required on this side. We lion over a 10-year period. duction by President Clinton, who has would be prepared to vote. This matter is of major importance, Mr. KENNEDY. Mr. President, could Mr. President, because the Senate is taken a personal interest in closing we have 15 minutes, evenly divided? I now debating the rescissions legisla- this loophole. will be glad, as I had previously indi- tion, rescissions meaning cuts in a The majority leader has indicated cated to the leadership, make a brief number of different programs. These that he will support it. The chairman presentation. And I am glad to accom- are programs that the Congress has au- of the Finance Committee has said modate the timeframe. I could com- thorized, and for which we have made that he will support it. The Senator plete my statement in a shorter period, appropriations. The President has from New York, Senator MOYNIHAN, as or take a few extra minutes. signed these measures into law, and well as Senator BRADLEY and other I will be glad to begin, and when the now Congress is revisiting these com- members of the Finance Committee, leaders work out a time agreement, I mitments and deciding how to cut the have all expressed their support. will accommodate it. various programs. The vote is important because we Mr. DASCHLE. Mr. President, I sug- The Daschle amendment that is be- want to make sure that the Senate’s gest the Senator begin his remarks, fore the Senate would restore funding hand is strengthened when the measure and in the meantime we will try to for some of these programs: the vol- goes to conference. Hopefully, this will work out an agreement. untary community service program be a unanimous vote, which will fur- AMENDMENT NO. 448 TO AMENDMENT NO. 420 called AmeriCorps; the drug-free ther strengthen the hand of the Senate. (Purpose: To state the sense of the Senate schools program, which assists parents, It will be a clear indication that the regarding tax avoidance by certain former schoolteachers, and school boards with Senate of the United States wants this citizens of the United States) the problems of substance abuse and vi- loophole closed, and that the renunci- Mr. KENNEDY. Mr. President, in a olence in the schools; the chapter 1 ation of citizenship, after an individual few moments, we will consider the education program, which assists dis- has taken advantage of the American amendment numbered 448. To again fa- advantaged children; the Goals 2000 free enterprise system, and the avoid- miliarize the Members of the Senate of Program, which would provide suffi- ance of the responsibility to pay a fair its intent, I will read it. It is a brief cient funding for 1,300 school districts share of taxes, is unacceptable. amendment. around the country for needed reforms An individual has every right to re- This amendment states that it is the and improvements in academic nounce his or her citizenship and leave sense of the Senate that Congress achievement; the well-known Head America, and we have some 800 every should act as quickly as possible to Start Program, that has been extended year who do so. We are not saying that amend the Internal Revenue Code of to 0- to 4-year-olds, so that interven- they cannot leave. We are saying that

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00033 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5306 CONGRESSIONAL RECORD — SENATE April 6, 1995 if they decide to leave, they should pay Mr. KENNEDY. Mr. President, I ask amendment would only recover what is their taxes prior to their leaving. unanimous consent that reading of the owed to the Internal Revenue Service, Mr. DORGAN. Mr. President, I won- amendment be dispensed with. which is part of one’s responsibilities der if the Senator will yield for a ques- The PRESIDING OFFICER. Without of citizenship. tion? objection, it is so ordered. Mr. President, we have appreciated Mr. KENNEDY. Yes. Let me finish The amendment is as follows: with one thought. the strong support that we have re- At the appropriate place in the amend- ceived on this measure. This provision is not a new concept. ment, insert the following: The concept itself is already included SEC. . SENSE OF THE SENATE REGARDING TAX This matter was brought to the at- in the Internal Revenue Code but is AVOIDANCE. tention of the President of the United drafted such that it does not protect (A) IN GENERAL.—It is the sense of the Sen- States a number of months ago, and he against this egregious loophole. This ate that Congress should act as quickly as personally pursued it with the appro- new provision will close the loophole. possible to amend the Internal Revenue Code priate committees and the Treasury I am glad to yield. of 1986, to eliminate the ability of persons to avoid taxes by relinquishing their United Department. Through his individual Mr. DORGAN. I appreciate the Sen- oversight, the matter was spotted and ator yielding. I know he has been wait- States citizenship. (b) EFFECTIVE DATE.—It is the sense of the will be corrected. ing for a week to offer this sense-of- Senate that the amendment referred to in With the vote today, we are telling the-Senate amendment. I know also subsection (a) should take effect as if en- this was dropped from a previous piece acted on February 6, 1995. our good friends in the House of Rep- resentatives that we are serious about of legislation that has been through Mr. DOLE. Did we get the yeas and this measure, and that it is a signifi- this Chamber and I cannot conceive of nays? cant issue of justice. The renunciation anyone in this Chamber who would The PRESIDING OFFICER. We have of one’s citizenship is deplorable, but it vote against this proposition. not gotten the yeas and nays. As I understand the current tax law— is a right that we respect. But the re- Mr. KENNEDY. Mr. President, I ask and I might ask the Senator to confirm nunciation of citizenship by individ- for the yeas and nays. this—that if you have accumulated The PRESIDING OFFICER. Is there a uals so that they do not have to pay substantial assets and wealth in this sufficient second? their fair share of taxes is wholly unac- country and have substantial gains on There is a sufficient second. ceptable. It is sufficiently compelling those assets and then decide to re- The yeas and nays were ordered. to generate a resounding vote. nounce your citizenship and leave the The PRESIDING OFFICER. The yeas Mr. President, I would just take an- country, we’ll give you a special deal. and nays are ordered, vote at 5 after 3. other moment of the Senate’s time. We You do not have to pay tax on the way Mr. KENNEDY. Mr. President, I will were questioned earlier about the rev- out on your gains. be glad to yield the floor if others want I am going to bring something to the enue estimates. It is interesting that to address the issue. I will just take a floor later this session on another per- the figures of both the Senate Finance few moments to mention one or two verse tax incentive that says, ‘‘Close Committee and the administration are your manufacturing plant in America other facts. very similar. The administration’s pro- The question was raised about this and move it overseas and we will give posal estimated a cost of $1.5 billion, you a tax break for that as well.’’ provision’s constitutionality. I will and the Finance Committee estimated As I understand it, what the Senator place more complete statements in the a cost of $1.359 billion. Those figures is offering is a sense-of-the-Senate RECORD, but I will now note the opin- are remarkably close. The Finance amendment saying let’s close the loop- ions of three very thoughtful inter- Committee’s estimate was less than hole by which people can renounce national law experts. Prof. Andreas the President’s figures because the Fi- their citizenship and leave this country Lowenfeld of NYU said: nance Committee estimated the cost with substantial amounts of accumu- I am confident that neither adoption nor for only American citizens, not perma- lated gains in income and end up pay- enforcement of the provision in question nent resident aliens. If we included per- ing no taxes. Is that the current tax would violate any obligation of the United manent resident aliens, the committee States or any applicable principles of inter- circumstance? national law. estimate would perhaps exceed the Mr. KENNEDY. The Senator has President’s estimate. Nonetheless, we stated it accurately and correctly. It is Prof. Detlev Vagts of the Harvard have two solid estimates approaching Law School said: a provision that is probably as inoffen- $1.5 billion. sive to all fair-minded Americans as The proposed tax does not amount to such The President’s proposal estimates a any other before this body. As we de- a burden upon the right of repatriation as to cost of $3.6 billion over a 10-year pe- bate our priorities on the floor, we constitute a violation of either international law or American constitutional law. It mere- have an opportunity to reduce the def- riod. That is a very substantial ly equalizes over the long run certain tax amount, which, if not collected, will ei- icit or invest these resources in our structures. children and our educational system. ther add to the Federal deficit or deny We can give a clear, resounding mes- And Michael Matheson, a legal advi- us the opportunity to invest in our sage to our members of the Finance sor at the State Department, said: first order of priorities, our children Committee so that this egregious loop- This provision does not conflict with inter- and our education system, through the hole will be closed at the next possible national human rights laws concerning an Head Start Program, the chapter 1 pro- individual’s right to freely emigrate from his opportunity. gram, child care programs, job training or her country of citizenship . . . . These are programs, the student loan program, Mr. DOLE. Is the Senator prepared to comparable taxes to those which U.S. citi- vote at, say 5 after 3? zens or permanent residents would have to and our School-To-Work program. All Mr. KENNEDY. I will be glad to vote pay were they in the United States at the of these programs reach out to the at 5 after 3. time they disposed of the assets or at their youngest of our citizens to make cer- Mr. DOLE. Up or down on the amend- death. tain that they are going to get a ment? The overwhelming international law healthy start, an even start, and a fair Mr. KENNEDY. I appreciate that. opinion on this measure is that it in no start in life, and be able to provide for Mr. President, I call up amendment way restricts the constitutional right themselves and for their own children 448. in the future. The PRESIDING OFFICER. Without of exit or of renunciation of one’s citi- objection the pending amendments will zenship. Mr. President, I ask unanimous con- be set aside. These international law experts un- sent that a November 21, 1994, article The clerk will report this amend- derstand this measure, and recognize from Forbes magazine that explains ment. that these individuals have accumu- this egregious tax loophole be printed The bill clerk read as follows: lated this wealth through the Amer- in the RECORD. ican economic system, and have a re- The Senator from Massachusetts [Mr. KEN- I look forward to the vote itself. NEDY] proposes an amendment (No. 448) to sponsibility to pay their fair share of amendment No. 420. taxes. As they understand it, the I yield the floor.

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00034 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5307 There being no objection, the article from there to 60%. You get a credit for some wants to decide who gets the benefits rather was ordered to be printed in the or all of your state inheritance taxes, but than letting Donna Shalala or Mario Cuomo RECORD, as follows: your combined rate will still be in this decide. range, or higher. Siebels-Kilnes became a Norwegian citizen [From, Forbes, Nov. 21, 1994] There are huge potential income tax sav- this year and moved her residence from Fort THE NEW REFUGEES ings, too, in giving up U.S. citizenship. St. Lauderdale, Fla. to Nassau. ‘‘I’ve spoken to a (By Robert Lenzner and Philippe Mao) Kitts-Nevis and the Cayman Islands, among number of hedge fund managers who are ‘‘Over and over again courts have said that others, levy no income taxes. Little wonder thinking of giving up their citizenship. It there is nothing sinister in so arranging so many of the expatriate Americans have may be better to be offshore running offshore one’s affairs as to keep taxes as low as pos- gone to the Caribbean for a year-round sun- money before American authorities clamp sible. Everybody does so, rich or poor, and tan. down on the advantages,’’ says Siebels- Not that living in the Bahamas is any all do right, for nobody owes any public duty Kilnes. great sacrifice. Michael Dingman is building A hot spot: St. Kitts-Nevis. All it requires to pay more than the law demands: taxes are a 15,000-square-foot home at the exclusive is owning $150,000 worth of local real estate enforced exactions, not voluntary contribu- Lyford Cay club in Nassau that will include and paying $50,000 in fees, and presto. St. tions. To demand more in the name of mor- a dock for his personal yacht. Cost: more Kitts-Nevis levies neither a personal income als as mere cant’’—Judge Learned Hand. than $10 million, but—who knows?—he might ‘‘I talk to a new client interested in expa- tax nor an estate tax. save more than that much in taxes. Top executives of midwestern industrial triating every week. Many people can’t pay The heirs of John (Ippy) Dorrance III, the companies nearing retirement are consid- the federal tax rate and live in the style they Campbell Soup heir, won’t have to pay Uncle ering expatriation as a way to ensure a high want.’’ So said Francis Mirabello, the head Sam the maximum bite of 55% of the 26.7 standard of living in a comfortable environ- of the personal law department at the Phila- million shares of Campbell Soup that make ment. delphia office of Morgan, Lewis & Bockius, up most of his $1-billion-plus fortune. His Is it greed alone that impels these citizen- speaking at a Bermuda conference on off- new fatherland, Ireland, levies a 2% estate, ship changes? Not necessarily. shore money early this fall. or probate, tax. In any event, Dorrance ‘‘These people love to challenge all the Expatriating? Give up U.S. citizenship? doesn’t escape the full federal income taxes. rules, even recognizing they may isolate Who in his right mind would give up his U.S. There’s a U.S. withholding tax of 30% on the themselves,’’ says Carol Caruthers, a partner citizenship? Lots of people. You could prac- $30 million he gets in dividends every year of Price Waterhouse in St. Louis. ‘‘We are tically fill a Boeing 747 with well-heeled U.S. from Campbell. doing preliminary planning for a few of citizens who have taken of foreign citizen- Many of these expatriates agonize over the them.’’ ship rather than submit to what Learned decision, however. ‘‘I have serious reserva- Expatriation is a fairly easy choice for Hand called ‘‘enforced exactions’’ at a level tions about expatriation for patriotic and many wealthy Americans who hold dual citi- that amounts to virtual confiscation. The practical reasons,’’ says tax expert Zabel. ‘‘It zenship—as Mobius already did—and whose exodus may speed up under an Administra- is extraordinarily difficult for Americans to wealth is heavily concentrated abroad any- tion that campaigned for office on a tax-the- get back their citizenship once it is given up. how. rich platform. To get it back you have to start like any ‘‘Since they may inherit these assets, a In 1981 Ronald Reagan lowered taxes. The other nonresident alien, with a green card, planning opportunity might be to give up following year not a single American gave up and go through the naturalization process. U.S. citizenship in order to avoid taxation on his citizenship. In 1993 the expatriate com- ‘‘Before expatriating I make my clients assets and income that have no connection munity grew by 306 names. consider all the limitations on loss of citi- to the U.S.,’’ says Robert C. Lawrence III, a The expatriates of recent years have in- zenship—like giving up the ability to travel Cadwalader Wickersham & Taft partner in cluded: to the U.S. more than 120 days a year.’’ New York who is advising on several such ex- Michael Dingman, chairman of Abex, and a But losing that American passport isn’t as patriations. Ford Motor director. Dingman is now a cit- hazardous as it once was. Profligate govern- You’ll need an ace attorney. If the Internal izen of the Bahamas and lives there. ment policies are steadily eroding the value Revenue Service suspects you are renouncing Billionaire John (Ippy) Dorrance III, an of the U.S. dollar, making overseas invest- your citizenship to avoid taxes, it will try to heir to the Campbell Soup fortune. Dorrance ments increasingly preferable for the tax your holdings for another ten years, no is now a citizen of Ireland and lives there as wealthy. Investments in emerging markets matter where you live. All the IRS need es- well as in the Bahamas and Devil’s Tower, look increasingly attractive. The end of the tablish is that it is reasonable to believe you Wyo. cold war means wealthy Americans can live gave up citizenship to avoid taxes. Then, the J. Mark Mobius, one of the most successful in many developing nations safely. Global burden of proving the move was not for tax emerging market investment managers. communication and jet travel facilitate an reasons falls on the former citizen. Born a U.S. citizen, Mobius has the German offshore lifestyle. What with computers and But whatever the drawbacks, many na- citizenship of his ancestors and lives in Hong cable TV, you can be as well informed, and tions put out the welcome mat for tax-averse Kong and Singapore. as quickly, living in Antigua as in New York Americans. Kenneth Dart, an heir to Dart Container City. Lawyer Mirabello, who is working on six and his family’s $1 billion fortune. He is a It certainly seems that way to Frederick expatriations, is changing citizenship for a citizen of Belize and works in the Cayman Is- Krieble, a director and former treasurer of superwealthy Chinese-American whose head- lands. Loctite Corp., the Rocky Hill, Conn. manu- quarters is in Hong Kong. He has never set Ted Arison, founder of Carnival Cruise facturer of sealants and adhesives. Krieble, foot in the U.S. and wants to avoid estate Lines. He kept Israeli citizenship and now whose father, Robert, was formerly Loctite taxes when he passes the empire to his chil- lives there. chairman, moved to Turks and Caicos Is- dren. These newer emigrants join others of lands, where he runs an investment com- Some of Mirabello’s clients are considering longer standing, including Robert Miller, the pany. Krieble owns almost 1 million shares becoming Irish citizens. What does that re- co-owner of Duty Free Shoppers Inter- of Loctite, worth over $43 million. quire? Certainly no hardship, given what a national Ltd. Miller has a British passport ‘‘It’s 85 degrees, but the market’s down 35 pleasant place Ireland is for those with obtained in Hong Kong, though he was raised points,’’ Krieble told Forbes recently. When money. They need only buy a home there in Quincy, Mass. he heard we wanted to discuss the subject of and reside there at least part of the year. The U.S. is virtually the only country in expatriation, Krieble clammed up. ‘‘I don’t Why Ireland? An Irish passport lets its the world that imposes significant income wish to discuss that. Have to run now.’’ holder travel hassle-free in any member of and death taxes on the worldwide income Yes, it’s a bit embarrassing, but consider the European Union. It also has more pa- and assets of every citizen, even if the cit- the consequences: decimation of your estate nache than a passport from Belize or St. izen is domiciled elsewhere. Even Canada, and huge reductions in your aftertax income. Kitts, two small tropical outposts. And, Dub- semisocialist, did away with estate taxes. Thus many money managers, senior execu- lin is being developed as a global money cen- ‘‘Expatriation has been called the ultimate tives and self-made entrepreneurs are on the ter with tax advantages for individual and estate plan,’’ says William Zabel, senior phone quizzing their lawyers and account- corporate investors. partner of Schulte Roth & Zabel, one of the ants about how to leave the high-tax U.S. How do you get an Irish passport? It should nation’s foremost authorities on trusts and Jane Siebels-Kilnes, a vice-president of be fairly easy for the rich. New regulations estates, and author of the upcoming book Templeton, Galbraith & Hansberger, in Nas- will probably require a $1.6 million invest- The Rich Die Richer—And You Can Too. sau, told Forbes she was ‘‘following in the ment in a job-producing operation like the The arithmetic is simple and brutal. A footsteps of Sir John Templeton,’’ who gave reforestation of an area or modernization of very rich Bahamian citizen pays zero estate up his U.S. citizenship in 1962 and moved to a shipbuilding concern. This is the so-called tax; rich Americans—anyone with an estate Nassau. Thus when Templeton sold his mu- business migration scheme, administered in worth $3 million or more—pay 55%. A fairly tual fund management company in October Dublin by the Department of Justice. Its stiff 37% marginal rate kicks in for Ameri- 1992, he may have saved more than $100 mil- guidelines are currently being reexamined cans leaving as little as $600,000 to their chil- lion in capital gains taxes. Templeton, an ex- for political reasons. dren. The marginal rate—what you pay on an tremely generous and public-spirited man, Another attractive destination is Switzer- additional dollar of assets—ranges upward gives most of his money away. Apparently he land. ‘‘You can pretty well negotiate your

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00035 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5308 CONGRESSIONAL RECORD — SENATE April 6, 1995 own private agreement with a Swiss canton taxation, but even for them there are pit- the IRS. But at your death, that $1.6 million about your annual income taxes,’’ asserts falls. They must pay U.S. estate taxes on as- would be divided $960,000 (60% of $1.6 million) Lawrence. sets held in the U.S. unless they safeguard to the IRS, only $640,000 to the grandchild. Can an affluent American keep the politi- them by means of an offshore legal struc- Caution. If you die within three years of cians at bay without sacrificing citizenship? ture. Only certain fixed-income investments making a gift, your taxes will be recal- It’s not easy. Wealthy people hold over $2 are immune from the IRS. culated to negate the advantage of giving trillion in offshore accounts from Zurich to A foreigner can shelter his U.S. assets in over bequeathing. the Cayman Islands. No doubt some of these the following way: Set up a trust outside the Another defensive maneuver is the grantor accounts are held by Americans who—ille- U.S. in some tax-advantaged locale, such as retained annuity trust (FORBES, Jan. 31). You gally—omit mention of them on their tax re- Bermuda, the Cayman Islands or the British turns. transfer your business to a trust whose bene- Virgin Islands. ‘‘The foreign trust must own ficiaries are your heirs. Out of the trust you Merrill Lynch, like all major investment an underlying holding company, called a pri- firms, has a piece of this business. Merrill carve yourself an annuity. The trust pays vate investment company (pic),’’ Lawrence your annuity out of business earnings. will not accept offshore accounts from U.S. says. citizens, but it is eager to service foreigners. ‘‘The pic opens an investment account in You figure the discounted present value of ‘‘Offshore money is growing faster than the U.S. Otherwise, a foreign individual who the annuity you retained, and subtract this any other part of the financial services in- has a stocks-and-bonds portfolio of U.S. com- amount from the value of the business in dustry. It’s multiplying at a double-digit panies would be subject to U.S. estate tax. If order to arrive at the value of the gift. The rate of growth,’’ says Nassos Michas, head of the securities are owned by a true foreign annuity gives you income while keeping Merrill Lynch’s private banking division. corporation, the individual is not subject to your tax able gift to a minimum. Merrill’s trust bank in the Caymans, with the estate tax. The foreign corporation acts Business owners are also availing them- assets growing at over $100 million a month, like a shield to the estate tax.’’ selves of the ‘‘minority discount’’ rule has almost $5 billion of wealthy individuals’ The IRS can’t be happy about these paper (FORBES. Mar. 1, 1993) For example, your soft- holdings. ware firm is worth $10 million. Carve it up Actually, the Caymans trust is just a file shuffling arrangements. Indeed, Lawrence is afraid it may crack down on them. But be- into ten shares and give one share each to for legal purposes. Merrill’s banks in Geneva, ten heirs. Each share may be worth only New York and London hold the securities. fore you cheer at the prospect of making them furriners pay up, remember this: The $700,000 on a gift tax return, because no out- The accounting is done in Singapore, the ad- side investor would want to be a minority ministration is done on the Isle of Man, U.S. needs foreign capital because we don’t owner in a family business. famed for its trust business. save enough. We must compete for that cap- Wealthy Europeans, Latin Americans, ital with lots of other places. Treat the cap- If the family heirloom is a house, a vari- Asians and Middle Easterners are Merrill’s ital shabbily and it can go elsewhere. ation on the GRAT may work well. You give principal clients here. They want to buffer ‘‘I’m afraid that foreign capital may be your residence to your heirs, retaining the their fortunes against expropriation, polit- scared away from the U.S. because of taxes right to live in it for a specific period ical unrest, economic instability, angry first and the complexity of our regulation,’’ Law- (Forbes, June 24, 1991). Again, the carve-out wives, kidnapping, family members, credi- rence warns. reduces the value of the gift. tors and potential litigants. It could happen, Lawrence insists. He Another innovation is the dynasty trust. Wealthy Europeans have expatriated their points to the Foreign Investment in Real Each grandparent puts $1 million worth of money to safety ever since the French Revo- Property Tax Act, passed in 1980, which property in a trust in South Dakota for the lution, when they began hiding it in Switzer- forces foreigners to pay a capital gains tax benefit of grandchildren and great-grand- land. when the sell real estate in the U.S. We children. Why South Dakota? Because it per- When the Germans occupied the Nether- shudder to think what would happen to the mits trusts to last in perpetuity; most states lands in 1940, this activated a trust instru- U.S. stock and bond markets if foreign paper allow them to last no more than 21 years ment transferring ownership from the home- holdings were similarly taxed. after the death of anyone now living. Why land to a trust at a U.S. bank. In Europe, It will come as a shock to many people to only $1 million? Because if you transfer more where the pounding of marching feet and air learn about the growing band of expatriates. than that you will get hit with a punitive raid warnings are of recent memory, use of But it is not unpatriotic to remind Ameri- ‘‘generation skipping tax.’’ such trusts was common, at least up until cans that ours is no longer the only show in Note that a dynasty trust doesn’t relieve the collapse of the Soviet Union. town as a place to invest. At a time when we you of the usual gift tax. It might, however, Today many wealthy Kuwaitis have trusts urge developing countries to cut taxes and let you keep an asset in the family for a offshore to protect their fortunes from Sad- make capital more secure, a lot is happening long, long time. The asset is hit with a dam Hussein. The rich in Latin America, to make it less secure and more heavily transfer tax only once, when you set up the Southeast Asia and the Middle East remem- taxed at home. Those who give up their citi- trust, rather than again and again as each ber that it was only yesterday that their zenship to escape Clintonomics and wealth generation passed on. countries were ruled by thieving populists or redistribution are only the extreme part of a ‘‘There’s no one device to solve all the arbitrary soldiers. worrisome trend. What is new is that Americans are begin- problems. It’s a combination of solutions,’’ says Richard Covey, a partner at Carter, ning to feel the same sort of residual uncer- AVOIDING CONFISCATION tainty about their posessions. They see Ledyard & Milburn in New York. ‘‘I find courts eroding property rights. They read Short of renouncing citizenship, how do most wealthy people outside of New York about bureaucrats who talk about ‘‘tax ex- you protect the family fortune from confis- don’t know about these tricks.’’ cation by the tax code writers in Congress penditures’’ when referring to that part of What about life insurance? The inside and in the U.S. Treasury? your earnings that they permit you to keep. buildup of assets gets passed on to your heirs The first, and easiest, tax-saving maneuver They are subjected to retroactive taxation tax-free, but the premiums you pay must be is to give money away while alive. If the under the Clinton ‘‘deficit reduction bill.’’ reported as gifts. Life insurance is somewhat heirs are young or irresponsible, you can put They live in a society that changes the tax overtouted as an estate tool but it does have the gift in a trust and get the same tax ad- rules so frequently that long-term planning its advantages, especially if you die before vantages. is almost impossible. your time. There are two advantages to gifts over be- So they consult legal experts like You also can buy a tax-deferred annuity Cadwalader’s Lawrence, who is an authority quests. One is that the first $10,000—per year, per recipient, per donor—is free from gift from a foreign life insurance company, typi- on generational and international planning, cally German or Swiss. If the annuity is including the use of trusts, and taxation. tax. If both you and your spouse give for a long time and you have many heirs, that ex- fixed rate and denominated in deutsche ‘‘They want to sequester, organize and pro- marks or Swiss francs, it may protect your tect the privacy and maintenance of their clusion can make a serious dent in your es- tate. With five heirs, two donors and 20 years nest egg from a deteriorating dollar (Forbes, wealth, plus the freedom to transfer it as June 20). You may also opt for a variable pol- they wish,’’ says Lawrence. to make the transfers, you can get $2 million out of your estate scot-free. icy that is invested in stocks or mutual But how, short of leaving for some sand funds. dune in the Caribbean? The other advantage is that the gift tax is There are several clever strategies you can somewhat lower than the estate tax. The two But you won’t save taxes unless your es- use to minimize the future tax bite on your taxes use the same rate schedule, but the tate administrator is willing to commit a estate, but the fact is that Congress has done gift tax is calculated in a way more favor- felony by omitting it. So the main legal ben- a very thorough job of plugging chinks in the able to the tax-payer. Say you give $1 mil- efit of these overseas insurance policies ap- tax code. Parking assets abroad or setting up lion to a grandchild when you are in the 60% pears to be that they may—repeat, may—be holding companies will not get you out of bracket for federal gift tax. (That rate ap- beyond the reach of creditors. the U.S., steep income and estate tax rates. plies when your cumulative gifts, after the For a while the very wealthy were able to You really have to give up citizenship to get exclusion, are between $10 million and $21 defer tax on portfolio profits by investing in a big tax savings. million.) overseas funds that had a majority of shares It’s easier for foreigners who have property The total cost of the gift will be $1.6 mil- held by foreigners. But the 1986 tax put a in the U.S. to avoid the worst of American lion—$1 million to the grandchild, $600,000 to stop to this game.

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00036 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5309 After the 1986 crackdown, the main thing with the $3.6 billion in revenue that it Vaghts, Lowenfeld, and Hannum, and that offshore funds can do for you is give raised to be dedicated to deficit reduc- the memoranda from the American your fund manager more flexibility in trad- tion. Senator BRADLEY’s amendment Law Division of CRS and the Depart- ing. Domestic funds must be diversified, passed by voice vote. That is how the ment of State, be printed in the must avoid getting too much of their profits from short term trading, and have limits on expatriation tax provision was added to RECORD at the conclusion of my re- leverage. Foreign funds escape these rules, the bill that came before the Senate. marks. says Joel Adler, a partner in Sutherland, After the Finance Committee re- The PRESIDING OFFICER. Without Asbill & Brennan in New York. ported the bill, but before full Senate objection, it is so ordered. The bottom line is that there isn’t much action and conference with the House, (See exhibit 2.) that wealthy Americans can do to protect the Finance Committee held a hearing Mr. MOYNIHAN. Mr. President, this their assets from a covetous state. Which ex- to further review the issues raised by is where things stood when the House- plains, if it doesn’t excuse, the drastic step the expatriation provision. Tax legisla- Senate conference met on March 28. taken by more and more people of giving up tion routinely gets polished in its tech- The weight of authority appeared to be their U.S. citizenship. R.L. and P.M. nical aspects as it moves through floor on the side of legality under inter- TAXATION OF EXPATRIATES action and conference. At the Finance national law, but there was some ques- Mr. MOYNIHAN. Mr. President, I hearing, we heard criticisms of some tion, and the bill had to move at great wish to speak to the matter raised by technical aspects in the operation of speed. As my colleagues well know, the the distinguished Senator from Massa- the provision, as well as testimony legislation restoring the self- chusetts. We should not countenance raising the issue of whether the provi- employeds’ health insurance deduction, the evasion of taxes by those who re- sion comported with article 12 of the for calendar year 1994, needed to be nounce their citizenship. The Senate International Covenant on Civil and passed and signed into law well in ad- should act to address this problem ex- Political Rights, which the United vance of this year’s April 17 tax filing peditiously. States ratified in 1992. Section 2 of ar- deadline, so that the self-employed A genuine abuse exists. Although the ticle 12 states: ‘‘Everyone shall be free would have time to prepare and file current Tax Code contains provisions, to leave any country, including his their 1994 tax returns. The decision re- dating back to 1966, designed to address own.’’ Robert F. Turner, a professor of garding the expatriation provision had tax-motivated relinquishment of citi- international law at the U.S. Naval to be made without further oppor- zenship, these provisions have proven War College, argued that the expatria- tunity of deliberation. I opted not to difficult to enforce and are easily tion provision was problematic under risk making the wrong decision with evaded. One international tax expert the covenant. The State Department’s respect to international law and described avoiding them as ‘‘child’s legal experts disagreed, as did two human rights. play.’’ Individuals with substantial other outside experts whose letters The decision to drop the expatriation wealth can, by renouncing U.S. citizen- were before the committee. I refer to tax provision from the final conference ship, avoid paying taxes on gains that Prof. Paul B. Stephan III, a specialist version of the bill has been the subject accrued during the period that they ac- in both international law and tax law of much debate over the last week. I quired their wealth and were afforded at the University of Virginia School of certainly don’t presume to speak for the myriad advantages of U.S. citizen- Law; and Mr. Stephen E. Shay, who the other conferees. But for myself I ship. Moreover, even after renunci- served as International Tax Counsel at repeat as I have said on two occasions ation, these individuals can maintain Treasury under the Reagan administra- on this floor over the past week: We substantial connections with the tion. should proceed with care when we are United States, such as keeping a resi- Mr. President, I ask unanimous con- dealing with human rights issues, par- dence and residing in the United States sent that the written testimony of Pro- ticularly when the group involved is a for up to 120 days a year without incur- fessor Turner, the written testimony of despised group—that is, millionaires ring U.S. tax obligations. Indeed, re- the Department of State, and the let- who renounce their citizenship for ports indicate that certain wealthy in- ters of Professor Stephan and Mr. Shay money. dividuals have renounced their U.S. be printed in the RECORD at the conclu- As the Senator who first proposed citizenship and avoided their tax obli- sion of my remarks. the expatriation tax provision, I will gations while still maintaining their The PRESIDING OFFICER. Without see this matter through to a conclu- families and homes in the United objection, it is so ordered. sion. We are getting more clarity on States, being careful merely to avoid (See exhibit 1.) the human rights issue, and it appears being present in this country for more Mr. MOYNIHAN. Mr. President, al- that a consensus is developing to the than 120 days each year. though there was considerable support effect that the provision does not con- Meanwhile, the rest of Americans for the legality of the provision, I flict with our obligations under inter- who remain citizens pay taxes on their thought it best to proceed with caution national law. In particular, it is worth gains when assets are sold or when an in these circumstances. These are mat- noting that Professor Hannum, who estate tax becomes due at death. ters of human rights under inter- first wrote me on March 24 expressing It was this Senator who made the national law, on which we have rightly his concern that the expatriation pro- first proposal in the Senate to deal lectured others, and involve our solemn vision was a problem under inter- with the expatriation tax abuse. On obligations under treaties. I sought the national law, has, after receiving addi- February 6, the President announced a views of other experts. Letters con- tional and more specific information proposal to address the problem in his cluding that the expatriation provision about the expatriation tax, now writ- fiscal year 1996 budget submission. did not raise any problems under inter- ten a second letter of March 31 stating Three weeks ago, on March 15, during national law were received from Prof. that he is ‘‘convinced that neither its Finance Committee consideration of Detlev Vagts of Harvard Law School intention nor its effect would violate the bill to restore the health insurance and Prof. Andreas F. Lowenfeld of New present U.S. obligations under inter- deduction for the self-employed, I of- York University School of Law. The national law.’’ This is the growing con- fered a modified version of the admin- State Department issued a lengthier sensus, although it is not unanimous. istration’s expatriation tax provision analysis upholding the legality of the Mr. President, I would further ask as an amendment to the bill. My provision, and the American Law Divi- unanimous consent that Professor amendment would have substituted the sion of the Congressional Research Hannum’s March 31 letter be printed in expatriation proposal for the repeal of Service reached a like conclusion. the RECORD at the conclusion of my re- minority broadcast tax preferences as a However, there were dissenting views, marks. funding source for the bill. The amend- most notably Prof. Hurst Hannum of The PRESIDING OFFICER. Without ment failed when every Republican the Fletcher School of Law and Diplo- objection, it is so ordered. member of the Committee voted macy at Tufts University, who first (See exhibit 3.) against it. Subsequently, Senator wrote to me on March 24. Mr. MOYNIHAN. Mr. President, as BRADLEY offered the expatriation pro- Mr. President, I ask unanimous con- for criticism of the technical difficul- vision as a freestanding amendment, sent that the letters of Professors ties of the original proposal, I believe

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00037 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5310 CONGRESSIONAL RECORD — SENATE April 6, 1995 they can be satisfied. Indeed, I would EXHIBIT 1.—INTERNATIONAL LAW AND THE are perceived as having violated these impor- venture that if some of those criti- ‘‘EXIT TAX’’: DOES SECTION 203 OF THE TAX tant rules of international human rights law. COMPLIANCE ACT OF 1995 VIOLATE THE cizing the provision’s technical aspects As an aside, I also have a professional in- ‘‘RIGHT TO EMIGRATE’’ RECOGNIZED IN THE terest in issues of US Constitutional Law— had put even half as much effort into U.N. COVENANT ON CIVIL AND POLITICAL indeed, I have testified before at least half-a- devising solutions as in highlighting RIGHTS AND OTHER U.S. AND INTERNATIONAL dozen congressional committees on issues of shortcomings, we would already be LEGAL INSTRUMENTS? Constitutional Law in the past few years— much further along toward a satisfac- (By Robert F. Turner) and I have the impression that this provision may also raise issues in that area.2 However, tory statute. Mr. Chairman, it is an honor and a pleas- considerations of time, and my under- ure to appear before the subcommittee this standing of the scope of my invitation this One final point, of utmost impor- morning to explore the human rights rami- morning, led me to refrain from examining tance. As we take the time to write fications of the so-called ‘‘exit tax’’ con- those issues in sufficient depth to make a tained in Title II of H.R. 981, the ‘‘Tax Com- this law carefully, billionaires are not meaningful contribution today on that issue. slipping through some loophole and es- pliance Act of 1995.’’ 1 THE GROWTH OF A LEGAL RIGHT TO EMIGRATE caping tax by renouncing their citizen- Before turning to the merits of the issue, I would like to make three caveats in connec- ship. The President announced the Today the right of citizens to renounce tion with my appearance here today. their citizenship and leave their own country original proposal on February 6, and First of all, I am testifying in my personal is almost universally recognized as a funda- made it effective for taxpayers who ini- capacity as a scholar interested in the sub- mental civil right, but its widespread rec- tiate a renunciation of citizenship on ject of International Law; and, although I ognition as creating international obliga- currently occupy the Charles H. Stockton or after that date. This was an entirely tions is of relatively recent origin. The ori- Chair of International Law at the Naval War gin of the right can arguably be traced back appropriate way to put an end to an College while on leave of absence from the nearly 2500 years, to the famous Dialogues of abusive practice under current law. University of Virginia’s Center for National Plato, in which Socrates says to Crito: Both the proposal that I initiated, and Security Law, my appearance is unconnected [H]aving brought you into the world, and the one that was ultimately adopted by with either of those relationships. Any simi- nurtured and educated you, and given you larities between the views I express and the Finance Committee, also used Feb- and every other citizen a share in every good those of the War College, the Navy, the Uni- which we had to give, we further proclaim to ruary 6, 1995, as the effective date of versity of Virginia, or any other institution any Athenian by the liberty which we allow the new provision preventing tax eva- or organization, is purely coincidental. him, that if he does not like us when he has sion through expatriation. The House Secondly, I want to stress the start that I become of age and has been the ways of the conferees had proposed slipping the ef- have absolutely no expertise on the sub- city, and made our acquaintance, he may go stantive issue of tax law. I will therefore where he pleases and take his goods with fective date to March 15, 1995—the date have to pass on any questions you might him. None of . . . [our] laws will forbid him of Senate Finance Committee action wish to raise predicated upon such a knowl- or interfere with him. Any one who does not on the provision. The two chairman of edge. like us and the city, and who wants to emi- the tax-writing committees ulti- Finally, since my invitation to testify was grate to a colony or to any other city, may not extended until late Friday afternoon go where he likes, retaining his property.3 mately—and wisely—resisted that (four days ago)—and because of prior com- The 42nd paragraph of the original 1215 overture, and have issued a joint state- mitments and travel requirements, I had less version of the Magna Carta issued by King ment giving notice that February 6 than one day to work seriously on my testi- John at Runnymede guaranteed the right of ‘‘may’’ be the effective date of any leg- mony—my prepared statement is not as de- ‘‘any one to go out from our kingdom, and to islation affecting the tax treatment of tailed as I might otherwise have preferred. return, safely and securely, by land and by The basic human rights issue is, of course, water, saving their fidelity to us’’; but this those who relinquish citizenship. Given not new to me—ironically, I believe I first ‘‘right to travel’’ was omitted from the the potential for abuse under current looked at the ‘‘right of emigration’’ profes- forty-six subsequent versions—including the law, I believe that February 6 must be sionally more than two decades ago when the one issued by Henry III in 1225 usually asso- the effective date for a new rule. In any Jackson-Vanik Amendment came before the ciated with the term ‘‘Magna Carta’’—on the Senate while I was on the staff of Senator event, given the President’s announce- grounds that such a right seemed ‘‘weighty Robert P. Griffin of Michigan—and I don’t and doubtful.’’ 4 Nor, for that matter, is it ment in the budget, the Finance Com- believe the pressures of time have prevented clear that the right to ‘‘travel’’ included a mittee action, and the joint statement me from accurately setting forth the basic right to emigrate—a right far more easily of the two chairman of the tax-writing legal rules by which this statutory provision sustained now that people have changed committees, individuals who are con- should be judged. I have not had a great deal from ‘‘subjects’’ of the King to ‘‘citizens’’ of of time for serious analysis, however; and the State. templating renunciation of their U.S. while I venture some very tentative conclu- In 1791, the French Declaration of the citizenship are on fair notice of the sions, I suspect that each of you will be able Rights of Man affirmed the right ‘‘to come February 6, 1995, effective date. to apply the legal rules to the proposed new and to go’’ from the State as a ‘‘natural’’ statute at least as well as I have been able to right.5 By 1868 the U.S. Congress was on To repeat, as the Senator who first do in the limited time available. Candidly, I record by statute that: [T]he right of expa- offered the proposal to end the expa- have gone back and forth on the issue—I triation is a natural and inherent right of all triation tax abuse, I will do everything don’t find it to be a clear cut case. people, indispensable to the enjoyment of I can to see that this matter gets re- Thus, I do not appear before you this morn- the rights of life, liberty, and the pursuit of ing for the purpose of either supporting or solved. We will do it this session. Fun- happiness. . . . Therefore, . . . any declara- opposing the so-called ‘‘exit tax’’ provision tion, instruction, opinion, order, or decision damental justice to all taxpaying of the tax bill. I do believe that upholding of any officers of this government which de- Americans requires no less. the rule of law is important, and I do believe nies, restricts, impairs, or questions the that this provision may raise a sufficiently right of expatriation, is declared incon- In an effort to advance that goal, I serious question under International Law sistent with the fundamental principles of will shortly introduce legislation em- that it warrants additional consideration be- this government.6 bodying a revised expatriation tax pro- fore making a final decision on Section 201. More recently, Section 349(a) of the Immi- posal. I do so in the interest of ensur- To that end, I commend you for scheduling gration and Nationality Act recognizes a this hearing. ing that the issues that have been right of every citizen to relinquish US citi- Even if in the end you conclude that the zenship.7 Just a decade ago, the US Court of raised are addressed satisfactorily, and provision does not, in reality, violate the Na- Appeals for the Ninth Circuit observed that in a timely manner. This revised pro- tion’s solemn human rights treaty commit- ‘‘expatriation has long been recognized as a posal represents a serious effort to ad- ments, if there is even a colorable claim to right of United States citizens,’’ and noted dress the criticisms that have been the contrary that might be raised to under- that ‘‘the Supreme Court [has] placed the mine future US efforts to enforce human raised, and I believe it will be a major right of voluntary expatriation solidly on a rights laws, it might be wise to avoid even constitutional footing.’’ 8 step forward. the appearance of violating these laws. In The proposed ‘‘exit tax,’’ of course, does Mr. President, we will end this abuse, the end it may come down to balancing the not expressly challenge this well-established importance of the tax code provision against and promptly, but in a careful and or- right to emigrate—it merely provides that a the potential harm that might result if we few very wealthy citizens will be forced to derly way, as we should do in matters pay a 35% tax on appreciated assets should of this importance. 1 Footnotes at end of article. they wish to exercise this constitutional

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00038 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5311 right. The issue you have invited me to ad- mittee on this treaty categorized the ‘‘rights read broadly, and limitations on rights dress is whether such a tax would bring the enumerated in the Covenant’’ as being ‘‘the should be read narrowly, to accord with that United States into noncompliance with any cornerstone of a democratic society.’’ 14 design.24 binding rules of International Law. I am not The Covenant was designed to be a legally- This view is widely shared by other experts sufficiently versed on issues of tax law to an- binding international treaty setting forth in the field.25 Discussing Article 12 in a swer that question with any real confidence, ‘‘inalienable rights’’ which were ‘‘derive[d] lengthy 1987 article in the Hofsta Law Review, but perhaps I can be of assistance by at least from the inherent dignity of the human per- a group of four attorneys from the New York summarizing the existing international law son.’’ 15 Article 12 of the Covenant provides: firm of White & Case concluded: Although it binding upon the United States concerning Article 12 is accepted that there may be restrictions imposed on the right to emigrate, these re- the human right to emigrate. 1. Everyone lawfully within the territory strictions are of an exceptional character INTERNATIONAL LAW AND CONSTRAINTS ON THE of a State shall, within that territory, have and must be strictly and narrowly construed. RIGHT TO EMIGRATE the right to liberty of movement and free- The right to emigrate is primary; the re- Mr. Chairman, perhaps it would be most dom to choose his residence. strictions on that right are subordinate and helpful if I began by briefly setting forth the 2. Everyone shall be free to leave any coun- may not be so construed as to destroy the status of the right to emigrate under Inter- try, including his own. right itself.26 national Law. I will first consider the rel- 3. The above mentioned rights shall not be For the record, the United States is now evant conventional (treaty) law binding upon subject to any restrictions except those which also to the International Convention on the the United States, followed by a look at are provided by law, are necessary to protect Elimination of All Forms of Racial Discrimina- some ‘‘nonbinding’’ international documents national security, public order (ordre public), tion, which prohibits barring freedom of which may shed light on these issues, and fi- public health or morals or the rights and free- movement (and many other enumerated nally I will discuss the very important area doms of others, and are consistent with the rights) on the basis of ‘‘race, colour, or na- of customary international law (which, other rights recognized in the present Cov- tional or ethnic origin’’ 27—however, this under the Statute of the International Court enant. treaty does not appear to be relevant to the of Justice, is considered as equal in author- 4. No one shall be arbitrarily deprived of issue at hand. There are several other inter- ity to conventional law 9). the right to enter his own country. [Italic 16 national conventions which guarantee the CONVENTIONAL INTERNATIONAL LAW emphasis added.] The American Society of International right to emigrate, including regional agree- The effort to codify international human Law commissioned an excellent study of The ments underlying the European, African, and rights law is of quite recent origin, essen- Movement of Persons Across Borders, edited Inter-American human rights systems. How- tially coming in the wake of World War II by two of the nation’s foremost scholars in ever, the United States is not a Party to and the establishment of the United Nations. this area (Professors Louis B. Sohn and these, so in the interest of time I have not Article 55 of the UN Charter establishes as a Thomas Buergenthal), which provides impor- addressed their specifics. (While they do goal the promotion of ‘‘universal respect for, tant background on the interpretation of the serve as evidence of customary legal obliga- and observance of, human rights and funda- Article 12 of the Covenant. Among other tions, in this area the statutory language of mental freedoms for all without distinction things, the authors note that one of the rea- the Jackson-Vanik Amendment [discussed as to race, sex, language, or religion.’’ In Ar- sons Article 12 was written was that, infra] assures that the United States is ticle 56, ‘‘All Members pledge[d] themselves ‘‘[n]otwithstanding Article 13(2) of the . . . bound by customary law in this area.) to take joint and separate action in co-oper- [Declaration], some countries prevent their OTHER INTERNATIONAL INSTRUMENTS OF ation with the Organization for the achieve- nationals from leaving, prescribe unreason- RELEVANCE ment of the purposes set forth in Article 55.’’ able conditions such as exacting taxes or confis- As already noted, the Universal Declara- An important first step was the unanimous cating property . . . [emphasis added] ’’17 tion of Human Rights was intended to be as- adoption (with eight abstentions, including While Article 12 embodies a ‘‘fundamental pirational and not legally binding upon the the Soviet Union and several other Com- right,’’ it is not an ‘‘absolute right’’ in the 48 States that voted to approve it. Because it munist States) on 10 November 1948 of the sense that a State may not legitimately reflects customary law, it will be discussed ‘‘Universal Declaration of Human Rights’’ as place some reasonable restrictions by law on under that heading—but it also stands as an a UN General Assembly Resolution. Such the right of emigration. In addition to pre- important non-treaty human rights docu- resolutions do not have legal effect,10 and the venting individuals accused of serious crimes ment. Declaration was clearly viewed as aspira- from leaving,18 for example, it is clear that a Another very important international doc- tional at the time—indeed, the United States State may require a citizen to pay any nor- ument clearly not intended to create binding delegate expressly stated that the resolution mal tax obligations or other public debts.19 legal rights was the Final Act of the Con- ‘‘is not and does not purport to be a state- However, people who wish to emigrate may ference on Security and Cooperation in Eu- ment of law or of legal obligation.’’ 11 How- not lawfully be required to surrender their rope (Helsinki Accords), which expressly in- ever, there is a very strong consensus today ‘‘personal property,’’ and ‘‘Property or the corporated the Declaration.28 Time has pre- that the Declaration is legally binding by proceeds thereof which cannot be taken out cluded me from addressing these types of in- virtue of reflecting customary international of the country shall remain vested in the de- struments further, but they are probably not law. It will be discussed below under cus- parting owner, who shall be free to dispose of critical to a resolution of the issue. tomary law. such property or proceeds within the coun- CUSTOMARY INTERNATIONAL LAW THE INTERNATIONAL COVENANT ON CIVIL AND try.’’ 20 Perhaps the most important written POLITICAL RIGHTS It seems to me that a key issue with re- source of customary international law 29 is In an effort to follow up the Declaration spect to the proposed US ‘‘exit tax’’ is the Universal Declaration of Human Rights, ap- with a series of binding treaties, in 1966 the whether or not it represents a normal tax ob- proved as a UN General Assembly Resolution United Nations General Assembly unani- ligation applicable to all citizens irrespec- on 10 November 1948 and already noted mously approved the International Covenant tive of their wish to emigrate. To the extent above. The Declaration provides: on Civil and Political Rights, which entered that it constitutes a special requirement on into force on 23 March 1976. The following individuals because of their desire to emi- Article 13 year, it was signed by the Carter Adminis- grate, then the Government would presum- 1. Everyone has the right to freedom of tration and on 23 February 1978, it was sub- ably have the burden under the Covenant of movement and residence within the borders mitted to the Senate for its advice and con- establishing that the law is ‘‘necessary to of each State. sent. protect national security, public order (ordre 2. Everyone has the right to leave any In 1991, President Bush asked the Senate to public), public health or morals or the rights country, including his own, and to return to consider the treaty, and hearings were held and freedoms of others. . . .’’ 21 his country.30 late that year in the Foreign Relations Com- It may be relevant that efforts were made During the debate on the Jackson-Vanik mittee, which recommended approval of the during the drafting of Article 12 to broaden Amendment in 1974 (discussed infra), this treaty by a unanimous vote (19–0). On 2 April this list of permissible exceptions to include document was occasionally portrayed as an 1992, the Senate consented to the ratification such concepts as promoting a State’s ‘‘gen- international treaty designed to create legal of the treaty with a variety of proposed res- eral welfare’’ and ‘‘economic and social well- rights.31 In reality, its only ‘‘legal’’ value is ervations, understandings, and declara- being,’’ and these were rejected as being ‘‘too as evidence of binding customary law. This tions 12; and the instrument of ratification far-reaching.’’ 22 Restrictions on freedom of may be important background for the discus- was deposited with the United Nations on 8 movement were only to be permitted in ‘‘ex- sion which follows, because the Soviet Union June of that year with the recommended ad- ceptional’’ circumstances.23 Professor Louis voted against Article 13 during the drafting ditions—none of which apply directly to the Henkin, of Columbia Law School, has noted process and did not vote in favor of the Dec- issue at hand.13 The United States thus that: The Covenant . . . is not to be read like laration itself in the General Assembly. With joined more than 100 other States in assum- a technical commercial instrument, but ‘‘as a few exceptions, which are not relevant to ing a solemn international legal obligation an instrument of constitutional dimension the issue at hand,32 rules of International to abide by the terms of the Covenant. which elevates the protection of the indi- Law are established by the consent of States. It is perhaps worth noting that the unani- vidual to a fundamental principle of inter- This can be done explicitly by ratifying a mous report of the Foreign Relations Com- national public policy.’’ Rights are to be treaty or other international agreement, or

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00039 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5312 CONGRESSIONAL RECORD — SENATE April 6, 1995 it may be done implicitly by taking part in tion treatment), such country shall not par- emigrate are treated less favorably than oth- the development of a consistent and general ticipate in any program of the Government ers because of their decision to exercise their practice accepted as law. But—again, with of the United States which extends credits or legal right to emigrate.) some exceptions 33—a State is not considered credit guarantees or investment guarantees, To be sure, we can probably agree that the bound by customary legal rules against directly, or indirectly, and the President of old Soviet regime was made up of ‘‘bad which it clearly protested during formation. the United States shall not conclude any guys,’’ and our own government is much Thus, it is at least arguable 34 that the So- commercial agreement with any such coun- ‘‘nicer.’’ Even as many of us search around viet Union was not bound by the Declaration try, during the period beginning with the for professional assistance in reducing our as customary law in 1974. date on which the President determines that own tax liabilities, it is probably true that most Americans have a visceral antipathy THE 1974 JACKSON-VANIK AMENDMENT such country— (1) denies its citizens the right or oppor- for ‘‘tax dodgers.’’ Nor do many of us iden- Mr. Chairman, it may be worth noting this tunity to emigrate; tify very closely with individuals who would Committee, and the United States Congress, (2) imposes more than a nominal tax on voluntarily renounce their American citizen- have played a prominent role in the affirma- emigration or on the visas or other docu- ship as a means of reducing tax liability. tion of customary international law gov- ments required for emigration, for any pur- While it may be in part that our relatively erning the right of citizens to emigrate with- pose or cause whatsoever, or more limited liability makes their decision out having to pay burdensome special taxes. (3) imposes more than a nominal tax, levy, difficult to comprehend, I like to think that I believe that Chairman Packwood, Majority fine, fee, or other charge on any citizen as a most of us view our status as American citi- Leader Dole, and Senator Roth are the only consequence of the desire of such citizen to zens as among our most cherished rights. current members of the Finance Committee emigrate to the country of his choice, Many of us still recall Sir Walter Scott’s who served in the Senate during the Ninety- moving words, as we read them in high Third Congress, so it may be useful to review and ending on the date on which the Presi- dent determines that such country is no school in Hale’s ‘‘A Man Without a Coun- the history of the ‘‘Jackson-Vanik’’ Amend- try’’: ment—also known as the ‘‘Freedom of Emi- longer in violation of paragraph (1), (2), or 46 Breathes there the man, with soul so dead, gration’’ Amendment 35—briefly at this time. (3). Even if you conclude that the proposed Who never to himself hath said, I remember it reasonably clearly, for, as I exit tax is not in conflict with the terms of This is my own, my native land! mentioned, I was serving at the time on the the Covenant on Civil and Political Rights, Whose heart hath ne’er within him burn’d staff of Senator Bob Griffin and I followed it strikes me that—given in particular this As home his footsteps he hath turn’d the Amendment closely. from wandering on a foreign strand! As reported out of this committee, Section Committee’s and the Senate’s unanimous If such there breathe, go, mark him well; 402 of the Trade Act of 1974 (H.R. 10710) in- support for the Jackson-Vanik Amendment— For him no Minstrel raptures swell; cluded the House-passed ‘‘Vanik Amend- careful consideration ought to be given to High though his titles, proud his name, ment ’’36 which prohibited the President from whether this proposal complies with that Boundless his wealth as a wish can claim; granting ‘‘nondiscriminatory tariff treat- standard as well. Despite those titles, power, and pelf, ment’’ to any ‘‘non-market economy coun- RECONCILING THE PROPOSED US ‘‘EXIT TAX’’ the wretch, concentered all in self, try’’ which ‘‘imposes more than a nominal WITH JACKSON-VANIK Living, shall forfeit fair renown, tax, levy, fine, fee or other charge on any Subjectively, of course, all of us can pre- And, doubly dying, shall go down citizen as a consequence of the desire of such sumably agree that there is a substantial dif- to the vile dust, from whence he sprung, citizen to emigrate to the country of his ference in the motivation behind the pro- Unwept, unhonor’d, and unsung.49 choice.’’ 37 In its accompanying report, this posed US ‘‘exit tax’’ and the impediments Committee referred to the ‘‘right to emi- placed in the path of Soviet Jews (and oth- I suspect that the outcry from your con- grate’’ as a ‘‘basic human right....’’ 38 ers) in the early 1970s designed clearly to dis- stituents over the proposed exit tax—even if When the trade bill reached the Senate courage emigration (especially by dissident it is perceived as nothing more than an ef- floor in mid-December 1974, this provision Jews to Israel). The United States under- fort to ‘‘stick it to rich expatriates’’—is not was strengthened by the enactment of the fa- standably does not wish to lose the substan- likely to be very considerable. mous ‘‘Jackson Amendment’’ (with the final tial sums in tax revenues which the Treasury CONGRESS MAY BY STATUTE VIOLATE language affirming the right of emigration Department projects could be lost if espe- INTERNATIONAL LAW thus widely referred to as the ‘‘Jackson- cially wealthy US citizens elect to renounce Perhaps I should make one additional Vanik Amendment’’). Although strongly op- their citizenship and emigrate to foreign point. The United States belongs to the dual- posed by the Ford Administration as an im- points. ist school and views municipal and inter- pediment to de´tente with the Soviet Union, While one might normally view this as a national law as being separate, if often inter- and Jackson Amendment was introduced in ‘‘political’’ problem for Congress to factor in related,50 legal systems. United States courts the Senate with 78 co-sponsors.39 Signifi- to the drafting of the tax laws—how to ex- will thus first attempt to reconcile the lan- cantly, it received a unanimous vote after a tract maximum tax revenues from the guage of apparently inconsistent statutes lengthy (if entirely one-sided) floor debate.40 wealthy without exceeding the point that and treaties, but if that proves unreasonable, The three current members of this Com- the ‘‘geese that lay the golden eggs’’ will fly they will apply the ‘‘later in time’’ doctrine mittee who served in the Senate at the time off to find a more hospitable environment in (lex posterior derogat priori) and give legal were co-sponsors of the Jackson Amend- which to do business 47—there are obvious po- effect to the instrument of most recent ment 41 and voted for its passage.42 litical attractions to the exit tax approach. date.51 The theory underlying this policy is In testimony before this committee, the Presumably few constituents will be directly that treaties and statutes have a co-equal legendary Hans J. Morgenthau, at the time affected by this legislation (and ‘‘soaking standing as ‘‘supreme law of the land,’’ 52 and Leonard Davis Distinguished Professor of the rich’’ is not all that unpopular with the lawmaking authority—be it the two Political Science at the City University of many Americans of more ordinary means in chambers of the Legislative Branch acting New York, characterized the right of emigra- these troubled times), and in order to be sub- with the approval (or over the veto) of the tion as ‘‘one of the tests of civilized govern- ject to the special ‘‘tax’’ an individual will Executive,53 or the Executive acting with the ment.’’ 43 Senator Dole termed it a ‘‘funda- have to renounce his or her American citi- consent of two-thirds of those Senators mental freedom,’’ and described the Soviet zenship—in the process surrendering their present and voting 54—is presumed to know requirement that citizens seeking to emi- right to vote in any case. One can see how the existing law when it acts and to intend grate first pay a ‘‘diploma tax’’ to reimburse this might have appeared to be a virtually the logical consequences of its actions. Thus, the State for its investment in their edu- cost-free (from a political standpoint) way to if the Congress enacts the provision in ques- cation as being in conflict with ‘‘America’s raise a couple of billion additional dollars tion and it is subsequently challenged as traditional concern for the rights of individ- over the next five or six years.48 contrary to the nation’s solemn treaty com- uals.’’ 44 Addressing the Senate following pas- From the standpoint of International Law, mitments, American courts will not strike sage of his amendment, Senator Jackson however, it may be more difficult to make down the statute because of the treaty. noted that the ‘‘fundamental human right to the distinction between the old Soviet prac- Similarly, while some scholars quarrel with emigrate’’ was guaranteed ‘‘in the Universal tice of charging a special ‘‘diploma tax’’ to the rationale,55 the oft-cited 1900 Supreme Declaration of Human Rights which was compel citizens who wish to emigrate to Court case of The Paquete Habana held that adopted unanimously 26 years ago this compensate the State for its investment in customary international law (‘‘the customs week.’’ 45 As enacted into law (19 U.S.C.A. their education, and the proposed US ‘‘exit and usages of civilized nations’’) is part of § 2432), the provision provides in part: § 2432. tax’’ designed to compel citizens who wish to US law ‘‘where there is no treaty and no con- Freedom of emigration in East-West trade. emigrate to compensate the State for in- trolling executive or legislative act or judi- . . . (a) To assure the continued dedication of come taxes they would likely eventually owe cial decision....’’ 56 Furthermore, while the the United States to fundamental human if they remained citizens. (It would not be il- recently ratified Covenant clearly creates a rights, and notwithstanding any other provi- legal under these rules of International Law solemn legal obligation upon the United sion of law, on or after . . . January 3, 1995, for the United States to tax unrealized cap- States under International Law, it is not products from any nonmarket economy ital gains annually, or for the Soviets to self-executing 57 and thus will not be imple- country shall not be eligible to receive non- charge a fee for providing an education—the mented by US courts in the absence of inde- discriminatory treatment (most-favored-na- legal issue arises when people who seek to pendent legislative authority.58

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00040 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5313 However, this is not to say that Congress two decades ago. (I think I would base my practice accepted as law (opinio juris) may prevail has the legal power to relieve the United Jackson-Vanik case upon the technicality over a prior treaty), it is probably accurate to ob- States from its solemn treaty obligations that the United States is not covered be- serve that, where a relevant treaty exists between the parties to a dispute, the terms of the treaty will under International Law. On the contrary, cause it does not have a ‘‘non-market econ- provide at least the starting point for resolution of no such right exists (unless the relevant omy’’—but the underlying rule of customary the dispute. However, the principle that ‘‘the spe- treaty provides for termination by act of a international law is not so qualified and cific prevails over the general’’ (lex specialis derogat national legislature), and if the Congress could not be evaded by that consideration. generali) may well lead to a narrow customary prac- elects to approve a statute that is contrary Trying to argue that international human tice prevailing over a more general treaty obliga- to the Covenant it will make the United rights standards have declined since 1974 tion. 10 would clearly not pass the ‘‘straight face’’ However, a UNGA resolution expressing legal States a lawbreaker. principles approved by an overwhelming vote of To be sure, Congress in the past has on oc- test.) Member States may serve as powerful evidence of casion enacted legislation which placed the I have not had time to research the issue, the existence of a legally-binding international cus- Nation in such a status.59 Such a decision but my recollection is that in the recent tom. has consequences, however. Not only might past, Congress—or at least many members of 11 19 Dep’t State Bull. 751 (1948). other treaty Parties have available meaning- Congress—have pressured the Executive to 12 Report of the Senate Committee on Foreign Re- ful remedies under International Law,60 but apply the Jackson-Vanik principle to trade lations on the International Covenant on Civil and with the People’s Republic of China. Cer- Political Rights, reprinted in 31 Int’l Leg. Mats. 645 violations of International Law by the (1992). United States contributes to a lack of re- tainly many members continue to feel pas- 13 A possible exception is the first Declaration spect for the rule of law in general and great- sionately about human rights issues, and to specifying that the Covenant is Non-Self-Executing. ly undermines the ability of the United urge the President to identify and put pres- Id. at 651. States to pressure other States to comply sure on other States who fail to comply with 14 Report of the Senate Committee on Foreign Re- with such rules. Thus, in particular when the fundamental treaty norms in this important lations on the International Covenant on Civil and area. Unless someone can do a better job Political Rights, supra at 649 (p. 3 of OT). issue involves solemn undertakings in the 15 that I have in distinguishing an exit tax tar- Preamble, 6 Int’l Leg. Mats. 368 (1967). area of international human rights, one 16 Art. 12, id. at 372. would hope that legislators would be careful geted at ‘‘rich Americans’’ from one aimed 17 The Movement of Persons Across Borders 76 to avoid even the appearance of breaching at ‘‘educated Jews,’’ however, you may find (Louis B. Sohn & Thomas Buergenthal, eds. provisions of a treaty. as a practical matter that you will need to 18 Id. at 79. 19 Id. at 82. CONCLUSION make a choice between enacting this provi- sion and attempting in the years ahead to 20 Id. at 81, quoting Article 6 of the 1989 Strasbourg Mr. Chairman, as I indicated when I began, uphold the Jackson-Vanik Amendment and Declaration on the Right to Leave and Return (pre- I did not come here this morning with the in- pared by a group of international experts under the similar human rights norms. If this provi- tention of taking a definitive position on auspices of the International Institute of Human sion is enacted into law, I believe the odds this legislation on the merit. Because the in- Rights). are good that future US protests calling 21 vitation to take part in the hearing came International Covenant on Civil and Political upon China, Iraq (which last month imposed Rights, Art. 12. with such short notice, I have not been able an exit tax of its own to curtain the flow of 22 Barist et al., Who May Leave, 15 Hofstra L. Rev. to analyze the issue to the extent I might capital), Iran, and other flagrant human at 389. have wished. The comments which follow are 23 rights violators to comply with the provi- Id. at 389, 394. offered with more than a little hesitation 24 The International Bill of Rights: The Covenant sions of the Covenant on Civil and Political and uncertainty. on Civil and Political Rights 24 (Louis Henkin, ed. Rights will receive in reply a reference to I have primarily tried to set forth the basic 1981), quoted in Barist et al., Who May Leave, 15 American ‘‘violations’’ of Article 12. international legal rules in my testimony, Hofstra L. Rev. at 395. Mr. Chairman, that concludes my prepared 25 and I suspect that honorable men and women Barist et al., Who May Leave, 15 Hofstra L. Rev. statement. I will be happy to attempt to an- at 396. might reach different conclusions when ap- swer any questions you or your colleagues 26 Id. at 406. plying those rules to this bill. I came into might have. 27 660 U.N.T. S. 194. the hearing with some reservations, but it 28 14 Intl’L Leg. Mats. 1292 (1975). FOOTNOTES may be that after I have heard other perspec- 29 To constitute binding international customary tives I will be less concerned about the com- 1 Inter alia, this provision would amend the Inter- law, a rule must reflect ‘‘a general practice’’ that patibility of the ‘‘exit tax’’ with Article 12 of nal Revenue Code by adding this language: If any has been ‘‘accepted as law’’ (opinio juris). See Statute the Universal Covenant on Civil and Polit- United States citizen relinquishes his citizenship of the International Court of Justice, Art. 38 (1)(b). during a taxable year, all property held by such cit- 30 UNGA Res. 217 A (III), 3 UNGAOR 71, UN Doc. A/ ical Rights. izen at the time immediately before such relinquish- 810 (10 Nov. 1948). Even if that occurs, however, it still leaves ment shall be treated as sold at such time for its fair 31 Note to follow. us with the perhaps more difficult problem of market value and any gain or loss shall be taken 32 Some rules of International Law are of such fun- reconciling this tax with the spirit and lan- into account for such taxable year. damental importance that they are considered ‘‘pe- guage of the 1974 Jackson-Vanik Amend- That the ‘‘exit’’ is designed to affect a relatively remptory norms’’ (jus cogens) and bind all States ir- ment. I’m not going to pre-judge that issue small portion of the population is clear from the respective of consent. A thorough discussion of this for you, either, other than to say that I per- fact that the first $600,000 of gross income is ex- issue is precluded by the short time available to pre- cluded from this provision. According to the State pare this testimony. Some human rights principles sonally find it somewhat more troubling. If Department 697 US citizens expatriated in 1993 and have this status—it is doubtful that this is one of this were merely a statute providing that 858 the following year. ‘‘It is not yet known how them. The issue is of only academic interest given citizens must ‘‘pay their lawful taxes’’ before many of these former citizens, if any, will be sub- the strong statement of the right to emigrate as they may renounce their citizenship and jected to tax under section 877.’’ Joint Committee on constituting binding International Law contained in move to a foreign State they find more at- Taxation, Description of Revenue Provisions Con- the Jackson-Vanik Amendment to the 1974 Trade tractive, I think it could pass legal muster tained in the President’s Fiscal Year 1996 Budget Act (discussed below). Thus, the United States could with little difficult.61 But I’m not sure that’s Proposal 17 n.6 (Feb. 17, 1995). The fact that the hardly protest that it is not bound by this rule and Treasury Department anticipates more than $2 bil- claim to have protested against its creation. the situation. You understand the tax sys- lion in additional revenues from this provision by 33 Jus congens rules (discussed supra) bind all tem for better than I do, and I will defer to FY 2000 suggests either that many expatriates will States, and newly-formed States are bound by all your expertise in the final analysis. be covered or that the few covered will be hit with rules of customary law in existence when they are As I stressed at the beginning, I am not rather substantial additional tax bills under this created. even arguably an authority on the tax code; provision. See infra, note 48. 34 In reality, a strong case can be made that the but it is my initial impression that the pro- 2 See, e.g., Eisner v. Macomber, 252 U.S. 189, 214–15 Soviet Union was bound by this provision of the Dec- posed ‘‘exit tax’’ is designed to impose an im- (1920). laration in 1974. Among other things, abstention in 3 The Dialogues of Plato 217 (7 Britanica Great the General Assembly does not constitute an ade- mediate and substantial financial burden Books of the Western World, 1952). See also, Jeffrey quate ‘‘protest’’ to protect against being bound (al- upon citizens—on the specific and expressed Barist et al., Who May Leave, 15 Hofstral L. Rev. though it does not constitute ‘‘consent’’ either). The grounds that they have elected to renounce 381, 384 (1987). following year the issue was arguably resolved when their citizenship and emigrate—and that this 4 By coincidence, I discussed this issue in my pre- Moscow signed the Helsinki Accords (which, as dis- is a burden that would not be imposed upon pared testimony before the Senate Judiciary Com- cussed supra, incorporated the text of the Declara- otherwise identically situated citizens who mittee Subcommittee on the Constitution on 5 Octo- tion.) While the Helsinki Accords were not designed elected to remain American citizens (and did ber 1994 (page 2–3 of original text), which has not to be legally binding in themselves, Moscow’s ac- yet, to my knowledge, been published. ceptance of the principles of the Declaration would not elect to sell or dispose of their property 5 Id. at 4, and Barist et al., Who May Leave, 15 undercut any Soviet claim that it objected to these or take other action that would realize cap- Hofstral L. Rev. at 384. principles as customary law. ital gains liability). 6 Expatriation Act of 1868, 15 Stat. 223 (1868). 35 See, e.g., Senate Report No. 93–1298 (Committee If that is true, in all candor, I think I 7 8 U.S.C. § 1481, quoted in 87 Am. J. Int’l L. 601 on Finance), reprinted in 4 U.S. Code Congressional & would want my money ‘‘upon front’’ if I were (1993). Admin. News 7338 (93d Cong., 2d Sess., 1974) (herein- asked to argue before an international tri- 8 Richards v. Secretary of State, 752 F.2d 1413 at after cited as Finance Committee Report). bunal that the proposed US exit tax complies 1422 (1985). 36 This amendment, introduced by Representative 9 Statute of the International Court of Justice, Charles Vanik, was approved on the House floor on with the spirit of the Jackson-Vanik Amend- Art. 38. While customary law may over time replace 11 December 1974 by a vote of 319–80. See 120 Cong. ment—which no less an authority that the a rule established by treaty, and the general goal is Rec. 39782 (1974). United States Congress argued reflected the to ascertain the most recent expression of the con- 37 Finance Committee Report at 7213. minimal requirements of International Law sent of the parties (thus a more recent customary 38 Id. at 7338.

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00041 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5314 CONGRESSIONAL RECORD — SENATE April 6, 1995 39 120 Cong. Rec. 39782 (1974). unrelated to travel. Rather, it applies at the gered only by a change of citizenship status, 40 Id. 39806. The final vote was 88–0, with 12 Sen- time an individual renounces U.S. citizen- not by the crossing of the country’s borders. ators absent. All but two or three of the absent Sen- ship. Based on past experience, the proposal The reason for this distinction is clear when ators were co-sponsors of the amendment. 41 Id. at 39782. is most likely to affect U.S. citizens who one considers how U.S. tax rules operate. 42 Id. at 39806 have already departed from the United Whether a citizen resides within or without 43 120 Cong. Rec. 39787. States. It is well established, nonetheless, the United States, the obligation to pay tax 44 Id. at 39802. that a state could impose economic controls on appreciation of assets remains the same. 45 Id. at 39806. in connection with departure as long as such Any gain realized and recognized during life 46 Trade Act of 1974, 19 U.S.C.A. § 2432 (emphasis controls do not result in a de facto denial of will result in an income tax. Any unrealized added). an individual’s right to emigrate. 47 appreciation that remains at death will not While I claim no special expertise on matters of Similarly, a claim of violation of the right finance or tax policy, I was impressed with Forbes be subject to an income tax, but instead will to renounce citizenship could only be made magazine editor James W. Michaels’ observation subject the decedent to the estate tax. To be where that right is effectively denied. There that ‘‘It’s not that legislators sympathize with rich sure, the federal estate tax is not an exact is no international law right to avoid taxes tax dodgers. It’s that they realize it’s time to worry substitute for an income tax at death on un- less about soaking the rich and more about changing by changing citizenship. Section 5 would im- realized appreciation, both because only the tax code to make the country more hospitable to pose taxes comparable to those which U.S. the capital that produces jobs and economic citizens would have to pay were they in the wealthy persons (those with assets in excess growth.’’ James W. Michaels, ‘‘You can’t take it United States. It is a bona fide means of col- of $600,000, assuming no taxable gifts during (all) with you,’’ Forbes, 13 March 1995, p. 10. life) are subject to the estate tax, and be- 48 lecting taxes on gains which have already ac- The Treasury Department estimates that this cause the taxable estate includes both real- provision will produce $2.2 billion in additional tax crued. It is not a pretext to keep people from ized and unrealized appreciation. But I am revenues between FY 1995 and FY 2000. Department leaving, and it is not so burdensome as effec- of the Treasury, General Explanations of the Admin- tively to preclude change of nationality or not alone in having pointed out that the es- istration’s Revenue Proposals 17 (Feb. 1995). emigration. It applies only to gains, and only tate and gift tax, in practice, serve as a rea- 49 Sir Walter Scott, The Lay of the Last Minstrel, when these gains are in excess of $600,000. sonable approximation for the income tax canto VI, st. 1. In short, it is the view of the Department that could be levied on unrealized apprecia- 50 As will be discussed, treaties are a part of the tion at death. ‘‘supreme law of the land’’ and customary inter- of State that this proposal does not raise any national law ‘‘is part of our law’’ too. The monist significant question of interference with All of the above turns on citizenship, not school views international law to be superior to mu- international human rights. on residence. A U.S. citizen who resides nicipal law in a single legal system. I hope that this information is helpful to abroad will have to include in his tax base 51 See, e.g., Whitney v. Robertson, 124 U.S. 190 the Committee. any gain realized from the disposition of an (1888). UNIVERSITY OF VIRGINIA, 52 asset, see Cook v. Tait, 265 U.S. 47 (1924), will US Const. Art. VII Charlottesville, VA; March 20, 1995. 53 Id. Art. I, Sec. 7. pay a federal gift tax on any taxable gift dur- 54 Id. Art. II, Sec. 2. LESLIE B. SAMUELS, ing his life, no matter where the asset is lo- 55 See, e.g., Louis Henkin, The Constitution and Assistant Secretary of the Treasury for Tax Pol- cated, and will include all of his worldwide United States Sovereignty, 100 HARV. L. REV. 853 icy, U.S. Department of the Treasury. assets in his taxable estate at death. By con- (1987). DEAR MR. SAMUELS: I have been asked to trast, a citizen who severs the bond of citi- 56 Note to follow. offer an opinion as to whether the Adminis- zenship and does not continue to reside in 57 For a discussion by Chief Justice Marshall of the tration’s proposal to treat the renunciation the United States will pay neither income, distinction between self-executing and non-self-exe- of U.S. citizenship as a realization event gift, nor estate tax (except as U.S.-sourced cuting treaties, see Foster and Elam v. Neilson, 27 with respect to wealthy taxpayers presents U.S. (2 Pet.) 253 (1829). income and, for the estate and gift tax, any problems under international law, par- 58 Note to follow. transfers of certain property sourced to the 59 ticularly in light of the position the United This sometimes occurs inadvertently when legis- United States). The change of citizenship States has taken in the past with respect to lation is considered by members who are simply un- status, not of residence, is what matters for aware of a conflicting treaty provision (as may be the freedom to emigrate. As I find myself in U.S. tax law. Current law recognizes the sig- the case in this Committee’s approval of the statute the unusual position of being a specialist in nificance of change sin citizenship by sub- being considered in this hearing), but it also occurs international law, U.S.-Soviet relations, and jecting nonresident aliens who lose U.S. citi- occasionally even after the conflict with a treaty federal taxation, I am happy to do so. has been identified. An example of this that comes The Jackson-Vanik Amendment to the zenship for tax avoidance reasons to a spe- readily to mind was S-961, the ‘‘Magnuson Fisheries Trade Act of 1974 and the 1975 Helsinki Ac- cial alternative income tax, see Internal and Conservation Act,’’ passed around 1976. See the Revenue Code Section 877. Section 2107 im- minority views of my former employer, Senator cords both express a strong U.S. stand in Robert P. Griffin, included in the Foreign Relations favor of the freedom of people of emigrate poses a similar result with respect to the es- Committee’s report on this bill for a discussion of free of more than ‘‘a nominal tax,’’ 19 U.S.C. tate tax, and 2501(a)(3) with respect to the this problem. § 2432(a)(2), and there is substantial authority gift tax. What the Administration proposal 60 These may range from judicial settlement to re- for the proposition that the international would do, as I understand it, is replace the ciprocal breach or simply the ‘‘horizontal enforce- law of human rights incorporates the obliga- unworkable tax avoidance standard of Sec- ment’’ of retorsionary behavior to pressure our tion to refrain from erecting such impedi- tions 877, 2107 and 2501(a)(3) with a per se rule Country to observe its solemn international legal that applies to any person with sufficient as- obligations (pacta sunt servanda). ments to emigration. But it is critical to rec- 61 The Department of State, for example, has ognize the distinction between the right to sets to make future estate taxation a prob- warned that ‘‘Persons considering renunciation [of travel, on the one hand, and the right to ability. An analogous provision is Section US citizenship] should also be aware that the fact change one’s citizenship status, on the other. 367 of the Code, which denies nonrecognition that they have renounced U.S. nationality may have Emigration necessarily involves the former, treatment in certain corporate reorganiza- no effect whatsoever on their U.S. tax or military but not necessarily the latter. The human tions if the recipient of appreciated property service obligations.’’ 87 AM. J. INT’L L. 602 (1993). rights concerns that dominated our encoun- is a foreign corporation. I never have heard PREPARED STATEMENT OF JAMISON S. BOREK ters with the Soviet Union and other totali- the argument that the latter provision im- Thank you Mr. Chairman and Members of tarian regimes during the 1970s and 1980s poses an impermissible burden on the right the Committee. I am here today to address were based on violations of the right to trav- of a domestic corporation to export its cap- the question whether section 5 of H.R. 831 as el. Those governments treated their borders ital. reported by the Senate Committee on Fi- as the perimeter of a prison and their citi- nance raises legal questions concerning In summary, the international law of zens as prisoners. The so-called education human rights is concerned with restrictions international human rights. tax that the Soviet Union threatened to im- The proposal in section 5 would effectively on the right to leave one’s country, not those pose on emigrants, which inspired the above require payment of taxes by U.S. citizens on on the right to renounce one’s citizenship. cited language in the Jackson-Vanik Amend- gains, if they have such gains, if they elect To the extent human rights law deals with to renounce U.S. citizenship, by treating this ment, was triggered by a request to travel citizenship status, it addresses involuntary as equivalent to a realization of gains (or abroad, not by an attempt to renounce So- denials of citizenship, not burdens triggered losses) by sale. The proposal would only viet citizenship. Whether the communist re- by the renunciation of citizenship. Further- apply to gains in excess of $600,000; it would gimes also made it difficult to surrender citi- more, the proposed measure is not a tax on not apply to U.S. real property owned di- zenship was a matter of indifference to us. the export of capital as such, but rather a rectly, nor to certain pension plans. Indeed, many authorities believed that the logical part of a comprehensive scheme to It has been suggested by some that this Soviet Union and other governments vio- ensure that all appreciation of capital owned proposal would violate the right to leave the lated international law by making it too by a U.S. citizen eventually will be subject easy to lose one’s citizenship, as they did territory of a state (including one’s country to a U.S. tax, whether income, gift, or es- when they imposed involuntary loss of citi- of nationality) or the right to change one’s tate. For these reasons, it is inconceivable to zenship as a form of punishment for political citizenship as recognized in international me that the Administration’s proposal could dissent (e.g., the case of Aleksandr Sol- human rights law. In our view, however, this be seen as violating international human tax proposal does not conflict with these or zhenitsyn). rights law. any other international human rights. The Administration’s proposal, as I under- Section 5 is not an ‘‘exit tax’’. It does not stand it, has absolutely no effect on the To be sure, there are few positions with re- apply to the act of emigration and is wholly right of a citizen to travel abroad. It is trig- spect to customary international law that

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00042 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5315 cannot obtain the support of at least some ship to non-citizenship status is Section 877, source income,12 however, the United States jurists. Last Saturday, while passing first enacted in 1966. Under Section 877, a does not commit to allow a credit for the Ca- through Pittsburgh’s airport, I ran into my U.S. citizen who relinquishes his U.S. citi- nadian tax.13 former student, Bob Turner, who informed zenship with a principal purpose to avoid DEFICIENCIES OF CURRENT LAW me of his intention to testify before the Sen- Federal income tax is taxed either as a non- ate Finance Committee to the effect that the resident alien or under an alternative taxing The reason for enactment of Section 877 in proposal did raise problems under inter- method, whichever yields the greater tax, for 1966 was that the elimination of graduated national law. As I told him at the time, I 10 years after expatriation. For purposes of rates with respect to non-effectively con- found his arguments unconvincing. However, determining the tax under the alternative nected income of a nonresident alien could I am responsible only for Bob’s education in method, gains on the sale of property located encourage some individuals to surrender Soviet law, not in international or tax law. in the United States and stocks and securi- their U.S. citizenship and move abroad. The I hope this letter is useful. Please feel free ties issued by U.S. persons are treated as 89th Congress did not have any experience as to make whatever use of it you wish. U.S.-source income, taxable at rates applica- to whether the other changes in taxation of Sincerely, ble to U.S. citizens.4 nonresident aliens made by the Foreign In- PAUL B. STEPHAN III. Whether tax avoidance is a principal pur- vestors Tax Act of 1966 would induce expa- ONE INTERNATIONAL PLACE, pose for the expatriation is determined by all triations and chose to employ a tax avoid- BOSTON, MA, March 20, 1995. of the relevant facts and circumstances. If ance purpose condition to the application of Hon. BOB PACKWOOD, the I.R.S. establishes that it is reasonable to Section 877. Chairman, Committee on Finance, believe that the loss of U.S. citizenship would result in a substantial reduction in The facts of the Furstenberg case, in which U.S. Senate, the Tax Court found that the taxpayer’s ex- Washington, DC. the taxpayer’s income taxes for the year (taking account of U.S. and foreign taxes), patriation did not have tax avoidance as a Hon. DANIEL P. MOYNIHAN, the burden of proving that the loss of citi- principal purpose, illustrate why a tax avoid- U.S. Senate, zenship did not have tax avoidance as one of ance purpose standard is ill-advised. To sat- Washington, DC. its principal purposes is on the taxpayer. isfy a commitment made before her marriage DEAR CHAIRMAN PACKWOOD AND SENATOR This presumption is rebuttable.5 to her new husband, Mrs. Furstenberg re- MOYNIHAN: I would like to comment on the A foreign tax credit is not allowed for for- nounced her U.S. citizenship immediately provisions of Section 5 of H.R. 831 as re- eign taxes on income that is deemed to be after her honeymoon on December 23, 1975. ported by the Committee on Finance (the U.S.-source income under the alternative As a result of the Tax Court’s decision that ‘‘Committee Bill’’). method. The effect of the source rules gen- Section 877 did not apply, it appears that I am a partner in the law firm Ropes & Mrs. Furstenberg paid no U.S. tax on as Gray in Boston, where I practice inter- erally is to transform foreign income that would not be effectively connected income much as $9.8 million of capital gains from national tax law on behalf of U.S. and non- selling securities owned at the time of her U.S. corporate and individual clients. Prior into U.S. gross income. Because Section 877(c) does not cause the income to be effec- expatriation in the two years following her to joining Ropes & Gray, I served as Inter- expatriation. national Tax Counsel to the U.S. Treasury tively connected income, the Section 906 for- Department. Altogether, I served in the eign tax credit will not apply. Any foreign There is ample precedent for a U.S. claim Treasury Department for five years during taxes imposed on the income re-sourced to tax appreciated assets at a time when the the Reagan Administration. under Section 877(c) therefore would give asset will no longer be subject to U.S. per- Although I am Vice Chairman of the Amer- rise to double taxation. sonal taxing jurisdiction. Under sections 367 ican Bar Association Section of Taxation’s The so-called savings clause found in most and 1491, the United States overrides other- Committee on Foreign Activities of U.S. modern income tax treaties generally pro- wise applicable nonrecognition rules in order Taxpayers and an active member of several vides that the United States may tax its citi- to tax transfers of appreciated assets to for- other bar and professional associations, my zens and residents as though the treaty had eign entities. It is accepted that this prin- 6 comments are not made as a representative not come into effect. Although the I.R.S. ciple should apply in circumstances where of Ropes & Gray or any of its clients, the has published a revenue ruling taking the po- there is no actual transfer of an asset, for ex- American Bar Association Tax Section or sition that the savings clause preserved U.S. ample, upon the termination of an election any of the other bar or professional associa- taxation of former citizens taxable under by a foreign corporation to be treated as a 7 tions of which I am a member. My comments Section 877, the Tax Court held in Crow v. domestic corporation under section 1504(d) or are directed exclusively to tax policy aspects Commissioner, 85 T.C. 376 (1985), that the sav- when a foreign trust ceases to be a grantor of the proposal in the Committee Bill to ings clause of the 1942 United States-Canada trust with a U.S. grantor. Amendments in amend the Internal Revenue Code of 1986, as Income Tax Convention did not apply to a 1984 to sections 367 and 1492 deleted excep- amended, by adding proposed Section 877A.1 former citizen who, it was assumed for pur- tions to taxation of such outbound transfers Subject to certain technical comments re- poses of deciding petitioner’s motion for where the taxpayer could establish that the ferred to below, I strongly support enact- summary judgment, expatriated to Canada transfer did not have as one of its principal ment of proposed Section 877A. for a principal purpose of avoiding United purposes the avoidance of Federal income States tax. The Court found that, properly taxes. The principal purpose test similarly DESCRIPTION OF CURRENT LAW interpreted, the Convention prohibited the should be deleted from Section 877.14 The United States exercises personal juris- United States from taxing the taxpayer’s diction to tax individuals by taxing the A second difficulty with current Section capital gain from the sale of stock under 877 relates to the assertion of U.S. taxing ju- worldwide income of U.S. citizens (whether Section 877. Based on the Crow decision, it is or not resident or domiciled in the United risdiction after the taxpayer has renounced doubtful whether the United States may tax U.S. citizenship. At that point, the taxpayer States) and residents.2 A U.S. taxpayer may a treaty resident under Section 877 on in- elect to credit foreign income taxes against may be resident in another taxing jurisdic- come that a treaty reserves for taxation by tion that may rightfully feel that it has the his U.S. tax, subject to a limitation that ap- the country of residence unless the treaty plies with respect to categories of foreign primary right to tax gains of a resident from specifically preserves the U.S. right to tax a the sale of tangible property (other than real source income to restrict the credit to the Section 877 expatriate. amount of U.S. tax paid with respect to in- estate in another country) and intangible Current U.S. treaty policy is to cover Sec- property. It is not surprising that there may come in that category. tion 877 expatriates under the savings clause The United States asserts a source-based be disagreement as to which country should to permit the United States to tax income or be considered to have the primary right to tax on nonresident aliens.3 Nonresident gains of a Section 877 expatriate who is resi- aliens are taxed on the gross amount of U.S.- tax. A tax imposed at the time of expatria- dent in the treaty partner country notwith- tion, however, would accurately delineate source interest, dividends, rents, and other 8 standing other articles of the treaty. Even gains properly subject to U.S. taxing juris- fixed or determinable income at a flat rate of where the savings clause covers taxation of 30 percent (or a lower treaty rate). This tax diction. This would improve the position of an expatriate under Section 877, the coverage the United States if it asks treaty partners generally is collected by withholding. A non- 9 may be less than complete. to increase a taxpayer’s basis in property resident alien is taxed at regular graduated It does not appear that treaties remedy the taxed by the United States on expatriation rates on income that is effectively connected failure of the domestic law foreign tax credit for purposes of taxation by the treaty part- with a U.S. trade or business, less deductions mechanism to avoid double taxation under ner. If taxation at the time of expatiation is that are properly allocable to the effectively Section 877. For example, the 1980 Conven- adopted, I would urge the Treasury to take connected income. A nonresident alien indi- tion between the United States and Canada such a position in treaty negotiations. vidual is allowed a foreign tax credit under allows the United States to impose tax on Section 906 only for foreign taxes paid with gains from the sale of stock in a U.S. com- A third problem with current Section 877 is respect to income effectively connected with pany realized by a Section 877 expatriate that it is easily avoided. I quote from a 1993 a U.S. trade or business. who is resident in Canada.10 Canada also article published in Tax Notes International: Under current law, the only income tax would be allowed to tax the gains.11 For pur- ‘‘Even for those nonresident former U.S. provision governing a change from citizen- poses of applying the foreign tax credit pro- citizens with substantial U.S. assets and in- visions of the Convention, the gains from the come, there are techniques that can greatly 1 Footnotes at end of letter. sale of stock would be treated as Canadian- reduce the impact of the anti-abuse rules by

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00043 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5316 CONGRESSIONAL RECORD — SENATE April 6, 1995 converting U.S. income and assets into for- be excepted from the proposal.17 Certain in- relevant precedent is that Congress has en- eign income and assets or by deferring in- terests in qualified retirement plans and, acted at least two provisions that tax gains come and taxable transfers until after the 10- subject to a limit of $500,000, interests in for- before they are realized. Section 1256 was year period under the anti-abuse rules has eign pension plans (as provided in regula- added to the Code in 1981 and provides that expired. tions) also would be excepted from the certain regulated futures and foreign cur- For example, consider the plight of a tax- deemed sale rule. rency contracts are marked-to-market on motivated former U.S. citizen living abroad A U.S. citizen would be treated as having the last day of a taxpayer’s taxable year and and owning a portfolio of U.S. stocks and relinquished his citizenship on the earlier of gain or loss recognized.18 Section 475, en- bonds. Without taking any measures, such a (i) the date he renounces citizenship before a acted in 1993, requires securities dealers to person would be subject to U.S. income tax diplomatic or consular officer, (ii) the date mark-to-market securities held in inventory on interest, dividends and capital gain from he provides to the State department a signed on the last day of the taxable year and rec- the portfolio and would be subject to a U.S. statement of voluntary relinquishment of ognize gain or loss. Moreover, fairness to estate and gift tax on taxable transfer of as- citizenship confirming an act of expatriation taxpayers as well as the Government’s rev- sets in the portfolio. Such an individual under the Immigration and Nationality Act, enue interests may require that such mark- could, however, transfer the portfolio to a (iii) the date that the U.S. Department of to-market treatment be expanded to a broad- foreign corporation that is not engaged in a State issues a certificate of loss of nation- er range of circumstances. It would be ex- U.S. trade or business with drastically more ality, or (iv) the date a court cancels a natu- tremely unwise for this Committee to adopt 19 favorable results. ralized citizen’s certificate of naturalization. the holding of Eisner v. Macomber in a way For income tax purposes, the foreign cor- The tax would be due on the 90th day after that could be viewed as imposing a constitu- tionally-based realization requirement. poration would itself be taxed in the same the expatriation date. The Internal Revenue I also would not in any way equate the im- manner as an NRA who had never been a Service would be authorized to allow a tax- position by the United States, in 1995, of a U.S. citizen (i.e., gross U.S.-source dividends payer to defer payment of the tax for up to tax on its fair share of the appreciation in would be subject to a flat 30-percent-or-lower 10 years under section 6161 as through the assets owned by U.S. persons during their pe- withholding tax, certain types of U.S.-source tax were an estate tax imposed by chapter riod of U.S. citizenship to an exit tax im- interest would be subject to a similar flat 11. posed on Jewish and politically motivated withholding tax while other types of U.S.- The Committee Bill’s Section 877A would emigrants from the Union of Soviet Socialist source interest would be exempt under the be effective for U.S. citizens who relinquish Republics during the State-sponsored repres- portfolio interest or other exemptions and their U.S. citizenship on or after February 6, sion of the Brezhnev era. A tax that excludes capital gains would be exempt from tax un- 1995. No tax would be due before 90 days after the first $600,000 of gain can hardly be viewed less real estate related). enactment. as a barrier to emigration. While a sale of stock in the foreign cor- ANALYSIS OF PROPOSED SECTION 877A CONCLUSION poration by the former U.S. citizen would be The Committee Bill meets the three objec- treated as taxable U.S.-source income under The Committee’s proposed Section 877A is tions to current law Section 877 described the anti-abuse rule, as sale of the U.S. stocks an improvement over current law, is sound above. It deletes the tax avoidance purpose and securities in the portfolio by the foreign international tax policy and deserves the test. It imposes tax on gain determined as of corporation would not. Moreover, dividends strong support of your Committee. the date a taxpayer relinquishes citizenship Please do not hesitate to contact me if I by the foreign corporation to its share- and thereby properly measures the gain sub- may be of assistance to the Committee. holders would be foreign-source, and there- ject to U.S. personal taxing jurisdiction. As Sincerely, fore free from U.S. tax, even if the foreign a consequence of these changes it will be STEPHEN E. SHAY. corporation’s earnings out of which it pays more administrable and not subject to easy the dividends are U.S.-source interest, divi- FOOTNOTES avoidance. dends, and capital gains.’’ (Footnotes omit- 1 Unless otherwise indicated, all section references The Committee Bill also reflects several ted.) 15 are to the Internal Revenue Code of 1986, as amended significant improvements over the text re- In light of the increasing sophistication of and as proposed to be amended by the Committee leased in the original version of H.R. 981. The taxpayers, it is not surprising that the easy Bill. definition of when a taxpayer relinquishes 2 Taxation on the basis of citizenship is different pickings of tax-motivated expatriation are citizenship has been modified to relate to the from the practice of most countries, which is to tax too tempting for some to resist. Based on in- earliest of several substantive acts that individuals on the basis of residence. The Supreme formal discussions with the State Depart- manifest an intent to voluntarily relinquish Court, however, has upheld the constitutionality of ment, and Staff of the Joint Committee on taxing a nonresident citizen. Cook v. Tait, 265 U.S. citizenship. This should adequately protect Taxation has reported that 697 citizens expa- 47 (1924). taxpayers who have relied on current law. 3 triated in 1993 and 858 in 1994.16 There is evi- A nonresident alien individual is an individual The I.R.S. authority to extend the time to dence that some of these expatriations will who is neither a U.S. citizen nor a resident alien. make payment of the tax is expanded to per- Generally, an alien individual is a resident alien for result in substantial revenue loss as a result mit deferral of up to 10 years under rules U.S. tax purposes under Section 7701(b) if he or she of the infirmities of current Section 877. It is that are commonly used in the estate tax (1) is a lawful permanent resident of the United time to amend the law to address current re- context. These changes are welcome. States (i.e. holds a green card), or (2) satisfies the alities. ‘‘substantial presence’’ test as a result of being I suggest another modification to the Com- physically present in the United States for a pre- DESCRIPTION OF PROPOSED SECTION 877A mittee Bill. I recommend that an alien that scribed amount of time. Under the Committee Bill, a U.S. citizen becomes a naturalized citizen take a ‘‘fresh 4 These same taxing rules also are applied under who relinquishes U.S. citizenship generally start’’ fair market basis in his or her assets Section 7701(b)(10) in the case of a resident alien in- would be treated as having sold all of his or for purposes of Section 877A. The measuring dividual who is resident in the United States for her property at fair market value imme- date for this purpose should be the earliest of three consecutive years, then ceases to be a resi- diately prior to relinquishing citizenship and (i) the date the alien becomes a naturalized dent, and subsequently becomes a resident within three years after the close of the initial residency gain or loss from the deemed sale would be citizen, (ii) the date the alien becomes a resi- period. This anti-abuse rule protects the U.S. tax subject to U.S. income tax. In addition, the dent alien, and (iii) the date the asset is ‘‘ef- base from erosion by a resident alien who transfer deferral of tax or income recognition (e.g., fectively connected’’ with a U.S. trade or residence from the United States for a limited pe- due to the installment method) would termi- business of the alien. This measure is impor- riod of time in order to sell a highly appreciated nate on the date of the deemed sale and the tant to support the position that the U.S. asset and then resumes his or her U.S. residence. deferred tax would be due and payable on claim to tax is truly related to its personal 5 See, e.g., Furstenbert v. Commissioner, 83 T.C. that date. or source taxing jurisdiction. 755 (1985). 6 See U.S. Department of the Treasury, Proposed Generally property interests that would be I reserve comment on certain technical as- Model Convention Between the United States and included in the individual’s gross estate pects of the proposal and would be pleased to llll for the Avoidance of Double Taxation and under the Federal estate tax if such indi- work with the Committee staff on the details the Prevention of Fiscal Evasion, Art. 1(3) (1981), re- vidual were to die on the day of the deemed of final legislation. In particular, I do not printed in 1 Tax Treaties (CCH) ¶208 (1994) (herein- sale, plus certain trust interests that are not comment, without further study, on the ap- after ‘‘U.S. Model Treaty’’). An important exception otherwise included in the gross estate, would proach taken by the Committee Bill to inter- to the saving clause is the obligation of a con- be taxed on the expatriation date. The first ests in trusts or to the interaction of Section tracting state to give double tax relief for taxes im- posed by the source country. $600,000 of net gain recognized on the deemed 877A with estate and gift tax rules. The savings clause implements the U.S. policy sale would be exempt from tax. If a taxpayer Finally, I respectfully disagree with cer- that tax treaties generally are not intended to affect were determined to hold an interest in a tain initial criticisms of H.R. 981 in com- U.S. taxation of U.S. citizens or residents. American trust for purposes of Section 877A, the trust ments prepared by other individual members Law Institute, Federal Income Tax Project: Inter- would be treated as though it sold the tax- of the American Bar Association. national Aspects of United States Income Taxation payer’s share of assets of the trust and the The weight of scholarship rejects the view (Proposals of the American Law Institute on United proceeds were distributed to the taxpayer that realization is or should be constitu- States Income Tax Treaties); 229, N. 606 (1992). 7 Rev. Rul. 79–152, 1979–1 C.B. 237 (holding that a and recontributed to the trust. tionally required to tax gains. Since, in my liquidating distribution would be taxable to a Sec- U.S. real property interests, which remain experience, Congress, and this Committee, tion 877 expatriate that acquired residence in a trea- subject to U.S. taxing jurisdiction in the exercises an appropriate skepticism regard- ty country even though the treaty did not preserve hands of nonresident aliens, generally would ing professorial musings, perhaps the more U.S. right to tax under Section 877).

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00044 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5317 8 See U.S. Department of the Treasury, Proposed ment before the Subcommittee on Taxation 831 from doing so, but I do not believe the ef- Model Convention Between the United States and and Internal Revenue Oversight, two opin- fect of the proposed tax could be classified as llll for the Avoidance of Double Taxation and ions of the Office of the Legal Adviser, U.S. an arbitrary denial of the right to change the Prevention of Fiscal Evasion, Art. 1(3) (1981), re- State Department, the views of Professors one’s nationality within the meaning of the printed in 1 Tax Treaties (CCH) ¶208 (1994). 9 The 1993 U.S. treaty with the Netherlands, for ex- Paul Stephan III and Robert Turner and oth- Universal Declaration. ample, does not cover Section 877 expatriates who ers. I understand that the question has been are Dutch nationals. Convention Between the United Very truly yours, raised whether H.R. 831 is inconsistent with States of America and The Kingdom of the Nether- DETLEV F. VAGTS, § 402 of the Trade Act of 1974, the so-called lands for the Avoidance of Double Taxation and the Bemis Professor of Law. Jackson-Vanik Amendment. I am very fa- Prevention of Fiscal Evasion With Respect to Taxes miliar with the amendment, having written on Income, Art. 24(1). about it in my book ‘‘Trade Controls for Po- 10 NEW YORK UNIVERSITY, Convention Between the United States of Amer- litical Ends’’ at pp. 166–190 (2d.ed 1983). I am ica and Canada With Respect to Taxes on Income SCHOOL OF LAW, and on Capital (‘‘U.S.-Canada Treaty’’), Art XXIX(2). New York, NY, March 27, 1995. clear that the amendment was addressed to a 11 U.S. Canada Treaty, Art. XIII(4). Hon. LESLIE B. SAMUELS, quite different purpose, i.e., inducement to 12 U.S.-Canada Treaty, Art. XXIV(3)(b). Assistant Secretary (Tax Policy), Department of Soviet authorities to abandon their restric- 13 See U.S.-Canada Treaty, Art. XXIV(1). the Treasury, Washington, DC. tions on Jews and some other groups who de- 14 There are a series of exceptions to taxation at DEAR MR. SECRETARY: You have asked for sired to leave the Soviet Union to escape dis- the time of transfer under sections 367 and 1491 that my views on section 5 of H.R. 831 presently crimination and persecution. It is true that are based in substantial part on the fact that the one of the restrictions against which the transferring shareholder remains subject to resi- pending before the U.S. Senate, which as I dence-based taxation on property that receives a understand it would impose a capital gains Jackson-Vanik Amendment was directed was carryover basis in the exchange for the transferred tax on United States citizens who renounce taxation; however (i) the Soviet tax was a property. That circumstance is not present in the their U.S. citizenship, based on a hypo- relatively high tax based not on wealth or context of Section 877. thetical sale of all their property (subject to income but on the level of education; and (ii) 15 Zimble, ‘‘Expatriate Games: The U.S. Taxation a deduction) immediately prior to renunci- the tax was imposed on emigration, not on of Former Citizens,’’ Tax Notes Int’l (Nov. 2, 1993), ation. In particular, you have asked my view change of citizenship or nationality. I have LEXIS 93 TNI 211–15. read the prepared statement of Professor 16 Staff of the Joint Committee on Taxation, ‘‘De- on whether such a tax would be inconsistent scription of Revenue Provisions Contained in the with applicable treaties or principles of Robert F. Turner of March 21, 1995; I find his President’s Fiscal Year 1996 Budget Proposal,’’ Foot- international law. suggestion that H.R. 831 is somehow incon- sistent with the ideals expressed in the Jack- note 6 (JCS–5–95, Feb. 15, 1995). STATEMENT OF QUALIFICATIONS 17 The exception would apply to all U.S. real prop- son-Vanik Amendment quite unpersuasive, erty interests, as defined in section 897(c)(1), except I have been a professor of law at New York as a matter of history, of purpose, and of stock of a U.S. real property holding corporation University since 1967, specializing in inter- law. that does not satisfy the requirements of section national law and international economic On sum, imposition of unreasonable condi- 897(c)(2) on the date of the deemed sale. transactions. Prior to joining the faculty of tions on emigration or change of nationality 18 The Ninth Circuit has passed favorably on the New York University, I served for more than could be contrary to international law. H.R. constitutionality of Section 1256, Murphy v. United five years in the United States Department States, 992 F. 2d 929 (9th Cir. 1993). 831 imposes no restrictions on emigration; it 19 252 U.S. 189 (1920). of State, as Special Assistant to the Legal does impose some conditions on renunciation Adviser for Economic Affairs, and Deputy EXHIBIT 2 of United States citizenship, but these condi- Legal Adviser (1961–66). I was an Associate tions are not unreasonable, and therefore not HARVARD LAW SCHOOL, Reporter for the American Law Institute’s unlawful. Cambridge, MA, March 24, 1995. Restatement (Third) of the Foreign Rela- Respectfully submitted, Hon. LESLIE B. SAMUELS, tions Law of the United States (1979–87), and ANDREAS F. LOWENFELD, Assistant Secretary (Tax Policy), Department of I served as consultant to the ALI Project on Herbert and Rose Rubin Professor the Treasury, Washington, DC. Income Tax Treaties (1988–92). of International Law. DEAR SECRETARY SAMUELS: Your office has CONCLUSION requested my views as to international law TUFTS UNIVERSITY implications of the proposed tax on expatri- Without taking any position on the desir- THE FLETCHER SCHOOL OF LAW AND ates that would be imposed by section 5 of ability of the proposed legislation, I am con- fident that neither adoption nor enforcement DIPLOMACY, H.R. 831. You will understand that this is my Medford, MA, March 24, 1995. personal opinion and in no way purports to of the provision in question would violate Hon. DANIEL PATRICK MOYNIHAN, represent the views of the institution to any obligation of the United States or any applicable principles or international law. U.S. Senate. which I belong. It is also compact in form Re: Tax Compliance Act of 1995, H.R. 981 ANALYSIS due to the constraints of time imposed by DEAR SENATOR MOYNIHAN: I am writing to your legislative schedule and my own im- There is no doubt that international law express my serious concern over the pro- pending travel. today recognizes the right to emigrate, and posed ‘‘exit tax’’ included in Sec. 201 of H.R. The right of expatriation has always been the right to change one’s nationality. Article 981. This concern is based not on an evalua- highly valued by the United States, which 13(2) of the universal Declaration of Human tion of its tax consequences, an area in has defended it against the claims of other Rights (1948) states. which I am not an expert, but rather on the nations that refused to let their citizens go. Everyone has the right to leave any coun- possible inconsistency of the tax with funda- The right to make this choice is the counter- try, including his own. . . mental international human rights norms part of the right not to lose one’s citizenship Article 15(2) states: No one shall be arbi- and U.S. international legal obligations. except by one’s own voluntary choice, a trarily deprived of his nationality nor denied As you know, the U.S. is now a party to right underlined by opinions of the Supreme the right to change his nationality. the Covenant on Civil and Political Rights, Court. However, in my view, the proposed Without here debating the binding char- article 12 of which guarantees the right of tax does not amount to such a burden upon acter of the Universal Declaration (see ‘‘Re- everyone ‘‘to leave any country, including the right of expatriation as to constitute a statement (Third) of Foreign Relations his own.’’ By coincidence, the United States violation of either international law or Law,’’ introduction to Part VII, § 701, and will present its first report on compliance American constitutional law. It merely notes thereto), it is clear to me that the Con- with the Covenant to the Human Rights equalizes over the long run certain tax bur- gress should not be asked to adopt legisla- Committee in New York next week. dens as between those who remain subject to tion that runs contrary to principles to Although I understand that the ‘‘exit tax’’ U.S. tax when they realize upon certain which the United States has given and con- is based on renunciation of citizenship rather gains and those who abandon their citizen tinues to give its support. I do not believe, than on leaving the country, it is difficult to while the property remains unsold. however, that H.R. 831 is contrary either to see how one can ‘‘punish’’ the former with- Furthermore, the proposed tax does not ex- the right to emigrate (i.e., change of one’s out seriously compromising the latter. In- cept, in the most indirect way, burden the residence) or to expatriate (i.e., change of deed, the imposition of confiscatory taxes right to emigrate. It is the right to emigrate one’s nationality). No prohibition against has been a policy pursued by many countries rather than the right to expatriate oneself performing either or both of these acts is to discourage emigration, whether on pur- which is the subject of various conventions contained in the proposed legislation, nor is ported national security grounds, specious and of customary international law. As stat- the tax so burdensome as to be fairly re- economic arguments, or to prevent ‘‘brain ed in the preceding paragraph, it basically garded as penal or confiscatory. drain;’’ I address these and other issues in equalizes certain tax burdens. It is not com- Persons who wished to abandon their my 1987 book, ‘‘The Right to Leave and Re- parable to the measures imposed by such American Citizenship for reasons of political turn in International Law and Practice’’ countries as the former Soviet Union and or religious belief would not be prevented (Martinus Nijhoff). German Democratic Republic which were ob- from doing so by H.R. 831. Persons who were In 1986, a meeting of eminent American viously and intentionally burdens on the considering renunciation of their U.S. citi- and European legal experts adopted the right to emigrate. zenship for purposes of reducing their tax li- ‘‘Strasbourg Declaration on the Right to In arriving at these conclusions I have re- ability—whether on income or upon succes- Leave and Return,’’ a copy of which I attach viewed various materials such as your state- sion at death—might be dissuaded by H.R. for your information. I would particularly

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draw your attention to article 5, which THE RIGHT TO LEAVE eral controls imposed by law to safeguard states, inter alia, that ‘‘[a]ny person leaving Article 3 the national economy, provided that such a country shall be entitled to take out of controls do not have the effect of denying that country...his or her personal (a) No person shall be subjected to any the exercise of the right. property...[and] all other property or the sanction, penalty, reprisal or harassment for (b) Property or the proceeds thereof which proceeds thereof, subject only to the satis- seeking to exercise or for exercising the cannot be taken out of the country shall re- faction of legal monetary obligations, such right to leave a country, such as acts which main vested in the departing owner, who as maintenance obligations to family mem- adversely affect, inter alia, employment, shall be free to dispose of such property or bers, and to general controls imposed by law housing, residence status or social, economic proceeds within the country. or educational benefits. to safeguard the national economy, provided RIGHT TO ENTER OR RETURN that such controls do not have the effect of (b) No person shall be required to renounce Article 6 denying the exercise of the right.’’ The tax his or her nationality in order to leave a in question would not appear to meet these country, nor shall a person be deprived of na- (a) No one shall be deprived of the right to standards. tionality for seeking to exercise or for exer- enter his or her own country. Without having examined the provisions of cising the right to leave a country. (b) No person shall be deprived of nation- Sec. 201 in greater detail, I cannot state de- (c) No person shall be denied the right to ality or citizenship in order to exile or to finitively that it would violate international leave a country on the grounds that that per- prevent that person from exercising the law. However, the human rights implications son wishes to renounce or has renounced his right to enter his or her country. of such a provision appear to be extremely or her nationality. (c) No entry visa may be required to enter serious, and adoption of the law would seem, Article 4 one’s own country. at best, to be hypocritical, given the legiti- (a) No restriction may be imposed on the Article 7 mate and consistent U.S. insistence on free right to leave except those which are Permanent legal residents who tempo- emigration from other countries over the (1) provided by law; rarily leave their country of residence shall years. (2) necessary to protect national security, not be arbitrarily denied the right to return I hope that the Senate will examine these public order (ordre public), public health or to that country. issues with great deliberation before it de- morals or the rights and freedoms of others; Article 8 cides to balance the budget on the back of and individual rights. On humanitarian grounds, a state should (3) consistent with internationally recog- Yours sincerely, give sympathetic consideration to permit- nized human rights and other international HURST HANNUM, ting the return of a former resident, in par- legal obligations. Associate Professor ticular a stateless person, who has main- of International Law. Any such restriction shall be narrowly tained strong bona fide links with that state. construed. PROCEDURAL SAFEGUARDS (b) Any restriction on the right to leave APPENDIX F Article 9 shall be clear, specific and not subject to ar- STRASBOURG DECLARATION ON THE RIGHT TO bitrary application. Everyone has the right to obtain such trav- LEAVE AND RETURN (c) A restriction shall be considered ‘‘nec- el or other documents as may be necessary Adopted on 26 November 1986 essary’’ only if it responds to a pressing pub- to leave any country or to enter one’s own country. Such documents shall be issued free PREAMBLE lic and social need, pursues a legitimate aim and is proportionate to that aim. of charge or subject only to nominal fees. The Meeting of Experts on the Right to (d) A restriction based on ‘‘national secu- Article 10 Leave and Return, rity’’ may be invoked only in situations (a) Any national procedures or require- Recognising that respect for human rights where the exercise of the right poses a clear, ments affecting the exercise of the rights set and fundamental freedoms is essential for imminent and serious danger to the State. forth in this Declaration shall be established peace, justice and well-being and is nec- When this restriction is invoked on the by law or administrative regulations adopted essary to ensure the development of friendly ground that an individual acquired military pursuant to law. relations and co-operation among all states; secrets, the restriction shall be applicable (b) Everyone shall have the right to com- Recalling that the Universal Declaration only for a limited time, appropriate to the municate as necessary with any person, in- of Human Rights, the International Cov- specific circumstances, which should not be cluding foreign consular or diplomatic offi- enant on Civil and Political Rights, and the more than five years after the individual ac- cials, for the realization of the rights set International Convention on the Elimination quired such secrets. forth in this Declaration. of All Forms of Racial Discrimination, as (e) A restriction based on ‘‘public order (c) No state shall refuse to issue the docu- well as regional conventions, recognize the (ordre public)’’ shall be directly related to ments referred to in Article 9 or shall other- fundamental principle, based on general the specific interest which is sought to be wise impede the exercise of the right to international law, that everyone has the protected. ‘‘Public order (ordre public)’’ leave, on the ground of the applicant’s in- right to leave any country, including one’s means the universally accepted fundamental ability to present authorization to enter an- own, and to return to one’s own country; principles, consistent with respect for human other country. Emphasizing that the right of everyone to rights, on which a democratic society is (d) Procedures for the issuance of the docu- leave any country and to enter one’s own based. ments referred to in Article 9 shall be expe- country is indispensable for the full enjoy- (f) A restriction based on ‘‘the rights and ditious and shall not be unreasonably ment of all civil, political, economic, social freedoms of others’’ shall not imply that rel- lengthy or burdensome. and cultural rights; atives (except for parents with respect to (e) Everyone filing an application for any Concerned that the denial of this right is unemancipated minors), employers or other document referred to in Article 9 shall be en- the cause of widespread human suffering, a persons may prevent, by withholding their titled to obtain promptly a duly certified re- source of international tensions, and an ob- consent, the departure of any person seeking ceipt for the application filed. Decisions re- ject of international concern; to leave a country. garding issuance of such documents shall be Adopts the following Declaration: (g) No fees, taxes or other exactions shall taken within a reasonable period of time Article 1 be imposed for seeking to exercise or exer- specified by law. The applicant shall be Everyone has the right to leave any coun- cising the right to leave a country, with the promptly informed in writing of any decision try, including one’s own, temporarily or per- exception of nominal fees related to travel denying, withdrawing, cancelling or post- manently, and to enter one’s own country, documents. poning issuance of any such document; the without distinction as to race, colour, sex, (h) Permissibility of restrictions on the specific reasons therefor; the facts upon language, religion, political or other opinion, right to leave is subject to international which the decision is based; and the adminis- national or social origin, property, birth, scrutiny. The burden of justifying any such trative or other remedies available to appeal marriage, age (except for unemancipated mi- restriction lies with the state. the decision. (f) The right to appeal to a higher adminis- nors independently of their parents), or Article 5 other status. trative or judicial authority shall be pro- (a) Any person leaving a country shall be vided in all instances in which the right to Article 2 entitled to take out of that country leave or enter is denied. The appellant shall Every state shall adopt such legislative or (1) his or her personal property, including have a full opportunity to present the other measures as may be necessary to en- household effects and property connected grounds for the appeal, to be represented by sure the full and effective enjoyment of the with the exercise of that person’s profession counsel of his or her choice, and to challenge rights set forth in this Declaration. or skill; the validity of any fact upon which a denial All laws, administrative regulations or (2) all other property or the proceeds there- or restriction has been founded. The results other provisions affecting the enjoyment of of, subject only to the satisfaction of legal of any appeal, specifying the reasons for the these rights shall be published and made eas- monetary obligations, such as maintenance decision, shall be communicated promptly in ily accessible. obligations to family members, and the gen- writing to the appellant.

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FINAL CLAUSES taken into account for the taxable year (new able from income tax under 26 U.S.C. §§ 101 et Article 11 26 U.S.C. § 877A). Certain exceptions and con- seq. (certain interest on state and local Any person claiming a violation of his or ditions would apply to the general rule. bonds, gifts and inheritances, etc.) and an ex- her rights set forth in this Declaration shall Items currently excluded from gross income clusion of the first $600,000 of gain. Currently have effective recourse to a judicial or other under 26 U.S.C. §§ 102 et seq. would continue 26 U.S.C. § 6018 requires an executor to file an independent tribunal to seek enforcement of to be excluded, as would real property and estate tax return in all cases where the gross estate at the death of a citizen or resident those rights. interests in retirement plans. The amount of realized gain would be reduced (but not exceeds $600,000. While current deferrals Article 12 below zero) by $600,000. would apparently be eliminated, the possi- No state may impede communication by A tentative tax would be due 90 days after bility of deferred payment is not entirely any person with an international organiza- the taxpayer relinquishes citizenship, but for foreclosed. Further, the tax burden would tion or other bodies or persons outside the good cause payment of tax may be extended seem to be immediately lessened by the fact state with regard to the rights set forth in by the Secretary of the Treasury for up to 10 that certain real property and pension plans this Declaration, and no sanction, penalty, years. An individual will be deemed to have would be excluded. reprisal or harrassment may be imposed on relinquished his or her citizenship (1) on the Though curbs on expatriation may indi- anyone exercising this right of communica- date the individual renounces his or her rectly affect one’s ability to emigrate, one tion. United States nationality before a diplo- may question, however, whether a restric- Article 13 matic or consular officer, furnishes the State tion on expatriation would in fact restrict this right. The proposed tax does not, for ex- The enjoyment of the rights set forth in Department a signed statement of voluntary ample, amend current constitutional and this Declaration shall not be limited because relinquishment, or is issued a certificate of statutory protection of a U.S. citizen’s right of activities protected under internationally loss of nationality by the State Department to leave the country whether or not the tax recognized human rights or other inter- or (2) for naturalized citizens, on the date a is paid; in other words, the act of emigration national legal obligations. court cancels the citizen’s certificate of nat- would not appear to be conditioned on such Article 14 uralization. Currently, nonresident aliens are subject payment. Moreover, it seems difficult to Nothing in this Declaration shall be inter- to income tax on certain property for ten argue that a condition on U.S. expatriation preted as implying from any state, group or years after losing United States citizenship, would so affect foreign countries’ willingness person any right to engage in any activity or unless the loss of citizenship did not have as to accept U.S. citizens as residents that the perform any act aimed at destroying any of one of its purposes the avoidance of federal right to leave the U.S. would be substan- the rights set forth herein or at limiting or income or estate and gift taxes (26 U.S.C. tially impaired. More likely, there may be a them to a greater extent than is provided for § 877). This law would cease to apply to any number of foreign laws and regulations that in this Declaration. individual who relinquishes his or her citi- could burden an individual who seeks to live Article 15 zenship on and after February 6, 1995 (new 26 elsewhere—e.g., restrictions on immigration, The present Declaration shall not be inter- U.S.C. § 877(f)). acquiring citizenship, eligibility for benefits. Customary international law. Customary preted to limit the enjoyment of any human International agreements. With respect to international law is defined as resulting right protected by international law. the right of emigration, we can identify only ‘‘from a general and consistant practice of one clearly binding international agreement EXHIBIT 3 states followed by them from a sense of legal to which the United States is a party that CONGRESSIONAL RESEARCH SERVICE obligation.5 Further, a principle of cus- addresses the right to emigrate as possibly THE LIBRARY OF CONGRESS tomary international law would not bind a implicated here—namely, the International Washington, DC, March 23, 1995. State that dissents from the norm while it is Covenant on Civil and Political Rights. American Law Division, Memorandum being developed nor if and when the practice Article 12 of the Covenant, which entered Subject: Whether Legislation That Would evolves into a rule.6 As stated in the Foreign into force for the United States on Sep- Tax Property Upon Expatriation Con- Relations Restatement, whether a principle tember 8, 1992, provides, in pertinent part, as stitutes a Violation of International Law has achieved the status of an international follows: Author: Jeanne J. Grimmet and Larry M. legal norm would generally be determined by 2. Everyone shall be free to leave any coun- Eig, Legislative Attorneys ‘‘evidence appropriate to the particular try, including his own. This memorandum addresses whether leg- source from which that rule is alleged to de- 3. The above-mentioned rights shall not be islation that would tax the property of rive,’’ 7 and thus the most reliable evidence subject to any restrictions except those American citizens who renounce their citi- for customary law would be ‘‘proof of state which are provided by law, are necessary to zenship at the time of renunciation violates practice, ordinarily by reference to official protect national security, public order an international obligation of the United documents and other indications of govern- (‘‘order public’’), public health or morals or States under a treaty or other international mental action’’ and similar proof regarding a the rights and freedoms of others, and are agreement or customary international law. nation’s dissent from the principle.8 consistent with the other rights recognized Because of the brevity of our deadline, this The Universal Declaration of Human in the present Covenant. memorandum does not provide a detailed Rights (a United Nations General Assembly In submitting the Covenant to the Senate, analysis of this question, but rather briefly Resolution) and the Final Act of the Con- the Executive Branch specifically stated examines some of the more salient inter- ference of Security and Cooperation in Eu- that Article 12 ‘‘guarantees . . . the right of national legal issues that might be impli- rope (Helsinki Final Act) state or incor- emigration to all those lawfully within the cated by such legislation. porate the notion of freedom of emigration 9 territory of a State party.’’ 1 Based on this preliminary analysis, there and to this extent they may be said to ar- The Convention does not make the right to does not appear to be a clear international ticulate a generally recognized international emigrate an absolute one. The right may be legal impediment to the enactment of the human right. It appears to remain uncertain, restricted for, among other things, reasons proposed legislation. First, the legislation however, whether the Universal Declaration of ‘‘public order,’’ a phrase roughly analo- applies upon the act of renunciation of citi- is binding.10 Further, the Helsinki Final Act gous to the concept of public policy and like- zenship and would thus only indirectly affect is not intended to legally bind parties. Even ly including such notions as ‘‘economic emigration. While a right to emigrate is rec- assuming that the right to emigrate may be order.’’ 2 Some commentary apparently indi- ognized in national legal systems and in both considered to be a norm of customary inter- cates that States may certainly require that binding and non-binding international legal national law, it is unclear whether the pro- citizens pay normal tax obligations and pub- instruments, there does not appear to be an posed tax would violate that right, given the lic debts upon emigration,3 but suggests that obvious consensus on the content of this apparent lack of international consensus on economic controls should not result in a de right and, moreover, international legal in- the issue of taxes keyed to expatriation and facto denial of the right to leave.4 struments recognize the right of emigration state practice to the contrary. may be restricted for certain purposes. Addi- The proposed legislation does not directly As for the right of expatriation in general, tionally, the proposed tax would not appear restrict the right of an individual to leave the Universal Declaration of Human Rights to violate a norm of customary international the United States and indeed covers individ- provides that ‘‘no one shall be denied the law. It would seem to be relatively common uals who may have already chosen to reside right to change his nationality’’ (Art. 15(2)). in international practice for an individual to elsewhere. The tax would not be triggered by Nevertheless, while the United States over 10 incur tax consequences as a result of his or the mere act of leaving or residing abroad. It years ago recognized a right of expatriation her emigration or expatriation. would be based on activities that occurred in statute,11 other countries appear to have Proposed legislation. Section 5 of H.R. 831, while the taxpayer was a citizen and appears expressed different views on the matter.12 104th Cong., 1st Sess. (1995), as reported by to generally reflect amounts that for the More specifically, identifying customary the Senate Finance Committee, would most part would otherwise be payable upon international law that may restrict a State’s amend federal income tax law to require that death. The proposed tax obligation contains ability to limit emigration and expatriation property held by a United States citizen who elements found in existing tax laws—for ex- necessarily requires examination of State relinquishes his or her citizenship be treated ample, exclusions for items currently exclud- taxation practices that affect those acts. A as sold for its fair market value at the time recent Joint Committee on Taxation staff of relinquishment and any gain or loss be Footnotes at end of article. document indicates that policies that attach

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Addi- of the United Nations and with the Universal Dec- Section 201 does not affect a person’s right tionally Australia and Canada already tax an laration of Human Rights. They will also fulfil their to leave the United States. Any tax obliga- obligations as set forth in the international declara- tions incurred under Section 201 would be emigre’s property upon emigration. Den- tions and agreement in this field, including inter mark and Germany also deem some types of triggered by the act of renunciation of U.S. alia, the International Covenants on Human Rights, citizenship, and not by the act of leaving the property to have been sold upon emigration by which they may be bound.’’ Helsinki Final Act, for tax purposes. In addition, United States Declaration on Principles Guiding Relations Be- United States. In addition, since during bilateral income tax treaties generally con- tween States, T VII. peacetime U.S. citizens must be outside the tain a provision reserving a right on the part 10 Foreign Relations Restatement, supra note 5, at United States to renounce their citizenship of the United States to tax for a period of § 701, Reporters’ Note 6. (see 8 U.S.C. Secs. 1481(a)(5), 1483(a)) the per- 11 ten years the property of a former citizen Expatriation Act of July 27, 1868, 15 Stat. 223, 8 sons affected by Section 201 would have al- U.S.C. § 1481 note. ready left the United States. Renunciation who is resident in the territory of the treaty 12 W. Bishop, International Law 526 (3d ed. 1971); 14 partner. Entry into the treaty obligation Foreign Relations Restatement, supra note 5, at does not preclude them from returning to would appear to indicate at least some for- § 211, Reporters’ Note 4. the United States as aliens and subsequently eign acquiescence in this practice. In sum, 13 Joint Committee on Taxation Staff Document leaving U.S. territory. Accordingly, Section the ‘‘expatriation tax’’ under consideration (JCX–14–95) on Background and Issues Relating to 201 does not affect a person’s right or ability would not appear to inhibit international Taxation of U.S. Citizens Who Relinquish Citizen- to leave the United States. movement in ways that current inter- ship, Prepared for Senate Finance Committee Hear- ing March 21, 1995, at 8–11 [hereinafter cited as Joint Inherent in the right to leave a country is national tax practice already does not. the ability to leave permanently, i.e., to Jackson-Vanik Amendment. The Jackson- Committee Document], as reprinted in Daily Tax Reporter, No. 55, L–11, L–15—L–16 (March 22, 1995). emigrate to another country willing to ac- Vanik Amendment, which makes nonmarket 14 Joint Committee Document, supra note 13, at 16, cept the person. The proposed tax is as economy (NME) countries that do not meet as reprinted in Daily Tax Reporter, March 22, 1995, unconnected to emigration as it is to the statutory freedom-of-emigration standards at L–18. right to leave the United States on a tem- ineligible for United States trade and finan- 15 19 U.S.C. § 2432. porary basis. It is not the act of emigration cial benefits,15 would not appear to provide 16 19 U.S.C. § 2432(a). 17 that triggers tax liability under Section 201, sufficient evidence of the kind of state prac- Joint Committee Document, supra note 13, at 18, tice that is needed to create a customary as reprinted in Daily Tax Reporter, March 22, 1995, but the act of renunciation of citizenship. rule of international law regarding the type at L–19. These two acts are not synonymous and of tax that is being proposed here. Three SECTION 201 OF TAX COMPLIANCE ACT OF 1995: should not be confused with one another. Be- types of conduct are addressed by the CONSISTENCY WITH INTERNATIONAL HUMAN cause the United States allows its citizens to Amendment: (1) denying citizens the right or RIGHTS LAW maintain dual nationality, U.S. citizens may opportunity to emigrate; (2) imposing more The Department of State believes that Sec- emigrate to another country and retain their than a nominal tax on emigration or on the tion 201 of the proposed Tax Compliance Act U.S. citizenship. Hence, the act of emigra- visas or other documents required for emi- of 1995 is consistent with international tion itself does not generate tax liability gration, for any purpose or cause whatso- human rights law. As described below, clos- under Section 201. Indeed, we understand ever; and (3) imposing more than a nominal ing a loophole that allows extremely wealthy from the Department of the Treasury that tax, levy, fine, fee, or other charge on any people to evade U.S. taxes through renunci- some of the people potentially affected by citizen as a consequence of the desire of such ation of their American citizenship does not Section 201 already maintain several resi- citizen to emigrate to the country of his violate any internationally recognized right dences abroad and hold foreign citizenship. choice.16 While the statute specifically incor- to leave one’s country. It is inaccurate on Moreover, in stark contrast to most emi- porates language regarding the right to emi- legal and policy grounds to suggest that the grants, particularly those fleeing grate and defines unacceptable restrictions Administration’s proposal is analogous to ef- totaliatarian regimes, some continue to on that right, placing Jackson-Vanik-type forts by totalitarian regimes to erect finan- spend up to 120 days each year in the United requirements on trading partners would ap- cial and other barriers to prevent their citi- States after they have renounced their U.S. pear to be unique to the United States. Fur- zens from leaving. The former Soviet Union, citizenship. ther, the targeted taxes are specifically re- for example, sought to impose such barriers While emigration from the United States lated to emigration, rather than to expatria- only on people who wanted to leave, and not should not be confused with renunciation of tion and, moreover, clearly apply in an over- on those who stayed. In contrast. Section 201 U.S. citizenship, it should nonetheless be ly restrictive manner. They include fees for seeks to equalize the tax burden born by all noted that it is well established that a State passport applications and exit visas that are U.S. citizens by ensuring that all pay taxes can impose economic controls in connection ordinarily prohibitive when measured on gains above $600,000 that accrue during with departure so long as such controls do against average income.17 These are far re- the period of their citizenship. Unlike the not result in a de facto denial of emigration. moved from the kind of tax proposed in H.R. Soviet effort to discriminate against people As Professor Hurst Hannum notes in com- 831, which, among other things, applies to in- who sought to leave, the purpose of Section menting on the restrictions on the right to dividuals who have incurred a tax burden be- 201 is to treat those who renounce their U.S. leave set forth in Article 12 of the Covenant: cause of actions that would generally impli- citizenship on the same basis as those who ‘‘Economic controls (currency restrictions, cate tax laws absent renunciation of citizen- remain U.S. citizens. taxes, and deposits to guarantee repatri- ship, affects taxpayers with untaxed capital Section 201 would require payments of ation) should not result in the de facto de- gains in excess of $600,000, and, if the Inter- taxes by U.S. citizens and long-term resi- nial of an individual’s right to leave . . . If nal Revenue Service agrees, might be pay- dents on gains above $600,000 that accrue im- such taxes are to be permissible, they must able on a deferred basis. mediately prior to renunciation of their U.S. be applied in a non-discriminatory manner FOOTNOTES citizenship or long-term residency status. and must not serve merely as a pretext for These tax requirements are similar to those 1 Senate Exec. E, 95th Cong., 2d Sess. xii (1977). denying the right to leave to all or a seg- 2 that they would face if they remained U.S. See Kiss, ‘‘Permissible Limitations on Rights,’’ ment of the population (for example, by re- citizens or long-term residents at the time in L. Henkin, ed., The International Bill of Rights quiring that a very high ‘education tax’ be 290, 299–302 (1981); M. Nowak, U.N. Covenant on Civil they realized their gains or at death. While paid in hard currency in a country in which and Political Rights: CCPR Commentary 212–214 U.S. tax policy generally allows taxpayers to possession of hard currency is illegal).’’ 1 (1993)[hereinafter cited as Nowak]. defer gains until they are realized or in- 3 The Movement of Persons Across Borders 82 cluded in an estate, we understand from the A wealthy individual who is free to travel (Sohn & Buergenthal eds. 1992), as cited in Prepared Statement of Robert F. Turner Before the Sub- Department of the Treasury that Section 201 and live anywhere in the world, irrespective committee on Taxation and IRS Oversight, Senate treats renunciation as a taxable event be- of nationality, is in no way comparable to Comm. on Finance, March 21, 1995, at 8. We have cause such act effectively removes the un- that of a persecuted individual seeking free- been unable to consult this treatise directly. derlying assets from U.S. taxing jurisdiction. dom who is not even allowed to leave his or 4 See, e.g., H. Hannum, ‘‘The Right to Leave and International law recognizes the right of her country for a day. In U.S. law, the Jack- Return in International Law and Practice 39–40 all persons to leave any country, including son-Vanik amendment to the Trade Act of (1987); cf. Nowak, supra note 2, at 213–14. their own, subject to certain limited restric- 1974 (19 U.S.C. Sec. 2432) is aimed at this lat- 5 American Law Institute, Restatement (Third) of the Foreign Relations Law of the United States tions. Article 12(2) of the International Cov- ter case and applies to physical departure, § 102(2) (1987)[hereinafter cited as Foreign Relations enant on Civil and Political Rights provides not change of nationality. Examples of Restatement]; see also Statute of the International that: ‘‘Everyone shall be free to leave any States’ practices that have been considered Court of Justice, Art. 33(1). country, including his own.’’ Article 12(3) to interfere with the ability of communist

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00048 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5321 country citizens to emigrate include impos- non-Australian assets at fair market value ‘‘(1) Denies its citizens the right or oppor- ing prohibitively high taxes specifically ap- at the time of departure. To provide another tunity to emigrate; plied to the act of emigration with no rela- example, Canada considers a taxpayer to ‘‘(2) Imposes more than a nominal tax on tion to an individual’s ability to pay, or dis- have disposed of all capital gain property at emigration or on the visas or other docu- guised as ‘‘education taxes’’ to recoup the its fair market value upon the occurrence of ments required for emigration, for any pur- State’s expenses in educating those seeking certain events, including relinquishment of poses or cause whatsoever; or to depart permanently. Such practices also residency. ‘‘(3) Imposes more than a nominal tax, include punitive actions, intimidation or re- Accordingly, Section 201 would not raise levy, fine, fee or other charge on any citizen prisals against those seeking to emigrate concerns with respect to change of citizen- as a consequence of the desire of such citizen (e.g., firing the person from his or her job ship for two reasons. First, U.S. citizens to emigrate to the country of his choice merely for applying for an exit visa). It is would remain free to choose to change their ***.’’ these offensive practices that the Jackson- citizenship. This proposal does not in any Vanick amendment is designed to eliminate way preclude such choice, even indirectly. This provision, according to the Senate Fi- and thereby ensure that the citizens of all Any tax owed, by its nature, applies only to nance Committee, was ‘‘intended to encour- countries can exercise their right to leave. gains and thus should not exceed an individ- age free emigration of all peoples from all (See Tab A for further analysis of the Jack- ual’s ability to pay. Second, international communist countries (and not be restricted son-Vanik amendment.) law would not proscribe reasonable con- to any particular ethnic, racial, or religious The only international human rights issue sequences of relinquishment, such as liabil- group from any one country). (1974 that is relevant to analysis of Section 201 is ity for U.S. taxes that accrue during the pe- U.S.C.C.A.N. 7338.) These countries were ex- whether an internationally recognized right riod of citizenship. We understand from the pected to ‘‘provide reasonable assurances to change citizenship exists and, if so, Department of the Treasury that the imposi- that freedom of emigration will be a realiz- whether Section 201 is consistent with it. tion of taxes under Section 201 would be eq- able goal’’ if they were to enter into bilat- The Universal Declaration of Human Rights, uitable, reasonable and consistent with over- eral trade agreements with the United which is in many respects considered reflec- all U.S. tax policy. We are aware of no evi- States. (Id.) tive of customary international law, pro- dence that would suggest otherwise. The tax, The amendment does not apply to emigra- vides in Article 15(2) that: ‘‘No one shall be as we understand it, applies only to gains tion from the United States or to the renun- arbitrarily deprived of his nationality nor that accrued during the period of citizenship ciation of U.S. citizenship. It has been sug- denied the right to change his nationality’’ in excess of $600,000; the tax rate is con- gested, however, that Section 201 would (emphasis added).2 Although many provi- sistent with other tax rates; and affected somehow conflict with the ‘‘spirit’’ or the sions of the Universal Declaration have been persons have the financial means to pay the ‘‘principles’’ of the Jackson-Vanik amend- incorporated into international law, for ex- tax. Indeed, were these persons to choose to ment. The Department of State does not ample in the International Covenant on Civil retain their U.S. citizenship, they would agree with such proposition. have to pay similar taxes upon realization of and Political Rights, Article 15(2) is not. Ac- Generally, in implementing this statute, their gains or upon death. Obviously, there is cordingly, the question arises whether this the President makes determinations con- no international right to avoid paying taxes provision could be considered to be cus- cerning a nonmarket economy’s compliance by changing one’s citizenship. tomary international law. with freedom of emigration principles con- States’ views on this question and prac- In conclusion, it is the view of the Depart- tained in the amendment. Such determina- tices do vary. Many countries have laws gov- ment of State that Section 201 does not vio- tions take into account the country’s stat- erning the renunciation of citizenship, but late international human rights law. Accord- utes and regulations, and how they are im- renunciation is not guaranteed because they ingly, the debate on the merits of Section 201 plemented day to day, as well as their net ef- have also established preconditions and re- should focus solely on domestic tax policies fect on the ability of that country’s citizens strictions, or otherwise subject the request and priorities. to emigrate freely. The President may, by to scrutiny.3 Professor Ian Brownlie has FOOTNOTES Executive Order, waive the prohibitions of commented on Article 15(2) in the context of 1 H. Hannum, ‘‘The Right to Leave and Return in the Jackson-Vanik amendment if he reports expatriation that: ‘‘In the light of existing International Law and Practice’’ 39–40 (1987). to Congress that a waiver will ‘‘substantially practice, however, the individual does not 2 Article XIX of the American Declaration on the promote’’ the amendment’s freedom of emi- have this right, although the provision in Rights and Duties of Man provides that: ‘‘Every per- gration objectives, and that he has received the Universal Declaration may influence the son has the right to the nationality to which he is assurances from the country concerned that interpretation of internal laws and treaty entitled by law and to change it, if he so wishes, for the nationality of any other country that is willing its emigration practices ‘‘will henceforth rules.’’ 4 Others agree with this position. (See to grant it to him.’’ The Declaration is not a treaty lead substantively to the achievement’’ of Restatement of the Foreign Relations Law of and has not itself acquired legally binding force. those objectives. (19 U.S.C. sec. 2431(c).) the United States, Sec. 211, Reporters’ Note 3 See Coumas v. Superior Court in and for San Joa- 4). Nonetheless, the United States believes quin County (People, Intervenor), 192 P. 2d 449, 451 Several types of State practices have been that individuals do have a right to change (Sup. Ct. Calif. 1948). When confronted with Greek considered by the United States to interfere their nationality. The U.S. Congress took refusal to consent to an expatriation, the Supreme with the ability of communist country citi- the view in 1868 that the ‘‘right of expatria- Court of California stated: ‘‘. . . The so-called Amer- zens to emigrate, such as: ican doctrine of ‘voluntary expatriation’ as a matter Prohibitively high taxes specifically ap- tion is a natural and inherent right of all of absolute right cannot postulate loss of original people’’ in order to rebut claims from Euro- nationality on naturalization in this country as a plied to the act of emigration with no rela- pean powers that ‘‘such American citizens, principle of international law, for that would be tan- tion on an individual’s ability to pay or dis- with their descendants, are subjects of for- tamount to interference with the exclusive jurisdic- guised as ‘‘education taxes’’ seeking to re- eign states, owing allegiance to the govern- tion of a nation within its own domain.’’ coup the state’s expenses in educating those ments thereof. . . .’’ (Rev. Stat. Sec. 1999). 4 I. Brownlie, ‘‘Principles of International Law’’ who are seeking to permanently depart; It is evident, however, that States do not (4th ed.) 557 (1990). Professor Lillich comments that Punitive actions, intimidation or reprisals recognize an unqualified right to change na- ‘‘the right protected in [Article 15] has received very little subsequent support from states and thus can by the State against those seeking to emi- tionality. It is generally accepted, for exam- be regarded as one of the weaker rights . . . ’’ ‘‘Civil grate (e.g., firing a person from his or her job ple, that a State can require that a person Rights,’’ in T. Meron, ‘‘Human Rights in Inter- merely for applying for an exit visa); seeking to change nationality fulfill obliga- national Law’’ at 153–154 (1988). Unreasonable impediments, such as requir- 5 tions owed to the State, such as pay taxes A State should not, for example, withhold dis- ing adult applicants for emigration visas to due or perform required military service.5 charge from nationality if, inter alia, acquisition of the new nationality has been sought by the person obtain permission from their parents or This is especially true where—as here—the adult relatives; requirement is by its nature proportional to concerned in good faith and the discharge would not result in failure to perform specific obligations owed Unreasonable prohibitions of emigration the means to pay, and thus does not present to the State. P. Weis, ‘‘Nationality and Stateless- based on claims that the individual possesses a financial barrier. ness in International Law’’ (2nd ed.) 133 (1979). In The consistency between Section 201 and knowledge about state secrets or national se- Coumas, supra note 3, the Supreme Court of Cali- curity; and international human rights law is further fornia observed that Greece qualified the right of ex- demonstrated by the practice of countries patriation on fulfillment of military duties and pro- Unreasonable delays in processing applica- that are strong supporters of international curement of consent of the Government. tions for emigration permits or visas, inter- human rights and that have adopted similar TAB A ference with travel or communications nec- tax policies. According to the Report pre- Section 201 of the proposed Tax Compli- essary to complete applications, withholding pared by the Staff of the Joint Committee on ance Act of 1995 does not conflict with the of necessary documentation, or processing Taxation, Germany imposes an ‘‘extended Jackson-Vanik amendment to the Trade Act applications in a discriminatory manner tax liability’’ on German citizens who emi- of 1974 (19 U.S.C. § 2432). That amendment re- such as to target identifiable individuals or grate to a tax-haven country or do not as- stricts granting most-favored-nation treat- groups for persecution (e.g., political dis- sume residence in any country and who ment and certain trade related credits and sidents, members of religious or racial maintain substantial economic ties to Ger- guarantees to a limited number of non- groups, etc.). many. Australia imposes a tax when an Aus- market economies that unduly restrict the Examples of these practices in the context tralian resident leaves the country; such per- emigration of their nationals. Specifically, it of the former Soviet Union are described in son is treated as having sold all of his or her applies to any nonmarket economy which: an exchange of letters between Secretary of

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00049 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5322 CONGRESSIONAL RECORD — SENATE April 6, 1995 State Kissinger and Senator Jackson of Oc- in order to clarify that the purpose and ef- The bill clerk proceeded to call the tober 18, 1974, discussing freedom of emigra- fect of the proposed tax are non-discrimina- roll. tion from the Soviet Union and Senator tory, the language might be rewritten to Mr. WELLSTONE. Mr. President, I Jackson’s proposed amendment to the Trade offer the individual the option of complying ask unanimous consent that the order Act, now known as the Jackson-Vanik with the new tax or electing to have realized amendment. (Reprinted in 1974 U.S.C.C.A.N. gains taxed only as part of the individual’s for the quorum call be rescinded. 7335–38.) estate—subject to an appropriate escrow ac- The PRESIDING OFFICER. Without As explained in the accompanying memo- count being established for money which objection, it is so ordered. randum, Section 201 does not deny anyone would be otherwise be expected to be beyond AMENDMENT NO. 567 TO AMENDMENT NO. 420 the right or ability to emigrate, and does not U.S. jurisdiction at the time of death. (Purpose: To make $10,000,000 of nutrition impose a tax on any decision to emigrate. In sum, imposition of a non-discriminatory services and administration funds for WIC Neither does the proposed tax raise questions tax on accrued income at the time citizen- to promote immunizations) of disparate standards applicable to the ship is renounced, in a manner consistent United States as against the nonmarket Mr. BUMPERS. Madam President, I with the way in which that same income send an amendment to the desk. economies subject to Jackson-Vanik restric- would be treated at the time of death, does tions. not appear to me to violate either the inter- The PRESIDING OFFICER. Without The emigration practices of those coun- nationally protected right to emigrate or the objection, the pending amendments tries which have been the target of Jackson- (somewhat less well protected) right to a na- will be set aside. The clerk will report. Vanik restrictions have typically involved tionality. The assistant legislative clerk read individuals or groups that have been per- Thank you for the opportunity to clarify as follows: secuted by the State (e.g., dissidents), pre- my views on this important matter. The Senator from Arkansas [Mr. BUMPERS] cluded family reunification, applied across Yours sincerely, the board to all citizens by a totalitarian proposes an amendment numbered 567 to HURST HANNUM, amendment No 420. State in order to preclude massive exodus, or Associate Professor of International Law. have otherwise been so restrictive as to ef- Mr. BUMPERS. Madam President, I fectively prevent the exercise of the inter- The PRESIDING OFFICER (Mrs. ask unanimous consent that the read- national right to leave any country includ- KASSEBAUM). The question is on agree- ing of the amendment be dispensed ing one’s own (as recognized in Article 12(2) ing to the amendment of the Senator with. of the International Covenant on Civil and from Massachusetts. On this question, The PRESIDING OFFICER. Without Political Rights and further described in the the yeas and nays have been ordered, objection, it is so ordered. accompanying memorandum). Furthermore, and the clerk will call the roll. The amendment is as follows: the primary objectives of those seeking to The bill clerk called the roll. emigrate from those countries have been to ‘‘SPECIAL SUPPLEMENTAL FOOD PROGRAM FOR avoid further persecution or to be reunified The PRESIDING OFFICER. Are there WOMEN, INFANTS, AND CHILDREN (WIC) with their relatives, and to leave perma- any other Senators in the Chamber ‘‘The paragraph under this heading in Pub- nently. It was the act of leaving for any pe- who desire to vote? lic Law 103–330 (108 Stat. 2441) is amended by riod of time that the State sought to block. The result was announced—yeas 96, inserting before the period at the end, the None of these conditions are comparable to nays 4, as follows: following: the exercise of taxing authority by the [Rollcall Vote No. 128 Leg.] ‘‘: Provided further, That notwithstanding United States under Section 201 or to the any other provision of law, up to $10,000,000 status of individuals who would be subject to YEAS—96 of nutrition services and administration that tax. Abraham Feingold Lugar funds may be available for grants to WIC As stated in the accompanying memo- Akaka Feinstein McCain State agencies for promoting immunization randum, Section 201 would not interfere with Ashcroft Ford McConnell through such efforts as immunization the right of an individual to physically de- Baucus Frist Mikulski Bennett Glenn Moseley-Braun screening and voucher incentive programs.’’ part from the United States, whether tempo- Biden Gorton Moynihan Mr. BUMPERS. Madam President, rarily or permanently. Bingaman Graham Murkowski this is an amendment that was part of TUFTS UNIVERSITY, THE FLETCHER Bond Grams Murray SCHOOL OF LAW AND DIPLOMACY, Boxer Grassley Nickles the law last year and should be part of March 31, 1995. Bradley Gregg Nunn the bill this year. It allows up to $10 Hon. DANIEL PATRICK MOYNIHAN, Breaux Harkin Packwood million in WIC administrative expenses U.S. Senate. Brown Hatch Pell Bryan Hatfield Pressler to be used for incentives for immuniz- Attention: Patricia McClanahan, Bumpers Heflin Pryor ing children prior to the age of 2 years. Re Tax Compliance Act of 1995, H.R. 981. Burns Helms Reid This has been cleared by Senator DEAR SENATOR MOYNIHAN: I wrote you on Byrd Hollings Robb COCHRAN, who is chairman of the Ap- 24 March expressing my concern over the Campbell Hutchison Rockefeller possible human rights implications of the so- Chafee Inhofe Roth propriations Committee on Agriculture called ‘‘exit tax’’ called for in the above-ref- Coats Inouye Santorum where this resides, and with the distin- erenced bill. As I noted then, what appeared Cochran Jeffords Sarbanes guished chairman of the full Appropria- to be the imposition of a tax solely on the Cohen Johnston Shelby tions Committee. Conrad Kassebaum Simon ground that a person was renouncing his or Coverdell Kempthorne Simpson Mr. HATFIELD addressed the Chair. her citizenship could interfere with the right D’Amato Kennedy Smith The PRESIDING OFFICER. The Sen- of every person ‘‘to leave any country, in- Daschle Kerrey Snowe ator from Oregon. cluding his own,’’ which is guaranteed under DeWine Kerry Specter Dodd Kohl Stevens Mr. HATFIELD. Madam President, article 12 of the Covenant on Civil and Polit- the Senator is correct. The matter has ical Rights. Dole Lautenberg Thomas I am gratified that the human rights issues Domenici Leahy Thompson been cleared by our side of the aisle, by related to this bill have become a subject of Dorgan Levin Thurmond the subcommittee chair, and the Sen- Exon Lieberman Warner serious debate, and I appreciate your con- Faircloth Lott Wellstone ator from Arkansas is the ranking tribution to that debate. Having now re- member of that subcommittee. ceived additional and more specific informa- NAYS—4 The PRESIDING OFFICER. The tion about the tax, however, I have become Craig Kyl question is on agreeing to the amend- convinced that neither its intention nor its Gramm Mack ment. effect would violate present U.S. obligations So, the amendment (No. 448) was under international law. The amendment (No. 567) was agreed Although imposition of a special tax on agreed to. to. those who wished to renounce U.S. citizen- Mr. KENNEDY. Madam President, I Mr. BUMPERS. Mr. President, I ship might be questionable, it is my under- move to reconsider the vote by which move to reconsider the vote by which standing that the tax in question is based on the amendment was agreed to. the amendment was agreed to. accrued income and, in effect, treats renun- Mr. LOTT. I move to lay that motion Mr. FORD. I move to lay that motion ciation of citizenship as the financial equiva- on the table. on the table. lent of death for the purpose of attaching tax The motion to lay on the table was The motion to lay on the table was liability. There are undoubtedly negative agreed to. agreed to. consequences to the individual concerned in having to pay taxes on gains while he or she Mr. LOTT. Madam President, I sug- Mr. WELLSTONE. Madam President, is alive rather than after death, but there is gest the absence of a quorum. I ask unanimous consent that I be able no internationally protected right to escape The PRESIDING OFFICER. The to speak for 10 minutes as in morning taxation by changing citizenship. However, clerk will call the roll. business.

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00050 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5323 Mr. LOTT. Madam President, the mained in bed for almost a whole day And finally, Jessica Turner, age 8, Senator is not offering an amendment, before calling 911 because he hoped he March 31, 1995, St. Paul. Jessica died he is just going to speak in morning would die. Curry was charged with sec- after being stabbed in the chest and business? ond-degree murder. tumbling down a flight of stairs in her Mr. WELLSTONE. Madam President, Mary Sue Oberender, 46, February 16, parent’s apartment. Her stepfather, the Senator from Mississippi is correct. Watertown, MN. Mary Sue was found who had been released from a chemical The PRESIDING OFFICER. Without shot to death in her home by her hus- dependency center on March 24, was objection, it is so ordered. band, Lawrence. Authorities discovered drinking when he allegedly stabbed the car in Minneapolis and, within a Jessica and her mother. He was found 5 f half an hour, arrested two youths. The hours after the stabbings, arrested and VIOLENCE IN AMERICA youths, Mary Sue’s teenage son, Chris- was charged with second-degree murder Mr. WELLSTONE. I thank the Chair. tian, 14, and a friend, also 14, were ar- and attempted second-degree murder. rested. They indicated the shooting Madam President, I come before the Madam President, as I went over the stemmed from a minor difference one Senate today to underscore the com- names of these Minnesotans who died of them had had with the mother. Po- mitment that we must make to end do- at the hands of an abuser—and as I say, lice said the shooting appeared some- mestic violence in America. I want their story to become a part of what planned, as if by ambush. There the CONGRESSIONAL RECORD because I Beginning today, every time a person were no signs of struggle. Mary Sue want us to honor them, I want us to in my State of Minnesota dies at the was a volunteer for Scouts at a local make a commitment to stopping this hands of an abuser, I will make sure elementary school. Her husband is a violence—I realize that I did not read that their story becomes part of the Watertown-Mayer school board mem- the circumstances of Gertrude Bestor, CONGRESSIONAL RECORD. I do this so ber. 86. that we all remember how deeply this Gertrude Bestor, 86, February 19, violence scars our society and, most Granger, MN. Gertrude’s daughter went to her importantly, as a reaffirmation of our And finally, some murders of chil- mother’s house after a signal had been commitment to ending domestic vio- dren: sounded by Gertrude’s medical alert lence. Lydia Healy, 4 years of age. Police of- alarm. As she approached the house, Indeed, if we are ever going to stop ficers found Lydia lying on her living she saw a pickup truck speeding away the violence in our communities and in room floor after her mother, Judey and found Gertrude lying on her bed- our workplaces and on the street, we Healy, reported to police that Lydia room floor beaten to death. must begin in the home. wasn’t breathing. Lydia was hospital- The daughter recognized the truck as I am here today with evidence that ized for 8 days before she died. Her in- belonging to Gertrude’s step-great- the brutal violence continues, and juries included massive swelling of the grandson. He was arrested about an while it continues to be the single most brain caused by shaking or hitting; hour later after police stopped him in important or the single most signifi- large black-and-blue marks on the tops his pickup truck and noticed blood- cant cause of injury to women, this vi- of her feet; marks on her legs; bruises stains on his clothes and hands. He was olence knows no boundaries of age or on her stomach and chest; a burned charged with two counts of second-de- gender or race or geography or income hand; bruises on her face; two large gree murder and a count of first-degree or education. The violence goes on year welts above an eye and on her cheek; murder. after year, generation after generation. and a burn or cut on her chin. Lydia’s In Minnesota in 1994, at least 19 11-year-old brother told police that his Madam President, I would like to end women and 7 children were killed bru- mother beat Lydia with a spatula and this presentation with a quote from my tally by a spouse or former partner. was left sitting in a bathtub of cold wife, Sheila: With pain, but also with great deter- water. The next morning, neither he We will not tolerate the violence, we will mination, I ask that we honor the nor his mother were able to wake not ignore the violence, we will no longer memory of the following individuals, Lydia. Judey Healy was charged with say it is someone else’s responsibility. and from my heart, I ask that we work second-degree murder. I urge all of my colleagues, and I to end the kind of violence that has Geneva Broaden, 15, March 10, 1995, have two great colleagues out here on cost these individuals, their families St. Paul. Alfred Robinson, 51, the live- the floor with me right now, the Sen- and their communities so much: in companion of Geneva’s mother, sum- ator from Oregon and the Chair, the Pamela Bennett, 34 years of age, Jan- moned authorities to their home and Senator from Kansas, to work with the uary 5, Bemidji, MN. Pamela and her reportedly confessed to beating Gene- survivors, the advocates, the medical boyfriend of Bemidji were traveling to- va. Robinson told police he punched professionals, the justice system in our gether in Oregon when they stopped at Geneva and kicked and stomped on her own States, and to support full commu- a rest stop. Hoagland reported to au- after she fell down because of a dispute nity involvement in ending the vio- thorities that a hit-and-run driver over use of the telephone. When found, lence. struck Pamela at the rest stop as she Geneva was not breathing and was I urge my colleagues, Democrats and exited the restroom. She was dead upon transported to a medical center where Republicans alike, to work with pas- arrival at the hospital. When police she was pronounced dead. Police de- sion and conviction to make this a pri- found no evidence of an accident, scribed the assault as ‘‘a very vicious ority for our work of the Senate. We Hoagland told authorities that he had attack.’’ must do everything we can to make lied about the accident and that she Adriana Whiteside, age 4, March 11, homes the safest places that they can fell beneath their travel trailer as he 1995, St. Paul. Adriana was found be. I yield the floor. pulled away from the rest stop without stabbed inside her father’s apartment. her. Hoagland was charged with filing a She was stabbed near her heart with a Mr. HATFIELD. I suggest the ab- false police report, assault and harass- pocketknife and was rushed to the hos- sence of a quorum. ment. In late March, Hoagland pleaded pital where she died a short time later. The PRESIDING OFFICER. The guilty to misdemeanor charges in her A 14-year-old boy, Randy Burgess, who clerk will call the roll. death. He was sentenced to 5 months in was babysitting Adriana and her infant The assistant legislative clerk pro- jail. stepsister, was seen by neighbors run- ceeded to call the roll. Pamela Kay Currie, 45, January 14, ning through the building, carrying St. Francis, MN. Pamela was found Adriana screaming, ‘‘Call 911. I stabbed Mr. LEVIN. Madam President, I ask stabbed to death in her home by police a baby.’’ He was arrested at the scene. unanimous consent that the order for who were called by her husband, Gary He allegedly told police he was plan- the quorum call be rescinded and I be Currie. He reported awaking in the ning to kill someone when he found allowed to proceed in morning business morning and finding his wife dead on himself alone with Adriana. Randy for 8 minutes. the bed and a knife sticking out of his Burgess was charged with intentional The PRESIDING OFFICER. Without own chest. He told authorities he re- second-degree murder. objection, it is so ordered.

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00051 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5324 CONGRESSIONAL RECORD — SENATE April 6, 1995 LOBBYING AND GIFT REFORM are lawyers or non-lawyers, in-house or AMENDMENT NO. 569 TO AMENDMENT NO. 420 Mr. LEVIN. Madam President, there independent, whether they lobby Con- Mr. GORTON. Mr. President, I send has been a lot of talk on the House side gress or the executive branch, and an amendment to the desk and ask for this week about the bills they have whether their clients are for-profit or its immediate consideration. passed as a part of their so-called Con- non-profit. It would streamline report- The PRESIDING OFFICER. The tract With America. I have my own ing requirements and eliminate unnec- clerk will report. views about many of those bills. essary paperwork. And it would pro- The assistant legislative clerk read But today, I would like to talk about vide, for the first time, effective ad- as follows: what was not included in the so-called ministration and enforcement of dis- The Senator from Washington [Mr. GOR- contract. The contract does not include closure requirements by an inde- pendent office. TON] proposes an amendment numbered 569 campaign finance reform legislation, it to amendment No. 420. does not include lobbying disclosure The congressional gift rules are also Mr. GORTON. Mr. President, I ask legislation, and it does not include gift fundamentally flawed. These rules cur- unanimous consent that reading of the reform legislation. So, on the three rently permit Members and staff to ac- amendment be dispensed with. biggest political reform issues facing cept unlimited meals from lobbyists or the Congress today, the Contract With anybody else. They permit the accept- The PRESIDING OFFICER. Without America is silent. The House of Rep- ance of football tickets, baseball tick- objection, it is so ordered. resentatives has been silent. We in the ets, opera tickets, and theater tickets. The amendment is as follows: They permit Members and staff to Senate have also been silent. We have On page 17 of amendment 420, strike lines travel to predominantly recreational done nothing to address these funda- 14 through 17. events, such as charitable golf and ten- mental problems with the way business nis tournaments, which are paid for by Mr. GORTON. Mr. President, this is is done in Washington today. the first of a series of five minor We tried to bring these issues up in special interest groups. To the public, these rules reinforce an image of a Con- amendments to the Interior section of January, but we were told that that this rescission bill which had been the new Republican leadership wanted gress more closely tied to the special interests than to the public interest. worked out in each case with all of the some time, wanted a chance to govern. affected parties, including the chair- Action would come in a few months, we That is not good for the Congress and it is not good for the country. man and ranking minority members of were told. Our bill would address this problem authorizing committees where they in- Well, we have waited more than 3 as well. Under our bill, lobbyists would clude authorizing language. months, and there is no sign of any se- be prohibited from providing meals, en- Their first amendment deletes a pro- rious effort to enact lobbying and gift tertainment, travel, or virtually any- posed $3 million rescission of funds reform. No hearings have been sched- thing else of value to Members of Con- available to the Fish and Wildlife Serv- uled, there have been no mark-ups, and gress and congressional staff. Accept- ice in the Endangered Species Act, and no effort has been made to bring a bill ance of gifts from others would also be it is placed at this point because such to the Senate floor. a rescission and certain set of restric- If anything, it appears that we have restricted significantly. To give just tions proposed on the Defense supple- been moving in the wrong direction on one example, my bill would prohibit mental by the distinguished junior political reform. Special interest seems private interests from paying for rec- Senator from Texas has now been ac- to be more influential than ever. Every reational expenses, such as greens fees, cepted as a part of that conference week, we read new stories about how for Members of Congress, whether in committee. special interest lobbyists have written Washington or in the course of travel bills, and have been invited into com- outside Washington. In fact, private in- The PRESIDING OFFICER. Is there mittee rooms to brief congressional terests would be prohibited from pay- further debate on the amendment? If staff about what those bills would do. ing for congressional travel to any not, the question is on agreeing to the Reform of the Federal lobbying laws event, the activities of which are sub- amendment of the Senator from Wash- and of the congressional gift rules is stantially recreational in nature. If my ington. too important to wait any longer. This bill passes, recreational activities paid The amendment (No. 569) was agreed should not be hard. My lobbying reform for by interest groups will be a thing of to. the past. and gift reform bills each received 95 AMENDMENT NO. 570 TO AMENDMENT NO. 420 The enactment of our bill would fun- votes in the Senate in the last Con- (Purpose: To allow grazing permits, that ex- gress. damentally change the way business is conducted on Capitol Hill. It would get pired in 1994 and in 1995 before the date of It was only when the conference re- enactment and were not replaced due to port got caught up in a last-minute fil- rid of the gifts, and it would bring lob- NEPA requirements, to be reinstated or ex- ibuster that we were unable to finally bying out in the open. If we are serious tended) pass lobbying registration reform and about changing the way government works, we will enact this legislation, Mr. GORTON. Mr. President, I send gift reform. an amendment to the desk and ask for Our existing lobbying registration and do it soon. its immediate consideration. laws have been characterized by the I thank the Chair and yield the floor. Department of Justice as ineffective, Madam President, I suggest the ab- The PRESIDING OFFICER. Without inadequate, and unenforceable; they sence of a quorum. objection, the pending amendment will The PRESIDING OFFICER. The breed disrespect for the law because be set aside, and the clerk will report. clerk will call the roll. they are so widely ignored; they have The assistant legislative clerk read The assistant legislative clerk pro- as follows: been a sham and a shambles since they ceeded to call the roll. were first enacted almost 50 years ago. Mr. GORTON. Mr. President, I ask The Senator from Washington [Mr. GOR- At a time when the American public is TON] proposes an amendment numbered 570 unanimous consent that the order for to amendment No. 420. increasingly skeptical that their gov- the quorum call be rescinded. ernment really belongs to them, our The PRESIDING OFFICER (Mr. Mr. GORTON. Mr. President, I ask lobbying registration laws have become COATS). Without objection, it is so or- unanimous consent that reading of the a joke, leaving more professional lob- dered. amendment be dispensed with. byists unregistered than registered. f The PRESIDING OFFICER. Without My lobbying reform bill would ensure objection, it is so ordered. EMERGENCY SUPPLEMENTAL that we finally know who is paying The amendment is as follows: how much to whom, to lobby what Fed- APPROPRIATIONS ACT eral agencies and congressional com- On page 26, after line 2, insert the fol- The Senate continued with the con- lowing: ‘‘This section shall only apply to per- mittees on what issues. This bill would sideration of the bill. mits that were not extended or replaced with close the loopholes in existing lobbying The PRESIDING OFFICER. Without a new term grazing permit solely because the registration laws. It would cover all objection, the pending amendment is analysis required by the National Environ- professional lobbyists, whether they set aside. mental Policy Act of 1969 (42 U.S.C. 4321 et

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00052 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5325 seq.) and other applicable laws has not been DEPARTMENTAL OFFICES The PRESIDING OFFICER. Is there completed and also shall include permits OFFICE OF THE SECRETARY further debate on the amendment? If that expired in 1994 and in 1995 before the OFFICE OF THE SECRETARY not, the question is on agreeing to the date of enactment of this Act.’’ SALARIES AND EXPENSES amendment of the Senator from Alas- Mr. GORTON. Mr. President, this ka. amendment makes a correction in an (RESCISSION) Of the funds made available under this The amendment (No. 573) was agreed amendment earlier adopted by the to. body on the part of the distinguished heading in Public Law 103–332 for the Office of Aircraft Services, $150,000 of the amount Mr. GORTON. Mr. President, I move Senator from South Dakota [Mr. available for administrative costs are re- to reconsider the vote by which the PRESSLER]. A confusion between him- scinded, and in expending other amounts amendment was agreed to. self and myself left out a couple of very made available, the Director of the Office of Mr. MOYNIHAN. I move to lay that important words. This makes that cor- Aircraft Services shall, to the extent prac- motion on the table. rection. ticable, provide aircraft services through The motion to lay on the table was contracting. The PRESIDING OFFICER. Is there agreed to. further debate on the amendment? If Mr. GORTON. Mr. President, this Mr. GORTON. Mr. President, I thank not, the question is on agreeing to the amendment is offered on behalf of the you. I thank the Senator from New amendment of the Senator from Wash- junior Senator from Alaska, [Mr. MUR- York. ington. KOWSKI]. It rescinds $150,000 in adminis- I suggest the absence of a quorum. The amendment (No. 570) was agreed trative funds for the Office of Aircraft The PRESIDING OFFICER. The to. Services, and is at the request of the clerk will call the roll. AMENDMENT NO. 571 TO AMENDMENT NO. 420 Senator from Alaska. It is a rescission The assistant legislative clerk pro- (Purpose: A technical correction to clarify in Alaska. ceeded to call the roll. that funds proposed for rescission are from The PRESIDING OFFICER. Is there Mr. HELMS. Mr. President, I ask multiple prior year unobligated balances) further debate on the amendment? If Mr. GORTON. Mr. President, I send unanimous consent that the order for not, the question is on agreeing to the the quorum call be rescinded. an amendment to the desk and ask for amendment of the Senator from Alas- its immediate consideration. The PRESIDING OFFICER. Without ka. objection, it is so ordered. The PRESIDING OFFICER. The The amendment (No. 572) was agreed clerk will report. to. f The assistant legislative clerk read AMENDMENT NO. 573 TO AMENDMENT NO. 420 as follows: (Purpose: To amend the Supplemental Ap- VISIT TO THE SENATE BY THE The Senator from Washington [Mr. GOR- propriations and Rescissions Bill for the PRIME MINISTER OF THE IS- TON] proposes an amendment numbered 571 fiscal year ending September 1995) LAMIC REPUBLIC OF PAKISTAN, to amendment No. 420. Mr. GORTON. Mr. President, I send BENAZIR BHUTTO Mr. GORTON. Mr. President, I ask an amendment to the desk and ask for unanimous consent that reading of the Mr. HELMS. Mr. President, the Sen- its immediate consideration. ate Foreign Relations Committee has amendment be dispensed with. The PRESIDING OFFICER. The The PRESIDING OFFICER. Without the honor of welcoming the distin- clerk will report. objection, it is so ordered. guished Prime Minister of the Islamic The assistant legislative clerk read The amendment is as follows: Republic of Pakistan, and I wish to as follows: On page 23, strike lines 17–18 and insert in bring her to the Senate floor. lieu thereof the following: ‘‘Of the available The Senator from Washington [Mr. GOR- f balances under this heading, $3,000,000 are re- TON], for Mr. STEVENS, proposes an amend- ment numbered 573 to amendment No. 420. scinded.’’ RECESS Mr. GORTON. Mr. President, this is a Mr. GORTON. Mr. President, I ask technical correction to a rescission unanimous consent that reading of the Mr. HELMS. Mr. President, I ask with respect to the Kennedy Center amendment be dispensed with. unanimous consent that it be in order here in Washington, DC. It does not af- The PRESIDING OFFICER. Without for the Senate to have 5 minutes in re- fect the rescission. But it makes its objection, it is so ordered. cess to greet and welcome this distin- meaning clear. The amendment is as follows: guished lady. The PRESIDING OFFICER. Is there On Page 81, after Line 18, add a new section There being no objection, the Senate, further debate on the amendment? If as follows: at 4:08 p.m., recessed until 4:12 p.m.; not, the question is on agreeing to the SEC. . (a) As provided in subsection (b), whereupon, the Senate reassembled and Environmental Impact Statement pre- when called to order by the Presiding amendment of the Senator from Wash- pared pursuant to the National Environ- ington. Officer (Mr. COATS). mental Policy Act or a subsistence evalua- The PRESIDING OFFICER. The Sen- The amendment (No. 571) was agreed tion prepared pursuant to the Alaska Na- to. tional Interest Lands Conservation Act for a ator from North Carolina. AMENDMENT NO. 572 TO AMENDMENT NO. 420 timber sale or offering to one party shall be Mr. HELMS. Mr. President, I suggest (Purpose: To rescind $150,000 of the appro- deemed sufficient if the Forest Service sells the absence of a quorum. priation for the Office of Aircraft Service the timber to an alternate buyer. (b.) The The PRESIDING OFFICER. The of the Department of the Interior) provision of this section shall apply to the clerk will call the roll. timber specified in the Final Supplement to The legislative clerk proceeded to Mr. GORTON. Mr. President, I send 1981–86 and 1986–90 Operating Period EIS an amendment to the desk and ask for call the roll. (‘‘1989 SEIS’’), November, 1989; in the North Mr. HELMS. Mr. President, I ask its immediate consideration. and East Kuiu Final Environmental Impact The PRESIDING OFFICER. The Statement, January 1993; in the Southeast unanimous consent that the order for clerk will report. Chicagof Project Area Final Environmental the quorum call be rescinded. The assistant legislative clerk read Impact Statement, September 1992; and in The PRESIDING OFFICER. Without as follows: the Kelp Bay Environmental Impact State- objection, it is so ordered. ment, February 1992, and supplemental eval- The Senator from Washington [Mr. GOR- Mr. HELMS. Mr. President, I would uations related thereto. TON] for Mr. MURKOWSKI, proposes an amend- ask the distinguished Presiding Officer ment numbered 572 to amendment No. 420. Mr. GORTON. Mr. President, this is if my understanding is correct that we Mr. GORTON. Mr. President, I ask an amendment in behalf of the senior are in a period when amendments can unanimous consent that reading of the Senator from Alaska, [Mr. STEVENS], be offered, although several amend- amendment be dispensed with. and it has to do with legislative lan- ments—I do not know how many—have The PRESIDING OFFICER. Without guage relating to environmental im- been set aside for this purpose; is that objection, it is so ordered. pact statements. It is one that has correct? The amendment is as follows: been OK’d by both sides on the Energy The PRESIDING OFFICER. That is On page 20, between lines 13 and 14, insert Committee, as it does include author- correct. Although it does take unani- the following: izing legislation. mous consent to set aside the pending

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00053 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5326 CONGRESSIONAL RECORD — SENATE April 6, 1995 amendments before additional business have talked and talked and talked emerged out of that former Iron Cur- can be ordered. about it for years. Finally, when some- tain power base of the Soviet Union, Mr. HELMS. Mr. President, I ask thing is being done about it, you hear that those occupation troops, particu- unanimous consent that all the amend- all the weeping and wailing and gnash- larly the officers within the occupation ments necessary be set aside. ing of teeth—‘‘But you can’t do that to of the Baltics, were not going back to The PRESIDING OFFICER. Without this one or you are doing this to that Russia, were not returning home. They objection, it is so ordered. one,’’ and so forth. were remaining in the Baltics. They Mr. HELMS. Mr. President, I have a So I want to see these political fig- were wearing their uniforms, and that bit of a dilemma. I have been in For- ures go home and try to explain their gave the new Baltic Governments great eign Relations Committee meetings votes against cutting the Federal def- concern as to the intentions, and what and other things most of the day. I am icit. have you. not aware of precisely what has hap- The administration itself is strug- Upon a careful analysis, they found pened on one issue which is of great in- gling to fund a request for 77,000 new that the Russians were not returning terest to me and which I consider to be and improved housing units for Amer- home because they had no housing to an outrageous invasion of the tax- ican soldiers and their families. They return to. The housing market had just payers money. It involves the 1995 ap- do not have the money for it, but they been totally demolished over the years, propriations bill containing $30 million are struggling to find it. But they have and they found better housing in the that would be spent to build housing already found it for the Russian sol- Baltics. for Russian military officers. diers. The conditions in which many of So in the first initial step, we had My understanding is that there may the men and women who serve in the what was called a demonstration have been some action to delete part of U.S. services—the Army, Navy, Ma- project, I suppose, a figure of about $6 that $30 million. I will speak my opin- rines, and all the rest—are required to million—I am recalling now, not pre- ion about this and then I will consult live are circumstances that are an em- cisely—but a single-digit figure was ap- with the chairman of the Appropria- barrassment. And yet we have money propriated as a demonstration project tions Committee, who is now on the for $25,000 apiece for Russian soldiers to help the Russians produce housing, floor, about whether my understanding for housing. not just for those officers still in the is correct. Finally, the question absolutely Baltics but also to start a housing in- This program was begun, as I recall, must be asked: why does the Russian dustry in that country that had had no in 1993 by President Clinton. In my military have a shortage of money? housing policy to speak of. judgment, it is a perfect example of The answer is no further away than the Then following that, there was a how the United States conceives a bad evening news in various places where commitment made, and that now car- foreign aid giveaway program, shrouds the Russians are still participating in ries over into the Clinton administra- it in doubletalk to protect it, and then mayhem. tion, within the Baltic reaches that scrambles to spend the money when This program to build housing for after there is that skill that comes out elected officials in Congress raise ques- Russian soldiers is not essential and it of that demonstration project we had tions about it. did not get the Russian military out of to find an incentive to get these Rus- In April 1993, President Clinton met the Baltic States. This program is sian officers out. at a summit with Russian President nothing but a golden parachute for the So a voucher system was provided, Boris Yeltsin in Vancouver. At that Russian military—not the United $25,000 voucher value for housing in time, Mr. Clinton proposed that the States military. Russia. That has then proceeded to, as United States would pay—meaning the Mr. President, while the United we know now, there being no officers taxpayers of the United States would States plays real estate agent to the left in uniform. Some have decided to pay—to construct housing in Russia so Russian military, they have time and make the Baltics their home, have that Russian troops occupying the Bal- resources to fight in other places they taken off the uniform and are rooting tic States could be withdrawn to Rus- ought not to be fighting. in as citizens, not as officers. sia. Let me ask the distinguished chair- There were a lot of questions raised Now, let me drag that by one more man of the Appropriations Committee about this whole policy to begin with time—going to spend American tax- if any action on this outrageous alloca- but, nevertheless, it was felt to be a payers’ money to build housing for tion of money has been taken since I sound policy to pursue to assist our Russian soldiers so Russian soldiers last heard. new government friends in the Baltics. can go home. Mr. President, I suggest the absence The Clinton administration sug- of a quorum. We had, in effect, a drawdown from a gested this, as I understand it, on the The PRESIDING OFFICER. The $100 million appropriation to what we grounds that no housing existed in clerk will call the roll. thought was about $75 million unobli- Russia for these soldiers. The legislative clerk proceeded to gated funds in the pipeline. These fig- There is at least one problem with call the roll. ures are difficult, and we are not cer- that logic. Instead of building housing Mr. HATFIELD. Mr. President, I ask tain of these figures. We cannot pre- in Russia, the United States is now giv- unanimous consent that the order for cisely identify the total number, but ing Russian soldiers $25,000 apiece to go the quorum call be rescinded. we think it is around $75 million. out and purchase an existing unoccu- The PRESIDING OFFICER. Without The House had rescinded all $75 mil- pied house. Now I am in favor of home objection, it is so ordered. lion in their bill. We, on the Senate ownership and I wish the Clinton ad- The Senator from Oregon is recog- side, rescinded none. We kept whatever ministration would support more home nized. that figure—75—in the bill. ownership right here in America. But Mr. HATFIELD. Mr. President, I Mr. HELMS. That is what got my at- this program, Mr. President, is abso- would like to respond to the Senator tention. lutely outrageous. from North Carolina in terms of the Mr. HATFIELD. Yes. Now when we In fact, what the administration is ‘‘provision in this bill,’’ the conference went to conference, we engaged in a lot saying is that it is not a housing short- report on H.R. 889, that is, the bill on of discussion, a lot of debate, and then age that the Russian military has; it is military defense appropriations that the questions were raised as to what is a cash shortage. I think that question we conferenced yesterday, and we are the precise figure in that budget. We is going to be of great interest to a lot now about to face that conference re- have the State Department, we have of America’s taxpayers. port, it having passed the House. other sources, that have yet to give Well, the U.S. Government, as a mat- A number of years ago when, I be- what we consider satisfactory figures ter of fact, come to think of it, has a lieve, President Bush was still Presi- so that we can say exactly how much. cash shortage. The Federal debt, as of dent and made a trip to the Baltics, he So the House made a proposal to the yesterday afternoon closing time, was found that even though the Soviet Senate that we reallocate $15 million over 4.8 trillion bucks. Everybody Union had ceased to exist in reality, out of the $75 million; leave, in a sense, knows about the budget deficit. We that the Baltic Governments that had a total of $60 million to be revisited at

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00054 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5327 a time when we can get that exact fig- million is, because I do not want to The PRESIDING OFFICER. The ure, which would probably be in the leave this unvisited before we pass this clerk will report. 1996 cycle, assuming this report passes bill. Can somebody answer that? The legislative clerk read as follows: now as a rescission package. Other dis- Mr. HATFIELD. We can certainly do that. We have very excellent staff that The Senator from South Carolina [Mr. cussions might be engendered out of HOLLINGS], for himself, Mr. THURMOND, Mr. the Foreign Relations Committee. We can be supportive of your questions and BINGAMAN, Mr. BREAUX, Mr. GLENN, Mr. are not wedded on the basis of that pro- responsive to your questions. GRAHAM, Mr. LEAHY, Mr. LEVIN, Mr. KOHL, gram to say that is in place to last into Let me just say in summary, we have Mr. LIEBERMAN, Mr. KENNEDY, Mr. KERRY, the indefinite future. no precise figures at this moment. We Mrs. MURRAY, Mr. PELL, Mr. ROCKEFELLER, Mr. HELMS. I hope it has no future. are dependent upon a couple of agen- and Mr. SARBANES, proposes an amendment Mr. HATFIELD. Because of the ques- cies from the executive branch of gov- numbered 574 to amendment No. 420. tion of not only appropriations under ernment to provide such figures. We do Mr. HOLLINGS. Mr. President, I ask the circumstance of today, but the pol- not keep the books in that sense. We unanimous consent that reading of the icy issue itself. are now at a level of commitment in amendment be dispensed with. All I can say, as the chairman of the this report that we feel will be suffi- The PRESIDING OFFICER. Without cient to cover any current commit- Appropriations Committee, we are objection, it is so ordered. ments, obligations, or pipeline. Until doing the minimal of what we can le- The amendment is as follows: gitimately do and maintain commit- we can get that precise figure we can- ments that are in process or already not answer that part of your question. On page 9 of the substitute amendment, made, until we can get a more exact I can answer your question in the strike line 1 through line 23 and insert the following: total figure of unobligated funds. sense, does this have any kind of a base Mr. HELMS. But the Senator will not of commitment for 1996, or 1997, and I INDUSTRIAL TECHNOLOGY SERVICES presume to permit any further commit- could say on that, ‘‘No, it makes no (RESCISSION) ments. Is that correct? basic commitment for 1996.’’ We will review 1996 in a totally different con- Of the funds made available under this Mr. HATFIELD. We have no basis heading in Public Law 103–317, $3,100,000 are upon which at this time to make a text. rescinded. Mr. HELMS. So, the Foreign Rela- statement to the future of this pro- CONSTRUCTION OF RESEARCH FACILITIES gram, because every program today is tions Committee, I assure the Sen- under such careful review and scrutiny ate—— (RESCISSION) Mr. HATFIELD. I want to make sure, in terms of our budget deficit, in terms Of the unobligated balances available as the chairman of the Appropriations of our priorities. Obviously, these re- under this heading, $30,000,000 are rescinded. Committee, that the Senator under- scissions are only to reflect upon the NATIONAL OCEANIC AND ATMOSPHERIC ADMINIS- stands we are not trying to make pol- current fiscal year anyway. TRATION OPERATIONS, RESEARCH AND FACILI- icy in our committee when the policy Mr. HELMS. I am not being critical TIES committee that he chairs is in that po- of the Senator. I would hate to have his (RESCISSION) sition. job as chairman of the Appropriations Mr. HELMS. The strongest policy Of the funds made available under this Committee. part of any legislation are the dollars. heading in Public Law 103–317, $25,100,000 are It seems to me we have $60 million That is what really counts. rescinded. somewhere in limbo—it might be in the I am not saying anything that the CONSTRUCTION pipeline, it may have been committed Senator does not know or believe him- (RESCISSION) without our knowing. There are so self. many ambiguities about it. How can we I thank the Chair. Of the funds made available under this tie it up so there will be no commit- I suggest the absence of a quorum. heading in Public Law 103–317, $13,000,000 are ment beyond what has already been The PRESIDING OFFICER. The rescinded. made? clerk will call the roll. GOES SATELLITE CONTINGENCY FUND Mr. HATFIELD. Well, I think that The legislative clerk proceeded to (RESCISSION) call the roll. the situation is such that when the Of the unobligated balances available House rescinded the total figure of un- Mr. HATFIELD. I ask unanimous under this heading, $2,5000,000 are rescinded. obligated funds, it sent a very, very consent that the order for the quorum strong message to the agencies them- call be rescinded. Mr. HOLLINGS. Mr. President, this selves. I suppose it should send a mes- The PRESIDING OFFICER. Without goes to the heart of our work in the sage to the authorizing committee as objection, it is so ordered. Appropriations Subcommittee of State, well, which the Senator from North Mr. HATFIELD. Mr. President, I ask Justice, and Commerce whereby we Carolina chairs. for the regular order. want to support the overall amount of We have a whole foreign aid bill The PRESIDING OFFICER. The reg- the rescission but to redirect it to less under constant review. Nothing is a ular order is the Murkowski-D’Amato important financial requirements at commitment very far down the road. amendment to the D’AMATO amend- this particular time. In other words, We are dealing with the problem ment No. 427. my amendment would restore current Mr. HATFIELD. I thank the Chair. right now in this appropriation bill re- programs that have been found very ef- I suggest the absence of a quorum. fective for the NOAA coastal oceans port that is pending as to how to delin- The PRESIDING OFFICER. The eate between the Department of De- program, $7 million to the NOAA cli- clerk will call the roll. mate and global change research, $1.5 fense pursuing and executing a human- The legislative clerk proceeded to itarian program as a police action pro- million to the Under Secretary for call the roll. Technology, and $24 million to the gram and as it relates to the defense of Mr. HOLLINGS. Mr. President, I ask NIST manufacturing extension pro- this Nation. In other words, there are unanimous consent that the order for gram for a total of $37.5 million in those who say we should not be charg- the quorum call be rescinded. ing, in offsets, any of these incursions The PRESIDING OFFICER. Without total restoration. into Haiti, et cetera, et cetera, back to objection, it is so ordered. Those restorations are offset by $30 the DOD appropriations budget. Mr. HOLLINGS. Mr. President, I ask million from the unobligated balances So we are engaged in a lot of issues unanimous consent that the pending in the NIST construction, $5 million in here that are pretty cloudy at this mo- amendment be set aside so I can send the unobligated balances in the NOAA ment. I do not think any part of this an amendment to the desk. construction, and $2.5 million in the can be a statement of future commit- The PRESIDING OFFICER. Without unobligated balances of the NOAA con- ment at all. objection, it is so ordered. tingency fund. Mr. HELMS. Let me ask, if I may, AMENDMENT NO. 574 TO AMENDMENT NO. 420 All of those construction funds and will we have somebody on the Appro- Mr. HOLLINGS. Mr. President, I send everything else are to be set aside not priations Committee staff try to ex- an amendment to the desk and ask for to be expended this year. Of course, the plain to me specifically where the $60 its immediate consideration. distinguished Senator from Texas,

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00055 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5328 CONGRESSIONAL RECORD — SENATE April 6, 1995 chairman of our subcommittee, and I in its manufacturing. But what we did Senator from Mississippi is interested are just now completing our series of was put in all kinds of gimmicks and in Presidential elections. The end all hearings for next year’s appropriations. hurdles that hamstring the individuals and be all of Presidential elections is So we are not turning away in any con- right to a trial by jury and thereby sig- California. And, according to this arti- text our dedication to the various re- nificantly affects industry. But we will cle, this administration was going to quested construction commitments. not go any further into that. send out Ron Brown, the Secretary of But, in a word, what we are saying is But we get industrial policy when we Commerce, and he was going to pour let us not go for office buildings but recommend a minimum wage, when we the projects to the State of California rather for building jobs. come forward and say we are going to and we were really going to get on the Let me go right to the heart of the have parental leave, when we say we move over here for our party. connection between this amendment are going to have to have plant closing Well, that there just tackled me from and the so-called Contract With Amer- notice, safe machinery, safer working behind because it was not true at all. ica, which I welcome because this is a place, Social Security, unemployment The Secretary of Commerce could not good tonic to come to town and stir ev- compensation, Medicare, Medicaid. do it. But it was a tremendous mis- erybody up and get us moving. Many You can go right on down the list. giving on the part of Senator Wallop elements of the contract are things When we in a bipartisan fashion, which and others on the other side of the that I have worked upon—the unfunded is the record, adopt those measures, we aisle, even though 14 Republican Sen- mandates, the balanced budget amend- get into industrial policy. There has ators and a task force for reconversion ment to the Constitution, which I been a fetish around town amongst the had gone on and endorsed this par- voted for already three times. I did not pollsters putting out their pap about ticular program. It took us several vote for it this time because I did not industrial policy, saying ‘‘let the mar- days, what we had previously passed al- want to repeal my own law that puts ket choose the winners and losers rath- most by unanimous consent took us Social Security off budget. er than the bureaucrats and politicians several days to pass, and then with an On that matter, I do not believe that in Washington.’’ I agree with that. overwhelming majority we passed the we should just move deficits. Rather, But, while we make industrial policy authorization. let us eliminate deficits. I did not want all the time, my amendment supports So I had to answer up to that matter to move the Government’s deficit from an industrial policy chosen by indus- of pork and make sure that everyone the general Government over to Social try. We ensure sound industrial choice knew that this was as well adminis- Security. So when we were debating by requiring the industry to come with tered a governmental program on the the balanced budget amendment, all 50 percent of the money at least in basis of merit that we have ever had. they had to do is exempt the Social Se- their pocket and also to go through a Another question arose then. The curity funds instead of repealing my peer review system of the National Senator from Texas says, now, ‘‘what is section 13301 which says ‘‘Thou shall Academy of Engineering and the over- the cutoff date?’’ Well, that is a good not use Social Security funds’’ in the all Government peer review choice. question because you would think in estimates of the deficit and the debt. That was brought out in specific by the global competition, the answer That was put in by Senator Heinz and Mary Lou Good, Dr. Good, the under- could be given ‘‘when is the cutoff date myself back in 1990 and signed into law secretary in charge of technology, a for Germany, for Japan, for Taiwan?’’ by President Bush. real expert; had been in charge of their And all our competition that has been With respect to the other parts of the research and development over the investing way more than this. They contract, the line-item veto, is actu- years and just had a perfect speaking just pour in the research and develop- ally my bill, which was a compromise knowledge about the various things to ment, and we are trying to catch up, between the two rescissions initiatives guard against and make sure it was the since we do not have long-term invest- by Senator MCCAIN and Senator industry and not the politician choos- ments here in the United States—it is DOMENICI. ing the winner and loser, so to speak. So there is much with which we can And otherwise, we carefully designed everything short term with the Wall agree. But I thought in coming to town the peer review to make sure that the Street market. It is tough, tough to here at this particular session in Janu- Senator could not call and get a manu- get these little, small, fledgling indus- ary that our purpose was to pay the facturing center, the Secretary of Com- tries going because they go to the mar- bill, and create jobs—not to adopt a merce could not call and get one, nor ket seeking credit, but if it takes more contract which does not in itself create could the President, nor the White than two-, three-, four-quarters, over a a single job or pay a single bill. It has House minions call over and say, ‘‘We year to get a good return, they can put more to do with symbols than sub- want it.’’ In fact, our absolute track the money elsewhere. This is a quick stance, more with procedures than ac- record with this program under every turnaround society in which we live. tual production. Now we have an administration has been one of just ex- And the others go for the long range amendment before the body which ac- actly that, of unbiased peer review. and can lose some in the short term. tually produces jobs. I can tell you categorically we did Specifically, the Japanese this past I am convinced, after the hearing we have a little hesitation in the markup year, 1994, took over an additional 1.2 had this morning, that we will get a of our bill over the past few years be- percent of the automobile market, los- most sympathetic hearing from our cause the distinguished chairman on ing, if you please, losing $2.5 billion. Of distinguished chairman of the sub- the House side wanted one of these but course, they made it back in the Tokyo committee, Senator GRAMM of Texas, we never would write it in. We said we market selling cars in Japan. because the two big elements of mis- are not breaking ranks and starting We do not have that kind of policy, giving that I have heard expressed with these markups on bills and insert- and we do not want that kind of policy. about the NIST programs of the Ad- ing anything like Lawrence Welk’s And we are not going to have that kind vanced Technology Program and the home as one of these manufacturing of approach to our problems here. But Manufacturing Centers is on the one centers. to try to stay alive in the competition, hand, that this was industrial policy, Otherwise, consider the matter of we very wisely, with the support of the Government picking winners and los- pork. I must refer to the distinguished competitiveness council, and President ers, and on the other hand, that this former Senator from Wyoming, Sen- Bush in his address to the joint session was pork, political pork. Let me ad- ator Wallop. He pointed out in reading of the Congress, agreed to come for- dress the first particular problem. an article year before last, or April 2 ward and resolve the National Institute Of course, we make all kinds of in- years ago, how the chairman of the of Standards into the National Insti- dustrial policies. This morning, with Democratic Party had gone to the West tute of Standards and Technology, and respect to product liability, we told in- Coast under the Clinton administra- on a peer review merit basis to start dustry just exactly what it can ex- tion. He said, ‘‘Look here.’’ I read the meeting this kind of competition. pect—less care in the manufacturing. article. The chairman of the party is We had a very, very thorough hearing Currently, we have the highest degree saying categorically the end all and be about it this morning, and these offsets of care in the United States of America all of Presidential—and I know the are not really going to hurt anybody

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00056 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5329 and certainly they will not diminish a consensus with the Italian as the what we have in agriculture, not near further our effort with respect to jobs. choice. In fact, the poor fellow now—I what we have in alternative energy and In the other rescission bill, we have happen to like him. They say he is a in nuclear endeavors. Here is a fledg- already knocked $90 million off the ad- protectionist. OK, that is common ling little $300 million program that we vanced technology program. We cannot sense to me. We have a high standard are trying to keep alive, and some, I afford, on these research centers, man- of living. We have to protect it. But the think, unknowingly, have cut it, be- ufacturing centers, to knock another gentleman from Italy they said was to- cause over on the other side there is a $24 million off of this. tally unacceptable. We could not have gentleman—incidentally, from Penn- Specifically, in agriculture, when the him. We tried to get the man, Salinas, sylvania—who says we ought to not question was asked, when is the cutoff down in Mexico, and he bombed out. only get rid of this but get rid of the date? Well, Roosevelt started it in 1933 And then we ended up with the Italian, entire Department of Commerce. with price supports and protective who is now going to be the president of Mr. President, I yield the floor. quotas, and we still have it. In fact, we the WTO. The second choice was Korea, Mr. SPECTER addressed the Chair. have embellished it with advertising and we are sitting around with our so- The PRESIDING OFFICER. The Sen- and export promotion. They got over $1 called consensus. ator from Pennsylvania. billion selling California raisins and al- On our most important choice to be Mr. SPECTER. I thank the Chair. monds and California wines and all made we have already been rolled with Mr. President, I have sought recogni- these other agricultural products. WTO. When you lose your economic tion to comment briefly on the pending Here, for the poor fellow, working in power, you lose your influence in for- legislation. There appears to be some industry, trying to hold his job, noth- eign policy. The foreign policy, Mr. reason for optimism that we are in the ing but this babble of free-trade non- President, of this land is like a three- final stages and will be completing ac- sense, whereby we are blaming Amer- legged stool. You have as one leg the tion on this bill yet this evening. ica’s labor for a flawed trade policy. values of the country; your second leg As chairman of the Subcommittee on There is no question in my mind; we of military power; and your third leg of Labor, Health, Human Services, and have the most competitive industry economic power. Education, our subcommittee faced a worker, the most productive industrial That one leg of values as a nation is very major rescission package, as sent worker in the entire world, but we have strong. We sacrifice to feed the hungry over by the House of Representatives, a silly, really nonpolicy of running in Somalia and bring democracy to amounting to some $5.9 billion. While around and acting like we are still on Haiti. No one questions it or our mili- the full appropriations package ad- foreign policy and we have to sacrifice tary power, the military leg. We are dressed the rescissions of the House— on the kind of relation in the Pacific the superpower. But when it comes with somewhat different calculations rim, we have to defend them and we around to the economic leg, Mr. Presi- because FEMA, the Federal Emergency have to continue to give them all our dent, I can tell you, here and now, that Management Agency, was deferred. The jobs. leg over the last 40 years, 45 years, has committee was able to shift priorities, I can talk at length, but I see others been fractured due to the special rela- so that the rescissions in our Sub- waiting. I do not want to go too long, tionship that we had to give. We had to committee on Labor, Health and but I wish my colleagues to understand rebuild the capitalist economy the Human Services, and Education was re- its fullest importance. That is why I world around in order to contain com- duced to $3.05 billion. did not want to agree to a time limit munism. And bless it, the Marshall We restored some $1 billion in cuts on right here at the initial part of this plan has worked. We have no mis- education because it was our sense that particular amendment. If we had, Sen- givings about it. But now, with the fall the education funding should remain at ator, the same number of manufac- of the wall, we have an opportunity as high a level as possible. turing jobs as we had 25 years ago, we here to repair that economic leg for It is my own view, Mr. President, would add 10 million manufacturing America. that education, as a national priority, jobs. And this one little initiative here out is second to none. I come by that view What am I saying? I am saying that of all the other initiatives has been the from the experience with my own par- in 1970, 25 years ago, 10 percent of the bipartisan move toward production and ents, both of whom were immigrants, consumption of manufactured products manufacture and strengthening that who had very little education and in the United States of America was economic leg. That is what this par- therefore valued it very highly in our represented in imports. Now, over 50 ticular amendment does. It could not household. My father, Harry Specter, percent of the consumption of manu- be considered, incidentally, in the sub- had no formal education. My mother, factured products is represented in im- committee. We tried, but we could not Lillie Specter, went only to the eighth ports. If we had gone back to the 90 get a hearing, as the ranking member. grade when she quit school to help sup- percent that we had of U.S. manufac- Our subcommittee report was read out port her family on the tragic death of ture of this country’s consumption of without a single one Senator on this her father from a heart attack in his manufactured products, we would im- side of the aisle ever having heard of it. mid to late forties. But my brother, my mediately add 10 million jobs. I wanted to have a chance to repair two sisters and I have been the bene- What does that mean? Some of my that and say, ‘‘Look, set aside con- ficiaries of the opportunity to share in friends here have talked today about struction funds, money just hanging the American dream with good edu- foreign policy. I would like to get to around not to be used in this fiscal cations. And that has been a point for foreign policy. What does it mean? It year. Why rescind ongoing programs which I have always worked hard to try means that if you cannot have a strong that we have in the several States on a to maintain the funding, supported by manufacturing sector, said Mr. merit basis that is one of the finest Senator HARKIN the ranking member of Morita—former chairman of Sony—in a that we have ever got to try to help?″ the subcommittee. particular seminar we attended in Chi- I will speak a little bit further. I see Senator HARKIN agreed with restor- cago years back, if you cannot have a other Senators wanting to be recog- ing these funds to education, and in- strong manufacturing sector, you can- nized. cluded in that was the restoration of not be a nation state. And the country I have the list of the industries here funding of $371 million for drug-free that loses its manufacturing power with respect to what we call the Ad- schools. Mr. President, the drug prob- ceases to be a world power. vanced Technology Coalition, rep- lem in the school system is the inter- What we are learning already in the resenting 5 million U.S. workers, 3,500 section of education and violence. WTO, I say to the Senator from Mis- electronic firms, 329,000 engineers, and Funding for the program is supported sissippi. We thought we had a con- 13,500 companies in the manufacturing by our subcommittee, supported by the sensus on who would be the president sector. They have endorsed this par- full committee and supported, it ap- of the WTO—like Mickey Kantor would ticular program. pears, by the Senate. Perhaps even come in and say we are going to have And it is really down to the minimal more money will be added back on a consensus. Oh, we are in charge. Con- basis, not near what we give to NASA drug-free schools which is a very, very sensus. Consensus. We got together on and all its research in space, not near high priority.

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00057 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5330 CONGRESSIONAL RECORD — SENATE April 6, 1995 We also restored some $13 million for Mr. HOLLINGS. With no amend- Mr. LOTT. Mr. President, I so make worker safety, for OSHA, where the ments to our amendment? that request to have 2 minutes for the funds had been cut. It is very, very im- Mr. LOTT. That is fine. No amend- distinguished Senator from Hawaii to portant to have safety on the job. ment is mentioned here. discuss an amendment that will be the Another key item was low-income Mr. HOLLINGS. I thank the Senator. managers’ amendment, and 10 minutes home energy assistance for the elderly The PRESIDING OFFICER. Without for the two Senators from Pennsyl- and poor. Principally, this vital pro- objection, so ordered. vania on a subject relating to Jimmy gram provides assistance for many Mr. AKAKA addressed the Chair. Stewart, I believe. The PRESIDING OFFICER. The Sen- Americans who earned less than $8,000 The PRESIDING OFFICER. Is there a year. For these low income or elderly ator from Hawaii. Mr. AKAKA. If it is in order, I would objection? Without objection, so or- without this important program it dered. comes down to a choice, as the expres- like to propose an amendment, Mr. sion goes, between heating or eating. President. Mr. AKAKA addressed the Chair. The program also is very, very im- The PRESIDING OFFICER. Will the The PRESIDING OFFICER. The Sen- portant, as a matter of safety. In a 3- Senator suspend? ator from Hawaii. The Senate has just entered into a month period in the city of Philadel- DEMONSTRATION PARTNERSHIP PROGRAM phia, 11 people were killed, many of time agreement on the Hollings them children, in families which were amendment. Mr. AKAKA. Mr. President, I thank using kerosene heaters because they Who yields time? the leadership, and I thank my friend, did not have enough money for the reg- Mr. HOLLINGS. Can we temporarily Chairman SPECTER, for including it in ular fuel allotment. The committee has set this aside so the Senator from Ha- his manager’s report. reinstated the program from the House waii and the Senator from Pennsyl- I have an amendment, which will be cuts. vania could be recognized? in the chairman’s report, and it would I think it is very important, Mr. Mr. LOTT. Mr. President, the Sen- restore partial funding for the $7.9 mil- President, to meet the target of bal- ator from Hawaii has an amendment he lion rescinded from the Demonstration ancing the budget by the year 2002, but would like to offer. Could I inquire of Partnership Program. My hope is this I think it has to be done with a scalpel the Senator from Hawaii, is this an amendment is agreeable and that it and not a meat ax. Traditionally, as amendment that has been worked out? will receive the support of my col- the Founding Fathers articulated, the Mr. AKAKA. It is an a amendment leagues. Senate is the saucer that cools the tea that has been agreed to on both sides. The DPP, administered by the Office from the House of Representatives. The I have spoken with Chairman SPECTER of Community Services in the Adminis- strength in our system is a bicameral and he agrees with this amendment. tration for Children and Families of By unanimous consent, I wanted to legislature—that is a House of Rep- the Department of Health and Human offer the amendment. resentatives and a Senate—the models Services, has a highly successful record of most of the States in the United Mr. LOTT. How much time does the Senator expect to take? of employing innovative approaches to States, and it takes both of the Houses increase self-sufficiency for the poor. to work it out. Mr. AKAKA. I will take 2 minutes. The program provides grants to com- So I think we will come up in the Mr. SPECTER. Mr. President, if my Senate with a very sound bill. There distinguished colleague from Hawaii munity action agencies and other eligi- have been negotiations, as has been an- would yield, I believe we will work that ble entities of the community services nounced on the floor, and it appears at amendment through in the final pack- block grant. The objectives of the DPP this point that there will be add-backs age, so it would not be in order to offer are to develop tests and evaluate new on a number of the programs, which it at this time. approaches for overcoming poverty, as could, apparently, lead to less of a cut But I understand the distinguished well as to disseminate project results from the $3.05 billion. Senator from Hawaii would like to and evaluation findings so that suc- But it appears that we will have had speak about it, which I think would be cessful programs can be replicated else- an appropriate allocation of resources entirely appropriate to outline what we where. and assessment of priorities and that will accomplish. But structurally and I also want to inform my colleagues we will take a good bill into con- procedurally, we will include that in that there is agreement to offsets for ference. Hopefully, we can eliminate the final managers’ amendment, which this $3 million, and there is agreement unnecessary expenses but, at the same will accommodate what the Senator by the staff on both sides of the Appro- time, retain the programs which are from Hawaii wants to achieve. priations Committee. very important for America’s safety Mr. President, while I have the floor, Therefore, Mr. President, I urge the net. I had asked the distinguished assistant adoption of my amendment and thank leader if Senator SANTORUM and I—and I thank the Chair and I yield the Chairman SPECTER for including it in floor. I cleared this with the Senator from his report. I yield back any time re- Mr. LOTT addressed the Chair. South Carolina—might have 10 minutes maining. The PRESIDING OFFICER. The Sen- for a brief presentation on a memorial ator from Mississippi. to Jimmy Stewart in Indiana, PA, Mr. SPECTER addressed the Chair. Mr. LOTT. Mr. President, on behalf which will be coming up after the Sen- The PRESIDING OFFICER. The Sen- of our leader, I would like to see if we ator from Hawaii finishes his remarks. ator from Pennsylvania. could not get a time agreement now on Mr. HOLLINGS. And without the Mr. SPECTER. Mr. President, rather the Hollings amendment. I understand time being allocated on our particular than taking time now from the amend- Senator HOLLINGS has already had unanimous consent agreement. ment of the distinguished Senator from some time to speak and has indicated a Mr. LOTT. I am sure that would be South Carolina, Senator SANTORUM and willingness to enter into this agree- fine. But after that, I know the leader I would like to amend the unanimous- ment. would like for us to really begin to fin- consent agreement to take 10 minutes I ask unanimous consent that the ish the debate on this amendment and at the conclusion of the next vote. time on the pending Hollings amend- other amendments that have been The PRESIDING OFFICER. Without ment be limited to the following: 20 agreed to so we can begin to bring this objection, it is so ordered. minutes under the control of Senator to a conclusion. Mr. SPECTER. I thank the Chair. HOLLINGS, 10 minutes under the control But I believe we are going to have a of Senator HATFIELD; I further ask couple minutes now for the Senator The PRESIDING OFFICER. Who that, following the conclusion or yield- from Hawaii and then 10 minutes for yields time? ing back of the time, Senator DOLE or the Senator from Pennsylvania. Mr. HOLLINGS. Mr. President, I his designee be recognized to make a The PRESIDING OFFICER. Would yield myself sufficient time. The Sen- motion to table. the Senator from Mississippi wish to ator from Connecticut, Senator The PRESIDING OFFICER. Is there propose a unanimous consent request LIEBERMAN, wanted to be heard. I ask objection? for this? unanimous consent that the Senator

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00058 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5331 from Virginia, Senator ROBB, be added the very beginning. It has worked very supply high quality, low cost products, as a cosponsor. well. There is no pork and there is no in a wide variety and deliver it exactly The PRESIDING OFFICER. Without industrial policy with the Government when the customer needs it. These de- objection, it is so ordered. picking winners and losers. mands are tremendous challenges for Mr. HOLLINGS. Mr. President, I I yield as much time as he needs to manufacturing, and unless you have think it is fundamental that we all un- the distinguished Senator from Con- state-of-the-art manufacturing prac- derstand that this movement with re- necticut. I do appreciate his support. tices, you cannot compete. spect to the development of our tech- The PRESIDING OFFICER. The Sen- In the United States we are used to nology came about at the same time ator from Connecticut. being the leaders in technologies of all that we were trying to get conversion Mr. LIEBERMAN. Mr. President, the kinds. Historically, English words have programs in the Defense Department, state of manufacturing in this country crept into foreign languages, because including start-up funding for many of is mixed. On the one hand our manu- we were the inventors of new scientific the extension centers in this particular facturing productivity is increasing, concepts, technology, and products. program. In fact, we actually got as but on the other hand we are losing NIST Director Dr. Arati Prabhakar, Now when you describe the state-of- manufacturing jobs by the millions. the-art manufacturing practices you one of the top managers who had Manufacturing which once was the life worked with Craig Fields over at use words like ‘‘kanban’’ (pronounced blood of our economy is bleeding jobs ″ DARPA, and NIST is now taking over kahn’ bahn) and ‘‘pokaoke (pro- overseas. We need to provide the infra- nounced po kai oke’). These are Japa- the funding of 37 DOD-started exten- structure that insures that manufac- sion centers that help small firms that nese words that are known to produc- turing flourishes. tion workers all over the United are no less attuned to civilian purposes Some kinds of manufacturing have States. Kanban is a word which de- rather than to military purposes. been experiencing a resurgence in the scribes an efficient method of inven- If this little amendment is knocked last decade. This resurgence has been tory management, and pokaoke is a out, and some $25.6 million, is re- dominated by big business, not by method of making part of a production scinded, as originally proposed in the small and mid-sized businesses. I am bill, then what you have left is only $65 process immune from error or mistake worried about the 381,000 manufac- million to support a total of 44 centers, proof thereby increasing the quality of turing companies of less than 500 work- plus any new centers for other States. the end product. We have learned these ers, representing nearly 12 million em- There is a cutoff period of 6 years also techniques from the Japanese, in order ployees. Taken as a group, these small in this program that I forgot to empha- to compete with them. size. These centers come up with at and mid-sized manufacturers are the source of the largest number of new In a global economy, there is no least 50 percent of the cost to begin choice, a company must become state- with and over the years we have an manufacturing jobs, and, they rep- resent real growth for our economy. of-the-art or it will go under. We must ever diminishing amount by the Feds recognize that our policies must and an ever increasing amount by the Perhaps most importantly, small and mid-sized manufacturers have become change with the marketplace and adapt sponsoring State along with the indus- our manufacturing strategy to compete try. They take over these extension the foundation of our manufacturing industry. in this new global marketplace. The centers. Manufacturing Extension Program By way of comparison, it should be Larger manufacturers are no longer self-sufficient. Outsourcing is more and [MEP] is a big step forward in reform- shown that this past year, where we ing the role of government in manufac- had some $91 million in these centers more often the most efficient and com- turing. This forward looking program and now, if we lose $25 million, we petitive way to manufacture. Take the was begun under President Reagan, and would end up with only $65 million. example of a Chrysler car. Typically 70 has received growing support from Con- You can compare that to the $439 mil- percent of the final product is manu- gress since 1989. lion budget this year of extension pro- factured by Chrysler itself, the rest is gram of the U.S. Department of Agri- manufactured by a myriad of smaller The focus of the MEP is one that his- culture, a figure that does include re- suppliers. This web of smaller manu- torically has been accepted as a proper search or the cooperative education facturers have become the core of the role of government: education. The programs; to NASA with an aero- manufacturing industry. When U.S. MEP strives to educate small and mid- nautical research and assistance budg- small manufacturers thrive, our manu- sized manufacturers in the best prac- et of $882 million; and the Department facturing industry as a whole thrives, tices that are available for their manu- of Energy, where there is another $3.315 and our economy thrives. If our small- facturing processes. With the MEP we billion for civilian energy research. er suppliers are not competitive, they have the opportunity to play a con- And what we have is a very restricted compromise the quality of the final structive role in keeping our compa- program, run on a peer-review basis, of product, or more realistically, they nies competitive in a fiercely competi- $91 million. We are trying to restore lose out to more qualified suppliers tive, rapidly changing field. When man- the proposed cut by using unobligated abroad. We have to decide how, as a na- ufacturing practices change so rapidly, balances within the same NIST budget. tion, we are going to build our manu- it is the small and mid-sized companies I also emphasize at this particular facturing infrastructure so that we do that suffer. They cannot afford to in- time, Mr. President, before yielding as not lose these jobs and this potential vest the necessary time and capital to much time as is necessary to the Sen- for economic growth. explore all new trends to determine ator from Connecticut, that I would As I look at our manufacturing com- which practices to adopt and then to like to read just one sentence from the petitors, I am struck by how little we train their workers, invest in new 1992 Senate Republican defense conver- do to support this critical component equipment, and restructure their fac- sion task force. This was a very out- of our economy. American big manu- tories to accommodate the changes. standing group of some 14 Republican facturers have had the resources to un- The MEPs act as a library of manufac- Senators, including the Senator from dergo something of a long and painful turing practices, staying current on Kansas, now the majority leader, and rebirth. They have learned from their the latest innovations, and educating many others here, without reading out competitors how to modernize their companies on how to get the best re- their names. I read the language: manufacturing processes as well as sults. At the heart of the MEP is a The task force endorses two programs of their products. At one time, it was suf- team of teachers, engineers and experts the National Institute of Standards and ficient to provide new products in a with strong private sector experience Technology as important to the effort to ready to reach small firms and their promote technology transfer to allow defense wide variety. Then as more companies industries to convert to civilian activities. had products, being the company with workers about the latest manufac- These programs are the Manufactured Tech- the best price was the order winner. turing advances. nology Program and the Advanced Tech- Then, all competitive companies had Another benefit of the MEP is that it nology Program. low prices, and the company with the brings its clients into contact with That is exactly what we have been highest quality products started win- other manufacturers, universities, na- doing. This has been bipartisan from ning the orders. Now, a company must tional labs and any other institutions

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00059 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5332 CONGRESSIONAL RECORD — SENATE April 6, 1995 where they might find solutions to ance and learning how to become a When we check into it, usually it is an their problems. Facilitating these con- world class manufacturer. After learn- add-back on top of a very large pro- tacts incorporates small manufacturers ing to use them with the help of the gram already. into a manufacturing network, and MEP, Strauss eventually purchased his Second, this amendment, I under- this networking among manufacturers own computer-aided design and manu- stand, has four components, at least is a powerful competitive advantage. facturing equipment and software. Now part of which there is support for, and With close connections, suppliers begin HJE is one of only four companies of an agreement could probably have been working with customers at early stages its kind in the world and the only one worked out to support it. of design and engineering. When sup- in the United States. Joe is now used I understand that Senator GRAMM pliers and customers work together on as a materials expert for others who from Texas, chairman of the State, product design, suppliers can provide seek help from the New York MEP. Justice and Commerce Subcommittee the input that makes manufacturing HJE, by the way, is expanding and of the Appropriations Committee, had more efficient, customers can commu- moving into new areas in manufac- indicated he could go along with some nicate their specifications and time- turing. of these. But it adds back money in tables more effectively, and long term These are just a couple of examples. these areas: $26.5 million in the manu- productive relationships are forged. There are many others. facturing extension partnership pro- These supplier/customer networks are Each MEP is funded after a competi- gram; adds back $1.5 million from sala- common practice in other countries, tive selection process, and currently ries and expenses of the Commerce De- and lead to more efficient and there- there are 44 Manufacturing Technology partment’s Technology Administra- fore more competitive, design and pro- Centers in 32 States. One requirement tion; it adds back funding of $5 million duction practices. for the centers is that the States sup- in funding for NOAA coastal ocean pro- The MEP is our important tool in ply matching funds, ensuring that cen- gram; and it adds back $14 million in keeping our small manufacturers com- ters are going where there is a locally the climate and global change research petitive. We are staying competitive in supported need. area. markets that have become hotbeds of The appropriated funds for fiscal year Some of those sound pretty good, but global competition, and we are begin- 1995 would allow the Commerce Depart- in each case it is an add-back on top of ning to capture some new markets. ment to fund over 30 more centers, to money that was already there. More importantly, companies that further cover manufacturing areas in The central issue here is the funding have made use of MEP are generating the country. The funds are required to for the manufacturing and extension new jobs rather than laying off workers grow the program and reach the States partnership program and the fact that or moving jobs overseas. These compa- that still need them. Not only are the it has been growing so rapidly. Funding nies are growing and contributing to appropriated funds needed to grow the for this unauthorized program in- real growth in the U.S. economy. For program, but to maintain the centers creased dramatically over the past few each Federal dollar invested in a small that were once covered by DOD funds. years. For instance, this program did or midsized manufacturer through the Historically, the DOD has covered the not exist until fiscal year 1991. In that MEP, there has been $8 of economic cost of some manufacturing extension year, the funding was $11.9 million; growth. This is a program that is pay- centers because of its vested interest in then it went to $15.1 million; and then ing for itself by growing our economy. maintaining a strong defense manufac- $16.9 million; then $30.3 million; in this Let me share with you some exam- turing base. DOD funding of the MEP fiscal year it jumped to $90.6 million. ples of success stories from the MEP. has been a casualty of the defense cuts Even with the rescission or the cuts When the Boeing Co. told Manufac- as defense dollars become tighter. proposed in this bill, we still would turing Development Inc. or, MDI, it In conclusion, I urge my colleagues have had a doubling of the program. needed to meet Boeing’s stringent D1– to support the Manufacturing Exten- The Senator noted that there is still 9000 quality standards, or risk losing sion Program. The MEP provides the $67 million, I believe, that would be Boeing’s business, MDI Vice President arsenal of equipment, training, and ex- left. It is projected this program would Michael Castor knew the company pertise that our small and mid-sized go up to $146.6 and keep going up. needed help. The 30-person sheet metal manufacturers need to keep them in This is a new program that has grown fabricator located in Cheney, KS, de- the new global economic battlefield. like top seed. Maybe the plan is over pended on its work with Boeing, its The investment is in our future eco- the years to bring it down and maybe largest customer. The company called nomic health, in high wage jobs for our bring in private-sector funding. That is the Mid-America Manufacturing Tech- workers, in the American dream. In- all well and good. The fact of the mat- nology Center, an extension center in vestment in the education of our small ter is it has been doubling and tripling Kansas, which provided MDI employees and mid-sized manufacturers is invest- in recent years. That is why on this on-site training in statistical process ment in our future. side, on behalf of the chairman of the control and helped MDI secure a State Mr. LOTT addressed the Chair. subcommittee and the chairman of the job training grant that paid for half of The PRESIDING OFFICER. The Sen- committee, our urging to the Members the training costs. MDI not only re- ator from Mississippi. is that they vote to table this amend- ceived certification by Boeing and re- Mr. LOTT. First, I would like to re- ment, because if we do not do it here, tained its largest customer, but it also mind everybody what is the base bill there will be another one that will add estimates that it will achieve a 50 per- here. This started out being a bill that money, and another one will add cent reduction in scrap, reduce rework was going to pay for disaster aid that money, and we think we have to con- by 25 percent, and realize an annual is needed for California and perhaps in trol the rate of growth and not start a savings of $132,000. other areas. long process that will add back addi- Another example is HJE Co. Inc., a 4- It also has rescissions. These are re- tional spending to this bill. I yield the person manufacturer of gas atomiza- ductions in spending from this year’s floor. tion systems in Watervliet, NY. HJE fiscal budgets throughout the Govern- I reserve the remainder of my time. produces ultrafine metal powders from ment to try to reduce the deficit, try Mr. HOLLINGS. Mr. President, right molten metal. These powders are used, to pay for the disaster aid, and to try to the point. We are not adding back for example, in solder and braze pastes to begin to move toward controlling $26 million of the $24 million, and we and dental alloys. When Joe Strauss, our rate of growth. That is the basic are not adding back $14 million, but $7 founder of HJE, first came to the New premise that we are starting from here. million on the climate and global York MEP he had lots of good ideas When we have all these amend- change research. I want to correct and some sketches and rough drawings. ments—although some of them are those figures. The New York MEP helped him turn very justifiable, good, small amounts I wanted also to include, Mr. Presi- those ideas into blueprints of of money, they just keep growing. For dent, the point made that it does re- manufacturable parts, and helped him a week now, I have seen lists floating store not only the manufacturing ex- find machine shops to make the parts. around here with add-backs here, add- tension but the NOAA coastal ocean Strauss spent 6 months getting assist- backs there, many of which I like. program, the NOAA climate and global

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00060 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5333 change program and the Undersecre- In short, we believe that S.4 will promote Our technology investments in partnership tary for Technology Office, and it American competitiveness and enhance the with industry, while a small part of our en- shows the United States-Israel Bilat- ability of the private sector to create jobs in tire federal R&D portfolio, make essential eral Science and Technology Agree- this country. We hope that you will play a contributions to national security and eco- leadership role in ensuring its passage. We nomic growth. Together with TRP and ATP, ment continues. would be happy to sit down with you or your initiatives such as the High Performance Right to the point about growing: We staff to discuss the bill in greater detail. Computing and Communications program, transferred from the Department of De- Sincerely, the Partnership for a New Generation Vehi- fense at the request of the Republican See attached list of associations, profes- cle, the Manufacturing Extension Partner- Coalition for Defense Reconversion. sional organizations, academic institutions ship, Challenge Grants for Technology in These programs did not grow. It was and companies: Education, Information Infrastructure just really transferred as more applica- American Electronics Association (AEA). grants, and the Environmental Technology National Association of Manufacturers Initiative provide the necessary seed money ble to the civilian side than the mili- for exciting, rewarding education for our tary side. That is why we have that (NAM). The Modernization Forum. children, productive jobs for our working amount in there. Microelectronics and Computer Tech- people, and a better quality of life for all of It certainly has not grown just like nology Corporation (MCC). us in the twenty-first century. export promotion in agriculture, which Honeywell, Inc. I have asked Laura D’Andrea Tyson, chair I am sure my distinguished colleague National Society of Professional Engi- of the National Economic Council (NEC), to from Mississippi supports, which is neers. lead a team composed of senior officials from Business Executives for National Security. throughout my Administration to continue over 1 billion bucks. to build support for these vital investments Talking about rescissions—now, just IEEE-USA. Semiconductor Equipment and Materials in the nation’s future. We want to work with the atmosphere or environment of closely with you to protect our technology frustration of amendments coming and International (SEMI). Institute for Interconnecting and Pack- investments. going, I can say categorically, Mr. aging Electronics Circuits (IPC). Sincerely, President, we could not offer an Wilson and Wilson. BILL. amendment all last week. I tried to. American Society for Training and Devel- Mr. HOLLINGS. Mr. President, I rise What we had was a fill-up-the-tree kind opment. to speak regarding a technology/NOAA of approach and we had to take the Catapult Communications Corporation. amendment for myself, and Senators amendments, and we had no votes. We Dover Technologies. THURMOND, BINGAMAN, BREAUX, GLENN, sat around here for 3 days with no Texas Instruments, Inc. GRAHAM, LEAHY, LEVIN, KENNEDY, Columbia University. votes on amendments. My amendment KERRY, KOHL, LIEBERMAN, KERREY, Motorola. has never been considered in sub- Intel Corporation. MURRAY, PELL, ROCKEFELLER, and SAR- committee. Rolled in the Appropria- Cray Research. BANES. tions Committee as if we had consid- Electron Transfer Technologies. There are many rescissions in the ered it. And it only takes from other Electronic Data Systems (EDS). Commerce, Justice and State chapter programs unexpended balances, rather American Society for Engineering Edu- of this bill which I am not pleased than eliminate viable programs en- cation. with. There are four particular rescis- dorsed on both sides of the aisle that U.S. West, Incorporated. sions in the Commerce Department are not growing like topsy. Electronic Industries Association. section of the committee reported bill I ask unanimous consent to have Tera Computer Company. which my amendment would restore— Southeast Manufacturing Technology Cen- printed in the RECORD at this point a ter. the National Institute of Standards letter from the president of the Ad- Convex Computer Corporation. and Technology Manufacturing Exten- vanced Technology Coalition, with the Association for Manufacturing Tech- sion Program, the Office of the Under encompassing endorsement. nology. Secretary of Technology, the NOAA There being no objection, the letter Semiconductor Research Corporation. Climate and Global Change Research was ordered to be printed in the American Society of Engineering Soci- Program, and the NOAA Coastal Ocean RECORD, as follows: eties. Program. These rescissions total $37.5 AT&T. ADVANCED TECHNOLOGY COALITION, million and my amendment proposes Hoya Micro Mask, Inc. Washington, DC, February 9, 1994. $37.5 million in alternative rescissions Hon. ERNEST F. HOLLINGS, Mr. HOLLINGS. I also ask unani- in their place. My amendment is fully U.S. Senate, Russell Senate Office Building, mous consent we print a letter from offset, dollar for dollar. Washington, DC. President Clinton, an endorsement. OFFSETS DEAR SENATOR HOLLINGS: On behalf of the There being no objection, the letter The offsets in this amendment are Advanced Technology Coalition, we want to was ordered to be printed in the express our strong support for the Senate quite simple, and they are all from RECORD, as follows: version of the National Competitiveness Act, other Commerce Department appro- S.4. THE WHITE HOUSE, priations accounts. We propose rescind- We believe that the bill deserves bipartisan Washington, DC, March 28, 1995. ing $30 million from the unobligated support. We ask that you vote for the bill Hon. ERNEST F. HOLLINGS, balances in the NIST construction ac- U.S. Senate, when it reaches the floor in the very near fu- count. There are currently $195 million ture. Its passage is essential to strength- Washington, DC. ening the ability of our companies and mem- DEAR FRITZ: Thank you for your concern to such unobligated balances. Most of bers to compete in the international market- about the technology investment programs this amount is set to go on contract. place; in short, S.4 means jobs and will con- we have built together over the past two But several projects have been held up tribute to our nation’s long-term economic years. Your steadfast support of the Ad- due to environmental concerns and health. vanced Technology Program (ATP), the delays, and this rescission should have Combined, the Advanced Technology Coali- Technology Reinvestment Project (TRP), little impact on the agency being able tion represents 5 million U.S. workers, 3,500 and related technology investment efforts to move ahead with modernization of has been indispensable in educating the new electronics firms, 329,00 engineers, and 13,500 its priority laboratories. This account companies in the manufacturing sector. The Congress as to their economic and national Coalition is a diverse group of high-tech security value, and countering proposed leg- has never been authorized, and there companies, traditional manufacturing indus- islative actions that threaten their exist- should be no reason why this rescission tries, labor, professional societies, univer- ence. is not acceptable to the managers of sities and research consortia that have a These programs are a high priority to me the bill. common goal of ensuring America’s indus- and I will continue to fight for them. I have Second, we have recommended two trial and technological leadership. expressed strong opposition to the cuts to rescissions of prior year unobligated The members of the Advanced Technology TRP and ATP in H.R. 889, and I am working balances from NOAA. We have rec- Coalition have invested an enormous amount to see that an acceptable bill comes out of ommended rescinding $5 million of un- of time working with both the House and the conference. And, as you know, I have indi- Senate in developing and refining the Na- cated that I would veto H.R. 1158 in the form obligated balances from NOAA’s con- tional Competitiveness Act. The Coalition passed by the House; the cuts to key tech- struction account. Since fiscal year believes that its views have been heard by nology programs are among the serious prob- 1992 Congress has appropriated over $9 Congress and reflected in the bill. lems that I have with the bill. million for above standard costs for a

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00061 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5334 CONGRESSIONAL RECORD — SENATE April 6, 1995 new environmental research labora- nical support to small to medium-sized tract quality scientists and oceanog- tory. The principle construction costs manufacturers to help them upgrade raphers. Many coastal ocean projects for this facility are the responsibility equipment, improve production proc- would have to be terminated or se- of GSA. The construction of this facil- esses and save jobs. They are cost- verely curtailed. ity has been held up by a number of en- shared with States and are competi- No. 4. NOAA Climate and Global vironmental and community concerns. tively awarded. This is a merit-based Change Program. Finally, our amend- Finally, we have proposed rescinding program—neither the President nor the ment would restore $7 million for the $2.5 million of prior year recoveries Secretary of Commerce, nor members NOAA Climate and Global Change Re- within the GOES Satellite contingency of Commerce—can earmark these cen- search Program. Specifically, we would fund. This is a one-time appropriation ters. Each center is tailored to the in- seek to restore cuts that the com- account that Warren Rudman and I es- dustrial characteristics and needs of mittee reported bill, which cuts twice tablished in 1991 to ensure the GOES the area in which it is located. So the as much as the House bill from this Satellite Program continued. The pro- center in Philadelphia, is different program, would require in the research gram got back on track, and the first from the center in Albuquerque, NM, and understanding of the role of the GOES-next satellite is now in orbit— which is different again from the man- oceans in climate change. these unobligated funds are no longer ufacturing extension center in Rolla, NOAA’s Climate and Global Change needed. MO. Program is a competitive and peer-re- So each offset is based on good finan- Now there are two specific impacts viewed program of scientific grants cial management. We have identified from the rescission proposed in the geared toward improving our under- prior year appropriations that are not committee reported bill. First, NIST standing of long-term changes in the required or not needed at this time. will not be adding as many new centers oceans and atmosphere. Our proposed restorations, however, as we intended when I fought for these This is a quality program that in- continue priority NOAA and tech- funds in conference last year. And I creasingly is paying off by allowing nology programs that should not be should note that NIST informs me that NOAA to have more accurate long- cut. they expect applications to come in term weather forecasts. We used to RESTORATIONS from many States. think of a wet side to NOAA and a dry Our amendment provides restoration Second, some of the 37 centers that side or atmospheric side of NOAA. The of appropriations for four programs: were started with Defense appropria- Climate and Global Change Program is Technology programs: With respect tions will have to begin phasing out op- breaking down these artificial barriers to the Commerce technology and com- erations—because NIST will lack the by proving that the oceans hold the petitiveness programs. The committee funding to take over the Federal por- key to global climate and weather. bill rescinds $26.5 million from the tion of their operational support. A case in point is NOAA’s program to NIST Manufacturing Extension Pro- This is an effective program that has monitor and forecast El Nino events. gram—from Manufacturing Technology always been bipartisan. I remember El Nino is an interannual change in the Centers—and it rescinds $1.5 million when former Vice President Dan air-sea conditions of the tropical Pa- from the Office of the Under Secretary Quayle traveled to the Great Lakes cific that can cause torrential rains, of Technology, Mary Good. Manufacturing Center in Cleveland, droughts and major shifts in ocean con- No. 1, Office of the Under Secretary OH. He praised their work and was par- ditions. For example, during a 1983 El for Technology: I find it hard to believe ticularly impressed with their role in Nino, 600 people died in South America, that this Senate would want to cut keeping an automotive part manufac- and Peruvian economic losses due to Under Secretary Mary Good’s office. turer in business. General Motors told severe weather and poor fishing were She is the finest Under Secretary for the small firm to cut costs or they estimated at $2 billion. In the United Technology we have had. She is the would contract with a Mexican firm. States, the west coast and Gulf of Mex- kind of leader that we had in mind The NIST manufacturing center de- ico were hit by major winter storms when the Congress passed the 1988 signed machinery to automate and that led to beach erosion, flooding and Trade Act. This cut would make her ei- modernize the firm’s operations—and mudslides. Increasingly, NOAA’s cli- ther lay off her staff or terminate valu- the company prospered and added even mate and global change research is cor- able projects, like the Commerce De- more jobs in Cleveland. In fact, there is relating severe weather events and the partment’s share of the United States/ a picture of the Vice President in the temperature of the equatorial Pacific. Israel Science and Technology Agree- entrance to that Great Lakes Manufac- The Program plays a key role in efforts ment. When I was chairman, we annu- turing Center. to develop El Nino predictions that ally exceeded the Bush and Reagan NOAA OCEAN AND ENVIRONMENTAL PROGRAMS could improve planning and prepara- budget requests for this office. I was re- No. 3, NOAA, Coastal Ocean Program. tion for such events, thereby saving quested to do so by Republican mem- Third, my amendment restores $5 mil- hundreds of lives and preventing mil- bers of this committee, and I was lion to the National Oceanic and At- lions in economic losses. happy to do so. Further, I cannot un- mospheric Administration’s [NOAA] Mr. President, again this amendment derstand why we would want to prevent Coastal Ocean Program. The Coastal is fully offset. I urge its adoption. the Under Secretary of Technology Ocean Program was established as a Mr. ROCKEFELLER. Mr. President, from following through participating agency-wide initiative to focus the ca- this amendment, offered by the Sen- in a technology and science agreement pabilities of all NOAA line organiza- ator from South Carolina, deserves with our allies, the Israelis. tions to deal with coastal and oceanic strong support from this body. I am a So, first, our amendment restores issues of national concern. Examples cosponsor of the amendment for a very funding for her office and prevents any include fisheries research in the Bering basic reason. Our amendment will re- reduction to the U.S./Israeli science Sea off Alaska and the Georges Bank store funding for what’s called the and technology agreement. off Massachusetts, New Hampshire and Manufacturing Extension Partnership No. 2, Manufacturing extension: Sec- Maine; and estuary and ecosystem [MEP] Program— a vital network of fa- ond, the House bill and the committee- studies in Florida and the Chesapeake cilities dedicated to a strong manufac- reported bill currently cuts the NIST Bay. The Coastal Ocean Program is turing base in this country. With vi- Manufacturing Technology Centers by merit-based and employs competitive sion and a lot of hard work, the Sen- $26.5 million. Our amendment would re- peer review. The program was recently ator from South Carolina has turned a store $24 million of this program, and praised by the National Research Coun- very basic idea into a very powerful, leave a rescission of $3.1 million. cil. invaluable reality. The Manufacturing Extension Pro- The House rescission, which the com- It seems incredibly stupid to cut gram now supports 44 centers in 32 mittee reported bill agrees to, elimi- funds from a program that has the States. Most were started with defense nates half the Coastal Ocean Program’s track record of this one. The name says conversion [TRP] funds but have now funding! This would result in a loss of it all—manufacturing extension. That been transferred onto NIST’s budget. ongoing field and laboratory work and means that because of this program, These centers provide hands-on tech- it would impair NOAA’s ability to at- the small- and medium-sized businesses

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00062 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5335 of this country have place to contact, son operation to one that now employs to 30 percent of this current year’s appro- to call, to visit where they get the lat- 28 people and has annual gross sales of priated funds. est there is to know about how to more than $1 million, again with the We believe Congress should continue its make products and turn a profit. Cut help of the Robert C. Byrd Institute. history of bipartisan support for this unique the funds, eliminate these centers, and This is not just about tying together network of assistance dedicated to equipping cut off the businesses of our country the resources in just one State. Mr. small-and-medium-sized businesses and their from what they cannot get anywhere employees to maximize their potential in President, there is a tremendous ad- manufacturing and for growth. else. vantage in being part of a national net- Forty-four manufacturing extension The MEP centers exist in most states, and work of centers planted in different play an essential role in diffusing and shar- centers now operate in 32 States. The States. With the help of this network, ing the state-of-the-art ideas, lessons, and centers are sharing expertise, informa- West Virginia firms are staying on top methods that businesses in all of our states— tion, and advice to smaller- and mid- of the innovations and techniques that especially when they’re not in metropolitan sized companies that want to manufac- are being collected from thousands of centers—would not otherwise obtain. ture products and want to stay in busi- small- and mid-sized firms throughout To help you think about the vital role of ness. This extension network has been the country. Larger firms will always the Manufacturing Extension Partnership, so successful that other States are be able to keep up with modernization, we offer you the following: waiting In the wings to get centers of they have the staff and resources to do 10 KEY FACTS ABOUT THE MANUFACTURING EX- their own, and to link hundreds and that. But if this unique network of TENSION PARTNERSHIP—AND WHAT’SAT even thousands of the businesses in manufacturing centers shrinks or dies STAKE FOR THE BUSINESSES AND ECONOMIES their State to a central repository of off, the losers will be the small firms in OF YOUR STATE people and expertise steeped in the our States. 1. The Manufacturing Extension Partner- state-of-art in manufacturing and tech- Nationally, there are almost 400,000 ship (MEP) is based on the basic, proven idea nology. Anyone who knows what the small- and mid-sized manufacturers that a strong manufacturing base is essen- Agricultural Extension Service did in that employ less than 500 people tial to this nation’s economic strength and this country to help farmers learn apiece—these manufacturers account future. Manufacturing employs almost 19 million Americans, representing more than about the latest techniques for irriga- for over half our national manufac- tion, for farming, for keeping their 20 percent of the private sector workforce turing output. Nearly 12 million peo- and accounting for almost a fifth of the U.S. costs down, understand this model now ple, in all 50 States, work at these applied to manufacturing very well. GNP over the last 40 years. small- and mid-sized firms. These manufacturing extension cen- 2. Small manufacturing firms, with less Mr. President, in the global market- ters play a role that cannot and will than 500 employees—the primary customers place, firms of any size must master of the MEP—contribute more than half of not be duplicated by any single part of modern technologies, management total U.S. value-added in manufacturing and the private sector. They play a truly techniques, and methods of work orga- employ almost two-thirds of all manufac- public role, because their only client is nization. The exciting part of progress turing employees, approximately 12 million the public interest. They share infor- is that you don’t have to run a business Americans. mation and ideas among businesses. 3. America’s small manufacturers know They learn what works on 1 factory in Chicago or Detroit or New Orleans to be the best maker of an auto-part, a their challenge lies in being able to learn floor, and help 20 more businesses avoid about and adopt modern manufacturing reinventing the wheel by learning from computer chip, a machine tool. You equipment and ‘‘best practices,’’ and over- the first. They spread manuals, train- can be in remote parts of Montana or coming various barriers to change, including ing guides, information across their West Virginia or South Carolina. But geographic location or even isolation, aware- States—with the latest findings and you do have to be linked to the infor- ness, information, finance, and regulations. These are the smaller companies across the ideas on how to run and fix equipment, mation that is necessary to keep up with the advances breaking out every country being assisted by manufacturing en- make products efficiently, organize gineers at MEP extension centers run by and train a work force, and make prof- day. Our Nation’s overall economy re- local, state, and non-profits. its. Median size of MEP’s client companies is We all know how information and quires thousands of small- and mid- sized firms keeping up at breakneck 50 employees; median sales of a MEP’s client know-how spread in places like Silicon companies is $5.4 million; median age of Valley and Cambridge, MA. Extension pace with what works in design, pro- MEP’s client companies is 26 years. programs tie the rest of the country’s duction, marketing, training, and all 4. The Manufacturing Extension Partner- small manufacturers into these and kinds of other practices. ship is industry-driven, and market-defined. other hubs of new technology, and Mr. President, the American people It builds on and magnifies existing state and allow even the smallest firm to share know what it will mean to our Nation’s local industrial extension initiatives and re- in new ideas and equipment in a way long-term economic survival if we do sources. Centers are managed and staffed by that enables businesses across the not keep making products and being experts with private sector manufacturing experience. country to prosper. the best at manufacturing. We have to In West Virginia, this is the program build things to survive in this increas- 5. The MEP Centers are awarded funds ingly competitive global marketplace. using a rigorous, merit-based competitive responsible for drawing together two process. facilities, the West Virginia Industrial The Manufacturing Extension Partner- 6. MEP and its Centers focus services on Extension Service at West Virginia ship is the best, most efficient way to advance this cause. activities where economies of scale do not University and the Robert C. Byrd In- exist in the marketplace, and on only those stitute for Advanced Manufacturing at I also ask unanimous consent that a firms which demonstrate a commitment to Marshall University. The program is Dear Colleague distributed by myself their own growth and development. called the West Virginia Partnership and several colleagues on the impor- 7. The small amount of federal dollars for Industrial Modernization [WVPIM]. tance of this effort be reprinted imme- available for MEP leverages substantial re- Because of this effort, the hundreds diately after this statement. sources in state and local governments, as of small businesses in my State have a There being no objection, the letter well as the private sector. place to go for help and expertise that was ordered to be printed in the 8. MEP is committed to performance meas- would not be there otherwise. In Hun- RECORD, as follows: urements which focus on the bottom-line tington, WV, there is the story of U.S. SENATE, economic impact for client companies. This Wooten Machine Co. Because of the Washington, DC, March 23, 1995. program has shown a rate of return of 7-to- help that this company got from the DEAR COLLEAGUE: Tomorrow, Friday, 1 for the federal government’s investment, March 24, 1995, the Senate Appropriations with concrete benefit in increased sales, cost Institute for Advanced Manufacturing, savings, and jobs for small manufacturers. Wooten went from making parts manu- Committee will mark-up the many rescis- sions passed by the House of Representatives 9. Companies using MEP centers are be- ally to computerizing their operation. as part of the Disaster Relief Supplemental coming more competitive and are improving Now they are talking about hiring Appropriation. their long-term prospects for growth. Their more people. One item included in the House package is goal is to retain existing jobs, create new They are not alone. Stinson Manufac- a $26.5 million rescission from the Manufac- high-skilled jobs, and contribute broader turing in Alta, WV, went from a 4-per- turing Extension Partnership—that amounts economic benefits.

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00063 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5336 CONGRESSIONAL RECORD — SENATE April 6, 1995 10. Manufacturing Extension Centers are in source management decision-making have even closed, are not going to ex- 32 states, and one of them could be yours. which depends on the results of this pand in the near future. The only an- But even if your state is still without a cen- science. The Hollings amendment swer here is to grow the economy. ter, eliminating funds from the Manufac- would restore the $5 million rescission There are tax policies I will look for- turing Extension Program will mean giving up on the goal of a modern, national network in the NOAA operations, research and ward to supporting that will encourage to provide irreplaceable technical assistance facilities account for the Coastal Ocean capital formation and help make that to our businesses and workforce. Program, resulting in retention of $11 possible. In conclusion, our point is: ‘‘fiscal year re- million in funding for this year. As an But it seems to me one of the best scissions undermines manufacturing offset, the amendment would increase things we can do is to create manufac- strength’’ the rescission in NOAA construction turing extension centers that will The proposed $26.5 million rescission for account from $8 million to $13 million. reach out to the small- and mid-size the Manufacturing extension Partnership would weaken the emerging, nationwide net- This would decrease the construction companies to help them grow and help work of extension centers—co-funded by account from $97 million to $84 million. them create jobs. This is a program state and local governments—that provide NOAA supports this change. where I feel we make a mistake by cut- small and medium-sized manufacturers with The final program that the amend- ting a single dollar because this is a technical assistance as they upgrade their ment addresses is the NOAA Global Cli- program that gives a lot of people out operations to boost competitiveness and re- mate Change Program. This program there—people who are worried about tain or create new jobs. The rescission would seeks to develop a clearer picture of their futures—some hope that there is reduce funding available for establishing new the relative roles of various greenhouse a new and a good job, a high-paying centers around the country. Approximately gases in causing global warming. The 10 new centers could be funded in FY 1995, job, around the corner. rather than the planned 36 centers. Reducing Senate bill rescinds $14 million of the The PRESIDING OFFICER. The Sen- the number of new centers would slow the $78 million in fiscal year 1995 funding. ator from South Carolina. delivery of MEP services to large regions of The amendment would restore $7 mil- Mr. HOLLINGS. Mr. President, the the United States—and many thousands of lion of the rescission for this critical Senator from Mississippi should under- small companies. program. The offset would come from stand, this does not add back. It does We urge your support for his important en- the NIST construction fund and the not add back one red cent. It is offset deavor. For further information, please con- GOES construction fund. within the same budget for unexpended tact Laura Philips at 4–9184 in Senator I compliment the distinguished Sen- construction funds that are sitting Lieberman’s office or Ken Levinson at 4–7515 in Senator Rockefeller’s office. ator from South Carolina for his lead- there. Sincerely, ership in these oceans and technology I am here going along with the origi- JOE LIEBERMAN. issues—which he has championed for nal premise and the continuing premise JOHN GLENN. years. It is my pleasure to serve with of rescissions. That is the basic JAY ROCKEFELLER. him on the Commerce Committee, premise. This amendment is in con- JEFF BINGAMAN. where he was recently chairman and is formance. It does not add back. It read- Mr. KERRY. Mr. President, I speak now the ranking Democrat. justs allocations under the same budg- today in support of the Hollings I join with him to prevent short- et from construction—whether you are amendment to the Emergency Supple- sighted cuts in these beneficial pro- going to build office buildings or you mental Appropriations Act. The grams that exemplify the kind of na- are going to start building jobs. amendment would restore programs tionally important work government How much time do I have remaining, that are important to the people of can do so well and I urge my colleagues Mr. President? Massachusetts and the entire country. to support this amendment. The PRESIDING OFFICER. The Sen- I would also like to note that offsets Mr. HOLLINGS. Mr. President, how ator has 3 minutes and 40 seconds. for each of these programs is provided much time do I have remaining? Mr. HOLLINGS. I retain the remain- so the total amount of the rescission The PRESIDING OFFICER. The Sen- der of my time. package is not affected. ator has 6 minutes and 40 seconds. The PRESIDING OFFICER. Who NIST’s Manufacturing Extension Mr. HOLLINGS. Mr. President, I re- yields time? Program [MEP] is vitally important to tain the remainder of my time and Mr. LOTT. Mr. President, I think we small businesses in my State. MEP yield time to the Senator from Con- have made our points. We will be pre- supports our Bay State Skills and Uni- necticut. pared to yield our time and go to a versity of Massachusetts technical as- Mr. LIEBERMAN. Mr. President, vote if the Senator would like to. I sistance programs for small- and mid- very briefly I just wanted to respond to think we only have a total of about 5 sized Massachusetts companies. The my friend from Mississippi and say we minutes or so left. How much do we House bill rescinds $26.5 million from are at a time when, obviously, we have have? this program and the Senate bill re- to make some tough choices, a lot of The PRESIDING OFFICER. The Sen- tains this rescission. The Hollings tough choices. There are a lot of rescis- ator from Mississippi has 6 minutes re- amendment would restore the entire sions in this bill to cut spending and I maining. The Senator from South amount rescinded from the MEP Pro- am going to support most of them. But Carolina has 31⁄2 minutes. gram. it seems to me this is one that does not Mr. HOLLINGS. Mr. President, I will The second program addressed in the make sense because of the numbers I go along with the suggestion of the dis- amendment is the NOAA Coastal Ocean cited, which is $8 in economic growth tinguished Senator from Mississippi. Program [COP], a nationwide science for every $1 we spend in this program. What happened, two or three Senators program that is conducting very im- I have to tell my colleague, I know wanted to be heard, but we only have 3 portant interdisciplinary research on we all hear different messages from our minutes if they got here. oceanographic problems. As part of the people back home. When I am in Con- Is it the point to yield the remainder COP, a major field study is presently necticut there is one question that I of our time, make the motion, get the being conducted of Georges Bank as think is most on people’s minds, reso- yeas and nays? Is that it? part of the U.S. Global Ocean Eco- nating throughout the State, and I Mr. LOTT. Yes, sir. systems Research Program [U.S. think, throughout the country. The Mr. HOLLINGS. Very good. GLOBEC]. The main objective of the question is: ‘‘Can you do something in Mr. LOTT. Mr. President, I yield the study is to understand the physical and Washington to protect my job, to keep remainder of my time. biological processes that control the my job secure?’’ se If people have lost Mr. HOLLINGS. I yield the remain- abundance of populations of commer- a job, as too many people in my State der of my time. cially important marine animals. The have, because of manufacturing The PRESIDING OFFICER. All time House and Senate Bills rescind $5 mil- downsizing, the question becomes: has been yielded back on the amend- lion of COP’s $11 million in fiscal year ‘‘What can you do to help me get a new ment. 1995 funding—40 percent of the budget. job?’’ Mr. LOTT. Mr. President, I move to The rescission is harmful not only to I know some of the old industries in table the Hollings amendment and ask U.S. marine science but also to re- our State which have downsized, some for the yeas and nays.

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00064 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5337 The PRESIDING OFFICER. Is there a Mr. WELLSTONE. Mr. President, I people of Indiana, PA, a little town in sufficient second? send an amendment to the desk. western Pennsylvania; a town that, There is a sufficient second. Mr. FORD. Mr. President, may we frankly, has had some tough times of The yeas and nays were ordered. have order. late. In fact, Indiana County has the VOTE ON MOTION TO TABLE AMENDMENT NO. 574 The PRESIDING OFFICER. Will the highest unemployment rate of any TO AMENDMENT NO. 420 Senator from Minnesota suspend? county in the Commonwealth of Penn- The PRESIDING OFFICER. The The Senate is not in order. The Sen- sylvania. question is now on the motion to table ate will be in order. But they pulled themselves together the amendment of the Senator from Mr. FORD. Mr. President, I do not and are putting together this really South Carolina. The yeas and nays believe they can even hear you. fine and lovely and modest tribute to have been ordered. The PRESIDING OFFICER. Will the Jimmy Stewart. The clerk will call the roll. Senate please be in order? The man is an incredible man in The assistant legislative clerk called The Chair advises the Senator from America. He is an actor who has ap- the roll. Minnesota that under the previous peared in 71 films. Obviously, we all The PRESIDING OFFICER (Mr. BEN- order, at this time, the Senators from know the famous films that he has NETT). Are there any other Senators in Pennsylvania were to be recognized for been in. Who has gone through a the Chamber who desire to vote? 10 minutes. Christmas holiday without seeing the The result was announced—yeas 43, Mr. DOLE addressed the Chair. brilliant George Bailey part that he nays 57, as follows: The PRESIDING OFFICER. The ma- played and that we all can identify [Rollcall Vote No. 129 Leg.] jority leader. with as someone who has gone through YEAS—43 Mr. DOLE. Mr. President, if the Sen- some tough times and been able to face ator from Minnesota would just give us Abraham Gorton McCain those tough times, and the spiritual Ashcroft Gramm McConnell about 5 minutes, then we will come role that he played in that movie. Bennett Grams Murkowski back to the Senator from Minnesota. I can still relate to him as I watch Bond Grassley Nickles Mr. WELLSTONE. I thank the major- ‘‘Mr. SMITH Goes to Washington,’’ and Brown Gregg Pressler ity leader. Campbell Hatch the role he played as a U.S. Senator in Roth The PRESIDING OFFICER. Under Chafee Hatfield Santorum fighting for what the people of his Coats Helms Shelby the previous order, the Senator from Cochran Hutchison State called for. Simpson Pennsylvania is recognized. Coverdell Inhofe Smith He has been an inspiration not only Craig Kempthorne The Senate will be in order. Thomas on the movie screen, but he has been a Dole Kyl Mr. SANTORUM addressed the Chair. Domenici Lott Thompson tremendous inspiration as a war hero. Warner The PRESIDING OFFICER. The Sen- Faircloth Lugar ator from Pennsylvania. He was assigned to the Army Air Corps, Frist Mack rising from private to bomber pilot, to f NAYS—57 commander of the Eighth Air Force Akaka Feingold Lieberman THE JIMMY STEWART MUSEUM IN Bomber Squadron. He, himself, flew 21 Baucus Feinstein Mikulski INDIANA, PA missions over enemy territory, includ- Biden Ford Moseley-Braun ing Berlin, Bremen and Frankfurt. By Bingaman Glenn Moynihan Mr. SANTORUM. Mr. President, Sen- Boxer Graham Murray ator SPECTER and I rise today to honor the time it was over Over There, James Bradley Harkin Nunn a native son of the Commonwealth of M. Stewart would be known as colonel, Breaux Heflin Packwood Pennsylvania who is going to be hon- and he would be later decorated with Bryan Hollings Pell an Air Medal, The Distinguished Fly- Bumpers Inouye Pryor ored next month in Indiana, PA—the Burns Jeffords Reid birthplace of Jimmy Stewart—with a ing Cross, and the Croix de Guerre. All Byrd Johnston Robb museum that is going to open right told he accumulated 27 years of service Cohen Kassebaum Rockefeller in Active and Reserve Duty, even at- Conrad Kennedy Sarbanes about half a block away from the birth- D’Amato Kerrey Simon place of Jimmy Stewart. taining the rank of brigadier general. Daschle Kerry Snowe Many of us have been working long On May 20 in Indiana, PA, we will be DeWine Kohl Specter celebrating Jimmy Stewart’s birthday Dodd Lautenberg Stevens and hard on this museum, trying to get Dorgan Leahy Thurmond a suitable museum for a man like and the opening of the Jimmy Stewart Exon Levin Wellstone Jimmy Stewart. Museum. And, in so doing, we really do So the motion to lay on the table Jimmy Stewart asked, when the peo- honor a great American, someone who amendment No. 574 to amendment No. ple of Indiana, PA, went to him and takes life in stride and who is just a 420 was rejected. asked to do a museum for him, that it wonderful example of the goodness that Mr. HOLLINGS. Mr. President, I not be anything fancy; that he wanted is in America. move to reconsider the vote. it to be very modest. He did not want I just want to read a couple of quotes Mr. FORD. I move to lay that motion the University of Indiana, PA, to have from Jimmy Stewart that I found to be on the table. a big museum dedicated to him. He amusing and somewhat typical of the The motion to lay on the table was wanted something very simple. man. He said once: agreed to. In fact, he refused to have anyone Jean Harlow had to kiss me, and it was The PRESIDING OFFICER. Is there from Hollywood participate in any of then I knew that I’d never been kissed be- further debate on the amendment? the fundraising. He said he wanted it to fore. By the time we were ready to shoot the Mr. HOLLINGS. I urge adoption of be something from the community and scene, my psychology was all wrinkled. the amendment. not anything that was generated with a On his experience in the military and The PRESIDING OFFICER. The lot of money and a lot of fanfare; that in the war: question is on the adoption of the that would make him feel uncomfort- I always prayed, but I didn’t really pray for amendment. Is there further debate? able. my life or for the lives of other men. I prayed The amendment (No. 574) was agreed So the people of Indiana, PA, have that I wouldn’t make a mistake. to. set about the process of raising the And finally, when he was flying a Mr. HOLLINGS. Mr. President, I money locally and secured the third plane back for the Army, he ran into move to reconsider the vote. floor of an old house, just a very small engine trouble while flying a tour of Mr. FORD. I move to lay that motion amount of space. Mr. Stewart donated duty in 1959, but managed to bring his on the table. the artifacts for the museum, some of plane to a safe landing. He was quoted The motion to lay on the table was his personal memorabilia. And, in fact, after he got out of the plane: he still has several old friends who agreed to. All I could think of was not my personal Mr. WELLSTONE addressed the have been sort of shepherding this safety, but what Senator Margaret Chase Chair. cause along. Smith (who was then chairman of the Senate The PRESIDING OFFICER. The Sen- I am rising today with Senator SPEC- Armed Services Committee) would say if I ator from Minnesota. TER to pay tribute to him and to the crashed such an expensive plane.

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00065 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5338 CONGRESSIONAL RECORD — SENATE April 6, 1995 That is the kind of down-to-earth theater group, debuting that same year The legislative clerk proceeded to goodness and humbleness that Jimmy in a production of ‘‘Goodbye Again.’’ call the roll. Stewart brought to the stage and to After several years of performing in Mr. WELLSTONE. Mr. President, I the screen and to the families of mil- Broadway productions, Jimmy made ask unanimous consent that the order lions and millions of Americans and his film debut in ‘‘The Murder Man’’ in for the quorum call be rescinded. millions around the world. 1935. His legendary film career was The PRESIDING OFFICER. Without He, frankly, deserves a greater trib- launched, and over the next several objection, it is so ordered. ute but, frankly, I cannot think of a years he would bring us such classics f more appropriate tribute to a modest as ‘‘It’s A Wonderful Life,’’ ‘‘Destry EMERGENCY SUPPLEMENTAL man, to a good man, than a modest Rides Again,’’ and ‘‘The Philadelphia APPROPRIATIONS ACT museum in his own hometown. Story.’’ His 1939 ‘‘Mr. Smith Goes to Mr. President, I yield the floor. Washington’’ stands before us all—here The Senate continued with the con- Mr. SPECTER addressed the Chair. in Washington and all throughout our sideration of the bill. The PRESIDING OFFICER. The Sen- country—as an abiding testimony to The PRESIDING OFFICER. The ator from Pennsylvania. the importance of courage and integ- Chair reminds the Senator, the ques- Mr. SPECTER. Mr. President, I am rity. tion before the Senate is amendment pleased to join with my distinguished Jimmy Stewart’s excellence in film, No. 441 in the second degree to amend- colleague, Senator SANTORUM, in com- however, is matched by his sense of ment No. 427. The Senator needs to ask memorating the opening of the mu- duty and patriotism. When his country unanimous consent for that to be set seum in Indiana, PA, on May 20 of this called him to serve in World War II, he aside. year, which will commemorate the 87th answered willingly; he served as a Mr. WELLSTONE. I ask unanimous birthday of a great American. bomber pilot in the U.S. Air Force with consent that that amendment be set James Stewart spoke in the Senate dedication and distinction, earning aside. of the United States to a spellbound several medals and commendations— The PRESIDING OFFICER. Without crowd in the movie ‘‘Mr. Smith Goes to and yet all the while with a sense of objection, it is so ordered. Washington,’’ unlike those assembled modesty and humility that belied the Mr. WELLSTONE. I thank the Chair. here today, who are still conducting star-of-the-screen status he had left be- Mr. President, shortly I think we will some substantial business as we near hind. By the time he returned home to have some agreement on an amend- the completion of this important ap- the States, Mr. Jimmy Stewart had be- ment that I will offer. I thought what propriations bill. come Col. Jimmy Stewart, and over I might do is take advantage of this The PRESIDING OFFICER. The Sen- the course of his continued service in time to briefly summarize this for col- ator will suspend while we get order on the Air Force Reserve in the years leagues. I appreciate the hard work of the floor. after the war he rose to the rank of the majority leader and the bipartisan Could we please have order in the Brigadier General. spirit of this. Senate? His post-war return to the world of Senior citizens face a confusing world I thank the Senator. film brought us some of his greatest of rules, conditions, exceptions, limita- The Senator from Pennsylvania is cinematic achievements, including tions, and even outright scams when recognized. such collaborative efforts with Alfred choosing their supplemental health in- Mr. SPECTER. Mr. President, I feel a Hitchcock as ‘‘Rear Window,’’ ‘‘The surance and grappling with the Medi- particular affinity for James Stewart Man Who Knew Too Much,’’ and care system. Congress recognized the for many reasons. In addition to play- ‘‘Vertigo.’’ In 1950, he brought us ‘‘Har- difficulty seniors face when it estab- ing a U.S. Senator for the movies, he vey,’’ in 1953, ‘‘The Glenn Miller lished a program, which is really a was also the lead actor in ‘‘The Phila- Story,’’ and in 1962, ‘‘The Man Who wonderful program. It is sort of the delphia Story,’’ for which he won an Shot Liberty Valance.’’ And in the best example of grant money going a Academy Award. most gloriously atypical fashion, he long way, and is called the Insurance He is a Pennsylvanian from a small and his wife Gloria remained together Information Counseling and Assistance town, Indiana, PA, which has a very through it all year after year until her Grant Program in OBRA 1990. This was striking statue in his honor. recent passing. a recognition by the Congress that In opening this museum on May 20— Jimmy Stewart’s many contributions Medicare beneficiaries need help, not we talk about it on an appropriations to the world of film, as well as the help through a Washington agency, but bill—it is relevant to know that there steadfast humility of his character and person-to-person help at a local level. is no Federal funding, at least to my the tremendous sacrifice that he made All 50 States have established insur- knowledge, for this museum, which the as he served in behalf of his country, ance counseling and assistance pro- people are offering as a tribute to have endeared him to us all, and the grams with the help of Federal grant James Stewart. occasion of the opening of this museum dollars. As a result, these programs He has really a remarkable career as in his honor is a special one indeed. I provide local volunteer based assist- an actor and as a great patriot, one of am personally grateful for the joy that ance to Medicare beneficiaries. the first movie stars to enter in World he has brought to us in his films and Mr. President, this grant program is War II. He rose from the rank of pri- for the tremendous model of integrity a perfect example of a small program— vate to the rank of colonel. He had 20 and selflessness that he has exhibited it is basically seed money—that has missions over Bremen, Frankfurt, and for so many years, and I am hopeful produced big results. Let me repeat Berlin. He is an all-American hero. He that this modest museum erected in that—a small program that has pro- reminds us of that when he appears fre- his honor will serve to enshrine his duced big results. quently on television and in the reruns contributions and his character for Over 10,000 volunteers have been of ‘‘It’s a Wonderful Life.’’ many generations to come. trained through the program, and over James Stewart is an American suc- These remarks, along with the re- $14 million is saved each year for bene- cess story, and it is entirely appro- marks by my distinguished colleague, ficiaries just by good counseling for priate that he be honored in his home- Senator SANTORUM, as we pay tribute senior citizens who have a difficult town on May 20 of this year. to this very, very distinguished Amer- time. Jimmy Stewart’s achievements on ican and Pennsylvanian. I remember that both my mom and and off the silver screen are well I thank the Chair and yield the floor. dad had Parkinson’s disease and, in the known to us, and Indiana, PA, is indeed The PRESIDING OFFICER. The Sen- latter years of their lives, among their fortunate to claim him as one of its ator from Minnesota has been recog- struggles was the struggle of just wad- own. He was born in Indiana, PA, on nized. ing through some of the paperwork May 20, 1908, and graduated from Mr. WELLSTONE. Mr. President, I that they had to do, and some of the Princeton University in 1932 with a de- suggest the absence of a quorum. forms that they found bewildering. gree in Architecture. Shortly after his The PRESIDING OFFICER. The In my own State of Minnesota, 300 graduation, Jimmy joined a summer clerk will call the roll. volunteers have been trained, and 3,300

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00066 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5339 beneficiaries were assisted in 1994 AMENDMENT NO. 576 TO AMENDMENT NO. 420 The PRESIDING OFFICER. The alone—just in the State of Minnesota— (Purpose: To restore $614,000 proposed for re- clerk will call the roll. and $867,000 was saved on their behalf. scission from the Weir Farm Historical The bill clerk proceeded to call the Site, CT, and $700,000 proposed for rescis- roll. Mr. President, I just simply want to sion from the Jefferson Expansion Memo- make the case that what we are trying Mr. DOLE. Mr. President, I ask unan- rial, IL, offset by rescissions of $700,000 imous consent that the order for the to do here is restore $5.5 million that is from land acquisition for the Wayne Na- part of the proposed rescissions. What tional Forest, OH, and $690,000 from the quorum call be rescinded. we are working on now is what the off- Highway Trust Fund; and to prohibit the The PRESIDING OFFICER. Without set will be. purchase of lands in Washington County objection, it is so ordered. and Lawrence County, OH) Mr. DOLE. Mr. President, as I under- This is $5.5 million to be added on to stand it, the Senator from Nevada is what I think is now being spent, which Mr. GORTON. Mr. President, I send an amendment to the desk and ask for prepared to offer an amendment. I won- is also about $5.5 million, which wil go der if we might agree to a 30-minute a long way. Again, this is not a pro- its immediate consideration. The PRESIDING OFFICER. The time agreement on the amendment? gram centered in Washington, DC. This clerk will report. Mr. BRYAN. Mr. President, if I may is a program that uses a small amount The legislative clerk read as follows: respond, Senator BUMPERS is the pri- of Federal dollars that goes a long, mary sponsor of this. I am trying to long way. We train volunteers in each The Senator from Washington [Mr. GOR- TON] proposes an amendment numbered 576 reach him. He will be here momen- of our States, and I say to my col- to amendment No. 420. tarily. I am certainly agreeable in leagues that I know if you just talk to Mr. GORTON. Mr. President, I ask principle to the time limit to accom- people in your State, especially senior unanimous consent that reading of the modate the leader and move this along, citizens, you will find that there is a amendment be dispensed with. but I am reluctant to agree to a spe- tremendous appreciation for the Insur- The PRESIDING OFFICER. Without cific time until I speak with him. ance Information Counseling and As- objection, it is so ordered. Let me assure the leader I will try to sistance Grant Program. The amendment is as follows: ferret out the distinguished Senator So I am just trying to restore $5.5 On page 19, line 2, strike ‘‘$11,297,000’’ and from Arkansas and will be in commu- million. We are now working on an off- insert: ‘‘$9,983,000’’. nication with the leader as soon as pos- set. As soon as we have that offset— On page 21, line 17, strike $3,020,000’’ and sible. and I think it will be soon—it is my insert: ‘‘$3,720,000’’. ORDER OF PROCEDURE hope that my amendment will have On page 21, line 17, after ‘‘rescinded’’ insert Mr. DOLE. Mr. President, I just want unanimous support. ‘‘and the Chief of the Forest Service shall not exercise any option of purchase or ini- to give my colleagues a status report Mr. President, I also want to say to tiate any new purchases of land, with obli- on where I think we are. I believe we my colleagues, the reason that I have gated or unobligated funds, in Washington are making progress, but I am not cer- been working on this amendment is, at County, Ohio, and Lawrence County, Ohio, tain because I see some additional least for me, one of the better reasons during fiscal year 1995’’. amendments that have been added, ad- to be in the U.S. Senate—the need for On page 44, line 77, insert the following: ditional cost items, add-backs—about this program comes directly from a lot FEDERAL HIGHWAY ADMINISTRATION $60 million. Then the offset has been of senior citizens in the State of Min- FEDERAL AID HIGHWAYS reduced by about $60 million. It is nesota. People are really committed to (HIGHWAY TRUST FUND) about $120 million that has sort of dis- this program. They feel it is not very (RESCISSION) appeared here without our knowledge expensive. I am just trying to get $5.5 Of the available contract authority bal- on this side. million back in here to provide coun- ances under this heading in Public Law 100– We are perfectly willing to discuss seling assistance to seniors all across 17, $690,074 are rescinded. these items or look at offsets that the country, and people tell me it is a Mr. GORTON. Mr. President, this might be offered. huge help to them. amendment includes five items, all of $46 million for Job Corps; I do not I think this is a good example of pub- which apply within the general direc- know where that came from. That lic policy that is not overly central- tion of the Interior Committee por- came out of the blue; never discussed it ized, Mr. President, and not overly tions of this bill. They are at the re- yesterday. TRIO, whatever TRIO is; bureaucratized. It takes place back in quest of individual Senators and have immigration and education; substance our States and local communities, and offsets there for relatively small abuse and mental health—all these constitutes the best example of using a projects. They have offsets. They have things. There is already a great deal of small amount of money to get a lot of been cleared with the majority and mi- money in the bill for all of these pro- volunteers to provide a lot of help to nority parties. grams. senior citizens working their way They include elements in Ohio, Illi- Then the IRS offset disappeared. through these forms, and it is a won- nois—that is one in which Missouri is That was $50 million. Library is $10 derful consumer protection and preven- interested—and Connecticut. million; maybe one or two others. So we have sort of gone backwards on tion program against some of the The PRESIDING OFFICER. The Sen- the deficit reduction and forwards on scams that all too often, unfortu- ator from Arkansas. spending more money. Now, maybe in nately, happen to seniors. Mr. BUMPERS. Has the Senator from Washington sent the amendments to the overall mix of things, because this I suggest the absence of a quorum. I the desk? Are they at the desk? is about a $16 billion rescission pack- hope soon we will have some resolu- Mr. GORTON. They are. age, we should not quarrel about $120 tion. Mr. BUMPERS. Mr. President, those million. But I think there may be prin- The PRESIDING OFFICER. The amendments have been cleared on this ciple involved here, too. clerk will call the roll. side. If we are going to negotiate, then we The legislative clerk proceeded to The PRESIDING OFFICER. If there ought to negotiate and finish this bill, call the roll. be no further debate, the question is on or finish it tomorrow. I am not going Mr. GORTON. Mr. President, I ask agreeing to the amendment. to stay here very much longer tonight unanimous consent that the order for The amendment (No. 576) was agreed if we are not making any more the quorum call be rescinded. to. progress than we are. So we will come Mr. GORTON. Mr. President, I move back tomorrow. But I hope before that The PRESIDING OFFICER. Without to reconsider the vote. decision is made we can come to some objection, it is so ordered. Mr. BUMPERS. I move to lay that conclusion on where these amendments Mr. GORTON. Mr. President I ask motion on the table. came from. Why were there not any unanimous consent that we lay aside The motion to lay on the table was offsets? Why did we lose some $60 mil- the pending amendment if we have one. agreed to. lion on the offset side, savings side? The PRESIDING OFFICER. Without Mr. GORTON. Mr. President, I sug- Then I think we would be prepared to objection, it is so ordered. gest the absence of a quorum. reach some agreement.

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00067 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5340 CONGRESSIONAL RECORD — SENATE April 6, 1995 I know the Senator from Nevada has is to get Members to give us a time Mrs. BOXER. That is quite satisfac- an amendment. I know the Senator agreement. tory. So the agreement is that the Sen- from Minnesota has an amendment. I wonder if we not in a position to get ator from California would have 5 min- And I know there is a managers’ a time agreement on the BRYAN-BUMP- utes, and the Senator from—— amendment. Then I think there was ERS amendment so we can move on to Mr. DOLE. Wherever. one additional amendment. The Sen- some other amendments and so we are not just wasting our time waiting for Mrs. BOXER. Wherever can have 5 ator from Iowa has an amendment on minutes. CPB. I thought those were all of the the Senator from Arkansas to give us amendments. Then we discovered there permission to proceed. Is there another Mr. BRYAN. Is that satisfactory to are four more amendments that have amendment that we can proceed to? the Senator from California? been added back without a vote or any- Mr. BRYAN. I have just been in- Mrs. BOXER. Yes. thing else. Then there were some taken formed that Senator BUMPERS should The PRESIDING OFFICER. The Sen- out of the savings side without a vote be here momentarily. Once he gets ator from Nevada. or anything else. here, I am can assure the leader that we are prepared to proceed and enter Mr. BRYAN. I yield myself 7 min- I just say to my colleagues on the utes, Madam President. other side. We want to be cooperative, into a time agreement. Madam President, this year Ralston- but we cannot do business this way. I Mr. DOLE. Madam President, I sug- Purina will spend $13 million to adver- am prepared to see if we cannot work gest the absence of a quorum. The PRESIDING OFFICER (Mrs. tise its Chex brand cereal, and Brown– something out in the next 30 minutes. HUTCHISON). The clerk will call the Forman Corp. has budgeted $20 million If not, we will recess for the evening roll. to help sell California Cooler, and last and come back sometime tomorrow. The bill clerk proceeded to call the Are we yet in a position to get a time year McDonald’s spent $7.7 million in roll. agreement? We are never going to fin- advertising in Singapore alone. Mr. DOLE. Madam President, I ask The question arises, what do all of ish it unless some people are willing to unanimous consent that the order for give us some time agreements. these companies have in common be- the quorum call be rescinded. sides each having multimillion-dollar Mr. FORD. Will the majority leader The PRESIDING OFFICER. Without advertising budgets? The answer is yield for just a moment? objection, it is so ordered. Mr. DOLE. Sure. Mr. DOLE. Madam President, I ask that they are all recipients of taxpayer Mr. FORD. We are doing our best to unanimous consent that there be 30 funds which is known as the Market Promotion Program. This program was try to put things together. I under- minutes equally divided on the BRYAN- started in 1986 to promote American stand the push. I understand getting BUMPERS amendment. In fact, we are agricultural produce. out in 30 minutes and coming back to- prepared to give Senator BRYAN 20 min- morrow. But then you have a cloture utes as the proponent of the amend- Let me just say a word by way of petition filed. That ripens Saturday. So ment and we will take 10 on this side. background. The amendment which the we are trying to put it together, and Mr. BRYAN. I thank the majority Senator from Arkansas and I have people understand that. The amend- leader. That is agreeable. presently before the floor will zero out ments that we have there, the new en- The PRESIDING OFFICER. Without funding for this program for this year. trants, are the ones that are the objection, it is so ordered. Last year, the appropriators came up amendments that basically have been Mr. BRYAN addressed the Chair. with $85 million for this Market Pro- agreed to. We have been trying to put— The PRESIDING OFFICER. The Sen- motion Program, and in the legislation Mr. DOLE. On your side. ator from Nevada. we are acting on this evening, they Mr. FORD. On our side. We are trying AMENDMENT NO. 461 TO AMENDMENT NO. 420 have increased the appropriation level to put it together where we can get (Purpose: To eliminate funding for the to $110 million. that agreement. It becomes very dif- market promotion program) In my view, this program, which I am ficult. We understand that there is no Mr. BRYAN. Madam President, I going to describe very briefly in a mo- budget out here. We are trying to get have an amendment at the desk, and I ment, is corporate welfare. We have de- rescissions in this year’s allowances. ask for its immediate consideration. bated in this session of the Congress That cuts off a lot of money for people The PRESIDING OFFICER. Without where we can make cuts in the budget. that already started work. It does objection, the pending amendment will We have talked about Women, Infants, make it a little bit difficult. be set aside, and the clerk will report. and Children and school nutrition pro- I wanted to assure the majority lead- The bill clerk read as follows: grams. Everything seems to be on the er that we are working. We are sweat- The Senator from Nevada [Mr. BRYAN], for table except the sacred cow of Amer- ing trying to agree to what he is offer- Mr. BUMPERS, for himself and Mr. BRYAN, ican agriculture, the Market Pro- ing here. I just wanted to assure him. proposes an amendment numbered 461 to motion Program. There was not anyone else out here to amendment No. 420. take it up. Mr. BRYAN. Madam President, I ask Very briefly, Madam President, the Mr. DOLE. I am not quarreling with unanimous consent that reading of the history of this program dates back a the Senator from Kentucky. amendment be dispensed with. number of years. Currently, we are I will give you one example. The Sen- The PRESIDING OFFICER. Without spending in the neighborhood of $3.5 ator from Mississippi, Senator COCH- objection, it is so ordered. billion in America on export pro- RAN, has been following the Women, In- The amendment is as follows: motion—$3.5 billion. Of that sum, $2.2 fants, and Children program, WIC, very Strike lines 3–7 on page 4 of the Committee billion is set aside specifically for agri- substitute, and insert in lieu thereof the fol- cultural promotion. carefully. He is very sensitive to that lowing: ‘‘deleting ‘$85,500,000’ and by insert- program. So we are adding back $35 ing ‘$0.’’’ Now, to put this in context, 63 per- cent of all the money that we are million, which he says we cannot Mr. DASCHLE addressed the Chair. spend, just cannot spend it. But you Mrs. BOXER. Madam President, I spending for export promotion in know we added it back. So I assume it have a parliamentary inquiry, if I America is devoted to agriculture. Ag- will not be spent. So it is not really an might. riculture represents about 10 percent of add-on. I am certain there are other The PRESIDING OFFICER. The Sen- the foreign exports from America. So it programs which are the same. ator from Nevada has the floor. is my view that is a disproportionate, But all I am suggesting is I think we Mr. BRYAN. I yield for the purposes indefensible amount. But let us put are very, very close to getting this of parliamentary inquiry. Will that be that aside for the moment. We can de- done, except for these new add-backs on our time? bate the merits or demerits of spending that I was not aware of, and then some The PRESIDING OFFICER. Yes. The $2.2 billion in agricultural promotion. I of the deductions that have gone on Senator is correct. am talking about the Market Pro- that I was not aware of. So, hopefully, Mr. DOLE. Madam President, the motion Program. This is a program we can resolve those matters very Senator can have 5 minutes; 10 in oppo- which, as I have said, is corporate wel- quickly. And one way to do it quickly sition, and take 5. fare. It is the equivalent of food stamps

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00068 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5341 for the largest corporations in Amer- Secondly, there is no criteria as to The American taxpayers ought not to ica. who is eligible—big company, small be asked to spend their dollars to sup- The way this program works is that company. plement these advertising accounts. advertising budgets of some of the Third, there is no criteria as to how The time for action is now. large corporations in America are sup- long you stay in. Do you get in and Madam President, I yield the floor plemented by taxpayer moneys. Now, stay forever? and reserve the remainder of my time. Conagra, a good company, makes the Now, there has been at least one re- Mrs. BOXER addressed the Chair. kind of products that are household form that has been added that you The PRESIDING OFFICER. The Sen- names in America: Country Pride, have to get out in 5 years. But that is ator from California is recognized. Chung King, Wesson, Butterball, Swift, 5 years from 1994, and that means some Mrs. BOXER. I thank the Chair. Peter Pan, Armour, Banquet, Swiss of these companies have been in this I rise to oppose the amendment by Miss. Since 1986, this company has re- program since its origin. my friend and colleague from Nevada. ceived in taxpayer dollars $826,000. This There is no objective statistical data, We agree on many things. This is one company has, by 1994 financial data, absolutely none, to suggest or to prove on which we do not agree. To zero out $462 million in net profits. The adver- that in fact these dollars have assisted a program like the Market Promotion tising budget is $200 million. The CEO our export promotion program. Madam Program, which we know is working— receives compensation of $1.229 million President, I remind my colleagues that and, when my colleague says there is annually. How in God’s world do we we are spending separate and apart for no statistical proof it is working, I justify, Madam President, spending this one agricultural promotion $2.2 have other reports than he does on that taxpayer dollars to supplement this billion. Now, you will recall agricul- matter. But to cut a program that is program? This is a company that is tural exports represent 10 percent of working to increase our exports, when large; it is successful; and they can ef- the exports from America. We are we are approaching the 21st century fectively handle their own advertising spending 63 percent of a total of $3.5 mark and exports are crucial to our and promotion budget. billion that is being spent by the Fed- economy—and promoting those exports Jack Daniels, a product that is famil- eral Government on export promotion. is certainly crucial to that—I think it iar to many of us, $2.41 million is what There are other brand names that are would be a very radical move. they have received through the Market household products. I think the Amer- We have a budget that is coming up Promotion Program and its immediate ican taxpayer is entitled to be abso- for review. We are going to look at this predecessor, TEA [Targeted Export As- lutely outraged when you look at some program in that budget review. After sistance]. The 1994 financial data: Net of these companies, highly successful we do that—and I am on the Budget profits of $146 million, an advertising companies. I have no quarrel with the Committee—as my friend knows, we budget of $74 million, CEO compensa- companies. My quarrel with them is are going to take a real hard look at tion of $703,000. the fact that American taxpayer dol- all of these things in the various au- Again, Madam President, I suggest lars are subsidizing the corporate gi- thorizing committees and, of course, in that it is indefensible to call upon the ants in America. the Appropriations Committee. But to American taxpayer to subsidize a com- Let me just give you some more in- take this move today to eliminate this pany of this size. formation here. Welch’s, marvelous program, I hope that we will not go McDonald’s. Who among us does not fruit juice, and others, they have re- along with it. enjoy a Big Mac? I know I do. But this ceived since 1986 $5.8 million; Blue Dia- The Marketing Promotion Program is a company that has received, since mond, these are the folks who are in- is an important tool in expanding mar- 1986, $1.6 million, taxpayer dollars, all volved in nuts, $37 million; Dole fresh kets for U.S. agricultural products taxpayer money, to supplement a com- fruit, $9 million. If the Pillsbury from California to many other coun- pany that makes a net profit, accord- Doughboy looks a little chubby to you tries in the world. ing to the 1994 data, of $1.2 billion, that all, it is because the American tax- We talk today about redirecting farm has an advertising budget of nearly payer has been subsidizing his diet spending away from price supports. I $700 million, and CEO compensation of pretty heavily. Pillsbury, it says, re- support that. I think we should move $1.78 million. ceived during this period of time $10 away from price supports. But we also In addition to this, it is not only million. should work toward expanding mar- American companies that receive it. So my point, Madam President, is kets. I think it makes a lot of sense to Here is a list—not a complete list—of that if we are serious about cutting the do that. foreign companies that receive money deficit, if we are serious about making My friend from Nevada says there is from the American taxpayer. the hard choices, the tough cuts, we no statistical data to show that the The point to be made is that at a have to begin with programs like this. Marketing Promotion Program is time when we are making some very Corporate welfare ought to be on the working. I would like to call to his at- tough budget cuts—very tough budget line every bit as much as the other pro- tention a U.S. Department of Agri- cuts—we are talking about the most grams which have been targeted in this culture study. They estimate that each vulnerable in our society who have Congress either for elimination or re- marketing promotion dollar results in been asked to step forward, whether it duction. an increase in agricultural product ex- is the WIC program, or whether it is Let me say this is not a liberal ports of between $2 and $7. school nutrition, or aid to our schools amendment nor a conservative amend- Madam President, that is a very good in terms of drug assistance. ment that my friend, the distinguished return on our money. Indeed, any busi- All of these programs have been senior Senator from Arkansas, and I ness person would say if you put $1 in hotly debated, but for some reason offer. This is an amendment on which and it results in $2 of increased sales these agriculture programs are sac- those who are to the political right in and even up to $7 in increased sales, rosanct. It is time to eliminate these America, the Cato Institute, and those that is a very sound program. programs. First of all, they are inde- who are the moderates in America, the And my colleague talks about large fensible in terms of taxpayer dollars Political Aggressive Policy Institute, beneficiaries. Well, I think he is over- being used to subsidize them. And sec- have taken a look at this program and looking the number of small bene- ondly, there is a question as to its ef- both have reached the same conclusion: ficiaries. We have seen much-needed fectiveness. This is a program that ought to be assistance to commodity groups com- The General Accounting Office has eliminated. prised of small farmers who are unable done an evaluation, and they find a To conclude, Madam President, it is to break into those markets on their number of problems with this program. time to take these companies off the own. And I think that is a very impor- Number one, it is not clear whether the taxpayer dole. They are capable of tant point. taxpayer dollars that are going into fending for themselves. They have mar- I have been to the fertile valleys of the advertising budget simply are velous programs, sophisticated staffs. California. I have met with those small being exchanged for advertising money They pay their people top dollar in farmers. I have seen those family that is already in the corporate budget. terms of their promotion programs. farms. And alone they do not have

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00069 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5342 CONGRESSIONAL RECORD — SENATE April 6, 1995 much power. But they come together Mr. BRYAN. I yield to the Senator several popular items produced in my as cooperatives, and they work to- from Arkansas whatever time he wish- State which we can all easily identify gether as marketing groups, and with es. in grocery stores across the Nation. the Market Promotion Program they Mr. BUMPERS. How much time re- Look down the list of the people who have been successful in breaking into mains for the proponents? benefit from this—143 foreign firms. the export markets. The PRESIDING OFFICER. Ten min- You inquire, what on Earth are we So I think it is fair to say to my utes 31 seconds. doing spending American taxpayers’ friend that the small growers and the Mr. BUMPERS. Madam President, I money subsidizing foreign companies small farmers have benefited greatly. will yield myself such time as I may and promoting their brand loyalty? And that is one of the intentions of the use, which I hope will be less than 10 The answer: They use some American program. minutes. products. So if foreign companies that I also want to point out to my friend The PRESIDING OFFICER. The Sen- use our products want to advertise that last year a task force of the U.S. ator from Arkansas is recognized. their brand and create a brand loyalty, Agricultural Export Development Mr. BUMPERS. First of all, I want to we give them money, too. Council met for 2 days in Leesburg, thank my colleague and very good Virginia. Their function was to review friend, Senator BRYAN, of Nevada, for And, in addition to 143 foreign cor- the role of the Marketing Promotion his unstinting efforts in this. porations, Madam President, over 700 Program and other agricultural pro- In 1993, Congress directed GAO to American corporations participate in grams as part of our overall trade pol- prepare a report on the effectiveness of this program just last year alone. icy. The task force concluded that the the Market Promotion Program. The I am not blaming them. When Uncle purpose of the Marketing Promotion report that came back was less than Sam throws a big trough full of money Program is to ‘‘increase U.S. agricul- satisfactory. Subsequently, for Fiscal out and says, come and get it, if I were tural product exports.’’ It also con- Year 1994, we cut MPP from $147.7 mil- one of these corporations and I had a cluded that the increase in such ex- lion to $100 million. In Fiscal Years foreign presence, as most of them do, I ports helps to ‘‘create and protect U.S. 1991 and 1992, the funding level had would get up there and apply for it, jobs, combat unfair trade practices, been at $200 million. too. improve the U.S. trade balance, and Last year, as Chairman of the Appro- Now, Madam President, I started off improve farm income.’’ priations Subcommittee on Agri- saying that the 1993 GAO report gave And I am directly quoting from that culture and Rural Development, I made us reasons to question the validity of meeting. every effort to eliminate this program. So I would say to my friend, al- this program. More recently, another However, the distinguished Senator GAO report was prepared which I re- though he has not found any docu- from Washington, Mr. GORTON, was mentation that this program works ceived in March of this year, just a successful in reinstating the program, couple of weeks ago. and it helps us and, in fact, is a wise in- both in the committee and on the floor. vestment, there are certainly other Madam President, I do not see how No Senator should vote on this groups that have found that it is a wise we can go through the agony we have amendment until they look at the investment. And it should be sup- been going through in here in trying to March 1995 GAO report. ported. cut spending, particularly in light of Here is what they say, and this is the I would like to say to my friend, in the fact that we are cutting spending meat of the whole argument: closing, that we should look at what for school lunches and for the Corpora- other countries do. Sometimes we do The Foreign Agricultural Service has no tion for Public Broadcasting and for a assurance that marketing promotion funds not look at the fact that other coun- host of other things which, in my opin- are supporting additional promotional ac- tries push for their exports, push for ion, have great merit and go right to tivities rather than simply replacing com- their agricultural products, promote the heart and soul of America. How we pany industry funds. their products, and fight for their prod- can cut spending for them and actually The GAO did not just reach that deci- ucts. And what do we do sometimes? add nearly $25 million to the Market We walk away from a program like this sion without substantial program re- Promotion Program? It was at $85.5 view. They studied it, and they said and let our people twist in the wind. million for Fiscal Year 1995 and it now Madam President, I see my time is there is no evidence that this money is stands, by virtue of the bill now before going for additional promotional ac- up. the Senate, at $110 million. I ask unanimous consent to have 1 tivities that the companies themselves Senator BRYAN and I now propose to would not spend if we torpedoed this additional minute. eliminate the Market Promotion Pro- The PRESIDING OFFICER. Is there program. You cannot find a more com- gram and apply the savings toward def- objection? If not, so ordered. pelling reason to vote for anything Mrs. BOXER. Thank you very much, icit reduction. We are not setting it around here than a GAO report offers Madam President. aside for something else. I would love findings such as this. to take this and put it in the Corpora- I will conclude here. I think that we If we were going to champion a pro- would be making a big mistake, as we tion for Public Broadcasting, but we chose to offer this amendment and gram such as this—and I am not pre- move toward this global marketplace, pared to do that yet—it ought to be for to walk away from the Marketing Pro- apply the $110 million for pure deficit reduction. small business, or companies new to motion Program. Our competitors have market U.S. agricultural products programs that do far more for their ag- I do not believe any member of this body should be able to keep a straight abroad. Not big businesses that have ricultural products than we do. And been in the export business for years. there is a reason. They understand that face and support some of the measures exports are key to any country’s suc- we are voting for when we cannot kill So, Madam President, I hate to use cess as an economic power. a program, like MPP, that is a pure the term corporate welfare because big We do not have a level playing field subsidy for some of the biggest cor- corporations make a contribution to out there. That is clear. So I hope that porations in America and abroad. If we this country, although members of the my friend would agree with me that were solely promoting an industry, an national press have not hesitated to at- there is no level playing field, and industry-wide product or an agricul- tach that label to some results of the other countries are out there pushing tural product, as we do in the Export Market Promotion Program. I am not hard for their products, helping their Enhancement Program, it might make blaming them for standing at the farmers to push exports. This is our a little sense. But we are promoting trough and getting this money. There only program that does that. brand loyalty. With MPP, we are using are 716 domestic and 143 foreign firms I hope we will defeat his amendment. federal funds to promote a large num- that received MPP funds in Fiscal Year I yield the floor at this time. ber of popular retail items that most of 1994, and some of these are among the The PRESIDING OFFICER. The Sen- us know as household words. MPP largest commercial enterprises in the ator from Nevada has 10 minutes 39 funds have been used to promote World. Look down the list. It is shock- seconds remaining. McDonalds’ products, Gallo Wines, and ing.

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00070 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5343 Here is an opportunity to save $110 motion Program,’’ and, indeed, the ated jobs in America, and it has bene- million, of which it can be argued that company did. The company, Newman’s fited every community. the farmers of this nation are only the Own, Paul Newman’s food company. I ask unanimous consent, Madam indirect beneficiaries, if even that; $110 They just got a call which said, ‘‘Look, President, to print a copy of a letter million in genuine deficit reduction, would you like help for your adver- from the Coalition to Promote U.S. Ag- much of which will otherwise go to tising bills? We will reimburse you.’’ ricultural Exports in the RECORD, some of the most affluent companies This was the testimony of A.E. which shows a listing of all of the agri- we know. Hotchner, from Newman’s Own. culture and farm commodity groups in ‘‘We would be delighted to take it.’’ I listened to some Senators on the America that benefit from this pro- As the Senator from Arkansas made other side of the aisle 2 evenings ago gram because they can sell what they the point, number one, it has not been talking about pork, talking about the produce more effectively with this pro- established that it has accomplished Corporation for Public Broadcasting gram’s promotion money in overseas its desired purpose. It is not effective. being an outrageous waste of the tax- markets when they have to combat the Is that not a prime reason to zero it payers’ money. Here is an opportunity unfair and competitive subsidies from out? And secondly, philosophically, I for everybody to quit talking and mak- other countries. ing partisan points. We need to make must say, Madam President, it sticks better use of our limited federal re- in my craw. Companies like this, and There being no objection, the letter sources. We should join hands and good companies—I am not maligning was ordered to be printed in the eliminate this funding and allow these these companies—would get into the RECORD as follows: large companies to float free and easy public trough and get this kind of tax- COALITION TO PROMOTE on their own and spend their own payer dollar when everybody in this U.S. AGRICULTURAL EXPORTS, money. Congress has talked a pretty good talk Washington, DC, March 28, 1995. Madam President, I yield the floor about reducing the deficit. Hon. THAD COCHRAN, U.S. Senate, and reserve the remainder of time that This ought to be a no brainer. This is Washington, DC. the distinguished Senator from Nevada not a difficult decision. This is one in has. which we should say these companies DEAR SENATOR COCHRAN: We are writing to Mr. COCHRAN. What is the situation urge your continued strong support for ought to have the ability to fly on maintaining and strengthening funding for with the time? How much time remains their own. USDA’s export programs, including the Mar- on each side, allocated to individual I yield the floor and reserve any time ket Promotion Program, when the Senate Senators? I may have left. takes up the FY 1995 supplemental appro- The PRESIDING OFFICER. The Sen- The PRESIDING OFFICER. The Sen- priation and rescissions package. ators in opposition have 5 minutes; the ator has 31 seconds left. As approved by the Senate Appropriations proponents have 3 minutes 28 seconds. Mr. COCHRAN. Madam President, I Committee, the package includes $24.5 mil- Mr. COCHRAN. I thank the Chair. yield myself such time as I may con- lion to restore funding for USDA’s Market Mr. BRYAN addressed the Chair. sume. Promotion Program to its authorized level of The PRESIDING OFFICER. The Sen- The PRESIDING OFFICER. The Sen- $110 million. Such an increase, we believe, ator from Nevada. ator from Mississippi is recognized. sends a strong and positive message that Mr. BRYAN. How much time on our Mr. COCHRAN. Madam President, U.S. Policies and programs will remain side is left? first of all, let me say putting the sign equally competitive with those of other The PRESIDING OFFICER. Three of McDonald’s on the floor of the Sen- countries as allowed under the Uruguay Round GATT Agreement. minutes 28 seconds. ate and suggesting this program is de- Mr. BRYAN. Madam President, let signed to subsidize McDonald’s, or any For this reason, we are very concerned over possible amendments to reduce or even me, in the interest of moving this de- other particular firm, is an outrageous bate forward, just express my apprecia- eliminate funding for the entire program distortion of this program. when the package comes to the Senate floor. tion to the distinguished Senator from Let me read to you a memo written Arkansas for his efforts and make just Such action would be devastating to U.S. in- by the Poultry and Export Council terests—especially in the face of continued a couple of brief points, if I may. about the McDonald’s issue. It says in subsidized foreign competition. He made the observation, which is part: absolutely correct, that there are 140 The GATT agreement, it should be empha- Yes, our Council has used MPP to help sized, did not eliminate export subsidies, it foreign companies. Here is a partial list McDonalds sell more American chicken—but only reduced them. The European Union of them right here. Some of the names not to promote McDonalds. The facts are (EU), which outspent the U.S. by 6 to 1 over you may know and some, frankly, I that McDonalds franchises in other countries the last 5 years, will be able to more than have never heard of, but 140. are foreign owned and operated. They are maintain its historical advantage. As export To make the point that the distin- under no obligation to buy U.S. poultry or subsidies are reduced, they and other com- guished Senator from Arkansas was eggs and can readily find lower priced (and petitors can be expected to redirect much of making, from 1986 to 1993, 20 percent— lower quality) product in Thailand, Malaysia those resources into other GATT allowable 20 percent—of the budget for this pro- or elsewhere. programs, including market development But by allowing McDonalds to apply for gram for branded advertising—that is and promotion, to maintain and expand their and receive matching funds under MPP, re- share of the world market. the McDonald’s and the rest of it—goes quires their franchisees to be entirely sup- In fact, the EU and other competitors, in- to foreign companies. Twenty percent, plied with U.S. products. The point is, we are American taxpayer dollars. I do not cluding Australia, Canada and New Zealand, NOT promoting McDonalds, we are getting are moving aggressively with their farmers know how you justify and how you sup- McDonalds to advertise U.S. chicken and and ranchers, and other exporters, in support port that. eggs. And it has been quite effective. In fact, of market development and promotion ef- The other point that I would like to the state of Arkansas has likely benefited forts. According to USDA, total expenditures make is the GAO report that the dis- more from this activity than any other for such activities are estimated at nearly tinguished Senator makes reference to state. $500 million—well above similar expenditures has a very interesting piece of testi- The point is this: The market pro- by the U.S. and are expected to increase. mony, and that is, one of the recipients motion funds are made available al- American agriculture is the most competi- of the program was asked by the audi- most 97 percent to non-profit and re- tive in the world. But, it is not enough to be tors, ‘‘How did you all become involved lated U.S. trade associations, including economically competitive. U.S. policies and in the program?’’ state departments of agriculture. The programs also must be competitive. Many of ‘‘Well,’’ she said, ‘‘we got a phone National Cattlemen’s Association says us supported the Uruguay Round agreement call. They said, ‘Would you like to get these funds have helped them break because of assurances that U.S. policies and into the market in Japan, in Korea, programs would continue to be maintained some money?’’’ and aggressively implemented to the full ex- As the Senator from Arkansas said, I and build market share. tent as allowed under GATT and U.S. law. do not fault the company. We have seen the funds used in other Without this commitment, America’s farm- She said, ‘‘Tell me how.’’ countries for the same purpose, to try ers and ranchers will be at a substantial dis- ‘‘Look, we are passing out money on to overcome barriers to U.S. trade. The advantage in the new global trade environ- this program called the Market Pro- program has helped farmers, it has cre- ment.

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00071 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5344 CONGRESSIONAL RECORD — SENATE April 6, 1995

U.S. agriculture exports, which are pro- AND FOOD EXPORT U.S. LIVESTOCK GENETICS jected to reach as high as $48.5 billion this COUNCIL CORP. EXPORT, INC. year, account for as much as one-third of FARMLAND INDUSTRIES. U.S. MEAT EXPORT total production. In addition to helping FLORIDA CITRUS MUTUAL. FEDERATION. strengthen farm income, exports are vital to FLORIDA CITRUS PACKERS. U.S. WHEAT ASSOCIATES. our nation’s economic well-being as high- FLORIDA DEPARTMENT OF VODKA PRODUCERS OF lighted below: CITRUS. AMERICA. Jobs—Nearly one million Americans have GINSENG BOARD OF WASHINGTON APPLE jobs which are dependent on agriculture ex- WISCONSIN. COMMISSION. ports. A 10 percent increase in exports would HOP GROWERS OF AMERICA. WESTERN PISTACHIO help create as many as 100,000 jobs. INTERNATIONAL AMERICAN ASSOCIATION. Economic Growth—U.S. agriculture ex- SUPERMARKETS CORP. WESTERN U.S. ports help generate approximately $100 bil- INTERNATIONAL APPLE AGRICULTURAL TRADE lion in economic activity and account for $8 INSTITUTE. ASSOCIATION. billion or more in federal tax revenues. INTERNATIONAL DAIRY WINE INSTITUTE. Balance of Payments—U.S. agriculture ex- FOODS ASSOCIATION. ports result in a positive trade balance of Mr. COCHRAN. Madam President, let KENTUCKY DISTILLERS me give one example. The European nearly $20 billion. Without agriculture, the ASSOCIATION. U.S. trade deficit would be even higher. MID-AMERICA Community this year is going to spend Again, such economic benefits can only be INTERNATIONAL AGRI- $89 million just promoting wine exports maintained to the extent that U.S. policies TRADE COUNCIL. and subsidizing wine exports, a lot of and programs remain competitive with those NATIONAL DRY BEAN that into the U.S. This entire program of our foreign competitors. America’s farm- COUNCIL. is $85.5 million, and the sponsors of this ers and ranchers, and others engaged in NATIONAL GRAPE international trade, can not and should not amendment are trying to knock out COOPERATIVE every dollar of it. We are not going to be required to compete alone against the ASSOCIATION, INC. treasuries of foreign governments. NATIONAL ASSOCIATION OF have any funds left to help combat the USDA’s Market Promotion Program has STATE DEPARTMENTS OF unfair and heavily subsidized trading been and continues to be an important ele- AGRICULTURE. practices of foreign countries if you ment in our nation’s trade strategy and in NATIONAL CATTLEMEN’S take away this tool. helping U.S. agriculture build, maintain and ASSN. I am hoping that we can increase the expand export markets in the face of contin- NATIONAL CONFECTIONERS ued subsidized foreign competition. As a funding. It used to be $200 million a ASSN. year, and because of cuts in this and cost-share program, it has been extremely NATIONAL CORN GROWERS cost effective with farmers and ranchers, ASSN. other programs, we had to downsize the along with other participants, required to NATIONAL COUNCIL OF program. It is now only $85.5 million, contribute as much as 50 percent of their FARMER COOPERATIVES. and they are trying to take away that. own resources in order to be eligible. It has NATIONAL COTTON COUNCIL. The President and the administra- also been highly successful by any measure. NATIONAL MILK PRODUCERS tion requested additional funds to help For these reasons, we urge your continued FEDERATION. strong support and that you oppose any companies, to help farm groups and NATIONAL PEANUT COUNCIL State departments of agriculture deal amendment which would reduce or eliminate OF AMERICA. funding for this important program. NATIONAL PORK PRODUCERS with these competitors, to increase Sincerely, COUNCIL. their market share. The administra- AG PROCESSING, INC. NATIONAL POTATO COUNCIL. tion asked for an increase from $85.5 ALASKA SEAFOOD NATIONAL RENDERERS million to $110 million, and this com- MARKETING INSTITUTE. ASSOCIATION. mittee recommended it, the Appropria- AMERICAN FARM BUREAU NATIONAL SUNFLOWER tions Committee agreed to it, and we FEDERATION. ASSOCIATION. ought to approve it. AMERICAN FOREST & PAPER NATIONAL WINE COALITION. ASSN. NORPAC FOODS, INC. I am hoping the Senate will reject AMERIAN HARDWOOD NORTH AMERICAN EXPORT this amendment. I yield whatever time EXPORT COUNCIL. GRAIN ASSOCIATION. remains to the Senator from the State AMERICAN MEAT INSTITUTE. NORTHWEST of Washington. AMERICAN PLYWOOD HORTICULTURAL COUNCIL. The PRESIDING OFFICER. The Sen- ASSOCIATION. OCEAN SPRAY ator from Washington has 1 minute 7 AMERICAN SEED TRADE CRANBERRIES, INC. seconds. ASSOCIATION. PRODUCE MARKETING AMERICAN SHEEP INDUSTRY ASSOCIATION. Mr. LEAHY. Mr. President, I would ASSN. PROTEIN GRAIN PRODUCTS like to say a few words about a pro- AMERICAN SOYBEAN INTERNATIONAL. gram that I have not often praised in ASSOCIATION. SIOUX HONEY ASSOCIATION. the past. The Market Promotion Pro- BLUE DIAMOND GROWERS. SOUTHERN FOREST gram (MPP) is designed to help U.S. CALIFORNIA AVOCADO PRODUCTS ASSN. agricultural producers develop export COMMISSION. SOUTHERN U.S. TRADE markets overseas. CALIFORNIA CANNING PEACH ASSOCIATION. Most people do not associate ASSN. SUN-DIAMOND GROWERS OF CALIFORNIA KIWIFRUIT CALIFORNIA. Vermont with agricultural exports, but COMMISSION. SUNKIST GROWERS, INC. in fact the state exported almost 122 CALIFORNIA PISTACHIO SUN MAID RAISIN GROWERS million agricultural products in 1994. COMMISSION. OF CALIFORNIA. The food products industry is the fast- CALIFORNIA PRUNE BOARD. SUNSWEET PRUNE est growing sector of the state’s econ- CALIFORNIA TABLE GRAPE GROWERS. omy. And profitable value added prod- COMMISSION. THE CATFISH INSTITUTE. ucts make up a good part of that total. CALIFORNIA TOMATO THE POPCORN INSTITUTE. BOARD. TREE FRUIT RESERVE. In my state, the Market Promotion CALIFORNIA WALNUT TREE TOP, INC. Program has fulfilled its potential to COMMISSION. TRI VALLEY GROWERS. help small companies develop a niche CHERRY MARKETING INST., UNITED EGG ASSOCIATION. in foreign markets. Thanks to the pro- INC. UNITED EGG PRODUCERS. gram Mexicans have discovered the CHOCOLATE UNITED FRESH FRUIT AND joys of Vermont maple syrup, Canada MANUFACTURERS VEGETABLE ASSOCIATION. is importing Vermont cheesecakes, ASSOCIATION. USA DRY PEA & LENTIL Bermudans are drinking our cider and DIAMOND WALNUT COUNCIL. GROWERS. USA POULTRY & EGG finding that they like it, and our DOLE FRESH FRUIT EXPORT COUNCIL. friends in the United Kingdom are eat- COMPANY. USA RICE FEDERATION. ing MacIntosh apples they never even EASTERN AGRICULTURAL U.S. FEED GRAINS COUNCIL. knew Vermont produced.

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00072 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5345 Through MPP, the Vermont Depart- billion, 63 percent of all the money The PRESIDING OFFICER. The ment of Agriculture is introducing spent for promotion around—— clerk will call the roll. Vermont companies to new opportuni- The PRESIDING OFFICER. All time The assistant legislative clerk pro- ties in Europe, Canada, Asia and Latin has expired. ceeded to call the roll. America. During the next year, Mr. COCHRAN. Madam President, I Mr. DOLE. Mr. President, I ask unan- Vermont companies will be partici- move to table the amendment offered imous consent that the order for the pating in trade missions and export by Senators BRYAN and BUMPERS and quorum call be rescinded. seminars in Hong Kong, Guangzhou, ask for the yeas and nays. The PRESIDING OFFICER. Without Canada, Brazil and Mexico. These op- The PRESIDING OFFICER. Is there a objection, it is so ordered. portunities would not be available to sufficient second? Mr. DOLE. Mr. President, let me ad- Vermont agriculture without the MPP. There is a sufficient second. vise my colleagues I think we may The yeas and nays were ordered. Unfortunately MPP dollars are not have an agreement here if we can have The PRESIDING OFFICER. Under always as well spent. As Chairman of everybody’s cooperation, and we may the previous order, the question is on the Senate Agriculture Committee, I be able to finish this bill tonight and agreeing to the motion to table amend- held oversight hearings on MPP that we may be able to finish all other busi- ment No. 461 offered by the Senator uncovered a number of problems with ness by voice votes including the de- from Nevada [Mr. BRYAN]. The clerk USDA’s management of the program. fense supplemental, the district board, And, in 1993 I worked for real reform of will call the roll. The assistant legislative clerk called kiddie porn and whatever else might be the program to correct the abuses that remaining. So it would mean that my were reducing MPP to a massive cor- the roll. Mr. LOTT. I announce that the Sen- colleagues will be able to tend to other porate welfare program. business tomorrow either here or some- ator from North Carolina [Mr. HELMS] The Market Promotion Program has where else. come a long way from where it was 3 is necessarily absent. years ago. The Clinton Administration Mr. FORD. I announce that the Sen- AMENDMENT NO. 577 has reformed the program to curb ator from Maryland [Ms. MIKULSKI] is Mr. DOLE. Mr. President, I send an abuses and focus the program where it necessarily absent. amendment to the desk on behalf of should always have been targeted—to- I further announce that, if present myself, Senator DASCHLE, and others, ward small businesses. MPP is far from and voting, the Senator from Maryland and ask for its immediate consider- perfect. We must continue to look for [Ms. MIKULSKI] would vote ‘‘nay’’. ation. ways to put scarce dollars where they The PRESIDING OFFICER (Mr. The PRESIDING OFFICER. Without are needed the most. But eliminating FRIST). Are there any other Senators in objection, the pending amendment will the program is not the way to do it. the Chamber desiring to vote? be laid aside. Mr. GORTON. Madam President, I The result was announced—yeas 61, The clerk will report. find it simply incredible that almost nays 37, as follows: The legislative clerk read as follows: [Rollcall Vote No. 130 Leg.] the only suggestion for the reduction The Senator from Kansas [Mr. DOLE], for in funds that we get from Members YEAS—61 himself and Mr. DASCHLE, proposes an who, by and large, have been voting to Akaka Exon McConnell amendment numbered 577. increase funds for all sorts of income Ashcroft Feinstein Moseley-Braun Baucus Ford Murkowski Mr. DOLE. Mr. President, I ask unan- transfer purposes is to take away funds Bennett Frist Murray imous consent that reading of the that help the United States sell its ag- Biden Gorton Nunn amendment be dispensed with. ricultural products abroad. Bond Gramm Packwood Boxer Grams The PRESIDING OFFICER. Without This program does more to benefit Pressler objection, it is so ordered. Breaux Grassley Pryor hard-working American farmers and Burns Hatch Robb (The amendment will be printed in Campbell Hatfield food processors than almost any other Shelby today’s RECORD under ‘‘Amendments program we have. Coats Heflin Cochran Hutchison Simon Submitted.’’) It helps to deal with a terrible deficit Cohen Inouye Simpson Mr. DOLE. Mr. President, I ask unan- Snowe in our trade balance, the largest this Conrad Jeffords imous consent there be 30 minutes for country has ever had. It is a more posi- Craig Johnston Specter Stevens debate on the Dole amendment to be tive impact on what we do to produce D’Amato Kassebaum Daschle Kempthorne Thomas equally divided in the usual form and money for our farmers, for the people DeWine Kerrey Thurmond that no amendments be in order during who work for them, for those who proc- Dole Kohl Warner the pendency of the Dole-Daschle ess food, than practically any other Domenici Leahy Wellstone Dorgan Lott amendment. program. The PRESIDING OFFICER. Is there By all means, we should not turn NAYS—37 objection? down the opportunity to help our econ- Abraham Graham McCain Mr. HARKIN addressed the Chair. omy become more and more competi- Bingaman Gregg Moynihan tive. We should reject this amendment. Bradley Harkin Nickles Mr. DOLE. I am coming to the Sen- Brown Hollings Pell ator’s. Mr. COCHRAN. Madam President, is Bryan Inhofe Reid The PRESIDING OFFICER. Without there time left in opposition to the Bumpers Kennedy Rockefeller amendment? Byrd Kerry Roth objection, it is so ordered. Chafee Kyl Santorum Mr. DOLE. I further ask that the fol- The PRESIDING OFFICER. All time Coverdell Lautenberg Sarbanes has expired. The Senator from Nevada Dodd Levin lowing amendments be the only re- Smith Faircloth Lieberman maining amendments in order and lim- has 30 seconds remaining. Thompson Mr. BRYAN. Thank you, Madam Feingold Lugar ited to the following time restraints Glenn Mack President. where noted, all in the usual form. And Let me just say in response to my NOT VOTING—2 I have been advised by Senator LEVIN friends on the other side of this propo- Helms Mikulski he will not offer the one amendment— sition, I am not arguing with the dis- So the motion to lay on the table the he does have an amendment that has tinguished Senator from Arkansas that amendment (No. 461) was agreed to. been worked out; an amendment by no agricultural promotion is defensible Mr. COCHRAN. Mr. President, I move Senator WELLSTONE relating to seniors; or justified. to reconsider the vote by which the a managers’ amendment, a Hatfield/ We are spending $2.2 billion—$2.2 bil- motion was agreed to. Byrd amendment; and a Harkin lion—on agriculture promotion for ex- Mrs. BOXER. I move to lay that mo- handback for CPB, and on that there be ports aside from this program. What I tion on the table. an up-or-down vote. am saying is this particular program The motion to lay on the table was The PRESIDING OFFICER. Without that subsidizes the wealthiest corpora- agreed to. objection, it is so ordered. tions in America cannot be defended, Mr. DOLE. Mr. President, I suggest Mr. JEFFORDS. Reserving the right particularly when we are spending $12.2 the absence of a quorum. to object, Mr. President.

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00073 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5346 CONGRESSIONAL RECORD — SENATE April 6, 1995 Mr. DOLE. Excuse me. I did not give So I am happy to yield to the Sen- tion. But how far do we go, in a very times on those amendments: On Har- ator from New York. important but a very risky under- kin, there will be 20 minutes equally Mr. D’AMATO addressed the Chair. taking; how far do we go before we say, divided; on the Wellstone amendment, The PRESIDING OFFICER. The Sen- ‘‘Wait, this may not be working’’? Do 20 minutes equally divided; and the ator from New York. we leave this just in the prerogative of Hatfield/Byrd managers’ amendment, Mr. D’AMATO. Mr. President, I the Secretary of the Treasury to deter- 15 minutes equally divided. thank the majority leader. mine if it is working, or should we not Mr. HARKIN. Reserving the right to I recognize the situation and the di- at the very least have that informa- object. lemma that the Senate finds itself in in tion? Mr. JEFFORDS. Mr. President, re- confronting the necessity of moving Mr. President, I tell the majority serving the right to object, I have an forward with this bill. I recognize that leader that I will move forward by way amendment for which I do not need we are moving up against a time dead- of legislation, if necessary, to at least more than 10 minutes which I intend to line. obtain that information, obtain the offer. Mr. President, I am going to say now facts. And, in addition thereto, if we Mr. HARKIN. Mr. President, reserv- that I am not going to pursue this find, and if I am not convinced, that ing the right to object, I ask the distin- amendment for two reasons. Number the program is working or that there is guished majority leader, on my amend- one, I do not want to be accused of a chance of us recovering moneys, I ment, I had initially asked for 20 min- scuttling a very difficult agreement will then move by legislative action utes on our side. I do not know how that has been worked out, where other again to accomplish the things that I much time the other side will take. I of my colleagues have stepped back, have said before on this floor and to need 20 minutes because I have at least and insist that I be the only one that cut off further dollars. two other people who want to speak on goes forward. By the time we come back, there is it. If I can just have 20 minutes, that is Having said that, I want to indicate no doubt in my mind that we will have fine. very clearly that this Senator is deeply committed directly from the United Mr. DOLE. Twenty minutes and we troubled by the manner in which we States probably in the area of $10 bil- will take 10 minutes. are discharging our constitutional re- lion or more. That is a lot of money. Mr. HARKIN. Whatever. The amend- sponsibility as it relates to Mexico and We are working on a rescission package ment is not only CPB. It is also an add- the attempt of this administration to to try to save money. We certainly, at back for the senior community ap- help them. pointment program. And I want to help. But this Senator the very least, are entitled to know Mr. DOLE. What is the total of the wants to see to it that the dollars that that those dollars are being used wise- amendment? we are committing are used appro- ly, appropriately, and that there is Mr. HARKIN. The total of the priately. I think at the very least we some chance of success, a bona fide amendment is $40 million. are entitled to the kind of account- chance of success. That is what trou- Mr. DOLE. And it is offset? ability that we would be if it were a bles this Senator. Mr. HARKIN. It is offset by the cut foreign aid program and even more So with that statement, I will say in Radio Free Europe. Some of the since it is a clear circumvention of the that I do want to accommodate my col- money goes to get CPB back up to the manner in which foreign loans should leagues, but I also want them to know inflation increase, and then some of it be made. that there may be more legislation goes for the senior community appoint- To that extent, I suggest that the moving through this Senate, and I re- ment program. The Senator did not second-degree amendment which was serve the right, as all of us have that mention it, and I wanted to make sure offered by Senator MURKOWSKI is abso- right, to move forward with this initia- that it was in there. lutely, totally appropriate; that the tive. It will be at a time when there is Mr. DOLE. So that will be 20 and 10, legislative initiatives undertaken by legislation that may be critical, that 20 minutes for Senator HARKIN and 10 Congressman Cox should be, without the administration needs or that peo- minutes in opposition. question, something that is carried out ple are interested in. I will not move on Mr. HARKIN. That is fine. My con- a piece of legislation that is not crit- cern, when the unanimous consent was in terms of making information avail- able to us as it relates to what pre- ical and therefore be denied bringing read, was that when I sent my amend- this matter to a vote. ment to the desk and it was also for ceded the crisis in Mexico before it be- At some point in time, it is my belief somebody in the senior community ap- came public and the collapse of the that this Congress and this Senate pointment program, it would not be Mexican economy. What was our role should be required to vote as to wheth- pulled out of order on this type of and what has been our role since then? er or not we should continue this pro- agreement. And what do we anticipate as we move The PRESIDING OFFICER. Is there along? gram. objection? Again, I will press this matter. I do Mr. President, I ask unanimous con- Mr. JEFFORDS. Reserving the right not claim that the legislative initia- sent to withdraw the pending amend- to object, I am not sure where I stand, tive that I have undertaken should be ment, amendment No. 427. Mr. President. adopted in its present form, but I do The PRESIDING OFFICER. The Mr. JEFFORDS. Mr. President, I believe that when we are talking about amendment is withdrawn. withdraw my objection. sending billions of dollars, taxpayers’ The amendment (No. 427) was with- The PRESIDING OFFICER. Without dollars, to a program that may or may drawn. objection, it is so ordered. not work—and the administration has Mr. DOLE addressed the Chair. Mr. DOLE. Mr. President, I further testified before the Banking Com- ask unanimous consent that, following mittee that it may not work—that we The PRESIDING OFFICER. The ma- the disposition of the above listed have an absolute obligation to know jority leader. amendments, the Senate proceed to what is taking place and how it is ad- Mr. DOLE. Mr. President, I think we vote on the Hatfield substitute, to be ministered, at the very least. have the agreement. followed by third reading and final pas- I do not think that those who say I think I did ask unanimous consent sage of H.R. 1158, as amended, all with- this is without doubt within the ad- that following the disposition of the out any intervention action or debate. ministration’s prerogative would deny above-listed amendments, the Senate But before the Chair rules on that, I us that. I believe that is giving tremen- proceed to vote on the Hatfield sub- think it is best to have a colloquy at dous latitude. stitute, to be followed by third reading this time with the distinguished Sen- When we come back from our recess, and final passage of H.R. 1158, as ator from New York with reference to undoubtedly billions of dollars more of amended, without any intervening ac- the amendment on Mexico, which American moneys will have been tion or debate. would be critical to winding up this placed into this program. The question The PRESIDING OFFICER. Is there package this evening, as I understand as to whether or not we will ever have objection? Without objection, it is so from the Democratic leader and others. repayment is a very legitimate ques- ordered.

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00074 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5347 Mr. DOLE. Mr. President, I want to long day. There have been a lot of peo- The $2 million rescission in the Na- say to the Senator from New York, I ple who have been responsible for tional Sea Grant Research Program think he has raised a very important bringing us to this point, and I want to will limit Federal, State, and univer- issue, and it is not going to go away. publicly commend them and thank sity research to help stop the spread of Sooner or later, Congress is going to them for that effort. the zerbra mussel, and other non-indig- have to become involved, because we We still have some very big decisions enous species. are spending taxpayers’ money. I think to make on amendments that are going Fifteen States’ programs would like- it is safe to say that Speaker GINGRICH to be offered. I appreciate everyone’s ly continue efforts to educate natural and I indicated early on that we want- willingness to accommodate a debate resource managers as to the dev- ed to support the administration, the on each one of these issues, but I do astating impacts of zebra mussels if President. That is what we said at that think that we are getting close, and I this $2 million is restored. They will time, and that is what I would say at think that it is an agreement we can study these pests’ life cycles to deter- this time, but with one caveat: We all support. Obviously, people are going mine when and where they are most should know precisely what is hap- to come down on either side of the vulnerable to pesticides or nonchem- pening. And I think that is the thrust issue when we come to final passage, ical control. The States that received of the Senator’s amendment. It is an but I think this accommodates Sen- funds in fiscal year 1994 besides the important amendment. ators in a way that allows us to get to Great Lakes States include California, We have a responsibility. We are that point. Louisiana, Massachusetts, Maryland, talking about $5 million here in one So I think it is a good agreement, New Jersey, Delaware, Texas, Con- amendment we cannot agree on—$5 and I hope that we can work through necticut, and Florida. million. And you are talking about $5 the amendments and get to final pas- This is not just a zebra mussels billion. So I just suggest it is impor- sage sometime tonight. I yield the amendment. Sea Grant’s Program is tant, and I hope that we do not lose floor. crucial. We need to keep cataloging the sight of that. Mr. LEVIN addressed the Chair. ways nuisance species reproduce. There I thank the Senator for withdrawing The PRESIDING OFFICER. The Sen- are over 130 nonindigenous species in the amendment. That will permit us to ator from Michigan. this country, two-thirds of which en- complete action on this bill, hopefully, AMENDMENT NO. 578 TO AMENDMENT NO. 420 tered the country since 1959, when the tonight or tomorrow at some hour. I (Purpose: To restore funds to the National St. Lawrence Seaway was opened. would like to do it tonight. Sea Grant’s program on research to con- Some of my colleagues may be famil- I ask unanimous consent that all the trol and prevent the spread of aquatic non- iar with some of the most economi- votes that we order be stacked, in ef- indigenous species) cally damaging exotic species that in- fect, so we could have all the votes and Mr. LEVIN. Mr. President, I ask dustries, municipal sewerage and then final passage, and then see if we unanimous consent to set aside the drinking water facilities, boaters, cannot get some agreement to do the pending amendment and send an farmers, et cetera have been forced to rest of our business by voice vote, if amendment to the desk which has been confront besides the zebra mussel, such there is no objection to that. cleared by both sides, reference to as the water milfoil, the water flea, The PRESIDING OFFICER. Is there which was made by the majority leader purple loosestrife, the round Gobi, and objection? Without objection, it is so in the UC. the ruffe. ordered. The PRESIDING OFFICER. Without But, the zebra mussel invasion pro- Mr. DOLE. I also ask unanimous con- objection, it is so ordered. The clerk vides the most compelling reason to sent that, if there is more than one will report. support research that will enable us to vote, any succeeding votes be limited The legislative clerk read as follows: develop control methods and prevent to 10 minutes. The Senator from Michigan [Mr. LEVIN], infestation. The mussel has now spread The PRESIDING OFFICER. Without for himself, Mr. ABRAHAM, Mr. SPECTER, Mr. to 20 States and continues to spread. objection, it is so ordered. KOHL, Mr. GLENN, Mr. SANTORUM, Mr. SIMON, Between July and September 1994, mus- Mr. DOLE. Mr. President, I would and Ms. MOSELEY-BRAUN, proposes an amend- sel densities on the southern Mis- also ask my colleagues, even though ment numbered 578 to amendment No. 420. sissippi River increased from 10/sq they have 20 minutes or 15 minutes, Mr. LEVIN. Mr. President, I ask meter to 40,000/sq meter. different time allotments, that I think unanimous consent that the reading of A relatively new pest, the ruffe, is we could save some time. the amendment be dispensed with. spreading throughout the far reaches of I want to thank the distinguished The PRESIDING OFFICER. Without Lake Superior threatening commercial Democratic leader for his cooperation objection, it is so ordered. and recreational fisheries, and is head- throughout the day and throughout The amendment is as follows: ing toward Lake Erie’s $800 plus mil- yesterday, and throughout part of the On page 9, line 16, strike ‘‘$13,000,000’’ and lion perch and walleye fishery. night last night. insert ‘‘$15,000,000’’. The sea grant performs high-quality, I believe we are within striking dis- On page 9, line 12, strike ‘‘$37,600,000’’ and peer-reviewed science. It does not du- tance of concluding a bill that now to- insert ‘‘$35,600,000’’. plicate other nonindigenous programs tals about $16 billion in rescissions—$16 Mr. LEVIN. Mr. President, I am send- conducted by other agencies. billion. This bill will go to conference ing this to the desk on behalf of my- My bipartisan amendment would and some of the issues that some peo- self, Senator ABRAHAM, Senator SPEC- take an additional $2 million out of ple have concerns about will be raised TER, Senator GLENN, Senator KOHL, NOAA’s construction account and re- again in the conference. Regardless of Senator SANTORUM, Senator SIMON, and store it to NOAA’s National Sea Grant what your concern may be, if you Senator MOSELEY-BRAUN. Program for research on nonindigenous think it is too much or too little, it This amendment will restore $2 mil- species. can be raised in the conference. lion to the research program on the Mr. GLENN. Mr. President, I rise to So I thank all of my colleagues for zebra mussel, which is a pest which has commend my colleagues from the their cooperation. I think we have infested the Great Lakes and is now Great Lakes region, on their efforts to made progress. I can tell you that the spreading through the tributaries from restore needed funding for Sea Grant’s end is in sight. and to the Great Lakes. critical research on aquatic nuisance I yield the floor. It is a very important program for species. Mr. DASCHLE addressed the Chair. the fresh water supply of this country. As the cochair of the Senate Great The PRESIDING OFFICER. The mi- The reduction of $2 million will hurt Lakes Task Force, I have worked hard nority leader. the research program. Many, many to protect and restore the economic Mr. DASCHLE. Mr. President, let me States benefit by it, and the offset for and environmental health of the Great also thank all of our colleagues on both the $2 million restoration comes from Lakes. This aquatic ecosystem is home sides of the aisle for their cooperation the NOAA construction money. to nearly 30 million Americans who de- in the effort that has been made to I understand that this has been ac- pend on these waters as avenues of bring us to this point. It has been a cepted on both sides. commerce, as sources of drinking

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00075 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5348 CONGRESSIONAL RECORD — SENATE April 6, 1995 water, and as recreational playgrounds NEDY, proposes an amendment numbered 579 I will also point out that this amend- attracting millions of visitors. Under to amendment No. 420. ment, plus the $14 million that is in the the Nonindigenous Aquatic Nuisance Mr. HARKIN. Mr. President, I ask agreement, provides for a $54 million Prevention and Control Act (P.L. 101– unanimous consent that the reading of total cut in Radio Free Europe. The 646) I sponsored in 1990, Sea Grant is the amendment be dispensed with. Dole substitute, offered by the major- authorized to conduct critical exotic The PRESIDING OFFICER. Without ity leader, had a $98 million cut in species research which allows the objection, it is so ordered. Radio Free Europe. So I am not even Great Lakes to provide such a wide The amendment is as follows: advocating cutting as much from Radio range of benefits. Insert after page 7, line 18: Free Europe as the Senator from Kan- Exotic species cause severe economic INTERNATIONAL BROADCASTING OPERATIONS sas did in his first proposal. He pro- and ecological damage along our Na- (RESCISSION) posed to cut $98 million out of it. We tion’s marine coasts and freshwater Of the funds made available under this are only proposing to cut $54 million. systems. In a surprisingly short time, heading to the board for international broad- casting in Public Law 103–317, $40,500,000 are Even with this cut in Radio Free Eu- the zebra mussel has spread to 20 rope, Radio Free Europe’s funding level States taking a heavy toll on biodiver- rescinded. On page 27, delete lines 4 through 12. will be $175 million. That is $100 mil- sity of hosting systems and forcing pri- On page 36, line 10, strike ‘‘$26,360,000’’ and lion more than the $75 million the ad- vate and municipal waterworks and insert ‘‘$17,791,000’’. ministration requested for this pro- powerplants to withstand increased On page 36, line 12, strike ‘‘$29,360,000’’ and gram in fiscal year 1996. and costly maintenance efforts. How- insert ‘‘$11,965,000’’. I point out further that President ever, Sea Grant aquatic nuisance spe- Mr. HARKIN. Mr. President, I under- Clinton, in February of 1993, proposed cies research is not exclusively dedi- stand I have 20 minutes; is that cor- eliminating Radio Free Europe. He said cated to the zebra mussel. The restora- rect? the cold war is over; there is no use to tion of $2.0 million for Sea Grant’s The PRESIDING OFFICER. That is keep funding RFE. nonindigeous species funding continues correct. research on the serious Eurasian ruffe Mr. HARKIN. I yield myself 10 min- Opponents of the Corporation for problem in Lake Superior which utes. Public Broadcasting are working to threatens the region’s $4 billion fishing Mr. President, this amendment, of- phase out public broadcasting at home industry. fered on behalf of myself, Senator HOL- and are willing to sustain that same The increasing number of harmful LINGS, Senator LEAHY, Senator REID, service in Europe. Make no mistake nonindigenous species and their cumu- and Senator KENNEDY, would rescind about it, this is public broadcasting in lative impacts continue to create grow- $40.5 million from the funding for the Eastern Europe; it is paid for by U.S. ing economic and environmental bur- organization known as Radio Free Eu- taxpayers. But there are existing alter- dens for the United States. Sea Grants rope. Of that money, we would take $26 natives available to Eastern Europeans research and outreach efforts com- million and put it into the Corporation and Russians—CNN, FM radio, AM plement other Federal programs and for Public Broadcasting in America, radio, in addition to the Voice of Amer- enable us to adopt a national approach and the other $14 million would go for ica. toward stewardship of our natural re- the Senior Community Service Em- Mr. President, let me recite briefly sources. Reducing funding for the crit- ployment Program. the history of Radio Free Europe. It ical aquatic nuisance species research Again, Mr. President, I point out that started 40 years ago as a covert oper- conducted by Sea Grant will curtail on- adding this money, this $26 million to ation of the CIA broadcasting short- going research which benefits the the Corporation for Public Broad- wave signals behind the Iron Curtain. Great Lakes and the entire Nation. casting, still leaves the CPB at $29 mil- All three of these—Radio Free Europe, Mr. GORTON addressed the Chair. lion less than what was appropriated Radio Liberty, and Voice of America— The PRESIDING OFFICER. The Sen- last year. This does not even bring it played a tremendous role in bringing ator from Washington. up to the fully appropriated level. It news and information to people in Mr. GORTON. Mr. President, the would allow for only an inflationary in- Communist countries. They all played Senator from Michigan is correct. This crease for CPB. a critical role in fighting and winning amendment has been accepted on this But I want to point out very em- the cold war. side. phatically that this amendment does Mr. LEVIN. I thank the Senator from I would never have suggested this not even bring the Corporation for kind of amendment if the cold war Washington. Public Broadcasting up to what was Mr. President, I ask unanimous con- were still on, but the cold war is over. funded last year. And yet our overburdened American sent that Senator FEINGOLD be added It does take $40 million out of Radio taxpayers are still paying more than as a cosponsor of the amendment. Free Europe, and I think it reflects an $200 million for Radio Free Europe—I The PRESIDING OFFICER. Without important historical reality; namely, have dubbed it ‘‘Radio Expensive Eu- objection, it is so ordered. the cold war is over, and it is time we rope’’; it is not Radio Free Europe, it is The question is on agreeing to the take some of these old relics of the ‘‘Radio Expensive Europe’’—plus an- amendment. cold war and we start defunding them. The amendment (No. 578) was agreed other $100 million for the Voice of Mr. President, right now we have a to. America and another $2 million for the lot of people who are opposing Federal Mr. LEVIN. Mr. President, I move to administrative costs for the Board of funding for public radio and television reconsider the vote by which the International Broadcasting. in the United States. The same oppo- amendment was agreed to. Mr. President, you will hear argu- Mr. GORTON. I move to lay that mo- nents who rail against U.S. contribu- tions to public radio for Americans are ments against my amendment. They tion on the table. will claim that RFE provides inde- The motion to lay on the table was willing to write, without question, a pendent broadcasting, and therefore agreed to. check of almost equal amount to fund performs a different role from the Mr. HARKIN addressed the Chair. public radio for Europeans to fight a The PRESIDING OFFICER. The Sen- war against an enemy that no longer Voice of America. Who is kidding ator from Iowa. exists. In short, sending U.S. taxpayer whom? Radio Free Europe, created by the Central Intelligence Agency—the AMENDMENT NO. 579 TO AMENDMENT NO. 420 dollars abroad to fund public radio in board that runs it is appointed by the Mr. HARKIN. Mr. President, I have Europe is OK, but using U.S. tax dol- President of the United States. an amendment at the desk, and I ask lars to finance public radio and TV for for its immediate consideration. Americans at home is not. Second, Radio Free Europe continues The PRESIDING OFFICER. The Our amendment attempts to correct to be funded to this day solely by U.S. clerk will report. that injustice by restoring federally fi- taxpayers. Why? Why not the Ger- The legislative clerk read as follows: nanced public radio for Americans and mans? Their mark, as we know lately, The Senator from Iowa [Mr. HARKIN], for cutting a little from U.S. financed pub- is a lot better than the U.S. dollar. himself, Mr. LEAHY, Mr. REID, and Mr. KEN- lic radio for Europeans. Why do the Germans not come in and

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00076 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5349 pay a little bit? Why do they not pick tional nonprofit organizations, such as the of H.R. 1158, the 1995 Rescission bill. This up the tab? Or how about the French or National Council of Senior Citizens (NCSC) amendment is expected to come before the the Norwegians or the Swedes or the and the American Association of Retired full Senate today and your support would be Poles or the Italians? Why do they not Persons, to run them. About 70 percent of appreciated by seniors and families through- the enrollees are women, 56 percent are 65 or out the nation. come in and contribute? older, a third have less than a high school No, it is our U.S. taxpayers footing This amendment would restore funding to education and about 40 percent are members many programs important to the elderly, the whole bill for Radio Free Europe. of a minority group—one of the highest rates children and our communities, including the Quite frankly, Mr. President, I want to of minority participation for any domestic Senior Community Service Employment make my feelings known. I think Radio program. Program (SCSEP), the Child Care Block Free Europe ought to be zeroed out. Chris Oladipo, who runs the NCSC program Grant, the Safe and Drug Free Schools Pro- But I am not proposing to do that in in Prince George’s County, says it is particu- gram, Drug Courts and the Corporation for this amendment. I am still leaving $175 larly helpful as a bridge for older immi- Public Broadcasting. million for RFE for Fiscal 1995. I think grants who have trouble earning a living be- The Council is particularly concerned cause of language barriers. we ought to come back and zero it out, about the $14.4 million rescinded under H.R. While most employment programs operate 1158 from the Senior Community Service maybe next year, but we ought to use on the premise that they get more for their some of this money to at least provide Employment Program. The SCSEP designs money by concentrating on young people, needed community service programs and an inflationary increase for public ‘‘we look for the oldest and poorest people provides subsidized training and part-time broadcasting here at home, and restore we can find,’’ says Andrea Wooten, president employment which maximizes the produc- funding for the senior citizen commu- of Green Thumb Inc., which trains 18,000 peo- tive contributions of older persons in these nity employment program. ple a year. community services. Senator, please note The programs have also played an impor- Mr. President, let me just talk a lit- that the $14.4 million rescinded under H.R. tant role in retraining displaced workers, tle bit more about the Senior Commu- 1158 would result in the loss of jobs for al- says Donald Davis, who directs the programs most 3,000 low-income senior citizens now nity Service Employment Program. As run by the National Council on Aging. He staffing community service programs na- I said, the amendment I have offered tells the story of a professional man in San tionwide under Title V of the Older Ameri- takes $26 million for the Corporation Francisco who had looked for a job for eight cans Act. for Public Broadcasting. It still leaves months after being laid off. it $29 million less than what we appro- ‘‘We worked with him for three months. He In a January 27 article in The Washington Post, which I have attached, Judy Mann said priated last year. And it takes $14 mil- is now heading up a multilingual program and making $30,000 a year,’’ Davis says. it best when she said, ‘‘Far from a candidate lion and puts it into senior community for dismantling, this is one Federal program service employment, the only work ‘‘Every study that’s been done of this pro- gram says it is one of the most effective ever that everyone should look to as a model of force program designed to help seniors, developed by the federal government.’’ what works.’’ Every study has shown the elderly, get jobs in community service. In the three decades since the senior com- SCSEP to be one of the most effective pro- I suspect all Members have gone to a munity service and job training program has grams ever developed by the Federal govern- senior citizens center providing meal evolved, it has enjoyed strong bipartisan ment. programs, and we know how much good support. But it is in danger of getting caught Again, please do right by the elderly, this program does. up in the current rush to decentralize wel- young and our communities by supporting I ask unanimous consent to have fare programs and to fund them through Senator Harkin’s amendment restoring fund- ing to these critical programs. Short of the printed in the RECORD an article from block grants to states, where various pro- changes included in Senator Harkin’s amend- the Washington Post of January 27, grams are having to compete with each other for fewer resources. ment, the Rescission bill does not merit sup- 1995, titled ‘‘A Federal Program That David Affeldt, the former chief counsel port. Does It Right,’’ and I also ask unani- with the U.S. Senate Committee on Aging Sincerely, mous consent to insert a letter from who developed legislation creating the pro- LAWRENCE T. SMEDLEY, the National Council of Senior Citizens gram, says it came about because block Executive Director. in support of this program. grant programs historically have not served Mr. HARKIN. Mr. President, how older workers well. He predicts that, at a There being no objection, the mate- much time is remaining? rial was ordered to be printed in the minimum, 15,000 to 20,000 older workers served each year ‘‘will get their pink slips’’ The PRESIDING OFFICER. There RECORD, as follows: if the program is funded through block are 2 minutes of the 10 minutes allot- [From the Washington Post, Jan. 27, 1995] grants. ted yourself and another 10. A FEDERAL PROGRAM THAT DOES IT RIGHT ‘‘One of the main problems that older Mr. HARKIN. I yield 2 minutes or (By Judy Mann) workers have is that they are not as visible whatever more he needs to the Senator Let’s say you run a small company and you or outspoken about their needs. . . .The pro- need a filing clerk. A 67-year-old Latino gram has given these people hope and an op- from Vermont. woman applies for the job and so does a portunity to help themselves while helping Mr. LEAHY. Mr. President, the newly minted high school graduate. Which others, rather than be dependent upon public amendment Senator HARKIN and I are one would you hire? assistance.’’ offering would partially restore cuts to Precisely. And that’s one of the reasons be- The Senior Community Service Program, public radio and television by reducing also known as Title V of the Older Ameri- hind the Senior Company Service Program, the appropriation for Radio Free Eu- an organization that trains low-income peo- cans Act, costs $410 million a year and is ple 55 and older and helps them find jobs. supposed to serve about 67,000 people. ‘‘We rope. Participants usually receive minimum wage actually serve over 100,000 people because Radio Free Europe [RFE] is a World for 20 hours of training, and then they go to we’ve used this program to get people up and War II program, designed to broadcast work, often in community service jobs that out,’’ ‘‘says Sheila Manheimer, of the NCSC. news to people living behind the Iron help the elderly. Those subsidized jobs often Half the members of the U.S. House of Rep- Curtain. serve as bridges into permanent positions. resentatives have been elected since 1992, and By last June, the program had placed 27.3 many are riding a streamroller called ‘‘man- News flash—The Iron Curtain has percent of its people in unsubsidized jobs date for change’’ without having a very good fallen. such as bookkeeping in banks, driving deliv- idea of the territory they are rolling over. The Cold War is over. While the rest ery vehicles, tutoring in schools and working The Senior Community Service Program of the world is moving ahead with sat- as health aides. That is a higher rate than serves the poorest of the elderly while pro- ellite communication and other tech- the 25 percent job placement rate in Califor- viding a wide variety of services that make nological advances, we are still using our communities livable. Far from a can- nia’s program for its welfare parents. U.S. tax dollars to support broadcasts The Senior Community Service Program is didate for dismantling, this is one federal the backbone for most meals-on-wheels pro- program that everyone should look to as a by shortwave radio. grams and for many day-care centers in model of what works. I find when I go on the internet, I can rural areas. an essential feature of the pro- reach people in Eastern Europe. I think gram is that it matches seniors with the NATIONAL COUNCIL I can reach them quicker on internet service needs of each community. The pro- OF SENIOR CITIZENS, than by shortwave radio on Radio Free gram also works closely with businesses to Washington, DC, March 30, 1995. Europe. ensure that enrollees are getting indispen- DEAR SENATOR: The National Council of sable job skills. Senior Citizens (NCSC), in behalf of our five I really cannot see, when we are cut- The program is administered by the De- million affiliated members, asks you to vote ting out our own public broadcasting, partment of Labor, which contracts with na- in support of Senator Harkin’s amendment why we are paying for this in Germany.

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00077 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5350 CONGRESSIONAL RECORD — SENATE April 6, 1995 We are shortchanging an American to work; and number two, their work is the excessively high salaries that are audience in deference to overseas lis- this service of community, whether it paid to foundations that get grants di- teners. be delivery of meals to homebound, rectly from the corporation can be cut. Our amendment cuts $40.5 million whether it be taking care of children, There is great room for efficiency from what U.S. taxpayer is currently whether it be recreational services. there. paying to support Radio Free Europe. I remember in talking with citizens By the way, our States are not get- This will still leave $175 million for in Willmar, MN, we can get a wonderful ting their fair share of the money. In RFE. feel for how important this program is fact, our State legislatures support The Corporation for Public Broad- on the basis of investment of really most of the public broadcasting in this casting would receive $26 million of very few dollars. country as well as private contributors I want to make it clear that I am in this savings. such as myself. This is not a total restoration of the full support of this amendment and Finally, public stations could make cuts in this bill for public television proud to be an original cosponsor. money by getting a bigger percentage and radio—we understand that tough Mr. PRESSLER. Mr. President, if the of what is played on the free public choices have to be made. This restora- leader would yield 5 minutes. platform. I have spoken out about this, tion will support CPB at the 1995 level Mr. HATFIELD. I yield 5 minutes. Mr. PRESSLER. Mr. President, this and indeed I commend the board of di- with a small increase to compensate amendment represents the complicated rectors of the Corporation for Public for inflation. dilemmas that can be presented. Of Broadcasting because they passed a Continuing public television and course, I am in favor of senior citizens, resolution to start getting a bigger per- radio programs are especially impor- and I also support public broadcasting. centage of Barney and other program- tant in rural areas where residents In fact, I contribute and have contrib- ming that appear on the free public might not be able to afford or have ac- uted to public broadcasting through platform provided by the taxpayers of cess to cable programs. the years. this country. I hear from hundreds of Vermonters As chairman of the Commerce Com- each week on how important Vermont Mr. President, the States are not get- mittee this year I have discovered that ting their fair share. My little State of ETV and Vermont Public Radio are to public broadcasting could well become their lives. For some, it is the only South Dakota, which is vast in geog- self-funding. I agree with AL GORE that raphy but small in population, gets $1.7 news and educational programming we need to reinvent and privatize wher- they can get. million, but they have to send $1 mil- ever possible. lion back immediately for program- We should not be diminishing this In talking to a lot of telecommuni- valuable national resource. ming, which they might be able to buy cations people, I discovered that they elsewhere at a better rate. The remaining savings from the RFE plan to get into video dial TV and so budget would restore cuts to the Com- forth, and I asked them where they are The ‘‘shields’’ used by public broad- munity Service for Older Americans going to buy their programming? They casting are children in rural areas. Let Program. would say from Arts and Entertain- me say the State legislature in my The war against communism is over. ment, the History channel, or Learning State voted against a resolution to We must focus our efforts on another channel. I said, ‘‘Why not buy it from seek more funding for the Corporation battle that is still being waged here at public television or radio? They have for Public Broadcasting because it is home: all kinds of public programming.’’ And such a charade they must go through. Adoption of this amendment will they said, ‘‘Well, they do not try to sell So, I believe strongly in lowering the send a clear signal that our priority is it.’’ deficit. I believe in less Government in- to support programs that will help edu- I came up with a plan, along with volvement. This is an opportunity, a cate and enrich the lives of Americans. some House leaders, and an agreement plan has been developed, and they are Mr. HARKIN. I yield 2 minutes to the has been reached, or an informal agree- working with a big investment bank in Senator from Minnesota. ment, with some of the leading people New York to privatize, to become self- Mr. WELLSTONE. First of all, Mr. in public broadcasting to move towards funding. President, I ask unanimous consent to self-funding. There is not a need for taxpayers be included as an original cosponsor of Where would the money come from? money here. If we are going to transfer this amendment. First of all, public broadcasting can this money, we do not need to transfer The PRESIDING OFFICER. Without digitize and sell a lot of their program- it to the corporation. The House lead- objection, it is so ordered. ming. There is a good market for that ers reached an agreement to privatize, Mr. WELLSTONE. I thank the Chair. type of programming. They can sell it to work toward self-funding. I have Mr. President, it is difficult to cover to the channels I mentioned as the His- outlined various sources of revenue the the ground in less than 2 minutes. tory channel, the Learning channel, Corporation for Public Broadcasting Let me just make three points. First Arts and Entertainment. Nickelodeon can get. I have not mentioned addi- of all, I want to associate myself with is marketing a lot of children’s pro- tional advertisement. They already the remarks of the Senator from gramming in France where it is have a great deal of advertising. They Vermont. Second of all, I would like to dubbed—educational children’s pro- call it ‘‘enhancements’’ or something. focus on the import of this amendment, gramming. There is money to be made That is fine. which is to restore as much funding as in this. Public television has taught possible for public television. Even without further advertising that. they sit on a treasure trove of re- I go back to just one gathering in Ap- Second of all, the spectrums that sources here. I recently wrote an arti- pleton, MN, in southwest Minnesota, public broadcasting has throughout the cle in the Washington Post outlining where it is just crystal clear for anyone country. Now we are finding that, with the five ways public broadcasting can who wants to look at public TV that it modern technology, we have extra get more revenue without any more ad- is far from a ‘‘sandbox for the rich.’’ spectrum. They can sell it or rent parts vertising. They are sitting on a treas- Public television is so important to the of their spectrum and make a great ure trove of spectrum, of overlapping enrichment of lives of citizens in our deal of money. country, both urban and rural, but I Third of all, they have a lot of over- spectrum. Inside the beltway here their think especially in the rural commu- lapping spectrum that can be sold or headquarters are bloated bureau- nities it is vitally important. represented. For example, in the Wash- cracies. Second of all, the community service ington, DC, area, many homes get two The States are really not getting the for older Americans program is a huge or three public television signals with money that they are supposed to be success. The way I define ‘‘success’’ is the same programming or virtually the getting. we are talking about low- and mod- same programming. The taxpayers of Mr. President, I ask unanimous con- erate-income elderly people who, num- the country need some relief. sent to have the Washington Post arti- ber one—it is kind of a marriage—are Fourth, the great bureaucracy that cle I mentioned printed in the RECORD able to have the dignity of being able has grown inside the beltway here and at the conclusion of my remarks.

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00078 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5351 [From the Washington Post, Mar. 8, 1995] other telecommunications and information Number two, is it still needed? It is REALITY-BASED BROADCASTING services. needed now. There is an enemy. The (By Larry Pressler) END REDUNDANCY enemy is called censorship, and if you ‘‘Public broadcasting is under attack!’’ At least one-quarter of public television wonder whether or not it is true, some ‘‘Congress wants to kill Big Bird!’’ These and stations overlap other public television sta- of us met this week with Mr. Gusinsky, other alarmist cries have been common in tions’ signal areas. Public radio also suffers the fellow who has the media empire in recent weeks. The problem is they are lies. from the inefficiencies of redundancy. End- Russia now who is criticizing the That’s right, lies. I tried to conceive of a ing this overlap and selling the excess broad- cast spectrum would provide substantial rev- present President. They are threat- more polite way to say it. I could not. With ening to take down the television sta- rare exceptions the press largely has ignored enues to public broadcasting. the specifics of the position taken by mem- SWITCH CHANNELS tions. They are taking down the radio bers of Congress seeking to reinvent public Moving public television stations from and television access to the news for broadcasting. costly VHF channels to less costly UHF the people everywhere from Slovakia I have struggled to make my position channels in certain markets would provide a through Russia. clear. Yet the misrepresentations continue. I substantial source of new revenue. The third thing is this notion it is no am convinced many simply do not care to re- TEAM WITH OTHER INFORMATION SERVICES longer needed. Mr. President, 25 mil- port the facts—facts they do not find as in- CPB could increase commercial arrange- lion people still listen to it on a reg- teresting as the scenarios they create. That ments in the computer software market and is too bad. The average American taxpayer ular basis in Eastern Europe and Rus- with on-line services. would find the facts extremely interesting. sia. Anyone who thinks democracy has These are only a few of the ways in which As chairman of the Senate Committee on taken root and the free market system the CPB could reinvent itself into a self-suf- Commerce, Science, and Transportation, I is in place in those areas, I respectfully ficient corporation for the ’90s and, indeed, am not seeking to destroy public television for the next century. Ending federal depend- suggest they take another close look. and radio. I am a strong supporter of public ency does not end public broadcasting. To- And the notion that they can watch broadcasting, both in my home state of day’s subsidy amounts to only 14 percent of CNN—I would say to my friends, CNN South Dakota and nationally. Pull the plug? the industry’s spending! Indeed, my current is in English; it can be censored. It, in Absolutely not. Rather, my plan would ex- plan asks the Corporation for Public Broad- pand opportunities and save taxpayer dol- fact, can be impacted upon. And CNN casting to end its dependency on federal wel- lars. communicates international news, not fare in three years—that’s one year more Why do I seek change? Because times have what is happening within those coun- than what current proposals would give wel- changed. Today’s electronic media are vastly tries—as RFE/RL does. What we are fare recipients to get off federal assistance. different from those of the 1960s, when the It would be tragic if the public broad- doing is fully emasculating the ability current system of federal subsidies for public casting industry ignores its responsibilities of Radio Free Europe or Radio Liberty broadcasting was established. The old theory when the federal budget is in crisis. It also to continue to function. of ‘‘market failure’’ for educational pro- would be tragic if the industry spurns excit- gramming is completely untenable in to- I am a supporter, an unabashed sup- ing opportunities in new markets and tech- day’s environment. Educational and cultural porter of public television. I believe it nologies. Perhaps most tragic of all, how- programs can and do make profits when should be more than it is now. But this ever, would be continued retrenchment from their quality is good and marketing astute. is like having the hearing impaired public broadcasting executives crying, ‘‘It The only money losers in today’s arrange- can’t be done.’’ It can be done. It should be steal from the physically impaired, ment are the taxpayers. done. from those who are unable to walk. A Feb. 24 Post editorial stated it is time They are pitting two very important for the public broadcasting industry to face Mr. PRESSLER. So, let me conclude functions of government against one reality. The issue no longer should be wheth- er federal subsidies for public broadcasting by saying that it may well be that another. But we should not undermine will be cut. I could not agree more. Congress moneys could be transferred from here Radio Free Europe and Radio Liberty. now is debating when and how much. The to there, but they do not need to be Again, those who think democracy is House Appropriations subcommittee on transferred anymore for the Corpora- secure in those areas, please stand and labor, health and human services already has tion for Public Broadcasting. The com- raise your hands and tell me that cen- cut the public broadcasting budget. The mittee level and the House level gives sorship is still not the single biggest House leadership promises more to come. I them more than they need. enemy of the prospect for freedom to fully expect the Senate to follow suit. I yield the remainder of my time to Instead of crying over public cash, it would flourish and democracy to flourish in be more prudent for public broadcasting ex- my chairman. Eastern and Central Europe. ecutives to use their talents and resources Mr. SPECTER. Mr. President, how Let me give a few more examples. In developing the numerous potential sources of much time remains? Russia, we have heard about the media revenue available to replace the federal sub- The PRESIDING OFFICER. Five courageously reporting on the war in sidy rather than continuing to fan the minutes; 5 minutes and 8 minutes. Chechnya. flames of fear and exaggeration. As captains Mr. SPECTER. How much time re- But that does not mean that Russia of a major corporation, their responsibilities mains for the opponents of the amend- is now blessed with completely free should be clear. The Corporation for Public ment? media. Broadcasting (CPB), National Public Radio The PRESIDING OFFICER. Five Last year, the State Duma in Russia (NPR) and the Public Broadcasting System minutes. (PBS) need to learn to stand on their own Mr. SPECTER. How much time was adopted a new media law which re- feet. quires that State-owned media must To help in that effort, I recently provided there originally? The PRESIDING OFFICER. Ten min- inform the public of activities of the the chairman of the board of CPB with a President, Government, and Par- plan to end its dependency on federal welfare utes. in three years. Ideas to end CPB’s addition Mr. SPECTER. We have 5 minutes liament within 24 hours after any note- to taxpayer dollars include: left. Will the Senator from Delaware worthy event. PROFITS FROM SALES take 21⁄2? And although the State Department CPB should renegotiate sales agreements Mr. BIDEN. Mr. President, I will reports that ‘‘print media [in Russia] and improve future agreements to get a larg- make it real quick. First of all, I think functioned largely unhindered,’’ this er share of the sales of toys, books, clothing the characterization of my friend from optimistic picture is clouded by the sit- and other products based on its program- Iowa is bizarre. It makes it sound like uation in many provinces: ming. In 1990, Barney-related products re- this is a CIA plot that is still under- Regional political authorities [in Russia] tailed at $1 billion! Steps have been taken by way. It is one of the most noble under- resorted to various devices to close down the CPB board to improve its share of such critical newspapers. sales. More should be done. takings that the Western World has ever engaged in. If you ask any people Last winter and spring, during the MAKE THE MOST OF NEW TECHNOLOGY in Eastern Europe, from Lech Walesa parliamentary campaign in Use of new compressed digitization tech- to Vaclav Havel to Boris Yeltsin, and Kazakhstan, a television station went nology would permit existing noncommer- cial licensees to expand to four or five chan- others, who in fact were there before off the air for several days when local nels where once they had only one. Public the Wall came down, they credit Radio authorities, upset by broadcasts crit- broadcasting stations could rent, sell or Free Europe or Radio Liberty more ical of the mayor of the capital, shut make use of the additional channels for than any single thing. off electricity to the station.

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00079 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5352 CONGRESSIONAL RECORD — SENATE April 6, 1995 In Slovakia, as the Washington Post The State Department authorization This would break faith with a deci- reported last Tuesday, the newly elect- bill, enacted last year, provides for the sion that the President and Congress ed Government has increasingly pres- consolidation of all U.S. international jointly made last year. sured—and at times forced—television, broadcasting. Last January, the Senate voted to radio, and newspapers to accept whole- The plan will reduce operations at consolidate RFE/RL and the Voice of sale changes or drop programs. both RFE/RL and the Voice of Amer- America. In my view, Radio Free Europe and ica. By next October, VOA and REF/RL Last summer, the President sent a Radio Liberty are as important today will have reduced their combined reprogramming to Congress which pro- as they were during the past 40 years. broadcast hours to Eastern Europe and vided for the move of the headquarters Because the establishment of free the former Soviet Union by 32 percent. of RFE/RL from Munich to Prague. RFE/RL will reduce its budget by 67 and independent media in the region I do not recall any of my colleagues percent—from $220 million to $75 mil- has been a slow process, RFE/RL today objecting at that time to the continu- lion annually by fiscal 1996. have a dual role: To provide a model of ation of RFE/RL. how independent media should function In terms of employees, RFE/RL will be cut by a similar amount—from 1,600 But now the move to Prague is in in a free society, and to keep honest motion. Four language services are those who seek to reestablish repres- in September, 1993 to about 420 in fiscal 1996. now being produced in Prague: Rus- sion and to silence the press. sian, Ukrainian, Latvian, and the This function is not one conceived in The research arm of RFE/RL has al- South Slav service. the abstract; the practical reality lies ready been privatized: Its operations RFE/RL plans to be out of Munich by in the public response: The people of have been taken over by the open June 10. the region continue to tune in to RFE/ media society—a project funded by the RL. philanthropist George Soros. Because Munich is one of the most In nearly every country in Eastern The new institute will undertake the expensive cities in Europe, the move Europe and the former Soviet Union, restoration and preservation of the in- will achieve important savings. Per the listenership of RFE/RL today valuable archives owned by RFE/RL— capita personnel costs will be reduced equals or exceeds that of the Voice of 40 years of material that trace the dark by one-third. America. era of totalitarianism in Eastern Eu- The President of the Czech Republic, It also exceeds the audience of the rope and Eurasia. President Havel, made an extremely British Broadcasting Corporation’s This is a project for which no Federal generous offer to allow the radios to World Service. funds were available. But because of use the former Czechoslovak Federal All told, some 25 million people in this public-private partnership, that Parliament Building for a nominal fee the region listen to RFE/RL on a reg- important objective will be realized. of one Czech crown per day—or 12 dol- The changes that I have enumerated ular basis. lars per year. Surveys conducted last fall of leading will produce $400 million in savings The President of the United States citizens in the region found that an av- over the period from 1994 to 1997. All accepted that offer last summer. This erage of nearly 75 percent supported this is not a one-time phenomenon—it amendment would obviously undercut the continuation of western radio is a permanent structural change. that commitment. In addition, Congress has directed broadcasts. That is why the Clinton administra- RFE/RL to begin an effort to privatize Equally important, every leader of tion is strongly opposed to the Harkin the radios—that is, that the funding the new democracies in the region con- amendment, as stated in the letter I should be assumed by the private sec- tinues to urge that these radios remain read earlier from Joe Duffey, director tor by the end of the decade. open. The radios are taking that directive of the U.S. Information Agency. Let me quote from a letter from seriously. Their ongoing move to RFE/RL AND VOA ARE NOT DUPLICATIVE Czech President Vaclav Havel to Presi- Prague is a critical part of the effort to It is not true that RFE/RL duplicates dent Clinton: prepare for privatization. the Voice of America. [RFE broadcasts] remain important to the Let everyone understand what this The two radios have different mis- development of independent journalism and amendment will do—it will emasculate democracy in our country. sions. The Voice of America’s is man- Radio Free Europe and Radio Liberty. dated to tell America’s story. The Presidents of the three Baltic The fiscal year 1995 budget for the ra- States expressed a similar view: By contrast, Radio Free Europe and dios is $229 million. That includes $103.5 Radio Liberty, radios provide news and These broadcasts [are] an integral part of million for one-time downsizing costs. information about local events within the continuing development of [our] demo- Nearly $67 million of those costs are cratic institutions. the recipient countries. mandated by German labor laws. In this manner, RFE/RL act as home These are not leaders whose budgets Restrictive German labor laws re- service or surrogate radios in the ab- benefit from RFE/RL—these are lead- quire RFE/RL to pay severance and sence of fully free and independent ers who recognize that RFE/RL still other benefits to the hundreds of em- media in the emerging democracies of make a contribution to the establish- ployees who will be laid off—laws that the Eastern Europe and Eurasia. ment of democracy. RFE/RL, as a private corporation oper- This year, the administration pro- ating in Germany, must comply with. As a result of the broadcast consoli- poses to spend $100 million on the so- It is undisputed that RFE/RL, Inc. is dation, the amount of overlapping called ‘‘Warsaw Initiative,’’ a program subject to German labor laws. broadcasts—that is, broadcasts by both to assist the new democracies of East- A recent case, decided in February in RFE/RL and the VOA in the same lan- ern Europe to modernize their mili- the D.C. Circuit (Mahoney v. RFE/RL, guage at the same time—was reduced taries. Inc.), made clear that as a corporation from 24 hours to zero. I would argue that Radio Free Eu- with its principal place of business in It is ludicrous to suggest that the rope and Radio Liberty are as impor- Munich, RFE/RL would violate the cable news network now suffices for tant as this military assistance in laws of Germany if the corporation the countries of the former Soviet Em- helping to secure the democratic foun- breached its collective bargaining pire. dation in the former East bloc. agreements. In most countries, there are only two Yet I predict that hardly anyone THIS WILL STOP AN IMPORTANT MOVE TO ways to obtain CNN—by staying in an around here will blink an eye when the PRAGUE expensive hotel or to buy a satellite Congress votes on the $100 million In short, the effect of this amend- dish. ‘‘Warsaw Initiative.’’ ment would be to place a dagger in the I do not have any data on how many RFE/RL IS CUTTING ITS BUDGET heart of the radios—at a moment when such dishes are available, but I cannot I agree with the Senator’s belief that they are in the midst of a move from believe they are widespread. we need to reduce our international Munich to Prague, where they are pre- More important, the news of CNN is broadcasting budget. paring for the eventual privatization of in English, and it is international We are doing just that. RFE/RL. news. The news on Radio Free Europe

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00080 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5353 and Radio Liberty is in the Free Europe which makes a great ciably. Cable has moved very, very vernacular—the local language; and it sound bite or looks complicated when modestly. But one network and one focuses mainly on local news. the Sunday papers reprint the vote. network alone provides violence-free Do not take my word for it that these But this has been very, very carefully television for the children of America, broadcasts are still needed. Listen to worked out. and that is public broadcasting. the results of a survey conducted last Senator BIDEN has made as good an I think we have to put our vote where fall in the region. argument as you can make in 21⁄2 min- our mouth is on this. I think we have A poll of decisionmakers in each utes. I am sorry he is not on the floor to encourage the only network in this country—government, military, media, to compliment him, because it is sel- Nation that provides violence-free tele- and economic leaders—clearly dem- dom that Senator BIDEN makes that vision for our children. There is one onstrates this point. good an argument in 21⁄2 minutes. Usu- children’s program, for example, that When the proposition was put to ally it is longer and proportionately it is broadcast in this country which is them that Western radio is needed de- may not justify the additional time. I produced in two versions. One is the spite the new media freedom, some 75 wish he were here to reply to that. violent version for the United States of percent of those polled disagreed or It is with some reluctance that I op- America, and the other is the non- strongly disagreed. pose my colleague, Senator HARKIN, violent version for all the other coun- I sympathize with my friend from who serves as ranking member on the tries in the world. When the Christian Iowa about the choice we face in this subcommittee. We have worked to- Science Monitor asked the producer bill. gether for a very, very long period of why, she said, ‘‘Well, the United States I am in favor of restoring the cuts to time. But as the allocations now stand, people demand violence, and we get no the corporation for public broad- there is an appropriate allocation and complaints. We cannot sell it in other casting—but not at the expense of one balancing of priorities. countries with the violence in it.’’ of the most valuable instruments in Mr. President, I ask unanimous con- The Corporation for Public Broad- American foreign policy. sent for an additional 2 minutes. casting is doing a superb job of giving The last point I will make is the ad- The PRESIDING OFFICER. Is there us violence-free television for our chil- ministration is opposed to the amend- objection? dren, and we ought to be supporting it ment of my friend from Iowa. And I Mr. HATFIELD. Will the Senator and supporting them strongly. 1 I am proud to be a cosponsor of the hope I have done this within 2 ⁄2 min- yield for just a moment? utes. Mr. SPECTER. I yield. Harkin amendment. If I am not al- The PRESIDING OFFICER. The Sen- Mr. HATFIELD. Mr. President, I ask ready, I want to be added. ator from Pennsylvania. I thank the Senator from Iowa. unanimous consent to extend this de- The PRESIDING OFFICER. Without Mr. SPECTER. Mr. President, I op- bate for 10 minutes, to be equally di- pose the amendment. Much as I would objection, it is so ordered. vided between both sides. Mr. HARKIN. Mr. President, how like to see additional funding for pub- The PRESIDING OFFICER. Without much time do I have remaining? lic broadcasting, the subcommittee of objection, it is so ordered. The PRESIDING OFFICER. The Sen- which I am the chairman, the Sub- Mr. SPECTER. If the time is ex- ator has 10 minutes and 39 seconds. committee on Labor, Health, Human tended for an additional 10 minutes— Mr. HARKIN. Mr. President, I yield 4 Resources and Education, has made a Mr. HATFIELD. And I yield to the minutes to the Senator from Arkansas. very careful allocation and has in fact Senator from Pennsylvania 2 minutes. The PRESIDING OFFICER. The Sen- reduced considerably the rescission by Mr. SPECTER. I would want to re- ator from Arkansas. the House of Representatives for fiscal serve time until I hear from Senator Mr. BUMPERS. Mr. President, I years 1996 and 1997. The House wanted HARKIN and reply, if I may. thank my distinguished friend from to cut public broadcasting by $47 mil- Mr. HATFIELD. Mr. President, the 10 Iowa for yielding to me. I congratulate lion. We limited the rescission to minutes has been agreed to, 5 on a him on trying to maintain a semblance $26,360,000 for fiscal year 1996. For fiscal side? of culture, decency, and civility in this year 1997, the House of Representatives Mr. SPECTER. I yield the floor and Nation. wanted to cut public broadcasting by will reply to whatever additional argu- The Senator from Illinois spoke just $94 million, and our subcommittee lim- ments remain. before I did. He spoke about the fact ited that rescission to $29,360,000, leav- Mr. HARKIN. Mr. President, I yield 3 that our children, by the time they ing public broadcasting at its current minutes to the Senator from Illinois. graduate from high school, will have rate of $285,640,000. The PRESIDING OFFICER. The Sen- seen 18,000 murders, to say nothing of That is fairly complicated arith- ator from Illinois. the other unspeakable violence they metic, but what it boils down to is on Mr. SIMON. Mr. President, Senator are going to see on network television. the current mark, there has been sub- SPECTER’s argument on the Corpora- We have grappled in the Senate with stantial consideration given to public tion for Public Broadcasting is we are how to control children’s exposure to broadcasting. The responses which the not hurting the corporation nor public violence in light of the free speech pro- committee has heard from those who broadcasting as much as the House is. visions of the first amendment, and no- are interested in public broadcasting is That is not a very good argument. body has been able to come up with a a sigh of relief that their funding has Let me point out one thing. This workable solution. been maintained at its present level. body, I am pleased to say, unanimously I was speaking with a Senator’s wife I would like to see more funding for supported me in an effort to have an about a week ago and she said, ‘‘You public broadcasting. But in setting this exemption to the antitrust laws so that know, Dale, we don’t subscribe to cable mark we feel there has been a realistic the television industry could get to- at our house. We have a 12-year-old and appropriate balancing of priorities. gether on the question of violence. The son. We do not want him exposed to When the Senator from Iowa talks evidence is overwhelming. MTV.’’ I tell you, there are an amazing about employment for older Americans The Presiding Officer is a physician. number of people in this country who and would like to add funding there, of The American Academy of Pediatrics, deplore what their children are watch- course it would be fine to add $14 mil- the American Medical Association, the ing on television, and some of them are lion additionally to the $396 million National Institute of Mental Health, opting, as she does, not to purchase recommended by the committee. But the Surgeon General of the United cable television. here again, the Appropriations Com- States, all have issued studies saying Mr. President, you can be assured mittee has made a very careful bal- that television violence that glorifies that this is not the final definitive de- ancing of priorities. It is possible to violence adds to violence in our soci- bate on the Corporation for Public pick apart the appropriations bill in a ety. Broadcasting. There is an assault in thousand ways and to take accounts I am pleased to report to this body, the U.S. Congress on public broad- which sound wonderful, like older thanks to your efforts and to voluntary casting. With NEWT GINGRICH leading Americans or public broadcasting, and efforts in the industry, broadcast tele- the charge, the Republicans in Con- take them from accounts like Radio vision has reduced violence appre- gress

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00081 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5354 CONGRESSIONAL RECORD — SENATE April 6, 1995 have decided to take dead aim at Big The PRESIDING OFFICER. Five Eastern Europe and all of the radio and Bird, rather than deal with the prob- minutes on this side. TV stations they already have that are lems that really cause harm to our so- Mr. HARKIN. I yield myself 3 min- operating. I ask unanimous consent to ciety. utes. put that in the RECORD. Mr. President, we have heard the ar- The PRESIDING OFFICER. The Sen- There being no objection, the list was gument: ‘‘CPB can be privatized; let ator from Iowa. ordered to be printed in the RECORD, as them do as everybody else does.’’ Let Mr. HARKIN. Mr. President, first of follows: me ask you about the magnificent, un- all, I want to thank my colleagues who precedented series on the Civil War have spoken so eloquently on this Ukraine: Russian TV programming is wide- which was so poignant. 14 percent of amendment. I thank them for their ly viewed. Americans tuned in to see it. I promise support. Belarus: European music stations and BBC you, most Americans were in tears Second, I want to again thank and TV programs have been on air since last watching, but above all, learning about congratulate my colleague, Senator year. the most defining moment in American SPECTER, for doing a truly outstanding Latvia: 6 commercial stations broadcasting history—13 hours on public broad- job in getting the provisions through most of day. casting. Can you imagine watching our Labor-HHS-Education Appropria- Lithuania: Recent formation of an associa- that series on one of the commercial tions subcommittee that he has done in tion of independent TV and radio stations. networks and being interrupted every 5 this bill. Having been in his position, I TV programs broadcast; also several TV and radio stations broadcasting in Polish. minutes with a car being dropped on know it is a tough job, a thankless job. top of a mountain top, or a Budweiser I want to commend him for all the Hungary: VOA and BBC rebroadcast on beer commercial? work he has done. He has done a good Kossuth, FM, a state radio network. I cannot believe that the Harkin job. I support him in that effort. Poland: RWE, Inc. broadcasts on Polish amendment is even being challenged. If I point out, however, that in this Program 4, a nationwide mediumwave net- work; BBC and VOA rebroadcast locally on the Senator from Iowa prevails on his case, Radio Free Europe is not in our amendment, there will be $175 million both MW and FM. A National Broadcasting subcommittee. So I am not hanging Council has issued 3 private national licenses left in the Radio Free Europe account. that on his head. It is funded in an- in addition to 115 local licenses. The first na- That is $100 million more than the other subcommittee. Senator SPECTER tional private TV license was recently President requested. In addition, even and our subcommittee does not fund awarded to Polsat over competing bids in- if the Senator from Iowa prevails, we Radio Free Europe. volving well-established foreign firms such will still be $29 million short of what Mr. President, I also want to say— as Time Warner Inc., Bertelsmann AG, and public broadcasting was supposed to and I do not have the time to do this. Reuters. get. The compensation package that was Czech Republic: VOA and BBC broadcast Mr. President, how many times dur- agreed upon for the employees of Radio on FM networks in locations throughout the ing the balanced budget amendment Free Europe because they are now country; 2 public radio networks. Many of debate did you hear the argument, the independent stations with music and moving to Prague, Czechoslovakia, you news often broadcast 24 hours a day. ‘‘Senator, how can you vote against ought to read it. Let me read a couple Slovakia: Slovak Radio broadcasts despite the balanced budget amendment? of its provisions. Eighty percent of the people of this financial problems BBC broadcasts on FM Employees having children shall re- networks throughout the country. country favor it. You are going against ceive a one-time payment in the fol- Bulgaria: Numerous local independent the wishes of the people.’’ lowing amount: One month of gross So, for the Senators here who are radio stations operate in Sofia and other salary, but in no event more than deut- prepared to vote against the amend- major cities. VOA, BBC, Deutsche Welle and sche mark 10,000—that is $7,500 in U.S. ment of the Senator from Iowa, let me Radio France International broadcast on FM dollars—for every dependent child aged in Sofia; VOA and BBC in cities outside. remind you that between 65 percent and 70 percent of the people of this no more than 27. How about that? Romania: Romania Radio, with 3 national Employees terminated effective as of country do not want the Corporation networks all due to go on FM in the near fu- July 30, 1994, shall receive in respective ture, is a less controversial institution than for Public Broadcasting to be cut. Is it school fees for the children to go to state TV. Numerous local independent radio for dilettantes? The statistics show stations operate in Bucharest and other that the average salary of the people of school 10,000 deutsche marks per child. So they can go to school. That is $7,500 major cities. VOA, BBC, Radio France Inter- this country who watch opera is $40,000 national and DW are currently being re- a year. Where else could they see a year. broadcast on FM in Bucharest; BBC and DW Pavarotti, Kiri Te Kanawa, all of the What is going on here? This is crimi- also broadcast on FM in other cities. nal. Talk about a golden parachute. magnificent voices; are they to be si- Azerbaijan: Iran and Turkey supply tele- lenced? Are we going to say to the And at the same time, we are saying vision and radio programs to Azerbaijan; American people that other countries we are going to cut broadcasting for radio and TV cooperation between Iran and of the world are willing to spend up to Big Bird and for our kids in this coun- Azerbaijan is expanding. $38 per household for the very same try. What nonsense. Georgia: ‘‘Free Georgia’’ radio reportedly thing the American people are paying My friend from Delaware talks about has been set up in Mingrelia by $1.09 for? censorship. If that is going to be our Gamsakhurdia supporters. Western and It is troubling to hear the assaults on guiding light, let us start Radio Free Turkish TV is available in Tbilisi. things like the Corporation for Public Asia, Radio Free South Africa, Radio Kazakhstan: TV broadcasts from Russia. Broadcasting and National Public Free South America. Almaty is home to several independent radio Radio—I never move my radio off NPR. Mr. BIDEN. We have. stations. Print media are diverse. BBC and VOA broadcast, but only in Russia. When I get in the car in the morning, Mr. HARKIN. Censorship can rear its that is what is on; and when I go home ugly head anywhere, anywhere—in Tajikistan: An opposition radio, ‘‘Free at night, that is what is on, because I Uruguay and Paraguay, in and Tajikistan,’’ has begun broadcasting 90 min- Argentina, in any country in Africa. utes a day. BBC and VOA broadcast in Rus- want to know what is going on in the sian. world and I do not want all those com- But what we have is the Voice of Amer- mercials interrupting it. I want a de- ica. Now, he talked about Lech Walesa. Uzbekistan: Voice of Iran and radio Saudi I have some statements from other Arabia transmit to Uzbekistan in Uzbek; finitive, honest-to-goodness, analysis other regional broadcasters can be heard in people I will put in the RECORD telling of what is happening all over the world. Persian or Turkish. VOA broadcasts; BBC I wonder what the opponents of the about the Voice of America, the plans to begin broadcasting in Uzbeck in Harkin amendment listen to in order present Prime Minister of Albania say- later 1994. to get their news. ing it was the Voice of America that Mr. President, I thank the Senator brought them through, not Radio Free Mr. HARKIN. The Senator from Dela- for yielding. Europe. ware says the administration is op- I yield the floor. Second, Mr. President, here is a list— posed. Mr. HARKIN. How much time is re- I ask unanimous consent to put these The PRESIDING OFFICER. The Sen- maining on both sides, Mr. President? in the RECORD—of every country in ator’s 3 minutes have expired.

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00082 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5355 Mr. HARKIN. I will take 30 more sec- this, as does Mort Halperin, who can express assault on public broadcasting, I would onds. Here is the OMB pass-back budg- President Clinton’s and the National Secu- remind him that the major assault is et 1994: rity Council’s strong opposition to the pro- on the deficit, and as chairman of the posed amendment. Presidential decisions. The pass-back in- Thank you for your consideration. subcommittee we looked at $5.9 billion cludes some specific policy issues that were Sincerely, of rescissions by the House, and we re- personally reviewed and decided by the JOSEPH DUFFEY, duced that to $3.05 billion, and asked President and cannot be changed. BIB, RFE, Director. public broadcasting to take a fair RL will be terminated in 1995, capital assets share, leaving them with the same will be transferred to and merged with USIA. Mr. BIDEN. Let me clarify this for the Senator. At the beginning of this amount they had last year. And that So if this is something new, then the administration, the President proposed has received the comments of gratitude President obviously has changed his terminating RFE/RL. That decision that they are able to function without mind. But the President made a deci- was reversed in the spring of 1993. And the larger cuts recommended by the sion to personally zero it out. that summer, the President proposed House. I would also point out that even in consolidating all U.S. sponsored inter- this fiscal year the President asked for The amendment is an attractive one, national broadcasts. Congress accepted obviously, when they move into com- $75 million. it. And we ordered budget cuts. We cut The PRESIDING OFFICER. The Sen- munity service with older Americans, the costs. The reason it is $175 million, but that account already has $410 mil- ator’s time has expired. $100 million more that the request for Mr. HARKIN. And this is $100 million lion. So the $14 additional million, Fiscal 1996, is that it costs more—in while making this amendment look at- more than the President asked for. the current fiscal year—to reduce the I reserve the remainder of my time. tractive, really is not very significant size of the radios. That is what it cost Mr. BIDEN. Mr. President, will the in the overall picture. under German law to reduce the oper- Senator from Pennsylvania yield me 2 The distinguished Senator from Dela- ation. We are bound under German law. minutes? ware has spoken about Radio Free Eu- When we lay off people and fire people Mr. SPECTER. I yield the Senator 2 under German law, we are required to rope, but I think the point has not been minutes. pay this severance pay. That is the rea- made that the $229 million is being re- Mr. BIDEN. I do not say this with son why it is more money this year and duced next year to $75 million, and $7 any rancor, but it is clear the Senator drops to $75 million next year. million has been added this year for from Iowa is correct; he is uninformed Thirdly, I point out to my friend consolidation and wind-down purposes. on this issue. The reason he is unin- from Iowa, he did vote for and we did My colleague from Iowa, who was formed on the issue, Radio Free Europe vote for Radio Free Asia. We author- chairman and is now ranking member, or Radio Liberty, the administration is ized the establishment of a new service worked with me over these sheets, and not opposed. last year, and began appropriating I can understand his interest in want- I will submit the letter for the money last year. We did it because ing more money for public broad- RECORD. I ask unanimous consent it be there is censorship in China and the casting. And I understand the Senator put in the RECORD. other communist countries in Asia; be- from Illinois, who has done out- There being no objection, the letter cause there is a gerontocracy in Bei- standing work to try to combat vio- was ordered to be printed in the jing that does not let people express lence on television. But this is a fair RECORD, as follows: their points of view. We did do that. So allocation, and if we are going to reach U.S. INFORMATION AGENCY, he is ahead of himself without even re- a balanced budget—— Washington, DC, March 31, 1995. alizing it. We did in fact vote and have The PRESIDING OFFICER. The Sen- Hon. JOSEPH BIDEN, voted to guarantee that where there is U.S. Senate. ator’s 2 minutes have expired. DEAR JOE: It is my understanding that the censorship in the world, we will be in- volved to the extent that we can. Mr. SPECTER. I yield myself 1 addi- Senate may take up an amendment that tional minute. would rescind major funding for the oper- So, Mr. President, if we do not send ations of Radio Free Europe/Radio Liberty. troops, and we are not going to send If we are to reach the balanced budg- We appreciate your past and continuing sup- money, and we are not going to send et by the year 2002, there is going to port for RFE/RL and hope you will join the information, and we are not going to have to be a fair share reduction on Administration and me in opposing this send access to the truth, what the heck many items which we would like to amendment. are we going to do? I resent the fact have. And I think it is a fair submis- As you know, we are currently in the proc- that this is being pitted against public sion that the Corporation for Public ess of shutting down RFE/RL in Munich and moving the newly configured operation to television. The reason public television Broadcasting is able to tighten its belt Prague. We have managed to get major com- is cut is not because of Radio Free Eu- and do the job within the parameter of ponents of the operation off the government rope. When we reach the point—— the existing budget, so additional funds budget and all of those involved in this effort The PRESIDING OFFICER. The Sen- should not be added at the expense of have proceeded in good faith on the basis of ator’s 2 minutes have expired.. another worthwhile account. reductions agreed to last year. The budget is Mr. BIDEN. When you reach the I yield the floor and reserve the re- being drastically reduced. point your time has expired, you sit mainder of my time. The operation will be overhauled under the down. leadership of Kevin Klose, President of RFE/ Mr. SPECTER. Mr. President, how Mr. BIDEN. Will the Senator give me RL, and a new Board of Directors, chaired by much time remains? 5 seconds? David Burke, former Vice President of ABC The PRESIDING OFFICER. Three Mr. SPECTER. I do. News. We have, however, let go more than a thousand long-time employees in Germany minutes 9 seconds remain. Mr. BIDEN. I would like to point out and must meet major obligations (legal obli- Mr. SPECTER. How much for the op- that in the Dole-Daschle compromise gations) there for German Government man- position? we are cutting the international broad- dated separation costs, pension and health The PRESIDING OFFICER. One casting account by $35 million. The costs, etc. A cut in this year’s budget of the minute thirty-two seconds. But the Senator from Iowa proposes to cut $40 one-time expense set aside for this purpose Senator from Iowa yielded back his million from RFE/RL in addition to will break faith with those who have moved time. what we are about to cut. ahead with creativity and no little courage Mr. HARKIN. No, the Senator did to help reinvent this old institution and not. I yield the floor. make it serve a new purpose in a . The PRESIDING OFFICER. The Mr. HARKIN. How much time is re- It will also create a monumental manage- Chair thought the Senator did. maining? ment disaster in Munich and Prague, which In that event, 1 minute 32 seconds re- will cause operations to come to an abrupt The PRESIDING OFFICER. One halt and create obligations and penalties for main. minute 30 seconds. Mr. SPECTER. Mr. President, I yield the U.S. Government beyond the savings Mr. HARKIN addressed the Chair. sought by the amendment’s sponsors. myself 2 minutes. I stand ready to met you in the Senate When the argument is made by the The PRESIDING OFFICER. The Sen- Lounge at any time to talk with you about Senator from Arkansas that there is an ator from Iowa.

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00083 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5356 CONGRESSIONAL RECORD — SENATE April 6, 1995 Mr. HARKIN. First of all, let us face ruary 1995 just as ethnic violence a la Rwan- below 125% of the poverty level, or $9,200 for it. The Voice of America is broad- da is heating up between Tutsi and Hutu ex- a family of one. The program serves less casting all over the world, in China, in tremists: in this case the President is using than 1% of those who are eligible; long wait- Europe. The Prime Minister of Albania VOA to circumvent hostilities without re- ing lists are common in most areas of the sorting to force or sanctions. country. said it was the Voice of America, not The Prime Minister of Albania, Dr. Alex- 7. The SCSEP serves the oldest and poorest Radio Free Europe that they listened ander Meksi, praised VOA for its role during in our society and those most in need: 39% of to, plus we have BBC, German. These 5 decades of totalitarianism and during the enrollees are minorities—the highest minor- countries all have other broadcasts. So 1990–1991 revolutions: ity participation rate of any Older Ameri- it is just a question of choices. ‘‘On Voice of America we heard about the cans Act program; 72% are female; 32% are This is deficit neutral. This does not revolution in Eastern Europe as well as age 70 and older; 81% are age 60 and older; about internal developments in our own 41% do not have a high school education; and increase the deficit. But the choice is 9% have disabilities. just this. Are we going to privatize the country. The role of the radio station was vital in the democratization of Albania. 8. The SCSEP ensures national responsive- Corporation for Public Broadcasting or Through interviews that VOA conducted ness to local needs by directly involving par- are we going to privatize Radio Free with prominent personalities in Albania we ticipants in meeting critical human needs in Europe? Will we have a compensation heard the first public criticism of the com- their communities, from child and elder care package for the Germans that I just munist regime from within Albania.’’ to public safety and environmental preserva- mentioned or will we have jobs for our VOA correspondents were in Mogadishu to tion. The SCSEP has been a major contrib- utor to national disaster relief efforts, most senior citizens here in America? report on the US feeding mission, getting out information about where the US Marines recently resulting from floods in the mid- I would also point out, Mr. President, west, hurricanes in the southeast, and the that the Dole substitute had a $98 mil- were, what they are doing, and where feeding centers were. California earthquakes and riots. 9. The SCSEP has demonstrated high lion cut in Radio Free Europe, much When the Congress voted to lift the trade standards of performance and fiscal account- more than what we are asking for here embargo against Vietnam, Vietnamese heard ability unique to government programs. Less in ours. it on VOA along with appeals for continued than 15% of funding is spent on administra- Lastly, Mr. President, I would point cooperation on POW–MIAs—which well re- tive costs—one of the lowest rates among flected US policy. out again, this amendment provides $26 federal programs and despite a unit cost that million more for the Corporation for VOA broadcasts to Tibet news about inter- has not been adjusted for increased adminis- Public Broadcasting. It also provides national efforts for their struggles that trative expenses since 1981. $14 million for the senior community China authorities would not allow. The Dalai 10. The SCSEP historically has enjoyed service employment program. Lama can address his people on Tibet on strong public support because it is based on VOA. the principles of personal responsibility, life- I ask unanimous consent to put at English classes in the English Corner the end of my remarks some sup- long learning, and service to community. In throughout the world. It’s a language lesson addition, the program is extremely popular porting documents regarding the senior everyday on radio. among participants, host agencies, employ- community service employment pro- VOA also feeds its broadcasts to local FM ers, communities, and the membership of our gram. stations to expand distribution nation’s largest aging organizations. The PRESIDING OFFICER. Without objection, it is so ordered. 10 GOOD REASONS TO SUPPORT SCSEP [From Green Thumb, Inc.] (See exhibit 1.) The Senior Community Service Employ- IOWA SCSEP CASE HISTORIES Mr. HARKIN. So, again, Mr. Presi- ment Program (SCSEP) authorized under Donald Huntley of Boone county came to a dent, the choice is clear. Are we going Title V of the Older Americans Act should be Green Thumb pre-app day last spring out of to spend our taxpayers’ dollars for preserved and expanded for the following desperation. He had worked for many years Radio Free Europe when the Voice of reasons: at a large turkey manufacturing plant that 1. The SCSEP is our country’s only work- America is already broadcasting? Or had gone out of business. HIs annual income force development program designed to for a family of two at the time was $1,380. are we going to bring that money here maximize the productive contributions of a Don had very good skills and life experiences and make sure we have public broad- rapidly growing older population through and a wonderful personality. He began his as- casting and jobs for our seniors? training, retraining, and community service. signment in June with the Iowa 4–H Edu- EXHIBIT 1 History has taught us that mainstream em- cation Center. Prior to his orientation his ployment and training programs like JTPA EXAMPLES OF VOA PROGRAMMING Area Supervisor, Denise Juhl, told him that and CETA are not successful in serving older this was a chance to prove to the agency GENERAL workers. A targeted approach is needed. that they couldn’t live without him. Don They do news broadcasts (in English and 2. The SCSEP is primarily operated by pri- told her, ‘‘consider it done’’. On January 1, native languages), descriptions of US foreign vate, non-profit national aging organizations 1992, Don became a permanent full-time em- policy, pieces on popular US culture, infor- that are customer-focused, mission driven, ployee of the Iowa 4–H Education Center. His mation about studying in America, English and experienced in serving older, low-income beginning salary will be $18,400 with full ben- lessons including Special English broadcasts people. These nonprofits work in close part- efits—an increase of more than 13 times his in slow English, and editorials (which are nership with the Governors, Department of salary when he enrolled in June! Way to go, criticized for being one-sided and potentially Labor, aging network, and employment and Don—we knew you could do it! damaging the credibility of VOA.) training system, actively participating in Jerry Burgett, a once very successful busi- You can think of VOA as the public rela- One Stop Service initiatives designed to ness owner and entrepreneur, found himself tions arm of the US Government for foreign streamline and integrate services. physically disabled and as a result lost his publics. 3. The SCSEP is a critical part of the Older business. He had been a concrete sawer, SPECIFICS Americans Act, balancing the dual goals of which took an extreme amount of physical During China’s 1989 Tiananmen Square community service and employment and activity. At age 55 he experienced major demonstrations and massacre, VOA cor- training for low-income seniors. Many nutri- back surgery and was unable to lift more respondents broadcast in real time back to tion programs and other services for seniors than five pounds. He became homeless, living China eye-witness accounts of the massacre, are dependent on labor provided by the with different relatives. His life learned and gave public exposure in China to the SCSEP. working skills were no longer of value to demonstrators demands for democracy and 4. The SCSEP has consistently exceeded all him. At the intake and assessment, he indi- openness—information that Chinese authori- goals established by Congress and the De- cated that he wanted to learn computers and ties were censoring. partment of Labor, surpassing the 20% place- word processing. He was dual enrolled in During the Gulf War, VOA stepped up ment goal for the past six years and achiev- Green Thumb and JTPA to begin an eight broadcasts in Iraq and throughout the Mid- ing a record 135% of goal in FY 1993–94. Vir- week course in computers and word proc- dle East in English and Arabic to counter tually all appropriated funds are spent each essing. At the completion of his course, he misinformation by Sadaam Hussein, and ex- grant year, in stark contrast to similar pro- finished with a perfect attendance and top plain US goals and achievements in the grams. scores in his class. Jerry began working for world. 5. The SCSEP provides a positive return on a local greenhouse firm the day he finished VOA reports on the Middle East peace taxpayer investment. One study found that classes. He is in charge of a city wide sat- process from the US perspective so that Arab the program returns at least $1.47 for every ellite greenhouse system. He insures each populations, who live in countries where dollar invested by empowering individuals to satellite is staffed and ready for business press is often censored, will hear additional become self-sufficient and productive mem- each day. Jerry credits his new job to his re- views. bers of their communities. cently acquired training. He now has a small President Clinton broadcast an appeal for 6. The SCSEP is a means tested program, apartment and rediscovered self esteem and calm and non-violence to Burundi in Feb- serving Americans age 55+ with income at or self worth.

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00084 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5357 The PRESIDING OFFICER. The time in dealing with all the Medicare forms Mr. HATFIELD. Mr. President, that has expired. and the Medigap policies to provide will appear in our wrap-up package Mr. SPECTER. How much time re- really good protection for people. It is now that it is corrected. It is easier to mains on my side? a program, with very little by way of correct it now than correct it down the The PRESIDING OFFICER. Fifteen money, that has gone a long ways. I line. That is why I took the time to do seconds. thank my colleague from Oregon for all that at this point. Mr. SPECTER. Mr. President, this of his help. I yield the floor. has been a lively debate. I think all of Mr. HATFIELD. I thank the Senator. Mr. McCAIN addressed the Chair. the issues have been aired. I think the Mr. FORD. Mr. President, will the The PRESIDING OFFICER. The Sen- accounts as they currently stand ex- distinguished chairman yield for a ator from Arizona. press appropriate priorities as best we question? can determine them, and I move to Mr. HATFIELD. I am happy to yield. Mr. McCAIN. Mr. President, I know table the Harkin amendment. Mr. FORD. The only amendment left the hour is late, and I will be brief. But The PRESIDING OFFICER. The mo- now will be the managers’ amendment. I would like to make some comments tion to table is not in order under the When will that amendment be prepared on the compromise amendment that unanimous consent agreement. to be offered and how much time will it has been so long in its gestation period Mr. SPECTER. Mr. President, I un- take for that amendment, could I ask today and yesterday. derstand there was an agreement on an the good Senator? I want to start out by thanking the up-down vote. I was not present at that Mr. HATFIELD. My estimate at this chairman of the Appropriations Com- time. I withdraw the motion to table. point is that we are in the process of mittee and all those Members of the Mr. HARKIN addressed the Chair. putting that together and of alerting Senate who have worked to produce a The PRESIDING OFFICER. The Sen- our colleagues who are involved. good substitute rescission bill. I give ator from Iowa. I notice Senator MCCAIN is here. He them credit. I am only sorry we had Mr. HARKIN. I ask for the yeas and will have an amendment in that wrap- not been able to do more. nays. up. Senator WELLSTONE will have one. Over the last week, freshman Sen- The PRESIDING OFFICER. Is there a Senator JEFFORDS will have one. ators have led a noble fight, in my sufficient second? In each case, Mr. President, I say to view, to add new cuts to these bills. There appears to be a sufficient sec- the Democratic whip, each of these The amendment originally proposed by ond. amendments that are in the wrap-up my freshman colleagues would have The PRESIDING OFFICER. Under are totally offset amendments. So they called for cuts in the Corporation for the previous order, all yea and nay do not add to the deficit. And they Public Broadcasting, AmeriCorps $206 votes will be stacked. We are ready for have been cleared on both sides. We million, IRS, Foreign Operations, other amendments. should have that within the next few Youth Build, and many other cuts that Mr. HATFIELD addressed the Chair. minutes. would have totaled $1.3 billion. Obvi- The PRESIDING OFFICER. The Sen- Mr. FORD. Mr. President, I say to my ously, they sought to have that amend- ator from Oregon. good friend, I was not objecting to that ment passed. They were unable to do so Mr. HATFIELD. Mr. President, may I amendment. I understand it is basi- for a variety of reasons which are not inquire of the Chair the list of the cally agreed to and it has complete off- worth going into now. sets, so most people are satisfied with amendments that were incorporated in But I really want to comment, Mr. the unanimous consent agreement? it. The only thing I was trying to do is President, about the difference that The PRESIDING OFFICER. The those freshmen bring to this body, Wellstone seniors’ amendment, the figure out how much longer it would be and when you think the votes will be which is the message of November 8, Hatfield-Byrd managers’ amendment, which is that we have to make tough the Harkin add-back for Corporation occurring. Mr. McCAIN. I would like to make decisions. We have to make difficult for Public Broadcasting. cuts in the budget and we have to do so Mr. HATFIELD. Mr. President, so as about a 4-minute statement. Mr. HATFIELD. Mr. President, I say because we have an obligation to the far as the process of those needing to American people to balance the budget. be disposed of, we have the Wellstone to the Senator, at this point, I would say it should all be wrapped up, as far Mr. President, we are not going to do amendment and the managers’ wrap-up that with this compromise amendment. amendment? as the managers’ amendment, in about The PRESIDING OFFICER. That is 15 minutes. I especially thank Senator correct. Mr. FORD. I thank the chairman Santorum. I thank Senator Ashcroft, Mr. HATFIELD. Mr. President, we very much. who is in the chair. I thank my col- have resolved the Wellstone amend- AMENDMENT NO. 578, AS MODIFIED league from Arizona, Senator Kyl, and ment. We are now putting that to- Mr. HATFIELD. Mr. President, I will many others who played such an im- gether with the managers’ wrap-up. now make a unanimous consent re- portant role in their efforts and came Therefore, I believe that would com- quest to make a technical correction. here to succeed and maybe will succeed plete the business at this point as far We had cleared the Levin amendment next time. Those cuts that they pro- as amendments are concerned; is that No. 578, but I ask unanimous consent to posed were difficult decisions. They correct? correct a drafting error by modifying it alienated substantial constituencies in The PRESIDING OFFICER. That with the language that I now send to all of their States. But the fact is, we would be correct. the desk. needed to enact those cuts and many Mr. HATFIELD. Mr. President, I sug- What we are doing is we are, on page more. gest the absence of a quorum. 9, line 12, striking one figure, $37 mil- I have to say, Mr. President, I am a Mr. WELLSTONE. Would the Senator lion, and putting in $25 million; and little bit disspirited because, if we can- from Oregon yield for a moment? one figure $35 million and putting in not enact these cuts, I wonder what is Mr. HATFIELD. I withdraw the re- $23 million. This does not change the going to happen when we take up budg- quest for a quorum call. basic content of the amendment. It was et reconciliation and we have to con- Mr. WELLSTONE. Mr. President, I inaccurately drafted. sider some really important and dif- just want to thank Senator HATFIELD I ask that it be modified. ficult reductions in the Federal budget. for his graciousness in our negotia- The PRESIDING OFFICER. Without I am not positive we will have the tions. I wanted to say to the Senator objection, it is so ordered. courage to do so, particularly in light and to my colleagues that this pro- The amendment is so modified. of the rejection of the so-called fresh- gram, the insurance information coun- The amendment (No. 578), as modi- men amendment. fied, is as follows: seling and assistance grant program, On page 9, line 16, strike ‘‘$13,000,000’’ and I point out, in the compromise again, is a program that we have in insert ‘‘$15,000,000’’. amendment, there are some good pro- every single State, with seniors receiv- On page 9, line 12, strike ‘‘$25,100,000’’ and grams. I think they are very nice to ing assistance from trained volunteers insert ‘‘$23,100,000’’. have these programs. These add-backs

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00085 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5358 CONGRESSIONAL RECORD — SENATE April 6, 1995 all have nice-sounding names to them, transfer $40.5 million from the Board has argued that taxpayer funds should like TRIO and substance abuse and for International Broadcasting and not be used to support public radio and mental health and Goals 2000 and Radio Free Europe/Radio Liberty, Inc. television. I disagree. Public radio and school-to-work, et cetera, et cetera. to the Corporation for Public Broad- television are among the finest invest- But Mr. President, the question is casting and the seniors community ments made by this Government. They where the role of Government ends and service program because I believe they are an investment in the education of our obligation to the American people are higher national priorities than our people. But, if the other side is ar- to balance the budget begins. overseas broadcasting is. guing against taxpayer support for I am particularly pained by the so- Last year I led the fight to reduce public radio for Americans, how can called offsets that are in this amend- RFE/RL’s budget from $220 to $75 mil- they justify taxpayer support for Radio ment, because the majority of the off- lion—by two-thirds—and to slash their Free Europe. And, in this bill that the sets, about $1.2 billion of the $1.6 bil- outrageous management perks because Appropriations Committee reported lion, are contained in two so-called off- I believe that RFE/RL is a cold war they have even proposed supplemental sets. One is for the HUD section 8 relic, which also suffered from terribly funding for Radio Free Europe while project reserves and the other is for sloppy fiscal management in the past. I they are proposing rescissions in the airport improvement. Both of those do have some concerns about this for- Corporation for Public Broadcasting. funds will have to be replenished with- mula, however, That simply doesn’t make sense. in the next 6 months. During the debate on consolidation So the fact is what we have done is last year, we discovered that because of One of President Clinton’s first rein- add back $834 million and really only contractual obligations that the BIB venting government proposals was to subtract from that around a couple never should have entered into on be- phase out Radio Free Europe and to hundred million. So the offsets are illu- half of the U.S. Government, we have consolidate it with the Voice of Amer- sory. The offsets are not meaningful. to spend some money this year in order ica. This country spends over $320 mil- And it was interesting that Radio to cap RFE/RL at $75 million next lion per year for the Voice of America’s Free Europe and foreign operations year. It seems to make little sense, but operations and facilities, and almost were two of the major so-called savings I have done the math many times, and $230 million per year for Radio Free in offsets, neither of which have any unfortunately, concluded that these Europe. domestic constituencies. The other one sums are necessary if we are to We did not phase-out Radio Free Eu- that I see here was Federal administra- downsize. It actually demonstrates how rope. They conducted an impressive tion and travel, which is always a con- this organization ran amok for years lobbying campaign to continue their venient one. If anyone believes that under the guise of national security in- existence, and the administration there will be a $337 million reduction in terests. In any case, I am concerned backed down. It agreed to reduce the Federal administration and travel that that if BIB funds are rescinded this Radios, but not to end their operation. is unspecified, I would say they have year, we may not be able to reduce But, times are changing. The world more optimism about the Federal bu- fully to $75 million next year. has changed. The cold war has ended. reaucracy’s reactions to the mandates At the same time, I think CPB is a Many of the nations in Eastern Europe of Congress than I have seen in the far better investment that so-called and the former Soviet Union had devel- past. surrogate broadcasting—particularly The PRESIDING OFFICER. The Sen- when we already have radio services to oped their own media and radio sta- ator’s 4 minutes have expired. the transitioning democracies through tions, and without jamming, they now Mr. McCAIN. I did not ask for unani- the Voice of America. I am carefully had access to the BBC, CNN, Sky Tele- mous consent. monitoring RFE/RL’s budgeting and vision, and other Western media. Just The PRESIDING OFFICER. We are expenditures. If their request exceeds last week the Washington Post carried under controlled time. $75 million next year, I will be the first an article discussing Russia since the Mr. McCAIN. I ask unanimous con- to propose their termination. fall of communism. While the article sent for an additional 2 minutes. Mr. HOLLINGS. Mr. President, I sup- bemoaned the outbreak of organized The PRESIDING OFFICER. Without port the amendment to reduce funding crime, it also noted that Russia has de- objection, it is so ordered. for Radio Free Europe and to restore veloped a vigorous, and free mass Mr. McCAIN. I am sorry for taking so $40.5 million for programs cut in this media. much time. bill before us. Specifically, this amend- And, as everyone can see from this I believe it is important for us to rec- ment would restore: $26 million for the rescission bill, times have changed ognize the effort that was made by the Corporation for Public Broadcasting; here at home too. We have before us a freshman Senators. I think it is dis- $14.4 million for the Community Serv- $13 billion rescission bill. We are cut- appointing that they did not succeed. I ices Program for Older Americans. ting programs that Americans rely on. urge them to continue in their efforts, Mr. President, for many years, I have because I think they best reflect the been a supporter of the continued oper- Mr. President, in the budget game, in views, aspirations, and hopes of the ation of Radio Free Europe. Every year the appropriations business, we are American people, as expressed on No- as chairman of the Appropriations Sub- continually involved in a process of vember 8. committee, I supported the Board for setting priorities—of determining what I am disappointed in this so-called International Broadcasting’s appro- is more important than something else. compromise. I hope that in the future priations. But, now I look at this re- And, when I look at the programs that we will not agree to such compromises scission bill and I look at the reduc- Senator HARKIN, Senator LEAHY, and again. tions that are proposed for programs Senator REID have suggested in this Mr. President, I had yield back the like the Corporation for Public Broad- amendment, for this Senator, there is remainder of my time. casting, the National Oceanic and At- no contest. They clearly are higher pri- I suggest the absence of a quorum. mospheric Administration, programs ority than continuing radio stations The PRESIDING OFFICER. The to prevent the use of illegal narcotics, for Europe. clerk will call the roll. and programs that serve the elderly There is no one in this room that The assistant legislative clerk pro- and children—all programs that serve does not think the Older Americans ceeded to call the roll. Americans here at home—and I can no Act Community Service Employment Mr. KENNEDY. Mr. President, I ask longer support the appropriations for Program has been a success. The aver- unanimous consent that the order for the radios. Programs for Americans age participant is a 68-year-old woman the quorum call be rescinded. here at home should and must have a who has just lost her husband and has The PRESIDING OFFICER. Without higher priority. little or no work history outside the objection, it is so ordered. I have listened to the attacks on the home. There are both elderly men and AMENDMENT NO. 579 Corporation for Public Broadcasting, elderly women in the program, but this Mr. FEINGOLD. Mr. President, I on support for National Public Radio is the typical situation. All of the par- voted for the Harkin amendment to and Public Television. The other side ticipants are low income by definition.

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00086 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5359 This program provides a grant to payments to American citizens—from Free Europe had in beaming a message nonprofit organizations to train par- the young worker to the older retiree— of hope and freedom to those striving ticipants and to place them in jobs. Ini- increases which indeed have driven our for democracy. It is said by some that, tially, the program supports them at deficit to near extremity, one always now that the wall has come down, RFE the minimum wage. For those who hears the same old refrain in response: has outlived its usefulness. But we have good work skills, it moves them ‘‘What are you going to do about for- have seen eloquent testimony that this into full-time, unsubsidized employ- eign aid? What about Congressional is not the case. ment. For the others, it provides either perks?’’ Indeed, Radio Free Europe has moved formal or on-the-job training to pre- Of course, spending on those two its base of operations precisely because pare for employment. items amounts to less than 1 percent of President Havel of the Czech Republic n any case, the work done by these the budget. But as long as some of it is offered them various forms of subsidy seniors in libraries, home health agen- still there, one can always gain a few assistance if only they would relocate cies, child care centers, and other pub- more political points by taking a little in Prague. That’s what he personally lic, nonprofit, and private jobs is an ab- bit more out of international spending, feels about Radio Free Europe’s useful- solute boon to the community and to and spending a little bit more on the ness in the post-Cold War World. If the the taxpayer. It would be pennywise domestic side. charge was to be made that Radio Free and pound foolish to send these low-in- Now, I come to this issue from an un- Europe was too expensive, then the come senior citizens to the welfare line usual stance, which I would hope the people of Central Europe were willing instead of letting them do work that is Senator from Iowa appreciates. Unlike to chip in their own bucks and give needed for the minimum wage. some of my colleagues on the Repub- some help in order to enable it to stay. Furthermore, we are talking in com- lican side, I fully support public broad- Radio Free Europe has kept its oper- mittee about getting people off of wel- casting. I think it is especially valu- ation up-to-date and relevant. It re- fare and into work, and here on the able in a rural State such as my own, mains a tremendous source of reliable Senate floor we are cutting a program where we simply do not have the mar- information on many subjects of inter- that does just that. ket power to make available to our national import, often giving more Mr. President, 16,000 elderly people citizens all of the best that commercial timely and profound coverage of events are being supported at the minimum programming has to offer in a cost-ef- that the commercial news services. wage nationwide through the Commu- fective way. They have managed to stay ahead of nity Service Employment for Older But despite my general support for the game in a number of areas of par- Americans Program. There are 900 in public broadcasting, I oppose this ticular movement and importance in South Carolina alone, and we will cut amendment. It would take $40.5 million recent years—reports on the evolution 106 if this amendment fails. The dig- out of Radio Free Europe in order to of ethnic tensions as well as bur- nity of these elderly people is certainly make it available for other domestic geoning controversies in economic and more important than overextending programs. military matters. They provide trans- our past commitment to taxpayer- The first point I would make is that lations of articles in major inter- funded European radio. there has been a series of amendments national newspapers, and academic Mr. President, Senator HELMS, chair- here from the other side of the aisle, analysis of events that cannot always man of the Foreign Relations Com- each of them designed to score big po- be found in commercial papers and mittee, and Senator SNOWE have pro- litical brownie points by giving more broadcasts. posed a major reorganization of our money to children, to the poor, to the In a budget in which we devote less international affairs agencies. They elderly. They’re trying to make the than 1 percent of our resources to try- are, at this time, considering major re- crude charge stick, that somehow Re- ing to affect the course of events be- ductions in international affairs agen- publicans are wreaking havoc upon all yond our borders in a way that is bene- cies. Their proposed organization chart these programs. ficial to us, it seems to me to be very for the reinvented Department of State It is a war of symbolism, and it is pennywise and pound foolish, to take includes an ‘‘America Desk.’’ Well, it is being waged by various feints, jabs and yet another whack at something which clear to me that time has run out for deceptions. I would say to my col- is so inexpensive to the taxpayer—in- Radio Free Europe, and we could well leagues over there on that side that I deed becoming less expensive as a re- help their reorganization effort at this believe this tactic is getting quite worn sult of the recent decision to move— time. Clearly, Radio Free Europe no and tired. The press, believe it or not, simply to make the sudden, cynical po- longer can pass the ‘‘America Desk’’ is beginning to figure this one out. litical point that the loyal advocates of review. They did fall a bit for the school lunch the amendment stand for more spend- I commend Senators HARKIN, LEAHY, sophistry, buying the notion that we ing for the downtrodden. and REID for bringing this amendment were snatching the food out of chil- So I regret to say to the Senator to the Senate. Phasing out Radio Free dren’s mouths, simply by giving the from Iowa that I cannot support his Europe is a tough decision to make. States more control over that program. amendment. I would say to him and to But, it is far preferable to the other re- But increasingly they are starting to the rest of this chamber that if we are ductions that have been proposed in understand what is a cut and what is a squeezing funding for the programs this rescission bill. slower rate of increase. That’s what we that he has attempted to provide for I urge the adoption of the amend- are proposing with all domestic and here, it is not spending on Radio Free ment. welfare spending generally—and if the Europe that has caused the difficulty. Mr. SIMPSON. Mr. President, I rise American public can’t figure that one Come the year 2013, unless we do some- in strong opposition to the pending simple gem of logic out, then they are, thing about entitlement spending, we amendment proposed by the Senator all of them, going straight to the poor- not only will not have money for Radio from Iowa. house themselves. Free Europe, but for national defense, Let me first state that I fully under- So that’s what gives rise to these highways, prisons—turn them all stand the valid impulses that give rise partisan amendments. And of course, if loose—upkeep of the national parks— to an amendment such as this. It takes you want to get some money for the nothing. So we should turn the spot- money from Radio Free Europe, and ragged and downtrodden, there is no light onto the spending that got us puts it into a small number of other more politically popular place to get it here and we’ll be looking for the Sen- domestic spending categories, some of than something that smacks of the evil ator’s vote, otherwise we won’t be able them bringing benefits to children and term ‘‘foreign aid’’—as in Radio Free to fund any of the programs that the to the elderly. Europe. Senator from Iowa or anyone else cares The point being made is clear. It is I would say that the U.S. is still get- about. one that we always hear whenever we ting a very fine return on its invest- Mr. KENNEDY. Mr. President, I will go to our town meetings. If a Senator ment in Radio Free Europe. One thing just take one or two moments at this such as myself stands up to describe that the collapse of the Berlin Wall has time, prior to the time that we are the vast increases in direct transfer shown to us is the power that Radio going to have a final vote on this issue

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00087 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5360 CONGRESSIONAL RECORD — SENATE April 6, 1995 on the rescissions, to, first of all, ex- service program. While we have had funding levels are not what I would press my own deep personal apprecia- some debate and discussion on that certainly like to see in these areas, the tion for the leadership of Senator measure, I wish we had had the chance areas nonetheless where there has been DASCHLE, on our side, over the course to go into greater detail on the ex- the greatest restorations have been in of this debate and his perseverance in traordinary contributions that so children and in education. I think that pursuing the restoration of extremely many of the young people in this coun- that is what the American people important funding that had been cut in try are involved in through community would want. I know that these are the areas which were targeted on chil- service. what we will want as we go through the dren and on education. There is close If there was really a failing during process of prioritizing this Nation’s to a billion dollars which has been re- the period of the 1980’s, and we all have needs. We will keep them on the front turned to this measure as a direct re- our list of shortcomings in national burner. sult of his strong commitment and policy, I think one of the important Mr. President, I yield the floor. areas was the failure to offer a vehicle work over these past days. Mr. DOLE. Mr. President, by my cal- and an avenue for young people, par- Many of us were prepared to have ex- culation, we should be voting by now. ticularly, to give something back to tended debate on priorities, which I Could I be advised why we are still their community in the form of vol- think the rescission issue basically talking? brings forward, to try and reflect in untary service. We didn’t give them an The PRESIDING OFFICER. We still this body what we think are the real opportunity to repay what the commu- have another amendment to be offered, priorities of the American people with nity has done for them. the managers’ amendment. regard to children and with regard to Under the leadership of President education. Clinton, we have seen service programs Mr. DOLE. Is anybody entitled to We know that over this year and in growing, not only in the AmeriCorps time on the managers’ amendment, or the future, we are going to have to be programs, but the other programs are the managers entitled to time? much sharper in prioritizing this coun- which are creating an opportunity for The PRESIDING OFFICER. There is try’s expenditures. Funding in and of service while students are in school, a total of 15 minutes remaining on the itself is not necessarily the answer to from kindergarten through high managers’ amendment. all of our problems, but it is a pretty schools. In my State of Massachusetts, Mr. DOLE. I just say to my col- clear reflection of a nation’s priorities. enormously impressive programs are leagues, if they want to stay here all This is particularly true when we are taking place. night, that is fine. But we are going to I was talking recently to the service talking about a number of the different come back in the morning if we cannot learning director of the community items that were included in the meas- close this down in about 5 minutes. service programs, and she mentioned ure which was supported by Senator It is about 10 o’clock. Most every- that Massachusetts is one of the top DASCHLE and others, including some body is here tomorrow, and we will States in taking advantage of the serv- Members from the other side of the come back if we cannot conclude this, ice learning programs. aisle. We could go on about other programs come back tomorrow morning. If ev- I am speaking about the restoration restored—the TRIO program—and erybody needs to talk, let them talk of the funds at Head Start, Chapter 1, about some that were not, such as the and we will come back and vote tomor- and the day care programs, which are technology programs, which are so im- row morning. so important for working families, par- portant in making sure young people Mr. President, why can we not pro- ticularly working mothers, and are an are going to be able to get the best in ceed to vote on the Harkin amend- indispensable part of our planning if we terms of new technology, and not only ment? are trying to be serious about welfare technology but training programs in The PRESIDING OFFICER. The reform. I should also note the return of the use of these technologies. All of unanimous consent provided that the the funding on the Goals 2000, which these are enormously important. votes would be stacked. will help some 1,300 schools to move We are going to have debates on VOTE ON AMENDMENT NO. 579 ahead in terms of enhancing academic these measures as to funding levels in Mr. DOLE. I ask unanimous consent achievement and accomplishment. the future. But we want to make very that we now proceed to vote on the Those were extremely important pro- clear in this body and to the country Harkin amendment. grams. Other important measures that that there are going to be a number of were restored include the School-to- Members that will stand for the chil- The PRESIDING OFFICER. Without Work Program, which will provide ad- dren, stand for education, stand for in- objection, it is so ordered. ditional opportunities for the 70 per- vesting in the future of this country by The question is on agreeing to the cent of the young people that do not go doing all that we can to strengthen the Harkin amendment No. 579. On this on to college and are facing dead-end support for the youngest and the most question, the yeas and nays have been jobs when they get out of high school. vulnerable. We will support children in requested, and the clerk will call the Because of the School-to-Work Pro- the Head Start programs and support roll. gram that was passed last year and strengthening our education system. The legislative clerk called the roll. strongly supported with the leadership Another issue we will watch closely Mr. FORD: I announce that the Sen- of President Clinton, we were able to will be aid to college students. We ator from Maryland [Ms. MIKULSKI] is work through a partnership with public must ensure that young people that are necessarily absent. and private sectors to try to offer a taking advantage of the student loan The PRESIDING OFFICER. Are there greater opportunity for young people. programs, work study programs, and any other Senators in the Chamber de- That, I think, is important. other higher education programs which siring to vote? I know that Senator KASSEBAUM is have been targeted by Republicans over The result was announced—yeas 46, working through the restructuring and in the House of Representatives are not nays 53, as follows: reorganizing of our youth training pro- hurt by Republican cuts. We must grams, and the role of the School-to- make sure the Republicans bent on [Rollcall Vote No. 131 Leg.] Work Program may very well be—I be- eliminating these programs are not YEAS—46 lieve will be—the center focus of re- going to be successful. Akaka Dorgan Johnston form of youth training. It will also help I believe that there is a bipartisan Baucus Exon Kennedy in redesigning the outreach to the coalition for education. Perhaps, had Bingaman Feingold Kerrey some 400,000 young people who drop out Boxer Feinstein Kerry we had more votes on education it Breaux Ford Kohl of school every year. With this pro- would have been reflected in the course Bryan Glenn Lautenberg gram and some of the other efforts, of this debate, but I believe it is there. Bumpers Graham Leahy these dropouts may be brought back It will be tested over the period of Byrd Grassley Levin Cohen Harkin Lieberman into the educational system. these future months. Conrad Heflin Moseley-Braun Finally, I want to mention the res- I do think in this early skirmish that Daschle Hollings Moynihan toration of funding for the national it is very clear that even though the Dodd Inouye Murray

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00088 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5361 Pryor Roth Warner appropriate place. And I yield to the terms and conditions and for the full term of Reid Sarbanes Wellstone ranking member of the committee. the expired or waived permit. Upon comple- Robb Simon tion of the scheduled NEPA analysis and de- Rockefeller Snowe Mr. BYRD. Mr. President, reserving the right to object, I shall not object, cision for the allotment, the terms and con- NAYS—53 ditions of existing grazing permits may be these amendments have been cleared modified or re-issued, if necessary to con- Abraham Faircloth McCain on this side and they are fully offset. Ashcroft Frist McConnell form to such NEPA analysis. Bennett Gorton Murkowski The PRESIDING OFFICER. Without (c) EXPIRED PERMITS—This section shall Biden Gramm Nickles objection, it is so ordered. only apply to permits which were not ex- Bond Grams Nunn The clerk will report. tended or replaced with a new term grazing Bradley Gregg Packwood The legislative clerk read as follows: permit solely because the analysis required Brown Hatch Pell by NEPA and other applicable laws has not Burns Hatfield Pressler The Senator from Oregon [Mr. HATFIELD], Campbell Helms been completed and also shall include per- Santorum proposes amendments numbered 580 through Chafee Hutchison mits that expired in 1994 and 1995 before the Shelby 592, en bloc. Coats Inhofe date of enactment of this Act. Simpson Cochran Jeffords The amendments en bloc are as fol- AMENDMENT NO. 585 Coverdell Kassebaum Smith lows: Craig Kempthorne Specter (Purpose: To address issues of equity in AMENDMENT NO. 580 D’Amato Kyl Stevens rehiring former Federal employees) DeWine Lott Thomas (Offered by Mr. HATFIELD, for himself and (Offered by Mr. HATFIELD, for Mr. MCCAIN.) Dole Lugar Thompson Mr. BYRD.) In title II—General Provisions, SEC. 2001 Domenici Mack Thurmond On page 26, line 12, reduce the sum named Timber Sales, add the following to the end of NOT VOTING—1 by ‘‘200,000,000’’. subsection (6) SALE PREPARATION: The On page 26, line 20, reduce the sum named Director of the Office of Personnel Manage- Mikulski by ‘‘$200,000,000’’. ment, and the Secretary of the relevant De- So the amendment (No. 579) was re- On page 27, line 21, strike ‘‘$3,221,397,000’’ partment, shall provide a summary report to jected. and insert in lieu thereof: ‘‘$3,201,397,000’’. the governmental affairs committees of the Mr. HATFIELD. Mr. President, I AMENDMENT NO. 581 House and Senate regarding the number of move to reconsider the vote. In Amendment number 437 to Amendment incentive payment recipients who were re- Mr. LOTT. I move to lay that motion 435 strike the following: hired, their terms of reemployment, their job ‘‘Of the funds made available under this classifications, and an explanation, in the on the table. judgment of the agencies, of how such reem- The motion to lay on the table was heading in Public Laws 101–136, 101–509, 102– 27, 102–141, 102–393, 103–123, 103–329, ployment without repayment of the incen- agreed to. tive payments received is consistent with Mr. HATFIELD. Mr. President, may $1,842,885,000 are rescinded from the following projects in the following amounts:’’ the original waiver provision of P.L. 103–226. This report shall not be conducted in a we have order. and insert in lieu, thereof: manner that would delay the rehiring of any The PRESIDING OFFICER. The Sen- ‘‘Of the funds made available under this former employees under this Act, or effect ate will come to order. heading in Public Laws 101–136, 101–509, 102– the normal confidentiality of federal em- The Senator from Oregon. 27, 102–141, 102–393, 103–123, 103–329, ployees. Mr. HATFIELD. I ask unanimous $1,894,840,000 are rescinded from the following projects in the following amounts:’’ Mr. MCCAIN. Mr. President, I would consent to make a technical correction like to make a few brief comments to to an amendment previously offered by and strike: ‘‘Tucson, Federal building, U.S. Court- describe the intent of the amendment I Senator GORTON and adopted by the house, $121,890,000’’ have offered today to S. 619. It address- Senate. It is a technical correction be- and insert in lieu thereof: es my concerns about the rehiring of cause the amendment is flawed. ‘‘Tucson, Federal building, U.S. Court- former Federal employees who received The PRESIDING OFFICER. The Sen- house, $80,974,000’’. a voluntary separation incentive pay- ate will be in order. The Senator will AMENDMENT NO. 582 ment to leave the Federal service, but suspend until the Senate is in order. On page 44 line 16 insert: now will be rehired under the provi- Without objection, the amendment is ‘‘: Provided further, Of the available con- sions of this bill. so modified. tract authority balances under this hearing Under the terms of the ‘‘Federal AMENDMENTS NOS. 580 THROUGH 592, EN BLOC in Public Law 97–424, $13,340,000 are re- Workforce Restructuring Act’’—popu- scinded; and of the available balances under Mr. HATFIELD. Now, Mr. President, larly known as the buyout bill—Fed- I would like to have the attention of this heading in Public Law 100–17, $126,608,000 are rescinded.’’ eral employees could receive an incen- the body. AMENDMENT NO. 583 tive payment as high as $25,000 if they Mr. President, this is the last act for voluntarily agreed to leave their agen- this bill except final passage, and this (Purpose: To restore funding for the pur- chase of buses and the construction of bus- cy. These buyouts will help achieve a is referred to as a managers’ wrap-up. related facilities as authorized under sec- reduction in the Federal work force of What we have done is incorporate into tion 3 of the Federal Transit Act) approximately 275,000 employees, which this one action amendments that have (Offered by Mr. HATFIELD, for Mr. LAUTEN- will significantly reduce the size of our been agreed to on both sides. If there is BERG.) Federal bureaucracy and save tax- any additional money, it is fully offset. On page 43, line 17, strike the numeral and payers hundreds of millions of dollars. So it is totally deficit neutral. And in- insert ‘‘$1,318,000,000.’’ After receiving such a buyout, the stead of having them offered one at a On page 46, strike all beginning on line 6 Federal employee would be barred from time, we are offering them en bloc. Let through the end of line 11. rejoining the Federal work force for 5 me enumerate them because those of AMENDMENT NO. 584 years. A special waiver provision af- you who have such amendments make (Offered by Mr. HATFIELD, for Mr. BURNS.) forded former employees with unique certain that we have incorporated At the appropriate place insert the fol- capabilities to be rehired by a Federal them. The following list: HATFIELD has lowing: agency if no other qualified individual three, LAUTENBERG, BURNS, MCCAIN, (a) SCHEDULE FOR NEPA COMPLIANCE—Each was available. National Forest System unit shall establish JEFFORDS, PELL, KENNEDY, AKAKA, an adhere to a schedule for the completion of I supported this legislation, and am KEMPTHORNE, INOUYE, and WELLSTONE. National Environmental Policy Act of 1969 pleased that it has already helped re- Now, that is our listing of all of the (42 U.S.C. 4321 et seq.) analysis and decisions duce the Federal work force by some amendments that have been agreed to, on all allotments within the National Forest 30,000 employees. I am concerned, how- cleared. System unit for which NEPA analysis is ever, by one provision of the recissions Mr. President, I ask unanimous con- needed. The schedule shall provide that not bill before us today that would allow sent that the amendments be consid- more than 20 percent of the allotments shall individuals who received a buyout pay- ered and agreed to en bloc and that mo- undergo NEPA analysis and decisions ment to be rehired without having to tions to reconsider votes by which through Fiscal Year 96. (b) * * * other law, term grazing permits either repay their buyout, or meet the these amendments were agreed to be which expire or are waived before the NEPA terms of the existing waiver provision. laid upon the table en bloc and any analysis and decision pursuant to the sched- Mr. President, I recognize the need statements with regard to the amend- ule developed by individual Forest Service for highly qualified individuals to be ments be placed in the RECORD at the System units, shall be issued on the same brought back to Federal service with

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00089 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5362 CONGRESSIONAL RECORD — SENATE April 6, 1995 the Bureau of Land Management and AMENDMENT NO. 587 At the appropriate place in the bill the Forest Service to assist with new (Purpose: To provide continued funding for insert the following: timber harvests. They must be brought the national center for research in voca- Notwithstanding any other provision of back quickly, and are likely to be re- tional education) this Act, administrative expenses & travel employed for a fairly short period of (Offered by Mr. HATFIELD for Mr. PELL.) shall further be reduced by $5,500,000. time. On page 33, line 9, strike ‘‘$236,417,000’’ and So the amendments (No. 580 through insert ‘‘$242,417,000’’. I do believe, however, that the agen- On page 33, line 14, strike ‘‘$8,900,000’’ and 592) were agreed to. cies rehiring these individuals should insert ‘‘$14,900,000’’. Mr. HATFIELD. I thank the Chair. advise the Congress on the extent of On page 34, line 4, strike ‘‘$60,566,000’’ and I move to reconsider the vote by former Federal employees who received insert ‘‘$54,566,000’’. which the amendments were agreed to. a buyout and have been rehired. We On page 34, line 7, strike ‘‘$8,891,000’’ and insert ‘‘$2,891,000’’. Mr. STEVENS. I move to lay that have a responsibility to ensure that the motion on the table. spirit of the buyout legislation is not AMENDMENT NO. 588 (Offered by Mr. HATFIELD, for Mr. KEN- The motion to lay on the table was abrogated by this new rehiring author- agreed to. ity. Furthermore, it would be wise for NEDY.) On page 36 after line 5, insert: MARKET PROMOTION the Congress to monitor that the tax- ‘‘PROGRAM ADMINISTRATION. payers investment in this buyout pro- Mr. LAUTENBERG. Mr. President, I (RESCISSION) gram is not improperly utilized. rise to express my outrage at the provi- Of the funds made available under this sion in this rescission bill that would My amendment is intended to allow heading in Public Law 103–333, $4,424,000 are increase funding for the Market Pro- the Congress to fulfill these obliga- rescinded.’’ motion Program by $25 million in fiscal tions. It would require OPM and the On page 34, line 18, Strike $57,783,000 and year 1995. A provision that would in- relevant Federal Department to advise insert in lieu ‘‘$53,359,000’’. crease subsidies for major corpora- the Governmental Affairs Committees On Page 35, line 2, strike $6,424,000, and in- tions, at the same time that we are of the House and Senate their use of sert in lieu of ‘‘$2,000,000’’. cutting billions from programs that are the rehiring authority established in S. AMENDMENT NO. 589 vital to our Nation’s children. 619. More importantly, it will require (Purpose: To restore certain funding for the these agencies to explain how rehiring demonstration partnership program which My opposition to the Market Pro- buyout recipients without a repayment is administered by the Office of Commu- motion Program is long-standing. I do nity Services within the Administration not believe that the U.S. Government of their separation incentive award is for Children and Families) consistent with the original waiver should be spending $100 million a year (Offered by Mr. HATFIELD, for Mr. AKAKA.) provision of Public Law 103–226. to subsidize overseas advertising by On page 31, strike line 9 and insert the fol- large corporations. This requirement will provide the lowing: ‘‘Public Law 103–333, $10,988,000 are In recent years, the Market Pro- Congress with some idea of not only rescinded.’’. motion Program has used taxpayer how many former Federal employees On page 31, between lines 9 and 10, insert the following: money to subsidizes such corporations who received a taxpayer funded buyout ‘‘Of the funds made available under this as McDonalds, Miller Beer, Sun Maid have been rehired, but also whether heading in Public Law 103–333 and reserved Raisins, and General Mills: hardly their reemployment truly meets the by the Secretary pursuant to section struggling corporations in need of Gov- congressional requirement of highly 674(a)(1) of the Community Services Block ernment largesse. skilled individuals, and a shortage of Grant Act, $1,900,000 are rescinded.’’ similarly talented candidates. I do not On page 32, line 5, strike $2,918,000’’ and in- It would be a travesty for the Senate want to see the expedited rehiring au- sert ‘‘$4,018,000’’. to increase spending on this wasteful thority established in this bill to be AMENDMENT NO. 590 program while we are considering bil- used in such a manner that undermines (Purpose: To make an appropriation for the lions of dollars in cuts from far more the merits and purpose of the cash Advisory Commission on Intergovern- important programs in the fiscal year awards given to individuals. mental Relations and to increase the re- 1995 budget. scission amount for diplomatic and con- How can we cut housing assistance I think it is important that we treat sular programs) for low-income families and seniors rehired Federal employees fairly in (Offered by Mr. HATFIELD, for Mr. KEMP- while we increase subsidies for large this regard, but we also need to ensure THORNE.) corporations? that taxpayers are protected due to the On page 11, line 19, strike ‘‘$2,000,000 are re- fact that they have paid for the cash scinded.’’ and insert the following: $2,500,000 How can the U.S. Senate cut the buyouts that have been awarded. After are rescinded. Head Start Program, the Youth Train- all, these voluntary separation pay- ADVISORY COMMISSION ON ing program, the National Service Pro- ments are intended to downsize the bu- INTERGOVERNMENTAL RELATIONS gram, the Safe and Drug Free School reaucracy, and save taxpayers money. For the Advisory Commission on Intergov- Zones program, Child Care, Education, Individuals should not be able to take ernmental Relations for purposes of section and so many other programs that ben- advantage of large buyout bonuses and 306 of the Unfunded Mandates Reform Act of efit our Nation’s children and families, 1995 (Public Law 104–4), $500,000. then reenter the Federal service except help hard-working Americans, and pre- AMENDMENT NO. 591 under very special circumstances. vent drug abuse and crime? How can we (Purpose: To strike the provision that pro- cut all those programs and then turn This amendment will help the Con- hibits the application of the Davis-Bacon around and increase funding for multi- gress evaluate this rehiring program as Act to any contract associated with the national corporations? it proceeds, without hindering the For- construction of facilities for the National Mr. President, this is wrong. Dead est Service or the BLM in their legiti- Museum of the American Indian) wrong. The market promotion program mate efforts to bring skilled individ- (Offered by Mr. HATFIELD, for Mr. INOUYE.) should not be increased. It should be uals back into their work force on a In chapter V of title I, under the heading eliminated. If we can cut funding for short-term basis. ‘‘CONSTRUCTION’’ under the heading ‘‘SMITH- SONIAN INSTITUTION’’ under the heading child nutrition programs and elderly Mr. President, I want to thank Sen- ‘‘OTHER RELATED AGENCIES’’ strike ‘‘: housing, we certainly can ask billion- ator GORTON, Senator HATFIELD, and Provided further, That notwithstanding any dollar multinational corporations to do Senator BYRD for their assistance and other provision of law, the provisions of the their fair share as well. acceptance of this amendment. Davis-Bacon Act shall not apply to any con- I recently introduced legislation that tract associated with the consideration of fa- AMENDMENT NO. 586 cilities for the National Museum of the would eliminate the Market Promotion (Offered by Mr. HATFIELD for Mr. JEF- American Indian.’’. Program and several other wasteful FORDS.) AMENDMENT NO. 592 subsidy programs operated by the De- partment of Agriculture. I am pleased On page 14, line 12 strike $81,500,000 and in- (Offered by Mr. HATFIELD, FOR MR. sert ‘‘$71,500,000’’. WELLSTONE) that the Senate has an opportunity On page 13, strike the figure on line 24 and On page 29, line 16, strike ‘‘$2,185,935,000’’ today to cut some real waste out of the insert ‘‘$60,000,000’’. and insert in lieu thereof $2,191,435,000’’. Federal budget.

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00090 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5363 I hope that my colleagues in the Sen- budget. There were 101 donors to the foreign policy programs. Along with ate will join with me in supporting the fund in 1993, most of which were devel- my distinguished colleagues, Senators Bumpers-Bryan amendment. oping nations. Japan and the United SIMPSON, CHAFEE, SIMON, and others, I FUNDING FOR THE UNITED NATIONS POPULATION States are the leading contributors to believe a direct and substantial benefit FUND [UNFPA] the fund with the Nordic countries not flows to the United States from our Mr. SIMPSON. Mr. President, I rise lagging far behind. UNFPA assistance modest investment in sustainable de- today to reaffirm my full support for goes to over 140 countries and terri- velopment and population efforts. I am U.S. funding for the U.N. Population tories across the world. It would cer- pleased the Senate bill rejects specific Fund [UNFPA]. President Clinton re- tainly be a real shame if the United cuts to these vital programs and in- sumed funding for the Population Fund States were to back away from its stead attempts to minimize harm to last year after a 7 year suspension dur- commitment to the world’s largest on-going, cost-effective foreign assist- ing the Reagan and Bush administra- source of material assistance for popu- ance programs. tions. Last year, Congress appropriated lation programs. Mr. President, I disagree with certain $40 million for the fund, and $50 million Mr. CHAFEE, Mr. President, I want provisions of the bill before us. None- was appropriated for 1995. Unfortu- to join my colleague from Wyoming in theless, I want to commend the distin- nately—and I think unwisely—the expressing my strong support for the guished Chairman and Ranking Demo- House rescinded $25 million of the fund- United Nations Population Fund crat of the Senate Appropriations Com- ing in its emergency supplemental and (UNFPA). There are many challenges mittee, Senators HATFIELD and BYRD, rescissions bill. to be faced in the next century with re- and the distinguished Chairman and With Senator HATFIELD’S couragous gard to global population growth, and Ranking Democrat of the Appropria- support, the Senate did not rescind any international programs such as UNFPA tions Subcommittee on Foreign Oper- money for the fund in its bill. I am are critical to the world’s population ations, Senators MCCONNELL and most appreciative of my fine col- and development assistance efforts. LEAHY, for their very commendable ef- leagues, Senator HATFIELD and his ef- UNFPA, which receives funds from fort to make equitable rescissions in forts and longstanding support for some 101 donor nations, has had a U.S. foreign policy programs. international population stabilization somewhat tumultuous history in the It is significant that the cuts rec- activities including the UNFPA. US over the past decade. Indeed, ommended by the Foreign Operations I do understand that funding for all UNFPA funding was suspended alto- Subcommittee are not based on a fun- programs across the board needs to be gether during both the Reagan and the damental dislike for particular pro- reduced if we are to properly fund this Bush Administrations. grams. Nor are they driven by a belief supplemental bill. However, I do not Under the Clinton Administration, that one or two foreign aid programs want to see population programs un- modest funding for UNFPA has re- are unnecessary. Rather, the Sub- fairly targeted for larger reductions sumed. However, of the $50 million ap- committee’s recommendation of $100 than other foreign assistance pro- propriated for UNFPA in Fiscal Year million in general reductions to pro- grams. Reducing the Population Fund’s 1995, $25 million—or one-half—was re- grams within its jurisdiction reflects money by one-half is surely an unrea- scinded by the House of Representa- the laudable belief that deficit reduc- sonable reduction in funding. tives in its Emergency Supplemental tion can be achieved in a manner which This huge reduction in funding will and Rescissions Bill. minimizes harm to all programs. surely send exactly the wrong message Let me emphasize that in these dif- Over the next few weeks, as my col- to the rest of the developed nations ficult budgetary times, U.S. federal leagues on the Appropriations Com- across the world. Last year, the United spending, including U.S. contributions mittee take this bill to conference with States was seen as the world’s leader to international foreign assistance pro- the House, I urge them to remain firm- on population and development assist- grams such as UNFPA, need to be ad- ly committed to the Subcommittee’s ance at the International Conference justed accordingly. However, in this goal of making equitable rescissions in on Population and Development in process we must ensure that programs foreign policy programs. More specifi- Cairo. I was a congressional delegate at are not unfairly targeted for dispropor- cally, I urge them to resist House ef- the Conference aid I came away very tionate funding reductions. Moreover, I forts to target and cut vital population much impressed with the leadership believe it is important in this instance and development programs. and direction displayed by Vice Presi- to continue the U.S. leadership role Under the House-passed bill, popu- dent GORE and the assistance given that was demonstrated at the 1994 lation and development programs him by our former colleague, Under International Conference on Popu- would disproportionately bear the bur- Secretary of State Tim Wirth in guid- lation and Development in Cairo. den of foreign policy rescissions. Devel- ing the Conference and its delegates in For these reasons, I believe that a 50 opment assistance would be cut by developing a consensus document on a percent cut in funding for UNFPA is $45.5 million and population assistance broad-range of short- and long-term excessive, and thus unwise. I was would be targeted for $9 million in recommendations concerning maternal pleased, therefore, to find that the Sen- cuts. In my view, these cuts are ex- and child health care, strengthening ate rescissions package does not cut tremely shortsighted. In the long-term, family planning programs, the pro- the U.S. allocation for UNFPA. I par- they could end up costing the U.S. far motion of educational opportunities for ticularly want to commend and thank more than we would save in fiscal year girls and women, and improving the the Chairman of the Appropriations 1995. The Senate should remain firm in status and rights of women across the Committee, Senator HATFIELD, for rec- its commitment to making foreign pol- world. ognizing the importance of this inter- icy rescissions that are rationale and We surely do not want to lose our national effort. fair, and the House rescissions should moral leadership role and relinquish UNFPA will continue only if member be rejected in Conference. any momentum by abandoning or se- nations continue to provide it with From my perspective, attention to verely weakening our financial com- support. I believe that the United global population issues and support mitment to population and develop- States has a clear interest in the suc- for world-wide development is critical ment assistance. The United States cess of UNFPA and similar population to our future successes here in the needs to continue its global efforts to and development assistance efforts, United States. Because I so strongly achieve responsible and sustainable and I join with Senator SIMPSON and believe this, I joined with Senator population levels, and to back up that my other colleagues in urging the Sen- SIMPSON—and Congressman BEILENSON leadership with specific commitments ate to maintain U.S. support. and Congresswoman MORELLA—to in- to population planning activities. Mr. BINGAMAN. Mr. President, as troduce legislation called the ‘‘Inter- That is why it is so very important the Senate prepares to take final ac- national Population Stabilization and that we show our support by funding tion on H.R. 1158, I rise to draw the at- Reproductive Health Care Act,’’ S. 1096, the U.N. Population Fund. The fund is tention of my colleagues to the provi- in the 103rd Congress. Our bill, which supported entirely by voluntary con- sions of the bill and the Dole-Daschle we are revising for re-introduction in tributions, not by the U.N. regular amendment making rescissions in U.S. this Congress, would have focused U.S.

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00091 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5364 CONGRESSIONAL RECORD — SENATE April 6, 1995 foreign policy on a coordinated strat- nations are falling. We are witnessing provide: $42 million for the Head Start egy to help achieve world population the development of a truly global mar- Program which has successfully given stabilization; encourage global eco- ketplace. I believe that America can hundreds of thousands of pre-schoolers nomic development and self-determina- lead the way in this marketplace. But the chance to start school ready to tion; and improve the health and well- if we are to succeed, if we are to retain learn; $100 million for the Safe and being of women and their children. our competitiveness into the 21st cen- Drug Free Schools Program which is I believe these three objectives are tury, there must be a renewed commit- helping local school districts keep inextricably tied to one another. The ment to education in this country. drugs and guns out of our Nation’s $72 way I see it, all U.S. efforts to help de- Several international institutions million for the Chapter 1 Program velop economies and promote democ- recognized the increasing importance which has helped States and local racy around the world will be futile if of education just a few weeks ago at school districts meet the educational we do not first address the staggering the United Nations summit on social needs of economically disadvantaged rate of global population growth. How development when they urged devel- children for 30 years; $69.6 million for can we expect under-developed coun- oping nations to invest in education the goals 2000 program which is helping tries to pull themselves up when the rather than on defense. States create coherent frameworks for world’s population is growing at a rate In fact, for the first time in history, education reform founded on the na- of more than 10,000 people per hour? over 130 world leaders also agreed to a tional education goals; $30 million for When the women and men who make non-binding goal known as the 20–20 the school-to-work program which up a nation’s workforce pool do not proposal which recognizes that eco- helps States and local school districts even have the right to plan their fami- nomic and social problems have global improve the educational and employ- lies? And when millions of women consequences by creating immigration ment opportunities of our Nation’s around the world do not have access to problems, epidemics, markets too poor high school students who do not plan basic—and lifesaving—reproductive to buy exports, and economies too to attend college; $8.8 million for the health care or educational opportuni- risky for investors. immigrant education program which ties? This proposal encourages all donor helps local school districts meet the nations and international institutions Fortunately, national and inter- educational needs of recently arrived national awareness of two fundamental to earmark 20 percent of their foreign immigrant children; $16.3 million for concepts is growing: (1) population, aid for basic social needs including the impact aid program which com- poverty, patterns of production and education and health care. It also en- pensates local school districts for rev- consumption, and the environment are courages developing nations to allocate enue losses incurred due to removal of so closely interconnected that none 20 percent of their expenditures to the Federal property from local tax rolls; can be considered in isolation; and (2) same underfinanced sectors. $35 million for the WIC Program which sustained economic growth, sustain- Nonetheless, while leaders from provides important nutrition supple- able development and population are around the world were recognizing the ments to 6.5 million women, infants, fundamentally dependent on advances increasing importance of education, and children everyday—including more in the education, economic status and Members of the U.S. House of Rep- than 3 million children under 5; $100 empowerment of women. resentatives were busy passing H.R. Tonight, we in the Senate are re-af- 1158. If enacted, H.R. 1158 would rescind million for the Youth Training Pro- firming these principles, and we are re- $17 billion—including $1.7 billion in gram which helps States prepare youth jecting the House’s attempt to drag education funding for our Nation’s and young adults for high skill, high U.S. foreign policy backwards. I sin- children and $2.3 billion in job training wage careers; and $210 million for the cerely hope the Senate conferees carry funding for our Nation’s unemployed Americorps Program which provides a this message into Conference. I urge youth. $4,725 scholarship to individuals who them not to waiver from the Senate’s In fact, this legislation would also serve the educational, environmental, position on this issue. withdraw funding for all new education public safety, and human needs of our AMENDMENT NO. 445 initiatives—including the education in- communities. Ms. MOSELEY-BRAUN. Mr. Presi- frastructure act which I introduced By providing this needed and long dent, I rise today in strong support of last April to help local school boards overdue support, the Daschle amend- the amendment proposed by the minor- ensure the health and safety of their ment will begin to address our failure ity leader that would restore funding students. to adequately engage resources in be- for several important programs that Mr. President, I simply do not under- half of preparing our children for com- address the needs of our Nation’s chil- stand why some of my colleagues are petition in the emerging global econ- dren. so determined to slash funding for pro- omy. It will help our children to suc- Mr. President, the bill we are debat- grams that increase economic, social, ceed—to make a living, to participate ing here today, H.R. 1158, would rescind and educational opportunities for our in the community, to enjoy the arts, $13.4 billion in previously appropriated Nation’s children. According to the and to understand the technology that funds—including $600 million appro- Children’s Defense Fund, every day in has reshaped our workplace. This is in priated last year for Federal education America: 3 children die from child our children’s interest; this is in our programs. abuse; 15 children die from guns; 27 national interest. Needless to say, I am vehemently op- children die from poverty; 95 children Mr. President, I would like to con- posed to taking this kind of giant leap before their first birthday; 564 babies clude my remarks by urging my col- backward. In my view, it would be un- are born to women who had little or no leagues to support these investments conscionable for Congress to reduce the prenatal care; 2,217 teenagers drop out in our Nation’s children by voting for Federal Government’s share of public of school; 2,350 children are in adult the Daschle amendment. education funding which has already jails; 100,000 children are homeless; and fallen from 9.1 percent during the 1980– 135,000 children bring guns to school. Mr. KERRY. Mr. President, while 1981 school year to 5.6 percent during Although S. 617 would reduce our in- there are a number of features of the the 1993–1994 school year. vestment in our Nation’s children by Daschle amendment which signifi- It is vital to the interest of our Na- less than H.R. 1158, it still asks them to cantly improve this legislation, I would tion that we maintain quality public bear too much of the pain created by like to draw particular attention to education for everyone. Education is this effort to pay for emergency spend- two provisions that reinstate funding not just a private benefit but a public ing. the original bill intended to rescind— good. It is the cornerstone of a healthy The Daschle amendment would im- $14.7 million for the Substance Abuse democracy and, as a society, we all prove the bill by restoring $1.3 billion and Mental Health Services Adminis- benefit from a well educated citizenry. for some of the most important and tration [SAMHSA] and $100 million for We are currently experiencing a new successful education and job training the Safe and Drug-Free Schools Pro- era in economic competition. All over programs in this country. More specifi- gram—because it was my intention the world, barriers to trade between cally, the Daschle amendment would prior to their inclusion in the Daschle

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00092 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5365 amendment to offer amendments to re- istration. Substance abuse is linked to diers. This reality is only blocks away store these funds and to offset the con- half of all homicides, rapes, spousal from this Chamber, and is mirrored in sequent additional costs by rescinding abuse, and traffic fatalities. Substance towns across our country. And the par- funds from programs less vital to our abuse is linked to two-thirds of all ticipants in this reality are not adults, Nation and its people. cases of manslaughter, drownings, bur- they are children, they are as young as SAMHSA funds both Substance glaries, robberies, thefts, and assaults. 5 and 6 years old, and rarely over the Abuse Block Grants and the Children’s According to a study by the National age of 18. I am talking about the re- Mental Health Program. Substance Association of State Alcohol and Drug ality found in many elementary and Abuse Treatment Block Grants are the Abuse Directors [NASADAD], approxi- secondary schools across the United most important vehicle of support for mately 1 million people—40 percent of States, where 150,000 students bring a substance abuse treatment efforts in those in need—want and pursue sub- gun every day; where shootings and this country. Funding for these grants stance abuse treatment at this moment stabbings are commonplace; where cannot be compromised if we are to but do not get it: instead of helping gangs are in control; and where 3 mil- succeed in our efforts to reform wel- them to help themselves, the Govern- lion violent crimes are committed each fare, reduce crime, and contain health ment leaves them sitting on waiting year. I am talking about a national dis- care costs. The grants account for over lists across the country. grace, a monumental embarrassment, a one-third of the funding for public sub- These individuals—the vast majority failure on the part of all who care stance abuse treatment nationwide. of which are mothers, workers, or pro- about the future of this country and The California Drug and Alcohol fessionals—are willing and eager to im- the quality of life of our children. Treatment Assessment, July 1994 prove their lives and the lives of those I am talking about a state of events [CALDATA], found that each day of around them, but the government fails that we cannot tolerate, that we can- substance abuse treatment pays for to extend a helping hand. Not only tax- not allow to endure. itself on the day it is received, pri- payers, but society at large, foots the In the Steven Speilberg film marily through reductions in crime. bill for this neglect. ‘‘Schindler’s List,’’ a Nazi soldier The Rand Corporation reports that SAMHSA also funds the Children’s stands on the balcony of his home over- drug treatment is the most cost-effec- Mental Health Program, which pro- looking the busy center square of a tive form of drug intervention, com- vides services for children with very se- Jewish concentration camp. Calm and pared with other potential drug strat- rious emotional disturbances [SED]. precise, he aims his powerful rifle at egy program options, such as interdic- This program is targeted at the 1 mil- random Jews passing through the tion or imprisonment. lion children with SED—out of 7.5 mil- crowded streets below, and effortlessly Mr. President, every $1 invested in lion nationwide—who are in State-ad- pulls the trigger. His aim is never drug treatment saves taxpayers $7 dol- ministered systems encompassing child faulty, and he always succeeds in end- lars. There are several sources for this welfare, juvenile justice, and special ing a life. The people near the murder figure, including CALDATA and the education programs. This amendment recoil in fright only momentarily, then National Institute on Drug Abuse. restores $1.3 million to this program continue on their way, perhaps a little The heavy toll drug use exacts on the that the bill would have rescinded. quicker, perhaps a little slower, thank- United States is most easily measured This money goes to 22 service sites ful for the moment that the gun was by the criminal and medical costs im- that will not survive without the funds. not trained on them, fearful that the posed on and paid for by the Nation’s The future of these children is at next shot will terminate their exist- taxpaying citizens. One major study, stake. ence. The bullet has struck them, too, conducted by Dorothy Rice at the In- Even in the face of all these facts, and changed them permanently, leav- stitute for Health and Aging at the Mr. President, the rescissions bill— ing them forever horrified, forever University of California at San Fran- prior to the Daschle amendment— damaged, forever in shock. cisco, concluded that drug abuse costs would have taken a random, unex- taxpayers $67 billion, alcohol abuse plained, unjustifiable slice out of the This sequence is brutally painful for costs $99 billion, for a total cost to the budget for SAMHSA. so many reasons. The only relief I ex- Federal Government of $166 billion per At the same time, it would have pected to feel when I watched this se- year. ‘‘The impact of substance abuse taken $100 million out of the Safe and quence was the lack of any connection and addiction on Federal entitlements Drug Free Schools—Safe Schools—pro- between the events on the screen and is equivalent to more than 40 percent gram. present day reality in America. But of the Federal deficit for 1995,’’ states Mr. President, on this subject, I such a connection is exactly what I Joe Califano, former HEW Secretary would like to take a few moments to felt. Violence in portions of our coun- and President of the Center on Addic- talk about a reality that is very sepa- try has become so rampant and so tion and Substance Abuse (CASA) at rate from the one in which my col- deadly that almost all of us live in a Columbia University. Ninety-two per- leagues and I live. collective state of fear and acceptance. cent of the funds spent by health care Someone who lives in this reality, Our cities and schools have become in- entitlement programs as a result of Mr. President, wakes up worried that fested with random violence and blood- substance abuse are used to pay for today he could very well be killed. He shed and criminals with no conscience treatment of the consequences of such realistically expects that someone he and no check on their destructive im- abuse; only 8 percent is spent to reduce knows might be shot this week, or pulses. And when this state of affairs dependency. stabbed, or beaten. He goes through his has infected our Nation’s schools, then The costs to the Federal Government day fearing everyone who passes by, we know that our children are going to do not begin to account for the higher constantly alert for trouble and dan- be conditioned to accept this disease as costs substance abuse wreak on the pri- ger, always keeping an eye on the near- normal. Not only are some of our chil- vate economy. Every man, woman, and est exit or hiding place. He might carry dren dying in our Nation’s schools, but child in America pays nearly $1,000 an- a weapon, purely for protection, and the ones who survive are learning that nually to cover the costs of unneces- hide it on his person—a crude knife murder and violence are simply a part sary health care, extra law enforce- hidden in his sleeve, a length of pipe of life—in fact, the most important ment, auto accidents, crime, and lost tucked into his boot, a makeshift hand- part. Mr. President, we are permitting productivity resulting from substance gun in his pocket, a box-cutter taped to our Nation’s youth to grow up emo- abuse, according to a Brandeis Univer- his stomach. One hand is probably al- tionally scarred, terminally frightened, sity study. ways on this weapon, this small piece and permanently embittered. The impact of substance abuse on of security. If he makes it back to bed Mr. President, the Safe Schools Pro- crime is staggering. Substance abuse is at the end of the day, he will be thank- gram is a necessity if this systemic linked to between one-quarter and one- ful, relieved, and certainly a little sur- child abuse and neglect is to cease. third of all suicides, according to the prised. A study examining the effects of the Public Health Service, and the Alcohol, This reality is not a war, and the peo- first 2 years of funding for the Safe Drug Abuse, and Mental Health Admin- ple who inhabit this world are not sol- Schools Program showed increases in

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00093 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5366 CONGRESSIONAL RECORD — SENATE April 6, 1995 the number of school districts with for- duction. According to estimates of the Kerry, Senator PELL, Senator KOHL, mal drug and violence prevention pro- Joint Committee on Taxation, my Senator KENNEDY, Senator MURRAY, grams in every State and territory in amendment would have reduced the and Senator FEINGOLD. the United States. deficit by approximately $3.6 billion Mr. President, this amendment is The same study also showed in- over the next 10 years. about creating jobs, reducing our for- creases in school-community collabo- Unfortunately, although the Finance eign debt, reducing our reliance on im- ration on drug prevention issues in 50 Committee adopted this amendment on ported oil, making American business States and territories; increases in par- an undivided voice vote and the Senate ent involvement in drug education ef- approved it as part of H.R. 831, the more competitive, maintaining our forts in 49 States and territories; in- joint House-Senate conference com- commitment to these small energy creases in the degree of community in- mittee re-opened this loophole. Sen- companies and continuing on the path of developing clean, cheap, efficient en- volvement in prevention programs for ator KENNEDY’s resolution simply ex- youth in 46 States and territories; and presses the sense of the Senate that in ergy. increases in the number of high-risk the interest of tax equity and in the Mr. President, we are proposing to youth served in drug education pro- face of on-going Federal deficits, we restore $10 million to the Department grams in 38 States and territories. must close this loophole. of Energy’s solar, wind and renewables Prior to the Daschle amendment, the Mr. President, the amendment that I R&D budget. This money is primarily rescission would reduce or eliminate proposed was fundamentally about fair- used for research, joint ventures with violence and drug prevention programs ness. Not only is it fair to those who small U.S. companies, market develop- serving approximately 39 million stu- enjoyed the benefits of U.S. citizenship ment and commercialization. Federal dents attending the schools operated to make billions and are now attempt- support for renewable energy research by 94 percent of local educational agen- ing to avoid paying tax on such gain, it and development has been a major suc- cies in the Nation. is also fair to those Americans who cess story. Costs have declined, reli- Also at risk would be every state stay behind to shoulder the burdens of ability has improved and a domestic in- Governor’s drug and violence preven- citizenship. All my amendment would dustry has been born. More work still tion programs designed for youth not have done is treat those who renounce needs to be done in basic research at served by local educational agencies. their citizenship on par with Ameri- our national labs and applied develop- So would be the development and dis- cans who stay and pay their share of ment to bring down costs and work tribution of publications on school vio- the tax burden. with industry. lence and drug/alcohol prevention, While U.S. citizenship confers tre- The $10 million we restore to renew- which have been the cornerstone of na- mendous benefit, it also requires re- ables will come from the $1 billion tionwide efforts to provide schools with sponsibility. Although we may not al- Army Corps of Engineer’s construction information on models and effective ways be happy about the amount, most account. practices. The Parent’s Guide on Drug of us willingly pay our fair share of the Prevention alone has been requested by tax burden. However, for many Ameri- Mr. President, I hope my colleagues over 30 million persons. cans it becomes just too much when will vote for clean domestic energy, do- The original rescission would have they have to pay not only their share mestic jobs, reduced trade deficit and a eliminated assistance and model devel- of taxes, but also an additional share stronger economy. I would like to opment in the area of alternatives to for those few, wealthy individuals who thank the managers of this bill for expulsion. With expulsion rates in- made their money in this country, but their support. creasing dramatically in several re- are now trying to skip town without Mr. WELLSTONE. Mr. President, I gions, it is essential to provide leader- paying their portion of the tab. just want to express my appreciation ship in this area, or more and more Significantly, my amendment would to the Senators from Oregon, West Vir- kids will go straight from the school- have excluded pension income, real es- ginia, New Mexico, and Louisiana for house to the courthouse. tate assets, and the first $600,000 in their help in allowing this amendment Consequently I commend the Demo- gain. As a result, of the roughly 850 to go forward. The amendment de- cratic leader for his leadership and his U.S. citizens who renounced their citi- creases the recission from renewable sensitivity to the importance of these zenships in 1994, only a handful would energy research and development by issues. I appreciate the opportunity to be affected by the closing of this loop- $10 million, paying for it by increasing work with him to gain the inclusion of hole. In fact, representatives from the the recission for the Army Corps’ gen- these important provisions in his Treasury Department testified that the eral construction activities by the amendment. And I am pleased that the amendment would have affected only 24 same amount. ultimate goals of the amendments I in- Americans each year. tended to offer were realized. Since the Mr. President, significant deficit re- This amendment reflects the growing House version of the rescissions bill re- duction will be necessary to put our recognition that funding for research scinded no funds from SAMHSA, fiscal country back on the right track. How- and development of renewable energy year 1995 funds for SAMHSA are now ever, until we close these special-inter- technologies is money well-spent. The secure. I wish I could say the same est tax loopholes for the few, we cannot recission provided in the Committee about Safe Schools funds. The House ask for the shared sacrifice from the Substitute was just too high. bill eliminated Safe Schools funds alto- many that will be necessary to reduce There is a nationwide movement to- gether. I urge the conferees to the re- the deficit. Therefore, I urge all of our ward funding only R&D that is going to scissions bill to protect Safe School colleagues to support the Kennedy lead to commercially viable, economi- funds. We owe the children and the fu- sense of the Senate amendment. cally realistic technology in the rel- ture of this Nation nothing less. AMENDMENT NO. 470—RENEWABLE ENERGY atively short-term. Renewable energy AMENDMENT NO. 448 Mr. JEFFORDS. Mr. President, the R&D fits that description. Renewable Mr. BRADLEY. Mr. President, I rise rescissions bill we are discussing today, energy R&D has been and continues to this afternoon to express my whole- H.R. 1158, cuts $35 million from the De- be a major success story. Costs have hearted support for the Sense of the partment of Energy’s solar, wind and declined, reliability has improved, and Senate resolution proposed as an renewables research and development a domestic industry has been born. amendment today by Senator KEN- budget. The amendment I offer today While the United States is currently NEDY. As a member of the Finance will limit to $25 million the amount to the world leader in renewable energy Committee, I offered an amendment to be rescinded from this account, thereby technologies, other nations are invest- H.R. 831 that would have closed a loop- protecting vital renewable energy pro- ing heavily in this area. Given that hole that allows wealthy citizens who grams. I offer this amendment on be- many utilities are averse to investing renounce their American citizenships half of myself, Senator WELLSTONE, in new technologies, the continued to avoid U.S. taxes. My amendment Senator CHAFEE, Senator DASCHLE, strength of DOE’s programs is nec- would have dedicated all of the savings Senator ROTH, Senator CAMPBELL, Sen- essary to protect our position in the from closing this loophole to deficit re- ator HARKIN, Senator LEAHY, Senator world market.

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00094 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5367 The American people agree that re- health of those providing citizenship form coke, creating a new alternative newable energy R&D ought to be a pri- training. to conventional coke now used by ority for Federal R&D funding. Accord- In discussing my intention with the American steel firms and foundries. ing to a December 1994 survey by RSM Honorable Chairman of the Labor/HHS This is particularly important because Inc., when asked what energy source Appropriations Subcommittee, Senator the Clean Air Act Amendments of 1990 should be highest priority for R&D SPECTER, I was impressed with his will- imposed strong restrictions on the spending, Americans overwhelmingly ingness to attempt to resolve this prob- emissions from coke ovens. supported renewables. The top finisher lem in conference with the House of Those are two major reasons why my was renewable energy, receiving 42 per- Representatives, which, as I mentioned amendment is important, Mr. Presi- cent of the vote. before, did not rescind the $6 million in dent. For a modest investment today, Again, I appreciate the help of my citizenship training money. I would the Mildgas experiment promises hun- colleagues in making acceptance of like to ask the Honorable Chairman if dreds of millions of dollars in new uses this amendment possible. It is time it is in fact his desire to take a second tomorrow for Illinois Basin and Appa- that our federal energy R&D dollars re- look at the $6 million citizenship lachian high-sulfur coals. And those flect the public’s funding priorities. money in conference. new uses solve a significant economic Mr. SPECTER. I thank the Senator AMENDMENT NO. 490 and environmental problem of our Na- Mr. PELL. Mr. President, I offer this from Illinois. The committee’s intent, tion’s iron and steel industries. in recommending this rescission, was amendment on behalf of myself, Sen- However, I am concerned that the de- to revisit funding once authorizing leg- ator FEINSTEIN, Senator FEINGOLD, and cision to cut funds for the Mildgas islation has been enacted through the Senator SIMON. Process Unit has been based principally regular process of Judiciary Com- The amendment will insure contin- on deficit reduction, and on a belief mittee consideration. There is some ued funding for the National Center for that this technology is unwanted and concern that adding this responsibility Research in Vocational Education. The unneeded. to the Office of Refugee Resettlement Center is a consortium of institutions This year, overall Federal spending in the Department of Health and of higher education in California, Wis- will be in excess of $11⁄2 trillion, and it Human Services could increase pres- consin, Illinois, New York, and Vir- will take $1.2 trillion in deficit reduc- sure on already underfunded domestic ginia. The Center is widely recognized tion to achieve a balanced budget by resettlement activities, as opposed to for the important research work it does the year 2002. Laid along figures of that placing responsibility under the Immi- in vocational education, and it would size, the $4.8 million we seek for the gration and Naturalization Service. I be very unfortunate, indeed, if funding Mildgas project may seem to be a small believe this is an issue the authorizing to permit it to continue its work were matter. committees need to address. Neverthe- That is not to say that its relatively curtailed. less, it is indeed my intention to re- As my colleagues know, we will soon small size should not immunize the solve this matter in conference to the be considering reauthorization of the Mildgas project from review. After all, satisfaction of all those who—like my- Vocational Education Act. The work of to paraphrase a famous Illinoisan who self—value legal immigration and rec- the Center has provided the author- preceded me in the Senate, the Senate ognize the importance to our immigra- izing committee invaluable informa- Republican leader of his day, Everett tion policies of an effective naturaliza- tion to help guide and facilitate our Dirksen, ‘‘A few dollars here, a few dol- tion process. I look forward to working work. But even more critical, their re- lars there, and pretty soon you’re talk- with the distinguished Senate Appro- search efforts are vital to improving priations Committee Chairman, Mr. ing about serious money.’’ What that the quality of vocational education means, it seems to me, is that nothing HATFIELD; my counterpart in the throughout our Nation. can be off limits—not small items, not House, Congressman PORTER, chairman I view the amendment as an impor- of the House Labor/HHS Appropria- large items, not any item. tant placeholder so that when the Sen- I therefore agree that review of Fed- tions Subcommittee; and the other ate and House conferees meet on this conferees to address this issue, and I eral support for mild gasification tech- legislation, they will have the oppor- nology demonstrations is both nec- thank Senator SIMON, Senator FEIN- tunity to give this matter full and essary and appropriate. It is because STEIN, and Senator MOSELEY-BRAUN for complete consideration. I am very their attention to this important mat- my own review of the facts convinces hopeful they will ultimately decide to ter. me that going forward is the right deci- retain funding for the Center, but with- Mr. SIMON. I thank the Senator sion, the prudent decision, and the out this amendment there will be no from Pennsylvania. His concern for right budgetary decision, that I am of- chance whatsoever to provide contin- issues of legal immigration and natu- fering this amendment to restore fund- ued funding for the Center and the im- ralization has long been recognized, ing toward completing the Mildgas portant work it does. and I am gratified that he will under- project. CITIZENSHIP TRAINING AND NATURALIZATION take to review seriously, and hopefully It is worth noting, in this era of con- SERVICES restore, the $6 million Senate rescis- cern about earmarks and pork-barrel Mr. SIMON. Mr. President, I and my sion with our colleagues in the House. spending, that this project did not colleagues from California and Illinois, THE MILDGAS PROCESS UNIT originate with the Congress. The De- Senators FEINSTEIN and MOSELEY- Ms. MOSELEY-BRAUN. Mr. Presi- partment of Energy originally selected BRAUN, had intended to offer an amend- dent, this amendment has a simple pur- this project in 1991 in a competitive so- ment restoring $6 million dollars for pose—to restore $4.8 million in fiscal licitation. The Mildgas project had to citizenship training and naturalization year 1995 fossil energy research and de- compete with a number of other pro- services that had been rescinded in the velopment funds to help complete a posals. Senate, but not in the House. small coal technology testing facility, In the years since the Mildgas project Although naturalization has been the Mildgas Process Unit. won that competition, over $7.5 million identified as a priority by the adminis- I am joined in this amendment by my has been provided by Congress—half of tration in its immigration policy, nat- distinguished senior Illinois colleague, the Federal share. The State of Illinois uralization services have been chron- my good friend, Senator SIMON. has funding that amounts to 20 percent ically underfunded and naturalization The Mildgas Process Unit is a facility of the total cost. A team of partici- backlogs begin to grow. It is my be- that will test a technology known as pants, which includes Kerr McGee Coal lieve—and I belief that of my col- mild gasification, a process where Corp., Southern Illinois University, leagues—that these funds are essential lower-grade domestic coals are heated and the Institute of Gas Technology in to the important goal of providing at moderate temperatures and pres- Chicago, has broken ground at the Coal those who want to naturalize with an sures to produce a variety of gaseous Development Park in Carterville, IL, opportunity to do so. Admittedly, $6 fuels, liquid hydrocarbons, and a solid in preparation to test this technology. million dollars is a small amount of product known as char. The contracts are now in place to money, but the program rescinded in Char, the primary product of the turn this demonstration into reality. the Senate is crucial to the continued Mildgas facility, can be briquetted into Construction of the facility will end

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00095 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5368 CONGRESSIONAL RECORD — SENATE April 6, 1995 late 1995, followed by 1 year of testing, was forced to confront, we were simply spite a request by the governor of after which the project will be shut unable to include the funds needed to South Dakota and the urging of the down. initiate construction of the Mildgas State’s Congressional delegation, I am well aware that there are sev- Process Unit. I can assure the distin- FEMA recommended that the Presi- eral similar projects currently being guished Senator, however, that I will dent deny South Dakota’s relief re- funded by the Department of Energy. give appropriate consideration to this quest for the Lead landslide. According But, success cannot be defined as sim- project within the budget limitations to FEMA, the landslide resulted from a ply demonstrating one example of a that we will continue to face in con- preexisting condition and did not pose broad class of mild gasification tech- ference. ‘‘an immediate threat to public health, nologies. The spectrum of mild gasifi- FEDERAL EMERGENCY MANAGEMENT AGENCY safety, and improved property.’’ cation techniques is quite broad. There Mr. PRESSLER. Mr. President, I rise The Lead landslide forced the com- are different types of coals used, prod- at this time to voice my concerns with munity’s only grocery store, phar- ucts produced, and markets served. apparent inconsistencies in the admin- macy, and discount store to close. That is why the Mildgas process unit istration of disaster recommendations Some of the stores were forced to relo- is important. It does not reinvent the by the Federal Emergency Manage- cate to the community hall and church wheel. It does not duplicate other mild ment Agency [FEMA]. basement. gasification technologies. It is unique. As my colleagues well know, H.R. Clearly, the people of Lead suffered a Mildgas can use many types of coals. 1158, the fiscal year 1995 Disaster Sup- great deal. This isolated community The Encoal clean coal demonstration plemental/Rescissions Bill, contains has yet to reopen the only grocery project in Wyoming, a project often $1.9 billion for outstanding expenses ac- store in the area. Although the Eco- compared to Mildgas, utilizes only crued from previous disasters in 39 nomic Development Administration Western coal. Mildgas technology States, including recent flooding in has offered a grant to help mitigate the makes use of Illinois, Wyoming, and Southern California. slide, the city will have to sacrifice West Virginia coals. I am sure all of us have seen news vital repairs to streets, gas lines, and And although Encoal’s primary prod- footage of the raging winter storms water lines. uct is a value-added fuel, its market is that have wreaked havoc across vir- By contrast, the residents of the La still only a boiler fuel. Mildgas’s prod- tually the entire State of California. Conchita hillside in Ventura County uct, char, creates an entirely new mar- The devastation families have endured will have access to expedited FEMA as- ket for high-sulfur and lower-grade is terrible. As a result, the President— sistance. This lack of consistency con- coals, and solves an environmental acting on recommendations made by cerns me. problem for the Nation’s steel indus- FEMA—declared many California I would like to verify with the Sen- try. And as aging coke ovens are shut counties disaster areas. This includes ator from Oregon that monies provided down and not replaced, Mildgas can Ventura County, which is located along in H.R. 1158 will be used, in part, to as- provide American steel industries with the Southern California coast north of sist the victims of this winter’s storms a domestically produced alternative to Los Angeles. in California. Is this correct? importing coke from the same coun- There is one particular area of Ven- Mr. HATFIELD. The Senator from tries that are our steel-making com- tura County I would like to call to the South Dakota is correct. The bill, in petitors. attention of my colleagues. Homes lo- its current form, provides $1.9 billion Encoal and the other mild gasifi- cated on a hillside in La Conchita, CA to FEMA for disaster relief functions cation technologies have been, and I recently sustained considerable dam- including expenses resulting from dis- hope will continue to be, successful, age. Because of the President’s declara- asters in 39 States. Report language ac- but their success will not address the tion, private and public property dam- companying this bill acknowledges Illinois Basin and Appalachian coals aged by the disaster is eligible for four that these funds may be used to ensure that Mildgas will use, nor meet the en- different kinds of FEMA assistance. unforeseen expenses associated with vironmental needs of the steel industry These homeowners rightfully have the the recent disaster in California result- like Mildgas will. hope of relief. ing from winter storms. Mr. President, the Mildgas Process My concern is not with the fact that Mr. PRESSLER. I also understand Unit is based upon years of detailed relief is being made available to those my concerns regarding the consistency planning, investment, and careful re- affected by the La Conchita mudslide. of disaster declarations are shared by search by industry and scientists in Rather, I am concerned with what I be- others. As Chairman of the Committee, close cooperation with the Department lieve could very well be an inconsistent I am sure the Senator from Oregon is of Energy. It deserves to continue. approach to disaster recommendations very familiar with questions regarding Mildgas does not break the bank. For made by FEMA. disaster declaration criteria. Does the a minor investment today, Mildgas can Permit me to explain. Mr. President, Senator from Oregon agree this is a open hundreds of millions of dollars in geologists have known for several dec- common concern? markets tomorrow. ades that the La Conchita hillside has Mr. HATFIELD. Yes, I do agree with Mildgas can help the coal industry, been moving for 23,000 years. In other the senior Senator from South Dakota. by exploring a way to shift high-sulfur words, La Conchita was a potential dis- As he well knows, the General Ac- coals from markets reduced by the aster waiting to happen. Thus, FEMA counting Office, the Congressional Re- Clean Air Act, to markets opened. is making relief available in response search Service, and the Congressional And, Mildgas is unique. Mildgas uses to a disaster resulting from a pre- Budget Office recently released a com- coals, produces products, and serves existing condition. This is a policy prehensive study of the entire relief markets that other mild gasification vastly different from one FEMA ap- process. technologies simply do not. I think it plied last July. Mr. PRESSLER. Will the distin- is worth investing a few more years to I see my colleague, the chairman of guished Senator from Oregon agree complete this experiment. Appropriations Committee, is now on that it is imperative that FEMA apply I strongly urge my colleague, the dis- the floor. I ask the Senator if he is fa- its declaration criteria consistently, tinguished Senator from Washington, miliar with a similar situation that oc- regardless of where the disaster is tak- to give every consideration in con- curred in Lead, SD. ing place? ference to providing the necessary Mr. HATFIELD. No, I am not famil- Mr. HATFIELD. I could not agree funds to complete the Mildgas Process iar with the situation. Could the Sen- more with my friend from South Da- Unit. ator from South Dakota please explain. kota. Consistency in the disaster dec- Mr. GORTON. I thank the Senator Mr. PRESSLER. I thank the Senator laration process should be a reasonable from Illinois for her comments regard- from Oregon for inquiring. expectation of all Americans. ing the mild gasification facility Last May, a slow moving landslide Mr. PRESSLER. I think it is clear, planned for southern Illinois. As I am damaged homes, businesses, and infra- Mr. President, that FEMA needs to sure the Senator knows, given the structure. This landslide was exacer- take a close look at its current dec- budget constraints that the committee bated by excessive precipitation. De- laration policies.

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00096 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5369 The similarities surrounding the for research and demonstration view, it implies congressional support landslides in Lead and Ventura County projects. This is an increase of nearly for EAS ends September 30, 1995—the are striking. For the residents of Ven- $2 million over the amount needed to end of the current fiscal year. My sup- tura County, FEMA’s response is reas- fund continuations of on-going activi- port for EAS will not end on that date. suring. For the people of Lead, the re- ties, so that even if the entire Senate Would the chairman explain the pur- sponse from FEMA is disconcerting. I rescission is enacted into law, the pose of this specific provision? must stress a point I have made on this Health Care Financing Administration Mr. HATFIELD. Yes. First, let me very floor in the past: Disasters occur- should be able to fund about $2 million assure the Senator from South Dakota ring in isolated rural areas do not seem of new projects. I would ask Senator this provision should not be read by to capture the attention of the na- SPECTER, the chairman of the Labor, any Member of Congress as an attempt tional media, Federal agencies, or the Health and Human Services, and Edu- to jeopardize future congressional sup- President. Lead, SD, does not compare cation Subcommittee, is that his un- port for EAS. This provision applies to Southern California glamour, and it derstanding. only to fiscal year 1995. Further, as the certainly is not near a major media Mr. SPECTER. Yes, based on infor- chairman of the Appropriations Sub- outlet. mation supplied to me by the Depart- committee on Transportation, I intend However, as we all know, the size of ment of Health and Human Services, to work with my friend from South Da- a community or its media outlets there would still be about $2 million kota on an appropriate level of EAS should not dictate whether or not Fed- available for new research and dem- funding for Fiscal Year 1996. eral relief is granted or how fast the as- onstration projects by the Health Care Mr. PRESSLER. I am very pleased to sistance gets to those in need. Financing Administration, even after know my friend from Oregon does not I believe the time has come for the Senate recommended rescission. view the provision in question as a FEMA take a close look at its policies. ESSENTIAL AIR SERVICE threat to the future of EAS. However, I In the meantime, I have asked GAO to Mr. PRESSLER. Mr. President, I am still have strong concerns about the examine FEMA’s responsiveness to very concerned about a section in chap- language in this bill. Specifically, I re- urban and rural disasters. I hope Con- ter IX of this legislation that in my main concerned the most economic gress will be able to maintain an over- view could have an adverse impact on continuation of EAS may be hindered sight role. If there is an inconsistency the future of the Essential Air Service by this provision. Permit me to ex- we should not hesitate to consider leg- (EAS) Program. Specifically, I am very plain. islation to ensure emergency assist- concerned about the language affecting As my friend from Oregon knows, ance is provided consistently and judi- ‘‘Payments to Air Carriers,’’ otherwise when an EAS agreement is about to ex- ciously. referred to as EAS subsidies. pire, current law requires the Depart- In fact, I believe it would be appro- I see the distinguished chairman of ment of Transportation to invite and priate for the conferees of this bill to the Appropriations Committee on the consider competing proposals from any include language in the accompanying floor. Would the chairman be willing to interested air carriers. The objective of report to direct FEMA to report to enter into a short colloquy on this that policy is to maximize the carriers’ Congress on how it found that disaster issue and explain the intent of this sec- incentives to be efficient, to control assistance could be provided in re- tion of the bill? costs effectively and to develop de- sponse to the identified preexisting Mr. HATFIELD. Certainly. I under- mand in the EAS market. This process condition in Ventura County, but came stand the chairman of the Senate Com- yields two primary benefits: subsidy to a different conclusion with the pre- mittee on Commerce, Science, and burdens are minimized and service to existing condition in Lead. I believe Transportation has always supported the community is often enhanced. That this instruction is an appropriate first EAS. Therefore, I would be pleased to process has served the EAS program step in what I hope will be a com- explain the intent of these provisions very well. prehensive review by FEMA of its cur- and answer any questions posed by the As I mentioned, EAS agreements will rent declaration policies and criteria. Senator from South Dakota. expire in 13 states before September Would the distinguished chairman of Mr. PRESSLER. I thank my friend 30th. Several already have expired. The the committee agree that this review is from Oregon. First, I understand this practical reality of the proposed re- necessary? legislation would rescind $5.3 million striction to limit contract commit- Mr. HATFIELD. I agree with the in ‘‘Payments to Air Carriers.’’ What is ments would result in very short con- Senator from South Dakota that a re- the impact of this rescission? tracts at much higher costs in order to view of the disaster declaration process Mr. HATFIELD. This rescission continue air service to those 13 states may be appropriate. His concerns have should have no real impact on the pro- for the remainder of this fiscal year. merit. The people of Lead, SD, deserve gram. The Appropriations Committee I am concerned efficiencies will be to be assured that they are being treat- was informed sufficient funding would jeopardized if the DOT is prohibited ed fairly by the federal government. remain available to continue the EAS from entering into any agreements be- The Senator from South Dakota is to program through the end of this fiscal yond September 30th. I do not believe be commended for his diligent atten- year. In other words, all communities new carriers would seek to serve any of tion to the needs of his constituents. currently provided air service with these 13 states for such a limited time The Senator can be assured I will de- EAS assistance will continue to be period. In turn, those EAS carriers liver this message to the conferees and served through this fiscal year. serving the 13 states will almost as- will do my best to include a directive Mr. PRESSLER. I understand about suredly demand higher subsidies if they to FEMA regarding its declaration 79 cities rely on EAS to remain linked are held into those markets through policies and criteria in the conference to the national air transportation sys- the end of the fiscal year. report to this bill. tem. I am pleased the chairman of the Further, DOT already issues notifica- Mr. PRESSLER. I thank my good Appropriations Committee will con- tion to carriers that subsidy payments friend the Senator from Oregon and tinue to uphold our commitment to under EAS agreements are subject to thank him for his leadership. I yield these small communities. the availability of funds in future fis- the floor. Now, as my friend from Oregon cal years. Therefore, EAS carriers al- HEALTH CARE FINANCING RESEARCH AND DEMO knows, there are EAS agreements in at ready know their subsidies are contin- PROJECTS least 13 States that will expire before gent on the annual approval of the Mr. HARKIN. Mr. President, I would September 30 of this year. The com- Congress. like to clarify the situation with re- mittee amendment to the bill before us In my view, competition could be spect to funding of research and dem- includes a provision to prohibit the eliminated by this provision. In turn, onstration projects by the Health Care Secretary of the Department of Trans- subsidy rates will go up. What is the Financing Administration. The Senate portation [DOT] from entering into any view of the Chairman? recommendation calls for a rescission new EAS agreements beyond Sep- Mr. HATFIELD. This language sim- of $11 million, which would reduce fis- tember 30, 1995. I am concerned about ply forces the EAS office to have EAS cal year appropriations to $45.1 million the purpose of this restriction. In my contracts conform to the federal fiscal

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00097 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5370 CONGRESSIONAL RECORD — SENATE April 6, 1995 year. The office has had almost twenty The issue that Senator HELMS has the Great Lakes Center open, it is the years to make this adjustment. When brought to our attention is a serious committee’s intent to provide suffi- the Appropriations Committee tries to one that deserves emphasis. I am con- cient funds for NBS research so that get data from this office it often does fident through my conversations with the Great Lakes Center and other NBS not comport to the fiscal year basis the current Secretary of the Smithso- centers can continue to operate in fis- that the Committee must consider in nian, Mr. Heyman, that the Smithso- cal year 1995. its deliberations. nian intends properly to fulfill its obli- Mr. ABRAHAM. Mr. President, if the Mr. PRESSLER. As the Chairman gations as steward of this public trust. subcommittee chairman would answer knows, I am prepared to offer an Secretary Heyman agrees that no Fed- an additional question, I would like to amendment to strike all the language eral appropriation will be used for know whether he will continue to sup- after the rescission provision. I am projects that have not yet been author- port funding to keep the Great Lakes willing to modify my amendment to ized by Congress. Center open in fiscal year 1995, during further ensure the future of EAS is not Mr. HELMS. Will the Senator yield the conference on S. 617 and H.R. 1158? jeopardized. Would the Manager of the for a point of clarification? Mr. GORTON. I am aware that both bill be willing to accept my amend- Mr. GORTON. I yield. of my colleagues from Michigan and ment? Mr. HELMS. Senator GORTON, I am from elsewhere in the Great Lakes re- Mr. HATFIELD. I would be happy to not sure that all of our colleagues real- gion strongly support the work being accept the Senator’s amendment which ize that 72 percent of Smithsonian op- done by the NBS Great Lakes Science would strike lines 1 through 3 on page erating funds are public, taxpayer Center. Hopefully, in conference, we 42. As he knows, the language which funds. can arrive at a compromise which will was provided by the Department had Mr. GORTON. Mr. President, Senator prevent cuts in the NBS research budg- the effect of totally canceling the EAS HELMS is correct. et that would close or hamper oper- program which was not the Commit- Therefore, it is important for the ations at NBS centers and cooperative tee’s intent. Smithsonian, like all other entities units. Mr. PRESSLER. I thank the Chair- that receive taxpayer dollars, to take Mr. ABRAHAM. I thank the Senator man. I very much appreciate his sup- note of the budgetary constraints from Washington for his responsiveness port for EAS and his leadership on this under which we are working. It is a to our concerns. As he may know, the overall legislation. I also thank him time for fiscal responsibility and the Great Lakes Center conducts fishery for his support of my amendment and careful allocation of increasingly stock assessments that are relied upon urge its adoption. scarce resources. by States, tribes, and Canada. And ef- COLLOQUY ON SMITHSONIAN INSTITUTION I have been assured in all conversa- fective management of fish stocks in FUNDING tions I have had with Secretary the Great Lakes is important to the $4 Mr. HELMS. Mr. President, when de- Heyman that he is aware of his institu- billion fishing industry in the region. bate began on the House rescissions tion’s role and its attendant respon- Mr. LEVIN. I would also like to bill I intended to offer an amendment sibilities. The Secretary has under- thank my colleague from Washington prohibiting the Smithsonian Institu- scored the importance of prioritizing for his assistance in this matter. As my tion from using appropriated funds to projects during his tenure. colleague from Michigan has indicated, develop, plan, or build any new mu- Mr. HELMS. Will the distinguished the Great Lakes Center has important seum before congressional authoriza- subcommittee chairman yield for a mo- duties. Besides the fishery stock man- tion had been obtained. ment? agement element of its activities, the After speaking with the distin- Mr. GORTON. Certainly. I yield the center conducts invaluable scientific guished chairman of the Interior Ap- floor to the Senator from North Caro- research on preventing, controlling and propriations Subcommittee, Senator lina. mitigating the impacts on nonindige- GORTON, I chose to forgo proposing the Mr. HELMS. I sincerely appreciate nous species, such as the zebra mussel. amendment. Senator GORTON assured the work the Senator from Washington And, the center is conducting essential me that the Smithsonian has no inten- has done in this area. The Senate Rules studies on the sources and health ef- tion of beginning any new museum Committee has yet to meet with the fects of toxics in the Great Lakes eco- without first seeking the appropriate current Secretary of the Smithsonian, system. authorization from Congress. Mr. Heyman, but I have been assured WIC Mr. President, as a member of the we will soon be given that opportunity. Mr. LEAHY. I am very worried that Senate Rules Committee, which is the I will welcome that important hearing. the House Republican welfare reform authorizing committee with jurisdic- NATIONAL BIOLOGICAL SURVEY’S GREAT LAKES bill ultimately could throw millions of tion over the Smithsonian, I have seen SCIENCE CENTER IN ANN ARBOR, MI pregnant women, infants and children the Smithsonian initiate a new project Mr. LEVIN. Mr. President, I would off the WIC program [the Supplemental without congressional authorization like to engage the distinguished chair- Nutrition Program for Women, Infants and then come to Congress to authorize man of the Senate Appropriations Sub- and Children]. the project bemoaning the waste of committee on Interior and Related That part of the Contract with Amer- funds already spent should the project Agencies in a brief discussion regarding ica guts strong competitive bidding re- not be authorized. the impact of S. 617 on the National Bi- quirements which have put millions of It is important to stress that any ological Survey’s Great Lakes Science pregnant women, infants and children new project requesting taxpayer funds, Center in Ann Arbor, MI. The commit- on the WIC program at no cost to tax- should first go to the committee that tee’s report accompanying S. 617 rec- payers in recent years. has authorizing authority and then, if ommends rescinding $4.136 million less These are provisions which I and my and only if, the project has been au- than was included in the House-passed Senate colleagues from both sides of thorized should the request go to the recission bill, H.R. 1158. That is almost the aisle included in child nutrition Appropriations Committee for funding. exactly the amount appropriated in fis- legislation in 1987 and in 1989 and The Smithsonian must not ignore cal year 1995 to maintain operations at which the Senate Appropriations Com- this process. the Great Lakes Science Center. If the mittee mandated in 1988 with strong bi- Mr. GORTON. Mr. President, will the Senate approves the committee’s rec- partisan support. Senator from North Carolina yield? ommended recissions from funds al- I am concerned that this victory is Mr. HELMS. I welcome comments ready appropriated for NBS research, eliminated by the House bill. from the able Senator from the State will this center remain in business in These efforts on the House side raise of Washington. fiscal year 1995? serious concerns about why House Mr. GORTON. Mr. President, I appre- Mr. GORTON. Yes. While there is not members want to provide millions of ciate the decision of the Senator from a correlation between the funding lev- dollars to the four huge corporations North Carolina, Senator HELMS, not to els rescinded by the House and by the that manufacture infant formula. offer his amendment so we can speed Senate and the fiscal year 1995 appro- The details of this tragedy are set up debate on this important bill. priations level necessary for keeping forth in articles in the Wall Street

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00098 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5371 Journal ‘‘Four Drug Firms Could Gain charge of WIC to fight competitive bid- The lawyers hired by the formula $1 Billion Under GOP Nutrition-Pro- ding at the State level. manufacturers then raised legal objec- gram Revision,’’ Hilary Stout, Feb- Unfortunately, actions of the infant tions at the State and Federal level to ruary 28, 1995; the New York Times formula and infant cereals manufactur- competitive bidding. They also tried to ‘‘Formula for Tragedy,’’ Bob Herbert ers have made such mandatory com- convince States not to use competitive Op Ed, March 25, 1995; and the Wash- petitive bidding language necessary bidding but to instead offer States for- ington Post ‘‘Food Program Defender and demonstrate why the House bill mula at discounted prices under a sys- Becomes a Dismantler,’’ David will be an invitation to drug companies tem then called open bidding which is Maraniss and Michael Weisskopf, April and cereal companies to siphon mil- fully described in that report. 4, 1995. lions out of WIC. A full description of the efforts of Re- WIC serves children at some of the As reported in Senate Hearing 101–979 publican lobbyists and the drug compa- most critical times of their lives. It (‘‘Competitive Issues in Infant Formula nies to promote cost containment in- feeds mothers when they are pregnant Pricing,’’ May 29, 1990) efforts were stead of competitive bidding is detailed or breastfeeding. And it feeds children made by two major manufacturers in Joint Hearing Report 102–135—Pric- during their important, early develop- Ross Laboratories—a division of Ab- ing and Promotion of Infant Formula, ment years. bott Laboratories—and Mead-John- March 14, 1991. son—a division of Bristol-Myers WIC is a proven success story. A 1991 Also, on Mach 6, 1990, Mead-Johnson Squibb—to prevent individual States USDA study showed that for every WIC sent letters to the other formula manu- from using competitive bidding proce- dollar spent on a pregnant woman, be- facturers advising them that Mead dures. In 1985 three States—Tennessee, tween $2.98 and $4.75 was saved in Med- would only provide a 75 cent rebate for Oregon and South Carolina—announced icaid costs for the newborn during the each can of formula purchased through plans to institute a competitive bid- first 60 days after birth. WIC. Ross Laboratories and Wyeth- ding system for the purchase of infant Thus competitive bidding saves tax- Ayerst Laboratories—a division of formula for WIC. payers doubly—first, it puts 1.5 million American Home Products Corpora- more eligible women, infants and chil- A group called the Infant Formula Council, an association of formula tion—followed suit and put in much dren on the program at no costs to tax- lower rebate bids at or around 75 cents. payers, and it saves millions in Med- manufacturers, immediately opposed these cost containment ideas. The IFC During the next 8 months, Mead sub- icaid and other Federal costs, in addi- mitted 75 cent rebate bids to 12 dif- tion to saving millions of dollars in sent letters to USDA and State offi- cials opposing the plans and testified ferent States. In several States, Ross family, local and State medical costs. and Wyeth followed Mead’s lead. Ross The details of this system are easy to against this approach. The Council retained a Washington bid 75 cents 9 times, and 75.7 cents explain. At retail stores, WIC partici- law firm to raise legal concerns with once. pants exchange special vouchers for in- such attempts by States to buy for- When one company bids a rebate of fant formula. The recipients pay noth- mula more cheaply. The IFC argued $0.75 and soon after another bids $0.757, ing; the State reimburses the store for that State efforts to buy formula as Mead and Ross did in Wisconsin and the full retail cost of the formula. The through competitive bidding would dis- Montana in early 1990, it does not take infant formula manufacturers then re- rupt commercial channels of distribu- a genius to see how this could frustrate bate a portion of the retail price to the tion of infant formula. competitive bidding. State. The States are required to use Tennessee went ahead anyway and A very unusual development also the rebates to serve more persons who set a deadline for bids from the compa- took place which tipped off Federal in- are eligible for WIC. nies to supply formula to WIC partici- vestigators with the Federal Trade Under current law States are re- pants. However, not a single company quired to use competitive bidding, with Commission. The same companies of- submitted a bid. fered a better bid under what was certain exceptions, to buy infant for- That is why I, and many of my Sen- mula for the WIC program. USDA has called an open market system—where- ate colleagues, are very worried. Under by all companies matching a dis- calculated that this provision now the House Republican bill any State saves $1.1 billion a year and thus puts counted price could sell formula to could fall prey to these same practices WIC in that State. 1.5 million more women, infants and today as already discussed in the April children on WIC at no extra cost to This higher rebate bid of $1.00 made 4, 1995, Washington Post article. no economic sense since the companies taxpayers. The former ranking Republican would have made more money off the That provision is eliminated by the member of the House Agriculture Com- exclusive competitive bid of 75 cents Contract with America. That Contract mittee, Congressman Wampler, was rather than the open market bid. This should be renamed the ‘‘Contract to In- hired to oppose these State voluntary apparently was done to discourage crease Profits of Drug Companies.’’ efforts to use competitive bidding. Con- states from using competitive bidding That part of the Contract is a sham. gressman Wampler was one of several It contains an extremely weak cost well connected lobbyists hired by Mead since it signalled states that the com- containment provision which will allow Johnson and Ross Laboratories to per- panies would bid $1.00 in an open mar- infant formula manufacturers to make suade USDA either directly, or indi- ket setting but only around 75 cents for a killing off the WIC program while al- rectly through Congressional interven- a competitive bidding system. The lowing them to pretend to help WIC. tion, to prevent States from moving chronology of infant formula rebate It will let drug giants donate small ahead with plans to institute competi- bids for 1990 shows this point. amounts of formula to State WIC pro- tive bidding. Senate Hearing 101–979. I asked the FTC to investigate alle- grams, in front of their cameras, while Mead-Johnson also hired the former gations of price fixing and bid rigging making hundreds of millions of dollars Republican Assistant Secretary, Mary in the WIC program and the efforts to in increased profits. Jarrett, to help make sure that States discourage states from using the best How have they been able to get this did not use competitive bidding. system for purchasing infant formula. done in this Republican Congress? The The new plan of attack by the com- The Federal Trade Commission found Washington Post article that I referred panies was to only offer paltry cost merit to the charges and filed actions to earlier, ‘‘Food Program Defender Be- containment deals to States. This against the three companies. Also, sev- comes a Dismantler,’’ explains the in- would include giving States some free eral States filed actions against for- fluence of large corporations on the formula, or modest cash rebates, or mula companies for anti-trade activi- House. A short history lesson is in free coupons instead of participating in ties which have been well detailed in order. competitive bidding. the press. Some years ago these drug giants I am very worried that smaller In June, 1992, the Federal Trade Com- hired the former Republican Ranking States such as my home State of mission found that three pharma- Member of the House Agriculture Com- Vermont could be easily victimized by ceutical companies tried to fix prices mittee and a former Republican Assist- the drug companies under the House of infant formula they supply to the ant Secretary of USDA who was in bill. WIC program.

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00099 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5372 CONGRESSIONAL RECORD — SENATE April 6, 1995 The FTC also concluded that com- forts to give these drug companies the ding for WIC infant formula. As Chair- petition was reduced because Mead opportunity to increase their profits at man of the Subcommittee on Nutrition Johnson announced in advance the a high cost to poor pregnant women and Investigations, I worked to include amounts to be submitted in sealed bids and children. the provision in the 1987 Commodity to provide formula to the WIC pro- The Senate reports show the efforts Distribution Reform Act that allowed gram. Also, it was alleged by the FTC drug companies have exerted over the States to keep a portion of savings that Mead Johnson sought to limit ad- years to sell formula at a high cost to they achieved through competitive bid- vertising to the public and provided in- WIC. Since WIC is 100 percent federally ding in order to cover the increased ad- formation to competitors signalling funded, the Federal Government should ministrative expenses of bringing addi- bidding preferences. insist that it get the best return on tional participants into WIC. Two of the drug companies consented each dollar spent. Without that provision, the States to having a Federal court issue relief Competitive bidding, which is used could not have used the savings from against them. The companies—Mead by the Federal Government for much of WIC cost containment to serve more Johnson and American Home Prod- its procurement, should be required as people in the WIC program. Unbeliev- ucts—were ordered to provide formula under current law. Clever efforts to to the WIC program free of charge as hide profiteering under the cloak of ably, the Republican Deputy Secretary partial restitution. weakened, so-called cost-containment of Agriculture wrote a letter to Chair- The Center for Budget and Policy measures, will hurt the WIC program man LEAHY officially opposing that Priorities analyzed the harm to States in my State, and throughout the Na- provision in the bill. from the advance price signaling in tion. I know the drug companies may I also requested the study by the 1990. It concluded that after the Mead- already be celebrating, but the Senate General Accounting Office that was Johnson letter announcing what it took the lead in the past in standing up issued in October of 1987 demonstrating would bid in the future that States to these corporate interests. I believe the savings that could be achieved were harmed by over $14 million by in- that despite all the money spent by the through competitive bidding for infant creases in annual infant formula costs drug companies to influence opinion, formula. the Senate will do the right thing. including the following: Indiana, $3.7 And in 1989, as Chairman of the Nu- million cost increase; Minnesota, Mr. DASCHLE. I fully agree with the views expressed by my fellow Demo- trition and Investigations Sub- $1,811,000 increase; Mississippi, $1.7 mil- committee, I introduced the Child Nu- lion increase; Oklahoma, $1.4 million cratic colleagues. We cannot give the WIC program to the drug companies trition and WIC Reauthorization Act of increase; Kentucky, $868,000 increase; and allow them to turn WIC into a for- 1989, which included the provision re- Oregon, $867,000 increase; Colorado, mula for profit. quiring the use of competitive bidding $820,000 increase; West Virginia, WIC is one of America’s most effec- or equally effective cost containment $650,000 increase; Iowa, $539,000 in- tive child nutrition programs and I in- measures for WIC infant formula. crease; and Montana, with a $324,000 tend to fight any efforts of the House Again, it was my privilege to work cost increase. to repeal the WIC program. Senator with Senator LEAHY, as Chairman of I am very worried, as are many of my HARKIN led the fight against the prac- the Agriculture Committee, in getting Senate colleagues, that allowing these tices of one infant formula company this provision enacted into law. companies the opportunity to take that sold powdered formula to third- The benefits of competitive bidding more than one million participants off world countries. Low-income families are simply too large to give up. The na- the program so the drug companies can would mix the formula with contami- tional benefits have already been de- make more profits is outrageous. The nated water and the formula would do scribed. In Iowa, as of late last year fact that the House cut $25 million out more harm than good. I ask Senator of the WIC budget for fiscal year 1995 our State was gaining approximately HARKIN what are his views on competi- also raises some concern. We will work tive bidding? $630,000 a month for its WIC program to see that no one is taken off the WIC Mr. HARKIN. I was very proud of my through infant formula rebates, which rolls in fiscal year 1995 because of fund- role in leading the fight against com- allows approximately 12,000 additional ing limitations. panies that tried to push formula in Iowa women, infants and children to be Senator BUMPERS also took the lead the third-world. While I am a very served each month without increasing in supporting and defending these com- strong supporter of breastfeeding I rec- spending. petitive bidding requirements. What ognize the formula does play an impor- WIC is one of our Nation’s most suc- are the views of the Senator from Ar- tant role in the WIC program. cessful and cost-effective efforts. Com- kansas on this matter? I agree fully with the remarks that petitive bidding makes WIC remark- Mr. BUMPERS. I am also worried Senator LEAHY has made about the im- ably more cost-effective. We hear a lot and concerned about the provisions in portance of competitive bidding for about the importance of letting States the House bill that eliminate the cur- WIC infant formula, and the comments have more freedom in administering rent WIC competitive bidding require- of my colleagues on the subject, and I programs. WIC already involves a part- ments. I have supported these efforts commend Senator LEAHY for his work nership between the Federal Govern- right from the beginning and will on this issue as Chairman of the Com- ment and the States—it is already ad- strongly oppose efforts to eliminate mittee on Agriculture, Nutrition, and ministered by the States, but it is competitive bidding. Forestry and now as ranking member. funded entirely with Federal money. I share Senator LEAHY’s concern that To get the best deal for taxpayers I This proposal to do away with the com- the new plan of attack by the compa- believe it is essential that we require petitive bidding requirement stands nies will be to only offer paltry cost that competitive bidding be used for the idea of State flexibility on its head. containment deals to States. This WIC infant formula so that we can en- It basically says that if the States would include giving States some free sure that the States are not subjected want to squander federal taxpayer dol- formula, or modest cash rebates, or to the kinds of pressure tactics to lars by lining the pockets of the infant free coupons instead of participating in eliminate competitive bidding that formula companies, that is just fine, competitive bidding. This could mean have been so thoroughly documented. have at it. that millions of infants, women and We owe it to taxpayers and to over a children would be forced off WIC. million and a half additional people All I can say is that we have made Senator PRYOR has been a leader re- who are served each month with the too much progress and there is far too garding child nutrition programs and I savings from competitive bidding. I do much at stake for this Senator to would like his views on this issue. not want this provision watered down stand by and watch a proven and prac- Mr. PRYOR. As I said at an Agri- so that companies can increase their tical tool like competitive bidding be culture Committee hearing, I am also profit margins at the expense of WIC thrown out the window for the sake of very troubled by the House efforts to participants and taxpayers. some half-baked, radical theory. Not cut child nutrition programs. The I have had a long involvement in the without a fight, not without a huge worst aspect of their bill relates to ef- efforts to implement competitive bid- fight.

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00100 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5373 Finally, I am also concerned, as are These students are working hard to Unfortunately, many of these com- my colleagues, about the ramifications learn. Now, some Members of Congress munities will be unsuccessful in their of the $35 million cut in WIC in this re- would like to pull the rug out from efforts to save the base. In the first scissions bill. The Congress should be under them by cutting student aid. three base closure rounds, in 1988, 1991, fully funding WIC as per the Presi- Earlier this week, the House Eco- and 1993, the Commission approved the dent’s proposals and should be very nomic and Educational Opportunities closing of approximately 85 percent of cautious about cutting the funding Chairman confirmed that Republicans the recommended bases. available for carrying out WIC efforts are considering eliminating the in- These first three base closure rounds in the States. I too will work to see school interest subsidy on Stafford col- that no one is taken off the WIC rolls lege loans. produced the closing of 75 major mili- in fiscal year 1995 because of funding If House Republicans are successful, tary installations and over 200 smaller limitations. 20,000 Vermont students will be paying installations nationwide. Each of these I understand Senator BOXER also has more for college. Individual student communities are now focusing on beat- concerns about the WIC program. debt will increase by 15 to 50 percent, ing swords into plowshares. And to its Mrs. BOXER. I also am very con- depending on the length of time spent credit, the U.S. military is trying to do cerned about the Contract With Amer- in school. An undergraduate student its part to quickly cleanup these bases ica and how it will seriously hurt the who borrows the maximum amount for and prepare them for civilian use. WIC program. I am very proud to sup- a four year college could owe an addi- port the WIC program, and it is impor- Mr. President, many have argued in tional $3,407 in interest. This is an in- the past that the federal government tant to ensure that the competitive crease of about 20 percent, on top of bidding process stays in place so that should not help beat swords into plow- debt that already is tough to manage. the largest number of women and chil- shares—that we do not have a responsi- There also has been talk about elimi- bility to help the workers and commu- dren possible can be effectively served nating campus-based aid including by this enormously successful program. nities that proudly supported our bases Supplemental Educational Opportunity for decades. However, we can not and STUDENT AID Grants, Perkins loans, and the work- Mr. LEAHY. Mr. President, students must not turn a cold shoulder to those study programs. Eliminating these who helped us win the cold war. on college campuses throughout need-based programs would cause hard- Vermont have mobilized against cuts ship for students at 2-year and 4-year To be certain, base closings hurt. in student aid. The strong opposition colleges throughout the country. A Communities that lose a base lose around the country to these cuts has student who receives an aid package much more than just the daily sights prevented most student aid programs that includes average awards from all and sounds of the military’s presence. from being included in the rescission three programs would stand to lose They lose the heart and soul of their bill we are debating today. The next $3,152. local economy. In many cases, the step will be to make sure that students Increasing the financial burden to military is the largest employer in the do not get short-changed in next year’s students and their families will dis- region. As my colleagues know, closing budget. On Monday, I had the pleasure of courage many students from attending military bases causes an immediate meeting with 19 exceptional college college or enrolling in vocational or economic trauma in these commu- students in my office in Burlington, graduate programs. nities. As we encourage people, both young Vermont. These students: John Boyle But some good news is beginning to and old, to pursue higher education, we of Landmark College; Stephen O’Keefe arise in a few of the towns that lost need to help them achieve this by pro- and Sean Brown of Southern Vermont bases in the early rounds. Lost mili- College; Terri Taylor of Lyndon State viding realistic funding options. These students are our future. All of tary jobs are slowly being replaced by College; Eric Sorenberger and Marlene us know just how difficult it is to pay civilian employment. The private sec- Rye of Sterling College; Cecily Muller for a college education these days. It is tor is moving in and jobs are being cre- of Woodbury College; Beth McDermott important that these students and ated at many old bases. of the University of Vermont; Alison Maling of Trinity College; Courtney their families do not see the dream of The local communities that are expe- Ryan of St. Michael’s College; Kevin higher education slip beyond their riencing an economic revival have told Canney of Burlington College; Sue grasp. us that their successful efforts to beat Decisions to cut student aid pro- Jean Murray of Champlain College; swords to plowshares were made pos- grams are based solely on short-sighted Theresa Morris of Vermont Technical sible only because the federal govern- College; John Wyrocki and Laura Whit- politics. ment, specifically the U.S. military, I am concerned that the debate over ney of Green Mountain College; Jeff Al- decided to become a partner in this next year’s budget is going to occur bertson of Middlebury College; and worthy effort. over the summer when many students Darryl Danaher, Ryan Carter and Mat- are not on campus. I hope they will In helping communities rebound, the thew Thornton of Norwich University military services are focused on quick- shared with me how cuts in student aid continue to work together to speak out against cuts in student aid. ly cleaning up contaminated portions would affect them and other Vermont of the closing bases so private sector students. RESTORATION OF DEFENSE CLEANUP FUNDS Mr. PRYOR. Mr. President, I rise businesses can move in and begin cre- One student is the youngest of nine ating jobs. children and is holding two work study today in support of restoring $104.2 mil- jobs. Another is a mother of two and on lion to the Department of Defense ac- In order to quickly prepare closing welfare. Her daughter also is in college. counts that are used to fund the clean- bases for redevelopment, the DOD’s Another is the third child in her family up and redevelop of closing military base closure accounts, or BRAC ac- to go to school. Her mother went back bases. These funds were authorized and counts, must be fully funded. to school to get a better job to help pay appropriated by Congress last year and It would be shortsighted to rescind her children’s student loans. Another is they now are subject to a possible re- funds for closing bases, especially scission. the mother of four who had to leave an given that the Base Closure Commis- Mr. President, less than a month ago abusive marriage. She relies on work sion is currently preparing to add more the Secretary of Defense announced study to help her stay in school. She bases to the closure list. also will have loans to pay for her the 1995 hit list of military base clos- daughter’s education. Another is re- ings. This list recommended closing 25 Cutting funds from the DOD base clo- turning to school after having to major bases. Communities with bases sure account will slow down the proc- change her occupation due to major on this list are currently working to ess of returning these bases back to the back surgery. convince the independent Base Closure communities. By doing so, we would I could go on and on about what Commission to remove their hometown substantially damage the economic de- these students are going through to bases from the list and to spare them velopment efforts of base closure com- earn their college degree. the economic trauma of a base closing. munities nationwide.

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00101 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5374 CONGRESSIONAL RECORD — SENATE April 6, 1995 I urge my colleagues in the Senate, posed and final criteria for its studies, efit from section 8002 payments in lieu especially those on the Senate Appro- hold hearings, and publish a prelimi- of taxes for Federal properties. As fed- priations Committee, to restore $104.2 nary and a final report, all by March erally owned lands, these properties million to the DOD BRAC accounts. 22, 1995. The conferees on the mandates are tax-exempt and contribute nothing AMENDMENT NO. 577 bill recognized that ACIR needed fur- to local tax revenues. These monies are Mr. HATFIELD. Mr. President, if ther funding in this fiscal year in order made available under strict criteria to there had been a rollcall vote on the to do the studies. The conferees there- help compensate local school districts Dole-Daschle amendment, I would have fore authorized an appropriation of for revenues they might otherwise be voted ‘‘no.’’ As my colleagues know, I $500,000 for fiscal year 1995. receiving. support many, if not all, of the pro- The managers’ amendment contains The impact aid section 8002 program grams that would benefit from the a provision that would appropriate this has been authorized since the inception funding restorations of the amend- money. I am glad that the senior Sen- of impact aid in 1950. For 45 years, the ment. They are worthwhile, meri- ators from Oregon and West Virginia, Congress has recognized its responsibil- torious programs that address impor- Senators HATFIELD and BYRD, have ities to compensate local schools for tant national needs. funded the mandate on ACIR. tax-exempt Federal personnel and But as I said at the outset of this de- I would like to thank them for ac- properties. bate, Mr. President, many of the Ap- commodating the Senator from Idaho, Furthermore, the entire impact aid propriations Committee’s rec- Senator KEMPTHORNE, and the Senator program was just reauthorized last ommended rescissions were reductions from Florida, Senator GRAHAM, and year as a part of the Elementary and in the rate of funding increases, not re- myself on this issue. And I look for- Secondary Education Act. This is no ductions in actual funding below the ward to helping ACIR carry out this time to retreat from our longstanding previous year’s level. I see no reason to mission. commitment which is so vital to feder- add more money now to simply in- Mr. PELL. Mr. President, I am sup- ally impacted school districts. crease the increase. The Appropria- porting the Dole-Daschle compromise I am supporting that impact aid res- tions Committee made a considered and the final passage of the supple- toration because the York County judgment on these matters, and we mental appropriations and rescissions School Division in the historic Hamp- found our recommended rescissions to bill because I believe, on balance, the ton Roads region of Virginia is the be reasonable. Further, we found them bill does take a significant step to- largest recipient of section 8002 funding to be urgently needed for the task of wards fiscal control and economy in in the Nation. I commend the York deficit reduction. government. County School Division finance direc- On that point, Mr. President, I be- I am particularly pleased that the tor, Mr. Dennis Jarrett, as well as su- lieve this amendment is a serious mis- compromise restores nearly a billion perintendent Steven Staples for their take. We do not have CBO scoring of dollars in House rescissions that would careful work in bringing this urgent this amendment as yet, but it would have jeopardized programs that benefit matter to my attention. appear to me that the recommended children and education. This year alone, more than $1 million ‘‘offsets’’ of this amendment reduce Head Start, Title I Education, impact of the York County School District significant amounts of budget author- aid, WIC, Goals 2000, School to Work budget is at risk because of the pro- ity but very little in outlays. The re- and Drug Free Schools are all pro- posed rescission. I am confident that ductions are primarily drawn from ac- grams that constitute investments in my colleagues on the Appropriations counts with annual outlay rates as low our national future, and restoration of Committee had no intention for the as 1 percent, while the funding restora- funding for them lends balance and budget cutting axe to fall so heavily on tions occur in accounts with outlay merit to the bill. only one of some 200 school districts. rates as high as 80 percent. In short, I am very pleased that the Senate The restoration of the $16.29 million Mr. President, it appears to me that bill restores funding for the LIHEAP for impact aid will symbolize our sup- this amendment may actually increase program and housing modernization, port of the communities across the Na- the deficit. The bill that I brought to two programs that are important to tion which house and serve the U.S. the floor on behalf of the Appropria- my State. Armed Services and their families. tions Committee was a first step in the And finally I would note that the Mr. President, I thank the Chair and long march toward a balanced budget. Senate bill would restore more than commend this small measure to the This amendment is a step backward. half of what the House bill would cut support of my colleagues. FUNDING FOR ACIR’S MANDATES STUDIES from our foreign aid programs—not a Mr. PRESSLER. Mr. President, I am Mr. DORGAN. Mr. President, I rise to perfect outcome, but certainly far pref- pleased to rise today in support of the take note of an aspect of the managers’ erable to the House version. agreement offered today on H.R. 1158, amendment to H.R. 1158, the supple- Mr. President, none of us are going to the rescissions bill. The leadership can mental appropriations and rescissions be completely satisfied with the pain- be commended for their hard work on bill. ful compromises that must be made in this compromise. This rescissions bill As my colleagues know, I helped the current season of downsizing of has been a drawn-out and difficult write the Unfunded Mandates Reform government. But this bill does what process. But this hard-fought agree- Act of 1995, which just became law. had to be done with less pain than ment represents good news for many This law passed the Senate on January might otherwise have been inflicted. I South Dakotans: it contains my 27 by an 86–10 vote. Part of this law re- commend the managers and give the amendment that would restore funds quires the Advisory Commission on bill my support. for Section 8002 of the Impact Aid Pro- Intergovernmental Relations to con- Mr. WARNER. Mr. President, I am gram, otherwise known as Section 2. duct studies on unfunded mandates pleased to commend the majority lead- The inclusion of my amendment to issues. The Senate passed my amend- er, Senator DOLE, and the Democratic save this important program is a sig- ment giving these studies to ACIR by a leader, Senator DASCHLE, for the suc- nificant reason why I offer my whole- vote of 88–0. cessful completion of the managers re- hearted support for this agreement. The law requires ACIR to make rec- scission amendment package to H.R. The impact aid program is not aid in ommendations to the President and 1158, the fiscal year 1995 supplemental the traditional sense. It is called Im- Congress about simplifying, consoli- appropriations bill for disaster assist- pact Aid because the presence of the dating, suspending or terminating fed- ance and rescissions. I am particularly Federal Government is having an ad- eral mandates. It also requires ACIR to gratified that the leadership has stead- verse impact on nearby school dis- examine the measurement and defini- fastly retained, through a myriad of tricts. The adverse impact is the loss of tion issues involved in calculating the negotiations, the restoration of section tax revenue to the schools, and the Im- costs and benefits of unfunded federal 8002 of the Federal Impact Aid Pro- pact Aid Program is designed to com- mandates. gram. pensate schools for that lost tax base. The law requires ACIR to do these With funding of only $16.29 million, In short, impact aid is an ongoing studies very quickly. It must issue pro- nearly 200 school districts directly ben- Federal responsibility. Impact aid does

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00102 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5375 not represent extra dollars for special I would be happy to work with my small and microbusinesses in low-in- programs. Impact aid provides support colleagues to demonstrate why impact come communities to help create those payments for basic day-to-day oper- aid is critical to so many school chil- jobs. ations. It is neither a wasteful nor dren. I also look forward to working Job creation is so important to the ideologically driven program—these with my colleagues on the budget and many critical issues that come before funds go directly to a school district’s appropriations committees to maintain Congress. It is also the crux of the wel- operating budget. Impact aid rep- the vitality of the Impact Aid Program fare reform debate now before Con- resents fairness—to the schools and the for many years to come. gress. parents and children they serve. RESTORE FUNDING FOR THE CDFI FUND Section 2 of the Impact Aid Program Almost everyone agrees that our wel- Ms. MOSELEY-BRAUN. Mr. Presi- fare system needs major reform, and is the lifeblood of many schools across dent, one of the provisions in the the Nation. This program provides sup- almost everyone agrees that welfare re- amendment the distinguished majority cipients who can work ought to be re- port payments to school districts for and minority leaders have offered, Federal land. Across the country, quired to work. The question that re- would partially restore funding for the mains is simple—where are those jobs schools in 27 States rely on Section 2 Community Development Financial In- payments. It would be most unfair to supposed to come from? stitutions [CDFI] Fund. The full House federally impacted districts and the The basic truth that must be faced is and Senate Appropriations Committee children they serve if the Federal Gov- that there simply aren’t enough jobs have both rescinded $124 million of the ernment opts to deny them both a tax now in many communities where the $125 million appropriated for this bill base and Federal support. poor are concentrated, are dropping. If Section 2 payments had been ter- in fiscal year 1995. Although it is not clear when the My own home town of Chicago illus- minated, the Pollock School district in trates the problem. northern South Dakota would have Senate will have the opportunity to vote on this amendment. I want to Between 1972 and 1990, the City of closed, forcing potentially displaced Chicago lost over 146,000 jobs. Between students to travel up to 50 miles in take a few moments to discuss why the 1979 and 1990, the city lost over one- order to receive an education. Pollock funding for the CDFI Fund is needed. third of its manufacturing jobs. Over and similarly situated school districts Clearly, the $36 million included in the same period, the central business would have been forced into this dras- the Daschle amendment is an insuffi- district actually gained jobs over that tic course of action because no other cient amount compared to the $125 mil- period, which means that the impact of revenue options are available. lion appropriated last year—but, this Mr. President, federally impacted start up money will help the CDFI the declining job base fell most heavily schools already have taken their share Fund get off the ground. The impor- on Chicago’s neighborhoods, and par- of cuts. The Impact Aid Program suf- tance of this Fund is its profound af- ticularly its poorest neighborhoods. In fered a $70 million cut last year. If we fect on the lives of people who want to the decade of 1980’s alone, the south were to add to this cut the elimination make their lives better and improve and west side Chicago neighborhoods— of Section 2 payments, federally im- their neighborhoods. where many of the City’s low-income pacted schools would be left without The CDFI Fund is bipartisan initia- residents reside—lost over 82,000 jobs. the assistance they had planned on to tive passed in the Riegle Community This results in a declining population pay teachers, buy textbooks, or as in Development and Regulatory Improve- in the city, and high unemployment the case of Pollock, to even function. ment Act of 1994. I was proud to be a rates for those who want to stay, or Like my colleagues, I am committed cosponsor, along with many of my col- who can’t leave. For residents in public to reducing wasteful government leagues, of this legislation. housing in the inner cities, jobs are al- spending. My voting record consist- The Fund will support and expand ex- most non-existent. Of the households ently has been in favor of a balanced isting Community Development Banks in the Robert Taylor Homes—the coun- budget. I also appreciate fully the dif- and Financial Institutions [CDBFI] try’s largest public housing complex lo- ficult nature of the Appropriations across the country. The CDFI Fund is cated on Chicago’s southside—an ap- Committee’s job this year. We are all based on the simple proposition—help- proximate 4 percent report any wage in the difficult position of needing to ing the private sector to help commu- income at all. cut bureaucracy and federal spending. nities grow from the bottom up. The fact of the matter is—there is Over the last two decades, a diverse However, our leadership can be com- not enough economic opportunity in range of community development fi- mended for realizing where our prior- poor communities. It’s no secret that nancial institutions have emerged to ities must lie. what is needed to create jobs in any provide new opportunities for ne- Impact aid is a program that enjoys community is capital. However, poor glected communities. In urban, res- support on both sides of the aisle. How- communities, simply do not have the ervation-based and rural settings, more ever, I especially would like to thank access they need to our capital market. than 300 CDFIs are providing credit, in- my distinguished friends from New What this means is that prospective vestments and comprehensive develop- York and Virginia, Senators D’AMATO homebuyers, oftentimes have difficulty ment services. These institutions— and WARNER, for their leadership on getting mortgage money. What it also working in 45 States—manage more this issue. These Senators and others means is that people who want to start than $1 billion in primarily private sec- on both sides of the aisle were prepared businesses—or expand businesses—in tor capital. These institutions have to support my amendment to restore poor communities where all too often loaned more than $3 billion with a loan the Section 2 payments. It is because of cannot get access to the money they loss rates comparable to some of the this bipartisan commitment to edu- need. The creation of the CDFI FUND cation that the leadership has restored best banks in this country. Mr. President, across the country, is a crucial first step in helping low-in- this important program. I appreciate come communities help themselves. their help and support. many rural and urban communities are I hope this bipartisan support for im- starved for affordable credit, capital The CDFI Fund will invest in com- pact aid will send a clear signal to our and basic banking services. The lack of munity development banks and other colleagues and especially to the admin- jobs is a critical issue for any commu- community development financial in- istration. Impact aid is vital to our nity. The lack of jobs is also the crux stitutions which have a primary mis- schools and it should continue to be of an important issue for the welfare sion of community development, lend- fully funded. It is my hope that we will reform debate that the Senate will ing and equity investment and loan not have to fight this battle again dur- soon be considering. counseling services in distressed, un- ing the budget negotiations for fiscal What the Fund is all about is cre- derserved communities. year 1996. President Clinton has re- ating jobs in communities that des- This capital assistance will serve quested a $109 million cut in the Im- perately needs jobs. What this amend- only as seed capital that must be pact Aid Program for next fiscal year. ment is all about is providing a very, matched by private funds. All types of I hope it has been made clear that such very modest amount of Federal money new and existing CDFIs will be eligible a cut would be unacceptable. to spur entrepreneurship, and assist for assistance, including community

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00103 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5376 CONGRESSIONAL RECORD — SENATE April 6, 1995 development banks, credit unions, team is making significant progress to The Quitman County Federal Credit Union micro-enterprise and revolving loan ensure that the programs are up and in Mississippi is located in one of the ten funds, minority-owned banks and com- running. poorest counties in the United States. As a munity development corporations. By using very little Federal money community development credit union, the credit union has been able to supplement the One of the exciting aspects of the to leverage significant private dollars, small savings of its 600 members with more Fund is the Bank Enterprise program the Fund’s investments will build part- than $1 million in nonmember deposits, ena- will catalyze new community lending nerships between banks, thrifts, credit bling the development of home improvement and investment activities by conven- unions, and CDFIs. and minority small business lending pro- tional financial institutions—comple- The results in every equity dollar in- grams. menting community reinvestment ef- vested in a community development For years, the Delaware Valley Commu- forts by lenders. bank or loan fund can leverage at least nity Loan Fund was one of the only lenders Mr. President, the Fund will have an $10 in new private capital for develop- in Camden, New Jersey. Its successful lend- extraordinary impact on many of this ment lending. ing has led to a 7 bank multimillion dollar loan pool for the disinvested area managed country’s low-income neighborhoods. It Community Development Banks and by the loan fund. will support financial and technical Financial Institutions provide capital support for new community develop- where it is critically needed—and jump Mr. NUNN. Mr. President, I under- ment banks—which will support thou- start a local economy. The CDFI Fund stand that an agreement has been sands of new loans—which, in turn, can will support these institutions and rep- worked out between the two sides on result in thousands of new full-time resents an essential part of what’s this legislation, but I want to set the jobs in low-income communities. needed to build and strengthen the record straight on a few issues which I I have seen first hand what an impor- economies in many urban, reservation- believe to be of particular importance. tant role community development fi- based and rural communities. The initiative in question is the Cor- nancial institutions can play in the In closing, let me add that the CDFI poration for National and Community economic development of distressed Fund, is a very good step in the right Service. In the last few days, several of communities and provide jobs to those direction in creating jobs. If the federal our colleagues have come to the floor who have relied on public assistance. government is going to succeed in re- and, for one reason or another, dis- South Shore Bank—the country’s forming welfare, we must start by cre- cussed this initiative in a way which first community development bank in ating jobs and economic growth in im- has deviated substantially from the my home town of Chicago—has had a poverished communities where they facts. I want to provide information for tremendous impact in the South Shore are needed most. the record to eliminate some of the neighborhood of Chicago. Since 1973, Mr. President, I ask unanimous con- misconceptions which may have been the bank and its affiliated community sent that the list of success stories be formed about National Service. development activities have invested printed in the RECORD. First, I would like all of us to be $450 million in its target communities, There being no objection, the list was clear on the facts. Contrary to what we financing the rehabilitation of 15,000 ordered to be printed in the RECORD, as have heard on the Senate floor in the housing units and hundreds of busi- follows: last week, AmeriCorps does not cost nesses. South Shore was once a rap- In North Carolina, the Self-Credit Union the taxpayer outrageous sums. Count- idly-deteriorating, inner city commu- and its affiliated Self-Help Ventures Fund ing all costs, the average annual cost nity abandoned by conventional lend- made a $50,000 loan in 1985 to a small, rural per AmeriCorps member is $17,600. ers. Today it is a stable community worker-owned sewing company threatened $4,725 of that amount is an education with access to a range of sources of with closing because it could not obtain award which is not given until after credit from its local banks. With Self-Help’s conventional credit. the year of service is complete. technical assistance and a series of working Additionally, the program has bene- Another example is the Women’s Self capital loans, the business now employs 80 Employment Project in Chicago which people, making it the second largest private fited the efforts of many private orga- has lent more than $800,000 to low in- employer in its county. By 1992, the company nizations which depend on volunteers come women—many of whom relied on had almost tripled its sales, to $1.8 million. for their work. Many charitable organi- public assistance—to start and grow In Chicago, the Women’s Self Employment zations, from Habitat for Humanity to microenterprises. This successful pro- Project set up an entrepreneurial training the Red Cross have resoundingly rebut- gram has a repayment rate of over 94 and lending program to enable women re- ted the argument that National Serv- ceiving public assistance and with little or percent. ice injures the ethic of voluntarism in no asset to start their own income-producing this country. These groups have often Mr. President, these are just two ex- enterprises. Seventy percent of the 20 women amples of how community development participating in the pilot program in 1987 stated that the presence of AmeriCorps works. The list of success stories in were able to move off public assistance per- members has made their efforts to at- community lending goes on and on: the manently as a result of their business activi- tract traditional volunteers even more Self-Help Credit Union in North Caro- ties. An expanded program now includes 150 effective. lina; the Federation of Appalachian women. WSEP’s three lending programs have Charitable organizations are not the Housing Enterprises in North Carolina; lent more than $500,000 to 350 low- and mod- only ones who have seen sufficient The Coalition for Women’s Economic erate-income women for micro business ven- worth in the program to give it their tures. vocal support. Many businesses also Development in South Central Los An- In Central Appalachia, the Federation of geles. Appalachian Housing Enterprises [FAHE] have seen the value of AmeriCorps as Mr. President, as I said in my open- provides loans that make homeownership a an investment and given it their own ing remarks, the $36 million included reality for very low-income families, many dollars to supplement those provided in this amendment is clearly not of whom have previously lived in rented by the federal government. These pri- enough for the investment that is need- trailers without heat or running water. vate partners range from Alcoa to ed in low-income communities now. FAHE has lent $3.2 million for more than 172 Xerox, with many others in between. I But it is a start to help the institutions housing units, including loans to borrowers request unanimous consent that this with incomes as low as $5,000 a year. I referred to, any many others through- The Coalition for Women’s Economic De- information regarding the cost per out the country. They will be able to velopment in South Central Los Angeles op- AmeriCorps participant and the num- expand their capacity through modest erates a 12-week training program in Spanish ber of volunteers and business organi- federal investments provided by the and English, for low-income women seeking zations supporting AmeriCorps be CDFI Fund. to operate their own enterprises. printed in the RECORD. It is important to point out that the Santa Cruz Community Credit Union in The PRESIDING OFFICER. Without Fund does have an experienced and California, which has lent more than $27 mil- objection, it is so ordered. knowledgeable transition team to lion to small businesses, non-profits and co- (See exhibit 1.) operatives, supplements its credit union begin setting up operations and pro- lending with a non-profit housing develop- Mr. NUNN. My second point is that grams. While the Fund cannot issue ment subsidiary, Seascape Senior Housing. National Service is successfully accom- regulations or take applicants until Seascape developed and owns an 80 unit low- plishing its primary mission—perform- the administrator is confirmed, this income housing project. ance of service. The anecdotal evidence

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00104 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5377 on this score is abundant. From help- EXHIBIT 2 Resolved 414 school conflicts that might ing clean up after last year’s floods in AMERICORPS USA AT FIVE MONTHS otherwise have ended in violence or with stu- dents dropping out of school because of fear the Midwest to immunizing 105,000 chil- A SUMMARY OF ACCOMPLISHMENTS FROM 52 of violence. dren in Texas, to building 60 homes for RANDOMLY SELECTED SITES Taught conflict resolution techniques to poor people in Americus, Georgia, The following report aggregates and sum- 8,119 school children. marizes the bulk of the accomplishments of these youngsters are performing real Counseled and taught alternatives to vio- 1,654 AmeriCorps USA Members serving at 52 work that is needed by our commu- lence to 1,350 potential or actual gang mem- sites that were selected randomly from nities. The independent research firm bers and 54 parents of children at risk of be- across the nation. Listed accomplishments of Aguirre, International provides con- coming involved in gangs. represent the efforts of approximately 8% of Initiated 3 programs to train school and firmation. They did a study of 52 ran- AmeriCorps USA’s operating sites during the community members to implement violence domly selected AmeriCorps sites across first five months of operation—from Sep- prevention activities. the country, and the findings from the tember, 1994 through January, 1995. study confirm that the achievements of The accomplishments are grouped within Secured donated materials and created a this program are many and varied. I AmeriCorps USA’s four issue areas: edu- memorial garden and mural in memory of 3 cation, public safety, health and human children slain in the streets. ask consent that the Aguirre Inter- The AmeriCorps Members worked to pre- national study be also printed in the needs, and environmental and neighborhood restoration. The list, while both long and di- vent violence and drug abuse in families and RECORD. verse, is not exhaustive; not every accom- communities and provided direct assistance The PRESIDING OFFICER. Without plishment has been captured. Nevertheless, to victims of crime as well as referring them objection, it is so ordered. the list summarizes the major accomplish- to needed services. Specific accomplishments (See exhibit 2.) ments of the selected sites. include the following: Conducted workshops for 220 at-risk indi- EDUCATION Mr. NUNN. Mr. President, my final viduals about family violence prevention. point is that this project should not be The AmeriCorps Members helped children Answered crisis hotline calls and made re- a partisan issue. The debate on the and youth from impoverished urban and ferrals for 878 victims of sexual and domestic original authorization was not marred rural communities to succeed in school. violence. They taught in classrooms, established new Provided each of 470 victims of sexual and by the misinformation and partisan learning programs in and out of school, and rancor that we have seen during the domestic violence with 30 days of counseling prepared preschoolers for the demands of and assistance. last week. Indeed, the 1993 bill passed school. Specific accomplishments include the Counseled 35 elementary or high-school with the support of a number of Repub- following: students in crisis as a result of rape, vio- Taught 1,430 and tutored 7,638 pre-school, licans in both Houses. I would hope lence, or home difficulties. elementary, and junior high school students that we could return the debate to that Counseled, 1,180 teenager about alcohol and in basic educational skills. higher plane in the future. To that end, drug abuse. I would hope that my colleagues, Conducted enriched learning programs and initiated new ones—such as computer-based Conducted home visits about drug or alco- whether they agree or disagree with reading instruction, peer tutoring, scientific hol abuse prevention with 120 community the program, would take the time over experimentation, and programs for children residents. the upcoming recess to visit an with special needs—for 6,414 children. HEALTH AND HUMAN NEEDS AmeriCorps site in their states. To my Established after-school and vacation pro- The AmeriCorps Members made inde- colleagues who are willing to make grams to reinforce the academic involve- pendent living easier for disabled, elderly, or this visit, if you still have concerns ment of 4,656 children. hospitalized individuals by providing direct about the program after you have made The AmeriCorps Members helped at-risk support service and by recruiting and orga- this good-faith effort to see it in ac- children succeed in school by assisting them nizing community volunteers. Specific ac- and their families to develop their sense of tion, that will be useful to an open, complishments include the following: civic and community responsibility and to Helped 123 elderly persons, 50 visually im- straightforward debate on the upcom- become more stable, more self-sufficient, and ing reauthorization. I believe that the paired adults, and 9 visually impaired chil- more involved in the community. Specific dren live independently. minds of my colleagues will be changed accomplishments include the following: Provided job-related training, independent Organized and supervised community serv- when they see the results of this pro- living assistance and/or medical referrals for ice projects for 4,469 at-risk children and gram. 135 mentally ill or developmentally disabled youth. Projects included neighborhood persons. In conclusion, I appreciate the indul- cleanups and providing food for elderly peo- Organized weekly social activities for 400 gence of my colleagues on this matter, ple. elderly nursing home residents. and I hope that we can continue the de- Counseled, taught parenting skills, and/or bate in an objective fashion. I am fully provided problem solving assistance to 390 Constructed wheel-chair accessible trails, aware of the funding constraints which families, 183 teen parents, and the low-in- ramps, or sidewalks at 3 parks, 5 low-income homes, and 4 public buildings. face our nation’s government, but I am come families of 440 children at risk of fail- ing in school. Obtained donated materials, trained 58 vol- confident that the program will be unteers, and repair the homes 296 elderly judged valuable to our nation if judged Provide literacy or employment-related training for 694 adults. persons. on its true merits and true costs. I Provided intensive educational support— The AmeriCorps Members provided emer- yield the floor. including regular counseling—to 30 troubled gency medical services, as well as health training and education. Specific accomplish- EXHIBIT 1 teenagers living in group homes and 33 low- income children, including 22 homeless pre- ments include the following: AMERICORPS BUDGET AND MEMBERS schoolers. Trained 1,144 inner-city residents in CPR. PUBLIC SAFETY Provided emergency medical services to over 1,500 people. 1994 1995 1996 The AmeriCorps Members started neigh- Screened 1,100 low-income children for lead borhood safety programs, mobilized neigh- Budget ...... $376,000,000 $579,000,000 $828,000,000 toxicity and other health risks. [HUD/VA] ...... [$318,000,000] [$516,000,000] [$750,000,000] bors, and improved community/police rela- Members ...... 20,000 33,000 47,000 tions, resulting in safer communities. Spe- Provided health counseling, education, or Average cost per referrals and transportation to 220 low-in- Member ...... $18,800 $17,600 $17,600 cific accomplishments include the following: Escorted 8,500 children to school through come families and over 5,000 individuals. Disseminated health care information to Average total cost per member by category safe corridors. Started 258 neighborhood safety programs 4,567 individuals. Health/child care 7% ...... ($1,200) and patrolled 250 vacant buildings to prevent Distributed 150 children’s car seats to low- Grantee operations, plan- violence, drug-dealing and other illegal ac- income families. ning, evaluation 23% ...... ($4,075) tivities. Conducted immunization screenings—im- State Commissions 3% ...... ($450) Initiated 2 programs to improve commu- munizing 158 individuals and notifying 500 Americorps’ overhead 5% .. ($850) nity/police relations, including assisting a others of their families’ need to be immu- nized. (Represents 1995 Costs) police mobile unit. The AmeriCorps Members worked to pre- Administered 301 HIV tests and counseled Education Award 27% ...... ($4,725) vent violence in school by teaching medi- patients regarding results. Stipend 35% ...... ($6,200) ation techniques, resulting in decreased inci- Conducted workshops and distributed in- dence of violence and negative behavior. Spe- formation on AIDS and tuberculosis to over Total ...... $17,600 cific accomplishments include the following: 7,000 people.

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00105 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5378 CONGRESSIONAL RECORD — SENATE April 6, 1995

The AmeriCorps Members helped meet the Converted 29 overgrown lots into green AMERICORPS INVESTORS basic needs of low-income and homeless peo- space; built 7 community gardens; planted The following is a partial list of corporate ple for food and shelter. They improved low- trees along 30 city blocks. giving programs and corporate, independent income housing, fed the hungry, and im- Cleaned 27 miles of road, restored 1 com- and community foundations that are invest- proved the methods of service referral and munity reservoir, removed illegally dumped ing in community service organizations that delivery. Specific accomplishments include garbage from one community; and unclogged are a part of the AmeriCorps National Serv- the following: more than 14,000 storm drains. ice Network: Renovated 238 inner-city housing units and Created 4 playgrounds, designed 1 picnic 99 rural homes; began renovation of 121 area, and improved safety at 1 scenic over- Alcoa, AlliedSignal, Allstate, Amelior more. look. Restored, repaired, or maintained 19 Foundation, American Airlines, American Refurbished 2 homeless shelters and began historical landmarks and a traditional tribal Express, Ameritech, Anheuser-Bush, ARCO, to renovate 3 buildings—one for seniors, one longhouse. Arizona Foundation, Arthur Anderson, Bank for battered women, and one for the formerly Completed 61 inner-city neighborhood of Boston, Bank of New Hampshire, Bechtel, homeless. clean-ups—including a city-wide graffiti re- BellSouth, Booth Ferris Industries, Boston Distributed food to more than 16,625 low- moval. Foundation. income people and packed 7,000 dinners and Distributed 1,375 low flush toilets and 1,700 British Petroleum, Bullitt Foundation, 32,000 breakfasts for the hungry. water conserving showerheads in low-income Burnett-Tandy Foundation, Cabletron Sys- Found shelter for 400 homeless families, neighborhoods—along with over 1,400 water tems, California Community Foundation, and sorted and distributed clothes to 350 conservation guides. Capital Community Foundation, Capitol Cit- homeless individuals. Recycled 920 inefficient toilets and 1,120 in- ies/ABC, Carnegie Corporation of NY, Amon Secured hospice housing for 27 people with efficient showerheads. G. Carter Foundation, Chevron, Citizens AIDS and helped feed (on a weekly basis) Bank, Compaq, Cowell Foundation, Charles 1,250 people who have AIDS or who are HIV AMERICORPS COMMUNITY PARTNERS A. Dana Foundation. positive. Digital Equipment Corporation, Echoing Provided housing information or coun- The following is a partial list of national Green Foundation, Enron, Entergy, Fannie seling to over 500 low-income and homeless and local volunteer, charitable and service Mae, First Deposit National Bank, Fleet families. organizations through which AmeriCorps is Bank, Ford Foundation, The Gap, General Secured donated furniture, repaired it, and getting things done in over a thousand com- Electric, General Mills. delivered it to 300 newly-housed families. munities across the nation. Grand Rapids Foundation, Greater Cin- ENVIRONMENTAL AND NEIGHBORHOOD 4–H, Albany Police Department, American cinnati Foundation, GTE, E. & W. Haas Jr. RESTORATION Red Cross, Arctic Village Tribal Council, Ar- Foundation, Hall Family Foundations, The AmeriCorps Members responded to lington Police Department, ASPIRA, Audu- bon Society, Big Brothers/Big Sisters, Big Healthsource, Hogg Foundation, The Home emergencies, including post-disaster envi- Depot, Houston Endowment, IBM, JCPenny, ronmental restorations, and worked to im- Horn Police Department, Boy Scouts of America, Boys and Girls Clubs, Camp Fire J.P. Morgan, James Irvine Foundation, Rob- prove emergency responses capacity in parks ert Wood Johnson Foundation, Johnson & and public lands. Specific accomplishments Boys and Girls, Casper Police Department, Catholic Charities, Chambers of Commerce, Johnson, Kansas City Community Founda- include the following: tion. Inspected and repaired 87 small dams, pro- City of Decatur of Police Department, Clear- tecting 200 farms. water Police Department, Coalition of 100 Kauffman Foundation, W.K. Kellogg Foun- Provided disaster recovery assistance to Black Women. dation, Key Bank of NY, Knight Foundation, 350 land owners recovering from a flood; ac- Confederated Tribes and Bands of Yakima, Luce Foundation, MacArthur Foundation, tivities included sand and soil deposit map- Dallas Police Department, D.A.R.E., Ft. MBNA, McKesson, Meadows Foundation, ping, advice on pasture and hayland manage- Worth Police Department, Girl Scouts of the Mellon Bank, R.K. Mellon Foundation, ment, watershed mapping, and computer USA, Girls, Inc., Goodwill Industries, Habi- Microsoft. simulations to plan floodplain management. tat For Humanity, Hart County Police De- Millipore, Mobil, Monsanto, Morgan Stan- Fought 2 major forest fires and saved 1 na- partment, Head Start Programs, Humane So- ley, Charles S. Mott Foundation, tional park road from washing out. ciety, I Have a Dream Foundation, Inde- NationsBank, NH Charitable Foundation, Joined at least 5 search and rescue efforts. pendent Sector, Indianapolis Police Depart- Nike, NYNEX, Packard Foundation, Pan- The AmeriCorps Members restored and sta- ment, Jewish Family Services, Jubilee Hous- handle Eastern. bilized the natural environment and wildlife ing, Junior League. Patagonia, Pew Charitable Trust, Philip habitats. Specific accomplishments include Kickpoo Tribe, Lincoln County Sheriffs Morris, PNC Bank, Polariod, Prince Chari- the following: Department, Lions Club, Literacy Volun- table Trust, Proctor and Gamble, Providian Planted 212,500 trees. teers of America, Knick Tribal Council, Bank, Prudential Insurance, Reebok, RI Hos- Restored 320 acres of wild land areas by re- Meals on Wheels, Metropolitan Police De- pital Trust Bank, Winthrop Rockfeller Foun- pairing fire and flood damage, re-planting to partment of St. Louis, Mid-Atlantic Network dation, The Rouse Company, Safeco Insur- prevent erosion, and fencing off wetlands to of Youth and Family Services, Navajo Na- ance, Sallie Mae, Joseph E. Seagram & Sons, prevent illegal dumping. tions, National AIDS Fund, National Center Shell Oil. Restored or stabilized 27 miles of riverbed for Family Literacy. Skillman Foundation, Sony Corporation of and stream banks to improve the habitat of National Council of Churches of Christ in salmon; fenced another 7 miles to keep cat- America, Sprint, Steelcase, Surdna Founda- the USA, National Council of Educational tion, Tenneco, Texaco, Timberland, Time tle from destroying spawning grounds; re- Opportunity Associations, National Council paired three aquaculture tanks with a capac- Warner, Toyota, Union Pacific, United Way of LaRaza, National Council of Non Profit of America. ity to rear 1,000,000 salmon fry per year. Associations, National Endowment for the Removed 2,000 lbs. of trash from an urban UPS, U.S. Health Corporation, Waste Man- Arts, National Multiple Sclerosis Society, river. agement, Western Resources, Lola Wright Monitored water quality in 2 parkland National Organization for Victim Assistance, Foundation, Xerox. areas. Neighborhood Green Corps, New York Uni- versity, NezPerce Tribe, Northeastern Uni- The PRESIDING OFFICER. The Surveyed 5,700 acres of National Forest question is on agreeing to the Dole- land as part of reforestation programs to versity, Ouzinkie Tribal Council, Parents monitor reforestation efforts; conducted bio- Anonymous, Philadelphia Bar Association, Daschle amendment No. 577. logical inventories on 12,000 acres of wetland. Pinelas Sheriffs Department, Points of Light The amendment (No. 577) was agreed Built, restored, or maintained 311 camp- Foundation. to. sites, 88 miles of parkland trails, 17 bridges, Pompano Beach Police, Public Allies, Pub- AMENDMENT NO. 420 and 1 mile of forest service road. lic Education Fund Network, Rotary Club, Cleaned up storm debris and trash on 3 Salvation Army, Seattle Police Department, The PRESIDING OFFICER. The beaches, protected sand dunes on one beach, Shoshone-Bannock Tribe, Sierra Club, St. question is on agreeing to the Hatfield and built one wildlife observation platform Petersburg Police Department, Sunflower substitute. Girls, Teach for America, Tuntutulkia Tradi- and 3 duck blinds. The amendment (No. 420) was agreed The AmeriCorps Members improved neigh- tional Council, United Cerebral Palsey, Uni- borhoods, parks, and recreation facilities by versity of Texas, Austin, United Way of to. converting vacant lots, renovating buildings, America. Mrs. BOXER. Mr. President, I will repairing public facilities, and conducting Urban League, Visiting Nurses Associa- vote yes on final passage of this supple- recycling and conservation programs, result- tion, Volunteer Centers, Volunteers of Amer- mental Appropriations/Rescission bill, ing in a heightened sense of community own- ica, Westin County Sheriffs Department, but I do so with reservations. YMCA of the USA, YWCA. ership. Specific accomplishments include the This bill provides 6.7 billion dollars following: Dozens of colleges and universities, com- Renovated 11 community buildings, includ- munity health centers, police and sheriffs for disaster assistance, more than 70 ing an inner-city medical clinic, community departments, and hundreds of elementary, percent of which will go to California centers, and public schools. junior and high schools. earthquake and flood victims. This is

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00106 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5379 an urgent and necessary response to Joaquin River Comprehensive Plan, ei- main factors: No. 1, the one-time sale the heartbreaking disasters California ther directly or through report lan- of assets and properties acquired by the has faced. guage if possible, would not save the Federal Government during the savings I regret that Republicans have played taxpayer any money. Indeed, the study and loan bailout of the late 1980’s— politics with disaster assistance—for is not even funded out of the Bureau’s which alone has accounted for about the first time in history—by using it as Operating Account! The Plan was es- $75 billion in deficit reduction in recent a hook for their agenda to slash pro- tablished in the statute and financed years; No. 2, reductions in defense grams that benefit children, education, through a surcharge on the sales of spending resulting from the end of the working families, and the poor. water from the Central Valley Project. cold war; and No. 3, the cyclical eco- If the Senate were considering the In fact, if these funds are not spent on nomic recovery that began well before House passed version of this legisla- this Plan, the law still requires that President Clinton took the oath of of- tion, I would vote no, because that is a the full amount be spent on other fish fice. bad bill for both my State and my and wildlife restoration efforts. There country. can be and will be no deficit reduction Federal spending continues to spiral But the Senate bill is different in two from stopping this Plan. out of control. Under President Clin- significant ways: Mr. President, in summary, I’m ton, the level of Federal spending as a First, the Senate Appropriations pleased with the Senate action. Spend- share of the national income is about Committee added back funds in critical ing cuts will occur, as agreed with the 23 percent, near historic levels. Accord- education and housing programs. House. And the San Joaquin study will ing to the nonpartisan Congressional Second, Senate Democrats were suc- continue, as specifically directed in Budget Office, unless we take action to cessful on the floor in restoring funds halt the growth of Government spend- for Head Start, Child Nutrition, Safe public law. The restoration of the San Joaquin River would bring benefits ing, it will automatically rise from and Drug Free Schools, Housing, and $1.531 trillion this year to $2.202 trillion other programs that are so important throughout California. We need to by 2002. to the well-being of our children. know if this restoration can occur and So I will vote to send this bill to con- how it would be achieved. Under the President’s budget plan, ference with the House. But I reserve Mr. ABRAHAM. Mr. President, I will deficit spending would continue to ex- the right to vote no on the conference vote for this rescission bill because I plode. The CBO reports that the annual agreement if it comes back looking believe it will greatly benefit the citi- deficit will rise from $170 billion this like the mean-spirited House bill. I zens of Michigan by reducing the bur- year to over $200 billion next year and cannot support any bill that does not den of Government spending and defi- to almost $300 billion a year over the maintain funds for our children at the cits on the economy. Each dollar that next 4 years. Under President Clinton’s Washington does not spend on Govern- Senate-passed level or higher. policies, $1.4 trillion dollars will be ment programs means $1 more than Mr. BRADLEY. Mr. President, the added to the national debt, thereby in- Senate is about to finish consideration Americans can spend for their families. While I did fight to restore funding creasing interest payments, crowding of a Rescissions bill that reduces the out private sector investment, and re- Operation and Maintenance Account of for a few specific programs slated for rescission because of their critical im- ducing the economic well-being of the Bureau of Reclamation by $10 mil- America’s children. lion. This amount is identical to the portance to Michigan—such things as sum rescinded by the House, and I sup- the Low-Income Heating Energy As- I am particularly concerned about port it. As the former Chairman and sistance Program and the Center for the budget crisis occurring in the current ranking member of the Sub- Ecology Research and Training slated Housing and Urban Development’s sub- committee with authorizing jurisdic- to be located in Bay City, MI—I do be- sidized housing program. The CBO tion over the Bureau, I have seen op- lieve that this rescission package is a projects that the future obligations to portunities for the Bureau of Reclama- win for the people of Michigan because renew the expiring section 8 contracts tion to reduce spending. I have no it is the first down-payment toward re- will add $20 billion to the budget by the doubt that this cut can be absorbed, ducing the size and scope of Govern- year 2000. This $15 billion rescission given the streamlining that is now oc- ment. package would partially offset these curring within the Bureau. Specifically, this bill will reduce added budget costs. I note, however, that the Senate has Government spending by $15 billion. Mr. President, this rescission pack- wisely avoided commenting on par- That represents a reduction of 1 per- ticular operations. This has two bene- cent of the entire Federal budget of $1.5 age is only a small example of the kind fits. First, it gives the Bureau the trillion this year—hardly a draconian of reductions in the growth rate of flexibility to deal with this cut in the reduction in Government spending as Government spending that will be re- most effective and appropriate manner. some special interest groups have quired to balance the budget. Accord- It won’t be easy to cut this account, claimed. ing to the CBO projections, if we sim- given that the fiscal year is half over. Nonetheless, these spending reduc- ply limit annual spending increases to The project managers need to be cre- tions are crucial to our Nation, and to 2.9 percent between now and 2002, we ative and do not need legislative hand- Michigan in particular. This bill will can balance the budget. In other words, cuffs. help my State by reducing the deficit, achieving a balanced budget requires Second, the House report suggests freeing up economic resources for the not absolute cuts in Government that one way to balance this account is economy, and job creation in par- spending, but rather reductions in the to stop a study of the San Joaquin ticular. Moreover, American taxpayers rate of growth of Government spend- River that was established in law send 25% of their paychecks to Wash- ing. through the Central Valley Project Im- ington. Mr. President, the best thing I can do provement Act. This language is nota- Furthermore, it is clear that we need for the citizens of Michigan is to re- bly absent from the Senate report. to take immediate action to reduce duce the burden of Government and let Government spending because pro- As the author of this landmark them keep more of what they earn. By CVPIA law, I am surprised at the jected deficits are getting larger, not reducing the growth rate of Govern- House report language. This San Joa- smaller, under President Clinton’s ment spending and cutting taxes, we quin study is specifically ordered in budget policies. can strengthen America’s and Michi- this public law and, in fact, has a stat- Contrary to conventional wisdom, gan’s families, businesses, and vol- utory deadline for action by the Bu- President Clinton’s budget policies untary organizations. This rescission reau. Clearly, this statute is unaffected have had almost nothing to do with the bill is an important first step in by any Committee Report language, slight improvement in the size of the achieving the electorate’s desire for and the law remains binding on the Bu- budget deficit that has occurred in re- smaller Government. I yield the floor. reau. cent years. According to the CATO In- Additionally, I am puzzled by this stitute, almost all of the deficit reduc- Mr. DOLE. Mr. President, with all suggested target, since cutting the San tion since 1992 is attributable to three the rhetoric spoken over the last few

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00107 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5380 CONGRESSIONAL RECORD — SENATE April 6, 1995 days, some of us seem to have forgot- cations bill. Votes could occur during the committee substitute at appro- ten why we are here—to cut unneces- Monday’s session of the Senate but will priate places in the Senate amendment sary spending. Yes, there will always not occur prior to the hour of 3 p.m. on to the House bill. be differences of opinion as to prior- Monday, April 24. The PRESIDING OFFICER. Without ities, but the fundamental commit- Mr. CHAFEE. How about tonight? objection, it is so ordered. ment to reassess every Federal pro- Mr. DOLE. This will be the last vote Mr. HATFIELD. I move that the Sen- gram and reduce Federal expenditures until hopefully April 24, after 3 p.m. ate insist on its amendment, request a must be paramount. There could be votes after 3 p.m. If we conference with the House on the dis- I am pleased the Democratic leader should decide in the interim there will agreeing votes of the two Houses, and and I have reached agreement, sup- be no votes, we will try to notify you the Chair be authorized to appoint con- ported by our colleagues, that will en- the earliest possible time before you ferees on the part of the Senate. able us to help keep our promise to the are in the air. The motion was agreed to; and the American people. In the amendment, a I ask for the yeas and nays. Presiding Officer (Mr. ASHCROFT) ap- very limited number of programs which The PRESIDING OFFICER. Is there a pointed Mr. HATFIELD, Mr. STEVENS, Members on both sides of the aisle sup- sufficient second? Mr. COCHRAN, Mr. SPECTER, Mr. DOMEN- port, have received smaller reductions There is a sufficient second. ICI, Mr. GRAMM, Mr. BOND, Mr. GORTON, in their rate of increase. At the same The yeas and nays were ordered. Mr. MCCONNELL, Mr. MACK, Mr. BURNS, time, the amendment also contains a The PRESIDING OFFICER. The bill Mr. SHELBY, Mr. JEFFORDS, Mr. GREGG, number of items that will result in ad- having been read the third time, the Mr. BENNETT, Mr. BYRD, Mr. INOUYE, ditional savings being achieved. Most question is, Shall it pass? On this ques- Mr. HOLLINGS, Mr. JOHNSTON, Mr. important to this Senator, overall the tion, the yeas and nays have been or- LEAHY, Mr. BUMPERS, Mr. LAUTENBERG, amendment will result in additional dered. The clerk will call the roll. Mr. HARKIN, Mrs. MIKULSKI, Mr. REID, deficit reduction. The assistant legislative clerk called Mr. KERREY, Mr. KOHL, and Mrs. MUR- As a result of this amendment, the the roll. RAY. package we will send to the conference Mr. FORD. I announce [Ms. MIKUL- f will contain approximately $16 billion SKI] as necessarily absent. in savings. I repeat, $16 billion—that’s I further announce that if present APPOINTMENTS BY THE VICE not over 2 years or 5 years, that’s this and voting. [Ms. MIKULSKI] would vote PRESIDENT year. ‘‘nay’’, The PRESIDING OFFICER. The For all those who supported a bal- The PRESIDING OFFICER. Are there Chair, on behalf of the Vice President, anced budget—rest assured we are com- any other Senators in the Chamber pursuant to Public Law 94–304, as mitted to achieving that goal even if it who desire to vote? amended by Public Law 99–7, appoints means making some tough choices. Of The result was announced—yeas 99, the following Senators to the Commis- course, the real hard decisions have yet nays 0, as follows: sion on Security and Cooperation in to be made. And, we will not be de- [Rollcall vote No. 132 Leg.] Europe: the Senator from New Jersey terred by the hue and cry of the last YEAS—99 [Mr. LAUTENBERG], the Senator from few days about all the so-called terrible Abraham Feingold Lott Nevada [Mr. REID], and the Senator things the Republicans have proposed. Akaka Feinstein Lugar from Florida [Mr. GRAHAM]. This bill is certainly progress, but we Ashcroft Ford Mack The Chair, on behalf of the Vice Baucus Frist McCain still have a long way to go. While I am Bennett Glenn McConnell President, pursuant to the provisions pleased we were finally able to reach Biden Gorton Moseley-Braun of Public Law 99–151, appoints the Sen- consensus—I caution everyone that the Bingaman Graham Moynihan ator from Iowa [Mr. GRASSLEY] as a Bond Gramm Murkowski member and Chairman of the U.S. Sen- real hard choices are yet to come. Boxer Grams Murray The PRESIDING OFFICER. The bill Bradley Grassley Nickles ate Caucus on International Narcotics is open to further amendment. If there Breaux Gregg Nunn Control. be no further amendment to be pro- Brown Harkin Packwood Bryan f posed, the question is on the engross- Hatch Pell Bumpers Hatfield Pressler APPOINTMENTS BY THE ment of the amendments and the third Burns Heflin Pryor PRESIDENT PRO TEMPORE reading of the bill. Byrd Helms Reid The amendments were ordered to be Campbell Hollings Robb The PRESIDING OFFICER. The Chafee Hutchison Rockefeller engrossed and the bill to be read a Coats Inhofe Roth Chair, on behalf of the President pro third time. Cochran Inouye Santorum tempore, pursuant to Public Law 96– The bill was read the third time. Cohen Jeffords Sarbanes 388, as amended by Public Law 97–84, Conrad Johnston Shelby appoints the Senator from Iowa [Mr. Mr. DOLE addressed the Chair. Coverdell Kassebaum Simon The PRESIDING OFFICER. The ma- Craig Kempthorne Simpson GRASSLEY], vice the Senator from Ohio jority leader. D’Amato Kennedy Smith [Mr. METZENBAUM], to the U.S. Holo- Mr. DOLE. Mr. President, if I could Daschle Kerrey Snowe caust Memorial Council. DeWine Kerry Specter have my colleagues’ attention. Dodd Kohl Stevens The Chair, on behalf of the President The PRESIDING OFFICER. The Sen- Dole Kyl Thomas pro tempore, in accordance with Public ate will be in order. Domenici Lautenberg Thompson Law 99–498, section 1505(a)(1)(B)(ii), ap- The majority leader. Dorgan Leahy Thurmond points the Senator from Hawaii [Mr. Exon Levin Warner Mr. DOLE. It is my understanding Faircloth Lieberman Wellstone INOUYE] to the Board of Trustees of the there will be no requests for a vote on Institute of American Indian and Alas- NOT VOTING—1 either side on the defense supplemental ka Native Culture and Arts Develop- bill, no request for a vote on the con- Mikulski ment. tract board, the District of Columbia, So the bill (H.R. 1158), as amended, The Chair, on behalf of the President no request for a record vote on child was passed. pro tempore, in accordance with Public pornography, and the paperwork sim- Mr. HATFIELD. Mr. President, I Law 99–498, section 1505(a)(1)(B)(ii), ap- plification conference report is done, move to reconsider the vote by which points the Senator from New Mexico and other wrap-up material with only the bill passed, and I move to lay that [Mr. DOMENICI] to the Board of Trust- minor changes in the Constitution. motion on the table. ees of the Institute of American Indian But I just say for my colleagues, it The motion to lay on the table was and Alaska Native Culture and Arts will be our intention at 1 o’clock on agreed to. Development. Monday, April 24, to begin consider- Mr. HATFIELD. Mr. President, I ask f ation of H.R. 956, the product liability unanimous consent that the enrolling bill, and following disposition of prod- clerk, in making technical and clerical MORNING BUSINESS uct liability it will be my intention to corrections to the bill, may insert all Mr. THOMPSON. Mr. President, I ask proceed to S. 652, the telecommuni- amendments that have been adopted to unanimous consent that there now be a

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00108 Fmt 0624 Sfmt 0634 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS April 6, 1995 CONGRESSIONAL RECORD — SENATE S5381 period for the transaction of morning The PRESIDING OFFICER. Without business, with Senators permitted to objection, it is so ordered. speak for not to exceed 5 minutes each.

N O T I C E Incomplete record of Senate proceedings. Except for concluding business which follows, today’s Senate proceedings will be continued in the next issue of the Record.

ORDERS FOR FRIDAY, APRIL 7, THE FOLLOWING-NAMED OFFICERS FOR APPOINTMENT THE REMAINDER OF THE TERM EXPIRING DECEMBER 6, TO THE GRADE OF LIEUTENANT GENERAL WHILE AS- 1995. 1995 SIGNED TO A POSITION OF IMPORTANCE AND RESPONSI- NANCY MARSIGLIA, OF LOUISIANA, TO BE A MEMBER BILITY UNDER TITLE 10, UNITED STATES CODE, SECTION OF THE NATIONAL MUSEUM SERVICES BOARD FOR A Mr. THOMPSON. Mr. President, I ask 501: TERM EXPIRING DECEMBER 6, 1998. unanimous consent that when the Sen- ARTHUR ROSENBLATT, OF NEW YORK, TO BE A MEM- To be lieutenant general BER OF THE NATIONAL MUSEUM SERVICES BOARD FOR A TERM EXPIRING DECEMBER 6, 1998. ate completes its business today it MAJ. GEN. RALPH E. EBERHART, 000–00–0000 RUTH Y. TAMURA, OF HAWAII, TO BE A MEMBER OF THE MAJ. GEN. EUGENE D. SANTARELLI, 000–00–0000 stand in recess until 10:30 a.m. on Fri- NATIONAL MUSEUM SERVICES BOARD FOR A TERM EX- day, April 7, and that following the THE FOLLOWING-NAMED OFFICER FOR REAPPOINT- PIRING DECEMBER 6, 1998. prayer, the Journal of proceedings be MENT TO THE GRADE OF LIEUTENANT GENERAL WHILE TOWNSEND WOLFE, OF ARKANSAS, TO BE A MEMBER ASSIGNED TO A POSITION OF IMPORTANCE AND RESPON- OF THE NATIONAL MUSEUM SERVICES BOARD FOR A deemed approved to date and the time SIBILITY UNDER TITLE 10, UNITED STATES CODE, SEC- TERM EXPIRING DECEMBER 6, 1998. TION 601: PHILLIP FROST, OF FLORIDA, TO BE A MEMBER OF THE for the two leaders be reserved for their NATIONAL MUSEUM SERVICES BOARD FOR A TERM EX- use later in the day; that there then be To be lieutenant general PIRING DECEMBER 6, 1998. JOHN L. BRYANT, JR., OF THE DISTRICT OF COLUMBIA, a period for routine morning business LT. GEN. JOHN S. FAIRFIELD, 000–00–0000 TO BE A MEMBER OF THE NATIONAL MUSEUM SERVICES until the hour of 1 p.m., with Senators THE FOLLOWING-NAMED OFFICER FOR APPOINTMENT BOARD FOR A TERM EXPIRING DECEMBER 6, 1998. permitted to speak for up to 5 minutes TO THE GRADE OF LIEUTENANT GENERAL ON THE RE- HARRY S TRUMAN SCHOLARSHIP FOUNDATION TIRED LIST PURSUANT TO THE PROVISIONS OF TITLE 10, each. UNITED STATES CODE, SECTION 1370: E. GORDON GEE, OF OHIO, TO BE A MEMBER OF THE The PRESIDING OFFICER. Without BOARD OF TRUSTEES OF THE HARRY S TRUMAN SCHOL- To be lieutenant general ARSHIP FOUNDATION FOR A TERM EXPIRING DECEMBER objection, it is so ordered. 10, 1999. LT. GEN. CARL G. O’BERRY, 000–00–0000 JOSEPH E. STEVENS, JR., OF MISSOURI, TO BE A MEM- f IN THE NAVY BER OF THE BOARD OF TRUSTEES OF THE HARRY S TRU- MAN SCHOLARSHIP FOUNDATION FOR A TERM EXPIRING PROGRAM THE FOLLOWING-NAMED OFFICER FOR APPOINTMENT DECEMBER 10, 1997. TO THE GRADE OF VICE ADMIRAL WHILE ASSIGNED TO A STEVEN L. ZINTER, OF SOUTH DAKOTA, TO BE A MEM- Mr. THOMPSON. Mr. President, for POSITION OF IMPORTANCE AND RESPONSIBILITY UNDER BER OF THE BOARD OF TRUSTEES OF THE HARRY S TRU- the information of all Senators, there TITLE 10, UNITED STATES CODE, SECTION 601: MAN SCHOLARSHIP FOUNDATION FOR A TERM EXPIRING will be no rollcall votes during Friday’s To be vice admiral DECEMBER 10, 1997. BARRY GOLDWATER SCHOLARSHIP AND session of the Senate. The Senate will REAR ADM. JAMES R. FITZGERALD, 000–00–0000 EXCELLENCE IN EDUCATION FOUNDATION conduct routine morning business only. f PEGGY GOLDWATER-CLAY, OF CALIFORNIA, TO BE A f MEMBER OF THE BOARD OF TRUSTEES OF THE BARRY CONFIRMATIONS GOLDWATER SCHOLARSHIP AND EXCELLENCE IN EDU- RECESS UNTIL 10:30 A.M. CATION FOUNDATION FOR A TERM EXPIRING JUNE 5, 2000. TOMORROW Executive nominations confirmed by GEN. WILLIAM W. QUINN, U.S. ARMY, RETIRED, OF the Senate April 6, 1995: MARYLAND, TO BE A MEMBER OF THE BOARD OF TRUST- Mr. THOMPSON. Mr. President, if EES OF THE BARRY GOLDWATER SCHOLARSHIP AND EX- FEDERAL TRADE COMMISSION CELLENCE IN EDUCATION FOUNDATION FOR A TERM EX- there is no further business to come be- PIRING 13, 1999. ROBERT PITOFSKY, OF MARYLAND, TO BE A FEDERAL LYNDA HARE SCRIBANTE, OF NEBRASKA, TO BE A MEM- fore the Senate, I now ask unanimous TRADE COMMISSIONER FOR THE TERM OF 7 YEARS FROM BER OF THE BOARD OF TRUSTEES OF THE BARRY GOLD- consent the Senate stand in recess SEPTEMBER 26, 1994. WATER SCHOLARSHIP AND EXCELLENCE IN EDUCATION FOUNDATION FOR A TERM EXPIRING OCTOBER 13, 1999. under the previous order. CONSUMER PRODUCT SAFETY COMMISSION NIRANJAN SHAMALBHAI SHAH, OF ILLINOIS, TO BE A MEMBER OF THE BOARD OF TRUSTEES OF THE BARRY There being no objection, the Senate, THOMAS HILL MOORE, OF FLORIDA, TO BE A COMMIS- GOLDWATER SCHOLARSHIP AND EXCELLENCE IN EDU- SIONER OF THE CONSUMER PRODUCTS SAFETY COMMIS- at 10:43 p.m., recessed until Friday, CATION FOUNDATION FOR A TERM EXPIRING AUGUST 11, SION FOR THE REMAINDER OF THE TERM EXPIRING OC- 1998. April 7, 1995, at 10:30 a.m. TOBER 26, 1996. NATIONAL SCIENCE FOUNDATION f DEPARTMENT OF THE INTERIOR SANFORD D. GREENBERG, OF THE DISTRICT OF COLUM- NOMINATIONS WILMA A. LEWIS, OF THE DISTRICT OF COLUMBIA, TO BIA, TO BE A MEMBER OF THE NATIONAL SCIENCE BE INSPECTOR GENERAL, DEPARTMENT OF THE INTE- BOARD, NATIONAL SCIENCE FOUNDATION, FOR A TERM Executive nominations received by RIOR EXPIRING MAY 10, 2000. the Senate April 6, 1995: NATIONAL COUNCIL ON DISABILITY EVE L. MENGER, OF NEW YORK, TO BE A MEMBER OF THE NATIONAL SCIENCE BOARD, NATIONAL SCIENCE NATIONAL AERONAUTICS AND SPACE YERKER ANDERSSON, OF MARYLAND, TO BE A MEMBER FOUNDATION, FOR A TERM EXPIRING MAY 10, 2000. ADMINISTRATION OF THE NATIONAL COUNCIL ON DISABILITY FOR A TERM CLAUDIA MITCHELL-KERNAN, OF CALIFORNIA, TO BE A EXPIRING SEPTEMBER 17, 1996. MEMBER OF THE NATIONAL SCIENCE BOARD, NATIONAL ROBERTA L. GROSS, OF THE DISTRICT OF COLUMBIA, JOHN A. GANNON, OF OHIO, TO BE A MEMBER OF THE SCIENCE FOUNDATION, FOR A TERM EXPIRING MAY 10, TO BE INSPECTOR GENERAL, NATIONAL AERONAUTICS NATIONAL COUNCIL ON DISABILITY FOR A TERM EXPIR- 2000. AND SPACE ADMINISTRATION, VICE BILL D. COLVIN, RE- ING SEPTEMBER 17, 1995. DIANA S. NATALICIO, OF TEXAS, TO BE A MEMBER OF SIGNED. AUDREY L. MC CRIMON, OF ILLINOIS, TO BE A MEMBER THE NATIONAL SCIENCE BOARD, NATIONAL SCIENCE DEPARTMENT OF AGRICULTURE OF THE NATIONAL COUNCIL ON DISABILITY FOR A TERM FOUNDATION, FOR A TERM EXPIRING MAY 10, 2000. EXPIRING SEPTEMBER 17, 1997. ROBERT M. SOLOW, OF MASSACHUSETTS, TO BE A MEM- KARL N. STAUBER, OF MINNESOTA, TO BE UNDER SEC- LILLIAM RANGEL POLLO, OF FLORIDA, TO BE A MEM- BER OF THE NATIONAL SCIENCE BOARD, NATIONAL RETARY OF AGRICULTURE FOR RESEARCH, EDUCATION, BER OF THE NATIONAL COUNCIL ON DISABILITY FOR A SCIENCE FOUNDATION, FOR A TERM EXPIRING MAY 10, AND ECONOMICS. (NEW POSITION.) TERM EXPIRING SEPTEMBER 17, 1996. 2000. DEBRA ROBINSON, OF PENNSYLVANIA, TO BE A MEM- THE JUDICIARY WARREN M. WASHINGTON, OF COLORADO, TO BE A BER OF THE NATIONAL COUNCIL ON DISABILITY FOR A MEMBER OF THE NATIONAL SCIENCE BOARD, NATIONAL A. WALLACE TASHIMA, OF CALIFORNIA, TO BE U.S. CIR- TERM EXPIRING SEPTEMBER 17, 1997. SCIENCE FOUNDATION, FOR A TERM EXPIRING MAY 10, CUIT JUDGE FOR THE NINTH CIRCUIT, VICE ARTHUR L. RAE E. UNZICKER, OF NORTH DAKOTA, TO BE A MEM- 2000. ALARCON, RETIRED. BER OF THE NATIONAL COUNCIL ON DISABILITY FOR A JOHN A. WHITE, JR., OF GEORGIA, TO BE A MEMBER OF TERM EXPIRING SEPTEMBER 17, 1997. THE NATIONAL SCIENCE BOARD, NATIONAL SCIENCE IN THE AIR FORCE ELA YAZZIE-KING, OF ARIZONA, TO BE A MEMBER OF FOUNDATION, FOR A TERM EXPIRING MAY 10, 2000. THE NATIONAL COUNCIL ON DISABILITY FOR A TERM EX- THE FOLLOWING-NAMED OFFICERS FOR APPOINTMENT PIRING SEPTEMBER 17, 1996. NATIONAL MEDIATION BOARD TO THE GRADE OF GENERAL ON THE RETIRED LIST PUR- SUANT TO THE PROVISIONS TO TITLE 10, UNITED STATES NATIONAL FOUNDATION ON THE ARTS AND THE KENNETH BYRON HIPP, OF HAWAII, TO BE A MEMBER CODE, SECTION 1370: OF THE NATIONAL MEDIATION BOARD FOR A TERM EX- HUMANITIES PIRING JULY 1, 1997. To be general ROBERT G. BREUNIG, OF ARIZONA, TO BE A MEMBER OF RAILROAD RETIREMENT BOARD GEN. CHARLES G. BOYD, 000–00–0000 THE NATIONAL MUSEUM SERVICES BOARD FOR A TERM GEN. JOHN M. LOH, 000–00–0000 EXPIRING DECEMBER 6, 1998. JEROME F. KEVER, OF ILLINOIS, TO BE A MEMBER OF KINSHASHA HOLMAN CONWILL, OF NEW YORK, TO BE A THE RAILROAD RETIREMENT BOARD FOR A TERM EXPIR- THE FOLLOWING-NAMED OFFICER FOR APPOINTMENT MEMBER OF THE NATIONAL MUSEUM SERVICES BOARD ING AUGUST 28, 1998. TO THE GRADE OF GENERAL WHILE ASSIGNED TO A PO- FOR A TERM EXPIRING DECEMBER 6, 1997. NATIONAL INSTITUTE FOR LITERACY SITION OF IMPORTANCE AND RESPONSIBILITY UNDER CHARLES HUMMEL, OF DELAWARE, TO BE A MEMBER TITLE 10, UNITED STATES CODE, SECTION 601: OF THE NATIONAL MUSEUM SERVICES BOARD FOR A MARCIENE S. MATTLEMAN, OF PENNSYLVANIA, TO BE To be general TERM EXPIRING DECEMBER 6, 1999. A MEMBER OF THE NATIONAL INSTITUTE FOR LITERACY AYSE MANYAS KENMORE, OF FLORIDA, TO BE A MEM- ADVISORY BOARD FOR THE REMAINDER OF THE TERM LT. GEN. JOSEPH W. RALSTON, 000–00–0000 BER OF THE NATIONAL MUSEUM SERVICES BOARD FOR EXPIRING OCTOBER 12, 1995.

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00109 Fmt 0624 Sfmt 9801 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S5382 CONGRESSIONAL RECORD — SENATE April 6, 1995

NATIONAL COMMISSION ON LIBRARIES AND DEPARTMENT OF STATE TION OF IMPORTANCE AND RESPONSIBILITY UNDER TITLE 10, UNITED STATES CODE, SECTIONS 601 AND 5035: INFORMATION SCIENCE JACQUELYN L. WILLIAMS-BRIDGERS, OF MARYLAND, JOAN CHALLINOR, OF THE DISTRICT OF COLUMBIA, TO TO BE INSPECTOR GENERAL DEPARTMENT OF STATE. VICE CHIEF OF NAVAL OPERATIONS BE A MEMBER OF THE NATIONAL COMMISSION ON LI- THE ABOVE NOMINATIONS WERE APPROVED SUBJECT BRARIES AND INFORMATION SCIENCE FOR A TERM EX- TO THE NOMINEES’ COMMITMENT TO RESPOND TO RE- to be admiral PIRING JULY 19, 1999. QUESTS TO APPEAR AND TESTIFY BEFORE ANY DULY CONSTITUTED COMMITTEE OF THE SENATE. VICE ADM. JOSEPH W. PRUEHER, 000–00–0000 NUCLEAR REGULATORY COMMISSION IN THE NAVY SHIRLEY ANN JACKSON, OF NEW JERSEY, TO BE A MEMBER OF THE NUCLEAR REGULATORY COMMISSION THE FOLLOWING-NAMED OFFICER FOR APPOINTMENT FOR A TERM OF 5 YEARS EXPIRING JUNE 30, 1999. TO THE GRADE OF ADMIRAL WHILE ASSIGNED TO A POSI-

VerDate Aug 31 2005 04:50 May 28, 2008 Jkt 041999 PO 00000 Frm 00110 Fmt 0624 Sfmt 9801 J:\ODA15\1995_F~1\S06AP5.REC S06AP5 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS