Congressional Record United States Th of America PROCEEDINGS and DEBATES of the 104 CONGRESS, SECOND SESSION

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Congressional Record United States Th of America PROCEEDINGS and DEBATES of the 104 CONGRESS, SECOND SESSION E PL UR UM IB N U U S Congressional Record United States th of America PROCEEDINGS AND DEBATES OF THE 104 CONGRESS, SECOND SESSION Vol. 142 WASHINGTON, TUESDAY, MARCH 26, 1996 No. 43 Senate The Senate met at 10 a.m., and was RECOGNITION OF THE ACTING MORNING BUSINESS called to order by the President pro MAJORITY LEADER The PRESIDING OFFICER. Under tempore [Mr. THURMOND]. The PRESIDENT pro tempore. The the previous order, the Senate will now The PRESIDENT pro tempore. We able acting majority leader is recog- proceed to a period for the transaction have a guest chaplain this morning, nized. of morning business until 10:30 a.m., Father Lavin from St. Joseph’s Catho- with Senators permitted to speak for 5 lic Church. f minutes each, with the following ex- SCHEDULE ception: Senator REID will be recog- PRAYER nized for up to 15 minutes and Senator Mr. LOTT. Mr. President, today, DORGAN will be recognized for up to 15 The guest chaplain, the Reverend there will be a period for morning busi- minutes. Paul E. Lavin, pastor, St. Joseph’s on ness until the hour of 10:30 a.m. with The Senator from North Dakota is Capitol Hill, Washington, DC, offered Senators permitted to speak therein recognized. the following prayer: for up to 5 minutes each, except for the Let us listen to the word of the Lord following: Senator DORGAN for 15 min- f from the book of Tobit.—Tobit 12:6–8: utes and Senator REID for 15 minutes. ‘‘Raphael called the two men aside At 10:30, we will be scheduled to re- THE FEDERAL RESERVE BOARD sume consideration of Calendar No. 300, privately and said to them: ‘Thank Mr. DORGAN. Mr. President, let me God! Give him the praise and glory.’ H.R. 1296, the Presidio legislation, with the Murkowski substitute pending. A claim my 15 minutes, and I ask the ‘‘Before all the living, acknowledge cloture motion was filed on the Mur- Chair to notify me when I have con- the many good things he has done for kowski amendment last night. There- sumed 10 of the minutes. you, by blessing and extolling his name fore, a cloture vote will occur tomor- Mr. President, I came to the floor in song. row morning under the provisions of today with Senator REID from Nevada ‘‘Before all men, honor, and proclaim rule XXII. There are expected to be to discuss a preliminary report that God’s deeds, and do not be slack in amendments offered during the day. has been completed, after some 2 years praise being Him. Therefore, rollcall votes will occur of work, by the General Accounting Of- ‘‘A king’s secret it is prudent to today, but not prior to 2:15 this after- fice. This report takes an extensive keep, but the works of God are to be noon. look into the activities and operations declared and made known. The Senate will recess from 12:30 p.m. of the Federal Reserve Board and its regional banks. The Federal Reserve ‘‘Praise them with due honor. to 2:15 p.m. today for the weekly policy conferences to meet. was created in 1913. It is kind of a dino- ‘‘Do good, and evil will not find its Other very important items to be saur in our Government in an age of way to you. considered this week include the farm openness, an institution shrouded in ‘‘Prayer and fasting are good, but bill conference report, hopefully under great secrecy. But in 1913, the Congress better than either is almsgiving ac- a time agreement; the line-item veto created the Federal Reserve Board. companied by righteousness.’’ conference report; the omnibus appro- That was the year in which Henry Ford Let us pray: priations conference report; the debt built the first assembly line for the Good and gracious God, it is by Your limit extension; and the State Depart- Model-T and paid people $5 a day to light, the light of Your spirit, that You ment authorization conference report. work to construct automobiles. inspired us to understand Your good- Senators can expect busy sessions That was a long time ago, but some ness and called us to be faithful. throughout the week in order to com- things do not change very much. The plete action on a number of these im- Federal Reserve still exists. It still sits In that same spirit, help us to relish as a house on a hill with a large fence what is right and always to rejoice in portant issues. Mr. President, I yield the floor. around it and invites no one to peer in the consolation that You give us. to see what they are doing. They make Grant eternal rest to our colleague, f a substantial amount of money. They Senator Edmund Muskie, and grant make their own spending decisions, and consolation to his family. RESERVATION OF LEADER TIME they are accountable only to them- Strengthen us with Your grace and The PRESIDING OFFICER (Mr. selves. Your wisdom, for You are God forever KYL). Under the previous order, leader- Senator REID and I asked the GAO to and ever. Amen. ship time is reserved. do an investigation and evaluation of ∑ This ‘‘bullet’’ symbol identifies statements or insertions which are not spoken by a Member of the Senate on the floor. S2841 . VerDate Aug 31 2005 05:10 Jun 20, 2008 Jkt 041999 PO 00000 Frm 00001 Fmt 4624 Sfmt 0634 J:\ODA16\1996_F~1\S26MR6.REC S26MR6 mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS S2842 CONGRESSIONAL RECORD — SENATE March 26, 1996 how the Fed works: What does it spend money be returned to American tax- increases in benefits, employee benefits its money on? How well does it spend payers and not stashed as a surplus in of the Fed increased 90 percent during its money? How accountable is it? an institution that has not had a loss the 6-year term. We have some 200 pages in a report in 79 years and is not going to have a So again, the suggestion by the Fed that represents the work of nearly 2 loss in the next 79 years. that the rest of the Government tight- years by the GAO. This is not a final There are other areas in this GAO re- en its belt is apparently advice lost on report. It is a preliminary report that port that also describe the operation of is now awaiting comment by the Fed- the overall Federal Reserve system. the Fed itself. If you take a look at a eral Reserve Board. The Federal Reserve Board largely con- whole range of these issues, the The Senator from Nevada and I de- ducts monetary policy. While I dis- amount of money spent on personnel, cided to release it now only because agree with its monetary policies these on buildings, on benefits, and a whole last week it was made available to us, days, I do not think that the monetary series of issues like that, what you will and this week the Senate scheduled a policy ought to exist here in the well of find is a Federal Reserve Board that hearing on Chairman Greenspan’s re- the Congress. I think it ought to be has not had a previous audit but a nomination. We felt that the Senate separate and apart. board for which an audit would dis- Banking Committee at least ought to But I do not agree with the Fed when cover that it seems to be growing while have the benefit of what is in this re- it believes its mission in life is to be a the rest of the Government is shrink- port prior to the hearing. set of human brake pads designed to ing. slow down the American economy. Let me discuss a couple of points in Maybe we ought to bring the Federal this report and ask Senator REID to They happen to believe the American economy should not grow more than 2.5 Reserve Board into the same realm. I discuss a couple of other points, be- am not talking about bringing mone- cause I think this will provide a sub- percent. If it grows more than that, tary policy functions into this realm, stantial amount of information that somehow we are going to produce more but maybe the non-monetary policy the American public will be interested inflation they think. in. They are dead wrong. In the global functions of the Federal Reserve ought You talk about the Federal Reserve economy, inflation is going down, not to be subject to annual appropriations Board and people’s eyes start glazing up; wages are going down, not up. So I just as are all of the other functions of over, and there starts to develop a think their monetary policy is wrong, Government. large fog around the subject. This is and they are inhibiting growth in this Certainly, we ought to now proceed, largely because it is a central bank, ac- country and slowing down the Amer- based on what we will find in this re- countable largely only to itself. It con- ican economy. However, that is not what the GAO port, to decide there should be every ducts monetary policy by itself and looked at. The GAO evaluated the year, each and every year, an inde- does so behind closed doors, with great other functions of the Fed. What does pendent audit of the Federal Reserve secrecy. Board. We ought to, based on what we Now, what did the GAO find? A cou- it spend its money on? Less than 10 percent of the activities of the Federal have discovered in this report, decide ple of things.
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