February 11, 1997 CONGRESSIONAL RECORD-SENATE 1851 SENATE-Tuesday, February 11, 1997

The Senate met at 2:15 p.m., and was out that nomination this afternoon, honest exchange of views. Let me one called to order by the President pro and we will attempt to reach an agree­ more time just make clear to col­ tempore [Mr. THURMOND]. ment limiting debate to approximately leagues what this amendment says. 20 minutes equally divided but we will, This amendment says that if we are PRAYER of course, wait until the committee has going to make a commitment by way The Chaplain, Dr. Lloyd John officially reported it and then bring it of a constitutional amendment to bal­ Ogilvie, offered the following prayer: up as shortly thereafter as possible. ance the budget, then we go on record Eternal Father, You have told us Following that vote, we will continue that the Federal outlays, as we do this, that the things we can see are tem­ debate on the balanced budget amend­ should not be reduced in a manner that porary, but the things which are un­ ment, and it is my understanding that disproportionately affects outlays for seen are eternal. We confess that what Senator REID will be prepared to offer education, nutrition, and health pro­ is seen captivates our attention. It is his amendment relative to Social Secu­ grams for poor children. easy to get lost in the labyrinth of rity. The amendment will be debated Yesterday my colleague, Senator life's enigmas. The media constantly today and tomorrow, and we hope to HATCH, said I was asking for an exemp­ remind us of violence and vandalism, set a vote on or in relation to the Reid tion. There is no request for an exemp­ crimes and conflicts, and the spin we amendment for tomorrow, late in the tion. This is just simply a request for put on sin. Sometimes, the things afternoon, probably around 5:30 or so. fairness, and it just simply says let us which are seen blur our vision of the But we have to get a final agreement not lock ourselves into a very harsh set unseen, but indefatigable movement of on the exact time. All Senators will be of priorities. Your Spirit in people and cir­ notified as the votes are scheduled. I also pointed out yesterday that in cumstances. You call us to experience I thank my colleagues for their co­ the last Congress, 93 percent of the the things which are unseen: Your eter­ operation as we approach the Presi­ cuts in entitlement programs were en­ nal presence, the power of love, the dents Day recess. titlement programs that affected poor healing of forgiveness, and Your guid­ Mr. President, I yield the floor. people in America, too many of them ance of leaders who open their minds to poor children. I also cited the Com­ You. mittee on Economic Development, rep­ In the on-going drama of secular life RESERVATION OF LEADER TIME resenting really some of the largest with all its sinister and alarming possi­ The PRESIDING OFFICER (Mr. corporations in America, saying that bilities, also help us to see what You COATS). Under the previous order, the what we did last time, last Congress, are doing to change people and enable leadership time is reserved. was really disproportionate and really them to change government and our not based on a standard of fairness, be­ society. We are not asking for a sim­ cause we cut a lot of programs that plistic, "God is in His heaven and all is BALANCED BUDGET AMENDMENT were important to the nutrition and right with the world" nostrum. Rather, TO THE CONSTITUTION health care and educational status of we need an "All is not right with the The PRESIDING OFFICER. Under children. world but lo I am with you always," the previous order, the Senate will now I also quoted from the Concord Coali­ cure for our deepest needs. resume consideration of Senate Joint tion, which has been a driving force for Now it dawns on us with full force; Resolution 1, which the clerk will re­ our balancing the budget, taking the only Your invisible power can trans­ port. same position. I also quoted from an form our intractable problems. We The legislative clerk read as follows: editorial yesterday in the Washington yield ourselves to be agents of Your A joint resolution (S.J. Res. 1) proposing Post. visible impact on our Nation at this an amendment to the Constitution of the I think the most important thing strategic time of history. In the name United States to require a balanced budget. that I did yesterday, though, Mr. Presi­ of our Lord and Savior. Amen. The Senate resumed consideration of dent-and I would like to start this the joint resolution. way today, and then develop these Pending: points, and then listen very respect­ RECOGNITION OF THE MAJORITY fully to my colleague from Utah, and LEADER Wellstone amendment No. 3, to state the policy of the United States that, in achiev­ then respond to some of what he has to The PRESIDENT pro tempore. The ing a balanced budget, Federal outlays say-was to try to translate this debate able majority leader is recognized. should not be reduced in a manner that dis­ into human terms. Yesterday, my col­ SCHEDULE proportionately affects outlays for edu­ league from Utah said, and I appre­ Mr. LOTT. Mr. President, today the cation, nutrition, and health programs for ciated it, "You know, I don't agree Senate will immediately resume con­ poor children. with Senator WELLSTONE but he is very sideration of Senate Joint Resolution AMENDMENT NO. 3 sincere in his conviction." And I appre­ 1, the constitutional amendment re­ The PRESIDING OFFICER. Under ciated that. That's a tribute from an­ quiring a balanced budget. By unani­ the previous order, there will now be 60 other Senator. mous consent, there will be 60 minutes minutes for debate, to be equally di­ But this is really not about me. This rema1mng for debate on Senator vided in the usual form, prior to a vote is an amendment that I think is sub­ WELLSTONE's amendment No. 3. Sen­ on or in relation to the Wellstone stantive, I think it is important, and I ators can expect a rollcall vote on or in amendment No. 3. wish there would be 100 votes for it. Be­ relation to that Wellstone amendment Mr. WELLSTONE addressed the cause the fact of the matter is, all too at approximately 3:15 today, if all de­ Chair. often-and that was the record last bate time is used. The PRESIDING OFFICER. The Congress and I think it has been the Following that vote, it is my hope we Senator from Minnesota. record of too many Congresses-when will be able to begin consideration of Mr. WELLSTONE. Mr. President, we come down to the nitty-gritty, to the nomination of BILL RICHARDSON to yesterday I had a chance to speak for the point where the rubber meets the be the U.N. Ambassador. The Foreign some time about this amendment and road, we do deficit reduction based on Relations Committee will be reporting then Senator HATCH and I had a very the path of least political resistance.

e This "bullet" symbol identifies statements or insertions which are not spoken by a Member of the Senate on the floor. 1852 CONGRESSIONAL RECORD-SENATE February 11, 1997 And usually, all too often, it is not the his viewpoint with regard to children. I Mr. HATCH. If the Senator will yield. special interests or heavy hitters or think virtually everybody in here does. Mr. WELLSTONE. I will be pleased well connected or big givers who are The fact of the matter is, though, that to yield on the Senator's time. the ones that we target. And poor chil­ all items have to be on the budget if we Mr. HATCH. On my time. I have to dren have been, with the exception of are going to have any kind of a bal­ say that you did get a voice vote last some Senators, the Chair is one of anced budget amendment work. I know time, not a recorded vote. I am offering them-you have shown a tremendous the Senator is not going to vote for a you a recorded vote. I happen to be­ commitment to what we can do at a balanced budget amendment to the lieve sense-of-the-Senate resolutions neighborhood level, at a community Constitution no matter what we put mean a lot. But I certainly could not level, as has the Senator from Mis­ into it. Even if we accepted his amend­ accept this language as part of a bal­ souri, by way of commitment to chil­ ment as part of the balanced budget anced budget constitutional amend­ dren. amendment, he would not vote for it. ment. If for no other reason, what does But all too often, poor children in That way, you are sending a message. the term "disproportionate" mean? America are faceless and voiceless in That way, you would have your col­ Which programs have to be preferred the U.S. Senate, and I just think that leagues voting with you. Otherwise, I above others? it is not at all inconsistent for Sen­ think people who love and revere the There are a thousand programs we ators-even if they are for this amend­ Constitution have to say this is not the are talking about here. I know, because ment, to vote for the constitutional way you amend the Constitution; we I worked with most all of them when I amendment to balance the budget-to should not put this language into a was ranking member and chairman of at least vote for this proposition. As a constitutional amendment because it is the Labor and Human Resources Com­ matter of fact, we are going to make it not constitutional. mittee, on which the Senator from clear we are going to do it on a stand­ Frankly, I suggest to my distin­ Minnesota now sits. ard of fairness, and we are not going to · guished colleague, I would like to help I will get you the votes. I will work my side to try to get 100 of these people disproportionately make cuts in pro­ him do that if he wants to do that. If grams that so vitally affect the nutri­ he doesn't, then I have to oppose this to vote for it. I happen to believe when tional and the educational and the amendment, and I hope most Senators Senators in this body vote for a sense­ health care status of children. will oppose the amendment, because of-the-Senate resolution, it means Mr. HATCH. Will the Senator yield this type of language should not go something, especially if you get 100 just for a second? into the Constitution, because al­ percent. I cannot guarantee it, but I Mr. WELLSTONE. I will be pleased would work to get 100 percent. It would though it is meaningful language, it is be adopted, because I think virtually to yield on the time of the Senator not constitutional language, and it will from Utah. everybody here would like to have chil­ not guarantee the children's programs dren's programs treated fairly. The PRESIDING OFFICER. The are going to be treated any differently The distinguished Senator makes a Senator from Utah is recognized on his than anything else under a balanced tremendous point. We treat seniors own time. budget amendment. very well. They get about 20 times the Mr. HATCH. Mr. President, the Sen­ I retain the remainder of my time. help from the Federal Government that ator indicated he would like 100 people The PRESIDING OFFICER. The individual children get, and we are not to vote for his amendment. I will make Senator from Minnesota. doing what we should do for children in a suggestion to the Senator, and that Mr. WELLSTONE. Mr. President, I our country. There are a lot of children is, amend your amendment to put it in appreciate the comments of the Sen­ in poverty who are in serious straits a sense-of-the-Senate resolution form, ator from Utah. Actually, the language who do not have the health care that and I will work to get you 100 votes. of this amendment is constitutional. It they need. But we are talking about amending the is designed that way. If there is going On the other hand, the question is, Constitution with language that really to be a constitutional amendment to how do we best solve that problem? I clutters up the Constitution with lan­ balance the budget, I say to my good do not think you single it out, because guage that should not be in the bal­ friend from Utah-and he has taken the once you do that in this amendment, anced budget amendment. leadership on this, he absolutely be­ there must be a thousand other things If the Senator will do that, I will lieves in it-if that is the direction we that do not want to be treated dis­ work to get him 100 votes in the Sen­ go in, then it is quite appropriate for proportionately. ate, because nobody wants to treat me to have an amendment to this Frankly, it just makes the amend­ children or children's programs dis­ amendment to make sure that we do ment a nullity. I would be happy to proportionately, but it is not constitu­ not lock ourselves into some very work for a significant up-or-down vote tional language, and it should not be in harsh and distorted priorities. for the Senator, no motion to table, up­ the Constitution. I have to be opposed I tried the route of a sense of the or-down vote if he would make it a to it, and I hope most of our fellow Senate last Congress, and actually I sense-of-the-Senate resolution that Senators will be opposed to it. Nobody lost a couple of times on a sense of the does not go into this constitutional is opposed to children. Senate that we would not take any ac­ amendment. I think that would be a reasonable tion to create more hunger, malnutri­ I yield the floor and reserve the re­ way of resolving this. Put it in a sense­ tion, and poverty among children. Fi­ mainder of my time. of-the-Senate resolution, so it is not nally, it was adopted on a voice vote. I The PRESIDING OFFICER. The incorporated in the Constitution, as a wish there had been a recorded vote. Senator from Minnesota. sense-of-the-Congress resolution in the Then I think we went ahead and, in Mr. WELLSTONE. I thank the Chair Congress. It just is not the way we fact, passed some legislation or provi­ and, again, I thank my colleague. I ap­ should amend the Constitution of the sions of some legislation that is going preciate his kind words. I know he is United States. to create that. very sincere in the offer. Again, what As chairman of the Judiciary Com­ Mr. HATCH. If the Senator will yield. happened last time was we went ahead mittee, I cannot let that happen, but if Mr. WELLSTONE. If I could just fin­ and adopted an amendment saying we the Senator will change and do that, I ish. I think this time around, given the would not take any action to create would be happy to go to a vote, and I track record of the last Congress and more malnutrition, hunger, or poverty would work my side of the floor to get given the fact that the citizens that I among children, and then we went 100 people to vote to say we do not am trying to represent today-poor ahead and did budget cuts that, in fact, want children's programs to be treated children-do not seem to have much of disproportionately affected poor people disproportionately. a presence here, quite frankly, I do not in America, many of them children. I hope the Senator will consider this think a sense-of-the-Senate amend­ Mr. President, I really do view this kind offer. It is a sincere offer. I share ment does the job. amendment as a litmus test. I think I February 11, 1997 CONGRESSIONAL RECORD-SENATE 1853 do want to draw a line in the sand here. colds and flus. She misses a lot of affect the nutritional status of chil­ If Senators put children first, and Sen­ school. Like many children born at low dren. That is what this amendment is ators believe we ought to invest in the birth weight, it takes Danielle a bit all about. health and skills and intellect and longer to figure things out in school. It is not a sense-of-the-Senate character of our children, and Senators Says her teacher, "I see her little brain amendment. I do want to draw a line understand-and they do-that what trying to figure things out. She works on this. I believe I should be able to get happens before kindergarten is so im­ hard and struggles. She's always a few a strong vote for this. I do not think it portant, then I do not know why in the steps behind us." While pregnant with should be tabled. This is all about, as world we cannot make a commitment Danielle, her mother had no prenatal we go forward with deficit reduction, that when it comes to programs like care or guidance. who is going to decide and who is going Head Start and WIC and health care Every 2 minutes a baby is born to a to benefit, and who is going to be asked programs that affect poor children in woman, a mother who had no prenatal to sacrifice. America, that we at least make a com­ care in our country. Her diet of chips, Are we going to decide, as we did last mitment that we not disproportion­ fast food, soda, and candy did not Congress, that we are going to dis­ ately cut those programs. change during the 81/2 months of preg­ proportionately cut programs that af­ As to which programs, listen, with a nancy. Danielle's mother did not par­ fect the quality of life for children, lot of what is in this amendment, we ticipate in the Women, Infants, and poor children in America? Who will de­ are going to be writing implementing Children Program. cide to cut the nutrition programs and language, that is all going to be made At 5, Danielle's sister Alfrieda is whose children will be hurt? They will specific. So I just do not think that cri­ healthy and active. While pregnant not be our children, but they are all of tique really does any damage to this with Alfrieda, her mother participated God's children. I think we all agree on amendment. I would like to speak, in WIC. She had a healthy diet, check­ that. again, about what is at stake. ups, and guidance. When she gave So I am really hopeful that I will get Yesterday, I read from some exam­ birth, she then gave birth to a fit and support for this amendment. This is ples, just some stories of some families strong baby. She named her after the about values. We talk about values. as we kind of reach out and talk to WIC nurse who mentored her. This is about values. This is about Min­ people around the country, not just Says their mother: nesota values. Minnesota. Marlene is a lot like many I see how Danielle is not all there * * * If you asked people, are they in favor women. She went from her parent's how she's slow and kind of sick. They tell me of a constitutional amendment to bal­ home to her husband's. With the excep­ it is 'cause of how it was when I was preg­ ance the budget, they say yes. I have tion of a waitressing job in high school, nant. I think they are right 'cause I really been in disagreement. I wish we would she never had worked outside the see a difference with my baby, Alfrieda. You separate the capital investment part of home, and had no job skills. After 9 would not know that Danielle is older. the budget from on operating budget. I years of marriage, Marlene's husband In one family, in the case of two sis­ worry about it on political economic left her with two children and pregnant ters, we see the impact and influence grounds. But forgetting that, most peo­ with a third. that WIC has. Danielle will always be a ple say yes. But if you ask people, are At 27, she found herself alone with no little behind, a little slow, and a little you in favor of balancing the budget by job skills or means of support. With the weak. Alfrieda will always be a bit making cuts in educational programs help of a neighbor, she enrolled in her smarter than her older sister, a bit or nutritional programs or health care local WIC Program. "I knew about nu­ ahead of her older sister, and a bit programs that affect children, they say trition, child care and how to take care stronger than her older sister. One no. So I am hoping that this will not be of myself. I just didn't have the money small family and one big difference. tabled and that Senators will vote for to. I knew that I needed to have a Mr. President, I said this yesterday, it. healthy baby. I just did not know how the medical evidence is irrefutable and Arel is only 14 years old but has the to get it." irreducible that the most important responsibility of someone much older. WIC provided Marlene with vouchers educational program for our country is He has two sisters. Even though they to purchase the basics for a healthy to make sure that every woman expect­ are at the right age and eligible for baby-milk, cheese, eggs, et cetera. ing a child has a diet rich in vitamins, Head Start, they do not participate be­ To this day, I believe that the food from minerals, and protein; otherwise, that cause the program near their home is WIC saved me and my baby. Emotionally, I child at birth may not have the same full. I forget-I do not have the num­ was so distraught and inept, I didn't know if chance as all of our children and grand­ bers right before me-but something I was coming or going. Thankfully for WIC, children have. And that is wrong. The like only 17 percent of the eligible 3- for that part of my life, I could just go on goodness of our country is for every auto pilot. I knew that I was taking care of year-olds are participating and only 40 my baby. I could go on with taking care of child to have that chance. percent of the eligible 4-year-olds are the rest of the issues I was facing. Mr. President, we do not even fully participating. Really, we should work fund the Women, Infants, and Children It has been 10 years since Marlene re­ Head Start back, Mr. President, to age ceived help from WIC. Now she works Program right now, a program for 1 and 2 as well. full time and supports her children. women during pregnancy, a program By the way, it should be decentral­ She says, for infants, and a program for small ized. This is a parent-participation pro­ children who, by definition, do not gram. It should happen at the local WIC was crucial for me. WIC was like a bridge to help me go from being dependent have enough income to be able to pur­ level. It should happen at the neighbor­ on someone to learning how to take care of chase the food to have an adequate hood level. It can be done through non­ myself and my kids. It's like they took care diet. profits and it can be done through non­ of me so I could take care of the rest of my We know the WIC Program has made governmental organizations. But when life. I cringe to think of how things would an enormous difference. It saves us dol­ we know something works, when we have been without it. lars. It enables children to have a head know these kinds of programs give Mr. President, Danielle is 8 years old. start. It enables children to go on and children a head start, why can't we She looks closer to 6. Though a spirited do well in school. We know all of that. make a commitment that we will not and cheerful little girl, Danielle strug­ The only thing this amendment says is, disproportionately cut these programs? gles in life. She was born at a low birth let us make a commitment if we are Because if we do not make that com­ weight and has endured its effects. She going to balance this budget that in mitment, I really fear that is what is will for a long time. this constitutional amendment to bal­ going to happen. As with many children born at a low ance the budget we make a commit­ While we know how no Head Start birth weight, she has a limited immu­ ment we will not, as we move forward, will affect Arel's sisters, do we know nity system and she catches a lot of disproportionately cut programs that how it is going to affect Arel? Their 1854 CONGRESSIONAL RECORD-SENATE February 11, 1997 mother leaves for work as a bus driver He knows he does not understand. But is, it can force proportionate reduc­ at 4 a.m. She is working. This means he also knows there is not much he can tions in all parts of the budget in order Arel is responsible for the morning rit­ do about it. to comply with this amendment, be­ ual with his sisters. After he gets them Said his teacher: "I just don't know cause this would be an amendment to fed and dressed, Arel puts one sister on what can be done for him. I know that this amendment to the Constitution. the handlebars of his bike and rides 5 he needs a lot of one-on-one attention The worst budgeting for kids could miles to drop her off at affordable day and love, but I just don't have the time come from across-the-board budget care. He returns home and gets his sec­ or the resources. Every day, I feel him cuts. That is how the courts could eas­ ond sister to drop her off. Since he can­ slipping and, frankly, it breaks my ily interpret the amendment. Mr. not drop them off early, he is late for heart. He is a good boy and a smart President, for the information of every school every day. boy. I feel as if he is being punished for Senator, I have offered to give the Sen­ Because of tardiness, he failed his what we did not do for him. I am wor­ ator an up-or-down vote on a true first-period class twice. Though a tal­ ried that he will always hate school sense-of-the-Senate resolution saying ented athlete and a popular kid, Arel and suffer until he can leave. He tries the same thing which he did not get does not stay after school for any ac­ so hard, sometimes," says his teacher, last year and which I will get him tivities. He would probably make the "I want to cry." today, and I have offered to try to get football team. He is interested in Mr. President, I do not want Senators him 100 percent of the Senators to vote track. He would love to be in a dance to make this amendment out to be for this so we would be on record as not troupe. Instead, Arel gets on his bike, what it is not. There is an amendment wanting to have children's programs rain or shine, to pick up his sisters one on the floor. It is a constitutional reduced disproportionately. at a time. I will not reveal to you what amendment to balance the budget. This However, to put this into the Con­ no Head Start means for his sisters. We amendment says, as a part of that con­ stitution is the wrong thing to do. This know that. Unfortunately, so does stitutional amendment to balance the is not language that you would nor­ their brother, a boy who has no child­ budget-if that is what we are going to mally see in the Constitution. The hood. do-we make a commitment that we Wellstone amendment is not an appro­ Finally, Mr. President, Marcus is a are not going to disproportionately cut priate amendment for inclusion in the shy and quiet first-grader who finds programs that affect the educational Constitution. I want to point out to my himself in the principal 's office for the and nutrition and health care status of colleagues that the Wellstone amend­ third time in a week. I gave this exam­ children. It is that simple. ment would place in the text of the ple yesterday. According to his teach­ This is about values. This is about Constitution itself a statement of er, Marcus is either overagitated, an­ fairness. I think we should make that "policy." I put policy in quotes because noying other students in class, or list­ commitment. I think we should make I think there is a lot of room to dis­ less and disinterested in the class at that commitment. agree with the Senator. It would put a hand. Marcus does not usually know Mr. President, we can no longer give statement of policy of the United what is happening in class and he does speeches about children and no longer States with regard to the budget prior­ not know yet his colors, numbers, or have photo opportunities with children ities into the Constitution, the first alphabet. unless we are willing-unless we are time in history to do that. Mr. Presi­ Though many of his class attends a willing-to invest in the health and dent, I do not believe that it is appro­ Head Start program and learns the ini­ skills and intellect and character of priate to put what is essentially a tial steps toward understanding school our children. Mr. President, that in­ sense-of-the-Senate resolution in the and learning, Marcus does not. He rep­ cludes poor children, and that means actual text of the Constitution. That is resents 1 of the 1.2 million children we are part of local communities, but why I am suggesting that our col­ that, though eligible, could not partici­ we are part of a national community. leagues vote against this amendment pate in Head Start when he was young­ The U.S. Senate ought to go on record because that is not what should be er. The program near his home was that these are our priorities. These done. I believe that such a policy state­ full. Not only were they full, but there poor children are a part of our prior­ ment would either be surplusage or was a year waiting list when Marcus's ities. That is appropriate, and it is the produce confusion and difficulties if it grandmother tried to sign him up. right thing to do. became part of the Constitution. Though there was room at another pro­ Mr. President, how much time do I Now, the distinguished Senator from gram, it was too far for his grand­ have left? Minnesota sincerely said we are not mother to take him. The PRESIDING OFFICER. The locking ourselves into a harsh set of Marcus stayed alone sometimes at Senator from Minnesota has 8 minutes, priorities if we take this amendment. I home while his grandmother worked. 25 seconds. think you are. Let me paraphrase that Marcus is conspicuously behind his Mr. WELLSTONE. Mr. President, I better. He said if we take the amend­ classmates. While his classmates scur­ reserve the balance of my time. ment as it is we are locking ourselves ry around the teacher to be read to, he Mr. HATCH. Mr. President, I appre­ into a harsh set of priorities. I think it had not yet held a book or ever been ciate my colleague from Minnesota. I makes it more harsh if you put his read to. While his classmates-I am believe he is devoted to children. But amendment in because, first of all, no­ going to repeat this-while his class­ he is not alone. There are 99 others in body knows what the word dispropor­ mates scurry around the teacher to be this body who are devoted to children. tionate means vis-a-vis constitutional read to, he has not yet held a book or Frankly, children's programs can com­ language or interpretation; and, sec­ ever been read to. pete very successfully with other pro­ ond, you are referring one i tern in the Marcus does not know how to write grams, just like Social Security can. budget for one group of people in the his name, nor can he recite the alpha­ To do a risky gimmick of putting this Constitution over everybody else and bet. In a phrase, Marcus is not part of type of language into the Constitution, there are a lot of people in this country the culture of the school. Marcus' like those who want to take Social Se­ who would like to not be treated in a teacher is concerned and anxious about curity out of the Constitution, the pur­ disproportionate way. So we are not him. He is far behind his classmates, view of the balanced budget, I think locking ourselves into a harsh set of and she has little, if any, time to help would be highly risky and very, very priorities by having this balanced him catch up. As each week progresses, dangerous. budget amendment passed. We are sim­ he falls further behind and more frus­ I was talking with the junior Senator ply saying everything in the unified trated. from Wyoming, Senator ENZ!. He indi­ budget must be on the table. These pro­ Already Marcus hates school and cated to me, he said, you know, if you grams for children are totally capable learning, counting the days until sum­ use the language "not dispropor­ of competing with all other programs mer vacation. He knows he is different. tionate," which is what this language in the budget, as they should be. The February 11, 1997 CONGRESSIONAL RECORD-SENATE 1855 fact is we have to have everything on only hope of helping these young chil­ is not the debt. That $493 billion is just the table because we are going to hit dren in the future, the only hope of $50 billion shy of our entire discre­ some very, very difficult times in the stopping us from spending their future · tionary budget for the current fiscal future and it will be difficult to know away and saddling them with ftn irre­ year. what to do to balance this budget. sponsible debt burden. Mr. President, it is outrageous to me As we begin today's debate on Senate Now our former colleague, Senator that we would consider subjecting our Joint Resolution 1, I do welcome the Simon, who led the fight for a balanced children to a future where 50 percent of discussion of this amendment, because budget amendment on the Democrat their hard-earned tax dollars would go after all what this debate and the bal­ side for many years, shared with us the to service the debt incurred by us, anced budget amendment are all about words of another of our former col­ their parents. Just think what we is the legacy we intend to pass on to leagues, Senator Cohen, now Secretary could do for our children and our chil­ our children and our children's chil­ of Defense, when he testified before the dren's children if this money were dren. Unfortunately, as it stands today, Judiciary Committee a few weeks ago. available to be put to more productive the legacy is not one of heal th and Senator Cohen was at one time opposed use. prosperity, as has been the American to a balanced budget amendment. And We have talked a lot about the WIC tradition for the past two centuries; I remember those days because I have Program, Women, Infants, and Chil­ rather, the legacy we are imposing on been responsible for bringing every bal­ dren Program. I know a lot about that. our children is one of fiscal servitude. anced budget amendment to the floor As a newly elected conservative, one of The debt, Mr. President, is a real of the U.S. Senate from the first one my counties said they did not want threat to our children's future and to right on up until today. After serving WIC funds because they did not want their well-being. in Congress for 18 years, Senator Cohen Federal Government strings. I thought As I emphasized before, with our na­ had this to say, and he was against it WIC funds were pretty important be­ tional debt standing at $5.3 trillion and initially, but after 18 years, this is cause they helped lactating mothers to going to $5.4 trillion, every child born what he said: be able to bring the best nutritional today is born into this world trapped Today the ethic of self-sacrifice has been needs to their children, and even into a $20,000 debt. This new baby owes perversely inverted. Parents and grand­ though this was a county that really $20,000-$20,000. Think about that for a parents borrow from their heirs so they supported me I stood up and said I might enjoy the comforts and pleasantries of minute. In essence, what we are doing the moment. The practice of handing our think the WIC Program is a good pro­ is handing every child who comes into children trillions of dollars of debt with lit­ gram. Today, that county and the the world an unsolicited and tle more than a good luck wish can only be mothers that are poor benefit from undeserved $20,000 liability. Unfortu­ considered an unconscionable and criminal that WIC Program. It is a highly effec­ nately for our children, they are given act. tive program and works to improve the nothing to show for that liability. Secretary Cohen is exactly right. health of the mothers and the newborn Every one of the 28 years represented As I have repeatedly said, the mort­ children, and also serves to reduce our by these unbalanced budgets, every one gaging of our children's future is noth­ Nation's overall health care costs. I of those 28 years these unbalanced ing short of fiscal child abuse and it have long supported the WIC Program, budgets in this pile, in all but one of must end. as has just about every Senator. We are the last 36 years what we have done is As a result of our failure to exhibit constantly struggling to come up with finance our own exorbitant spending fiscal restraints in setting budget pri­ the money to fully fund participation habits by mortgaging our children's fu­ orities our children are faced with not in the WIC Program. With the $360 bil­ ture. In my view, this is taxation with­ only the looming burden of our enor­ lion we spend on interest on the debt out representation in its purest form. mous debt but also with massive an­ this year not only could we fully fund What is worse, unlike you or me who nual interest payments required just to participation in the WIC Program, we may take out a loan to buy a house or maintain the standard. This year we could afford to pay recipients nearly a car and begin to pay that loan off, will pay $360 billion in gross interest to 100 times what they received last year. not only do we not pay down any of our service our existing debt. That means I could go through every program af­ children's debt, we continue to refi­ we will spend nearly Sl billion every fecting children in our country today nance and finance again our children's day of this year just on interest on the and we can talk about not allowing mortgages, adding more and more debt debt. Now to put this in perspective, if them to be disproportionately reduced. to pay for our own protracted fiscal ir­ we take just the net interest, meaning The best way to not allow children's responsibility. we ignore interest paid by the Govern­ programs to go down the drain is to Let me illustrate this point, Mr. ment to the various trust funds and pass the balanced budget amendment President. According to the Congres­ subtract interest income received by and put some fiscal responsibility into sional Budget Office, by the time a the Government, our annual interest the Constitution, so we have to live child born today is 5 years old, the na­ payment would amount to $935 for within our means and we do not barter tional debt would have risen to $6.8 every man, woman, and child in Amer­ away our children's future, we do not trillion and his or her share of that ica. Just look at this. Interest on the mortgage it away, so we have the debt will have increased from $20,000 to national debt, we could pay $340 to money to be able to help children. $24,000. By age 10, that debt will stand every man, woman, and child in Utah These gimmicks that some on the at $8.5 trillion, with that child shoul­ every day. Think about it. That is in other side want to put into the Con­ dering approximately $29,000 of that my own State, and the interest on the stitution are dangerous. In the end, burden. Just think about it. That is debt is the fastest growing item in the they will wind up hurting children and nearly a 50-percent increase of his or Federal budget. not balancing the budget. The best her debt burden in just 10 years. At According to the CBO, interest on thing we can do for our country is to that rate, by the time a child grad­ the debt will continue to rise substan­ get that budget balanced and keep it uated from college, he or she would tially over the next 5 years, to $412 bil­ balanced and start paring down the na­ owe in the neighborhood of $50,000 as lion by the year 2002. My gosh, that is tional debt, as well. If we do not start their share of the Nation's debt. Now more than the total Federal budget doing that, we are going to pay the that, in my view, is no way to send a was 20 years ago. That represents half price and it will be a heavy, heavy young man or young woman into the of all projected individual income tax price. world to make a living. As sincere as receipts for that year and nearly two Mr. President, I am very concerned my good friend from Minnesota is, the times all corporate income taxes. By about this because if we are going to fact is even if we accepted this amend­ 2007, the interest on the debt is pro­ have a balanced budget amendment ev­ ment he would not vote for the bal­ jected to reach a whopping $493 billion. erybody in the world knows and every­ anced budget amendment, which is the That is just the interest we owe. That body in Congress knows this is it. This 1856 CONGRESSIONAL RECORD-SENATE February 11, 1997 is the last chance. This has been devel­ $360 billion in annual gross interest Mr. President, it is time for us to oped over 20 years. It is a balanced payments overnight. But, according to face reality. The single largest threat budget amendment that has been de­ CBO, moving toward a balanced budget to our children's well-being is not that veloped by Democrats and Republicans. in 2002 would reduce projected net in­ the Republicans and Democrats will be I do not believe any single person can terest costs by some $46 billion and im­ forced to live within their means when say they wrote it. It is an attempt by prove economic performance enough to funding any given program. The real all of us to get together and do what is produce a total fiscal dividend of $77 threat is that we will continue down right. It is supported by an over­ billion over the next 5 years. This re:ir the path of the last 66 years and mort­ whelming majority in this body. Sixty­ resents real savings of nearly twice the gage our children's future earnings to eight people have guaranteed to their amount we spent on all food and nutri­ pay for what we consider to be spend­ constituents they will vote for it. We tion assistance programs last year, and ing priorities today. If we do, our chil­ need 67. We should have one more than is nearly 10 times all earned income dren will be left with no choice but to 67 if everybody lives up to their word. tax credit payments for the past 10 cut the very programs my colleague is Frankly, if we pass this balanced budg­ years combined. This is real savings we talking about in ways that are un­ et amendment, it has a very excellent can bring about to benefit our children thinkable today, or drastically in­ chance of going through the House. now just by balancing the budget. crease taxes on every American family Head Start is another program we But, if we continue to deficit spend, to pay for the continued existence of have heard a lot about. I strongly su:ir as we have in all but 8 of the last 66 those important programs. The bal­ port the Head Start Program. As chair­ years, we will only continue to com­ anced budget amendment is the only man and ranking member of the Labor pound our existing debt, increasing the real assurance we have that our chil­ Committee, I was deeply involved in interest payments necessary to service dren will not be forced to make those fighting to provide increased author­ that debt and further exacerbating the choices. izations for Head Start, and I am proud tax burdens our children will face in fu­ Now Mr. President, it doesn't take a of the fact that since I first came to ture years. According to OMB and CBO, rocket scientist to figure out the solu­ the Senate, the number of children such tax burdens may equate to a life­ tion to this problem. In fact, Grant An­ served by federally funded Head Start time net tax rate of about 82 percent derson, a 13-year-old young man in my programs has more than doubled. And for future generations in order to fi­ home State of Utah, took the time to yet, given the budget constraints we nance the cost of government at all write a letter to me outlining how it face, we are still working toward the levels. The 82 percent figure for our can be done. Let me share with my col­ goal of fully funding the Head Start children stands in stark contrast to the leagues what he had to say: Program-a result I believe every one 29 percent net tax rate for the genera­ Dear Orrin Hatch, I think we have a huge of my colleagues favors. tion of Americans born in the 1920's problem with the national budget. I have the If we could recoup just a small por­ easiest way to fix it. Do you want to hear it? tion of the money we will pay in inter­ and the 34.4 percent net tax rate for the Okay. Stop buying things if you don't have est on the debt this year, we could generation born in the 1960's. the money. But the mammoth costs of financing That about says it all, Mr. President. fully fund Head Start in a heartbeat. both the Government and our enor­ Not only could we fully fund the entire It's just that simple. Yet, without a mous national debt are not the only balanced budget amendment, there a:ir Head Start Program, including the new burdens we are creating for our chil­ Head Start Program for infants and pears to be no real end in sight to Con­ dren by not balancing the budget. We gress' abdication of its responsibility toddlers that was established in 1994, should also recognize the significant with this year's interest expenditures to people like Grant Anderson and to we could increase Head Start funding economic benefits that our children future generations. for every one of those children by more stand to inherit from recurring bal­ The fact is that after 4 years of de­ than 10 times what we currently spend. anced budgets, but which we are with­ clining deficits we have not reduced There are plenty of other important holding from future generations by our staggering $5.3 trillion debt one programs we could improve if we were failing to exercise fiscal restraint penny. We have only slowed the growth to free up the resources currently dedi­ today. in the national debt. More impor­ cated to servicing the debt. In fact, As CBO reaffirms in its January re­ tantly, as my Republican colleagues with the money we will spend in gross port, balancing the budget in 2002 and and I predicted would happen during interest on the debt just this year, we subsequent years will lead to increased the debate on the President's 1993 could cover the costs of all food and real economic growth, reduced interest budget package, CBO now predicts that nutrition assistance programs, includ­ rates, higher corporate profits, and in­ annual deficits will resume their u:ir ing food stamps, for the last 14 years­ creased revenues to the Federal Gov­ ward climb beginning this year-from $346.9 billion. This same interest pay­ ernment. As a result, the Joint Eco­ an annual deficit of $124 billion in 1997, ment would cover the costs of all pay­ nomic Committee has estimated that a to $188 billion in 2002, and reaching a ments for WIC and other supplemental typical middle class family could eas­ near-record $278 billion in 2007. Even feeding programs, child nutrition and ily save $1,500 each year; Sl,500 every OMB's estimates from the President's milk programs, student assistance, and single year, Mr. President. That is like newly proposed budget, which predict low income home energy assistance for a built-in $500-per-child tax credit for a lower deficit totals than CBO, project the last 20 years-$348.2 billion. family of five-at no cost to the Gov­ that gross Federal debt will top $6.6 Even in the current fiscal year, as ernment-just for passing the balanced trillion, exceeding 66 percent of our this chart shows, with the money we budget amendment. I know a lot of gross domestic product, by 2002. will spend on gross interest payments, families in Utah that could use an Now I know that there are those who we could afford to double projected extra $1,500 each year to pay for food or will say that we can solve this problem spending for elementary, secondary, clothing for their children, to pay for without the constraints of a balanced and vocational education, higher edu­ college tuition, to pay down credit card budget amendment-that Congress and cation, research and general education debts, or even to take a vacation and the President are committed to bal­ aids, training and employment, hous­ spend time with their kids. ancing the budget and to putting an ing assistance, food and nutrition as­ Even a college student could save an end to the era of deficit spending. sistance, social services, unemploy­ estimated $120 each year on a $10,000 While I can only pray that they are ment compensation, all health care student loan if we were to pass the bal­ right, our history of deficit reduction services, and pollution control and anced budget amendment. And it is not efforts in Congress should give the abatement-and still increase Medicare the Government that must pay for that American people reason to be ske:ir spending by 50 percent. savings. It is simply the real benefit ti cal. Now obviously we cannot simply pay generated by the economy's reaction to Since 1978 we have adopted no fewer off $5.3 trillion of debt and recoup our long-term balanced budgets. than five statutory regimes which February 11, 1997 CONGRESSIONAL RECORD-SENATE 1857 promised to bring about balanced budg­ funds as it should be. Then let us make have dental care, and they come to ets. Every single one of them has the right priority choices. And I guar­ school with an infected tooth and ab­ failed. As this chart shows, time after antee my friend from Minnesota that scess. They can't learn well. It is dif­ time statutory fixes have been met ORRIN HATCH will be there with him ficult for children who are in pain and with increased deficits. In fact, nearly trying to help the children of this discomfort to learn well. 85 percent of our current national debt country so that they don't suffer a dis­ If we do not make a commitment has accumulated while Congress has proportionate reduction in their pro­ that in balancing this budget we will operated within statutory budget grams. And I do not think they will as not balance this budget on the backs of frameworks designed to ensure bal­ long as both he and I are here, and oth­ those children and we proceed to do anced budgets. Now, we are told, things ers as well. what we did in the last Congress, which are different. But will they really be all Mr. President, I reserve the remain­ is disproportionately cut programs that different without the discipline of der of my time. that affect poor people and poor chil­ a constitutional amendment? Mr. WELLSTONE addressed the dren in America, they don't have any A quick look at the President's budg­ Chair. future. What good does it do those chil­ et shows that under his plan, we will The PRESIDING OFFICER. The dren if we are going to balance the continue to have deficits that are high­ Senator from Minnesota. budget 6 years from now if we are going er than last year's budget deficit until Mr. WELLSTONE. Mr. President, to savage them right now? the year 2000. Only in the last 2 years when Senators vote on this they should This is all about values. And if my of this budget do we see the dramatic not confuse two different issues. There colleague means or is sincere-and he cuts necessary to bring us into balance. is not anybody on the floor of the Sen­ always is. I guess it is just an honest That's right, Mr. President, a full 75 ate that I know of who is opposed to difference that we have-that surely we percent of the deficit reduction balancing the budget. There are Sen­ are not going to make these cuts, that planned in President Clinton's recent ators who oppose this amendment. is what we have done in the past be­ budget submission comes in the 2 years My colleague keeps talking about cause these children don't hire the lob­ after President Clinton leaves office. balancing the budget or passing the byists. They don't march on Wash­ This is reminiscent to me of the 1985 constitutional amendment to balance ington every day, and one more time Gramm-Rudman-Hollings law, wherein the budget is the best thing that we they are not the big givers. Maybe we committed ourselves to balancing can do for our children. My amendment there is a connection with all that we the budget by 1991, only to see the law speaks to the concerns and cir­ are reading about money and politics. slowly amended, circumvented, and the cumstances of the lives of poor chil­ Mr. President, I ask all of my col­ requirement for a balanced budget fi­ dren. Close to one out of every four leagues whether you are against this nally eliminated just 1 year prior to children in America is poor. One out of constitutional amendment to balance the year in which we were to achieve every two children of color is poor. the budget or whether you are for it to balance under the original law. Every 30 seconds a child is born into vote for this amendment. It is all about While I commend the President for poverty in our country. Every 2 min­ fairness. We ought to go on record. We his avowed commitment to balancing utes a child is born to a mother who ought to make it clear that in our ef­ the budget and appreciate the dedica­ has had no prenatal care. Every 12 or 13 fort to balance the budget with a con­ tion expressed by leaders of both polit­ seconds a child drops out of school, stitutional amendment-or the way I ical parties to reaching a balanced many of them children from poor fami­ prefer to do it, not a constitutional budget, I seriously doubt whether, lies. And there is a higher correlation amendment-that we go on record that without the weight of a constitutional between high school dropout and wind­ we will not do what we have all too requirement to balance the budget, we ing up in prison than there is between often done in the past-unfortunately, will achieve balance by 2002. Even if we cigarette smoking and lung cancer. the evidence is clear-that we will not did-and I intend to work to that end­ Mr. President, all too many of our disproportionately cut the programs there is nothing to prevent future Con­ children are rushing into the arms of that benefit and affect the health and gresses from yielding to the political the police and not into parents' arms, the nutrition and education of chil­ pressures that would lead to renewed or teachers' arms. dren. deficit spending. We need a constitu­ My colleague used the word "gim­ What is the definition? Just pick out tional amendment if we are truly com­ mick." This is no gimmick. This is a the percentage of low-income programs mitted to solving this problem. very serious amendment because for that are part of the entitlement pro­ Mr. President, passing the balanced these children they don't have any fu­ grams. Pick out the low-income pro­ budget amendment, free of exemptions ture. How can you argue that a child grams for children that are part of the and loopholes that can be exploited by who is born severely underweight and discretionary spending. Pick out the those who might not be fully dedicated damaged and who can't do well in percentage, and in our overall cuts, to balancing the budget, is the most school is going to benefit by deficit re­ don't cut them any higher. It is simple. important thing we can do in this Con­ duction and balancing the budget 7 It does not take a rocket scientist to gress to protect our children and the years from now? What about that child figure it out. Let us not weave and future generations that will follow. I right now? How can you argue that the dodge on this question. urge my colleagues to join me in this 50 percent of children or the 60 percent I hope that I can get a strong vote. It effort by supporting the balanced budg­ of children who could be given a head is a difficult debate because the Sen­ et amendment. If that happens, we will start but come to school without a ator from Utah is one of the Senators protect children like never before. To head start not ready to learn are going whom I like the most and whom I re­ me that is worth it all. And in the end to do well, if we do not make a com­ spect the most. It is an honest dis­ it will accomplish what the distin­ mitment that we are going to invest in agreement. guished Senator from Minnesota would them? Balancing the budget 7 years But I hope Senators will vote for like to do. But if we put amendments from now does not help those children this. It is the right thing to do. This like this in everybody and their dog right now. does not say we are not going to bal­ will be in here with some sort of a pro­ There are 10 million children who ance the budget. This does not say we gram they want to protect because have no health care coverage, most of should not do what the Senator from they think it is the most important them from working poor families, Utah believes we should do. It just says program in the world. No. Let us put many of them with ear infections who that if we are going to lock ourselves everything in the budget on budget. have lost hearing; too many. Many into a constitutional amendment, or, if Let us have everything subject to the can't read well because they should we do not do that, we are still going to balanced budget amendment and let us have had an eye examination. They make the commitment to balance the have them compete for the available can't afford it. Many of them should budget, that we will not balance the 1858 CONGRESSIONAL RECORD-SENATE February 11, 1997 budget on the backs of poor children; Stop buying things if you don't have to table the Wellstone amendment No. that we will invest in the skills, money- 3. The yeas and nays have been or­ health, and character of children in And a bigger exclamation mark. And dered. The clerk will call the roll. America, including poor children. then he said: The legislative clerk called the roll. These are all God's children. I am tell­ Thanks for your time. Grant S. Anderson. The result was announced-yeas 64, ing you something, and I could argue P.S. My mom and dad voted for you. nays 36, as follows: this for 24 straight hours, the history A particularly good letter, I thought. [Rollcall Vote No. 8 Leg.] of the way we have done deficit reduc­ But the fact of the matter is Grant is YEAS--64 right on the money. My friend Grant tion is that they come out on the short Abraham Faircloth Mack end of the stick. Anderson really calls it the way it Allard Feingold McCain This amendment I think is the right should be. If we are going to stop Ashcroft Frist McConnell thing to do. It puts us on record and it spending money we do not have, we Baucus Gorton Murkowski makes it clear that we are going to bal­ have got to get rid of all these years of Bennett Graham Nickles unbalanced budgets. And since we have Eiden Gramm Reid ance this budget based upon the Min­ Bingaman Grams Robb nesota standard of fairness. proven that we are not going to get rid Bond Grassley Roberts Gregg Mr. President, how much time do I of them without a balanced budget Brownback Roth Bryan Hagel have left? amendment to the Constitution, then, Burns Hatch Santorum The PRESIDING OFFICER. The by gosh, I suggest we pass the balanced Campbell Helms Sessions Senator from Minnesota has 1 minute Chafee Hollings Shelby budget amendment so by the year 2002 Smith(NH) remaining. we have the true budget that will be Coats Hutchinson Mr. WELLSTONE. I reserve the re­ Cochran Hutchison Smith(OR) balanced so kids like Grant Anderson Collins Inhofe Snowe mainder of my time. and all the kids my colleague is fight­ Coverdell Jeffords Stevens Mr. President, I yield the rest of my ing for and I am fighting for will have Craig Kempthorne Thomas time. a future. D'Amato Kohl Thompson Mr. HATCH. Mr. President, I will not De Wine Kyl Thurmond Now, to me out of the mouths of Domenici Lott Warner take long. young people sometimes comes the Enzi Lugar I know my colleague is sincere. I know he is a very good person and that greatest truth. NAY8--36 Dear ORRIN HATCH. I think we have a huge Akaka Ford Lieberman he feels very deeply about children. problem with the national budget. I have the And I have a great regard for him. He Boxer Glenn Mikulski easiest way to fix it. Do you want to hear it? Breaux Harkin Moseley-Braun knows that. Children have the love in OK. Stop buying things if you don't have Bumpers Inouye Moynihan this town. One of the most effective money. Thanks for your time. Grant S. An­ Byrd Johnson Murray lobbyists in this town is Marian Wright derson. Cleland Kennedy Reed Conrad Kerrey Rockefeller Edelman. I know. She and I worked I am grateful to Grant. I am grateful Daschle Kerry Sarbanes hard to get the child care bill through. that he took the time to write to me, Dodd Landrieu Specter That has helped millions of children all and there are thousands of others who Dorgan Lautenberg Torricelli over this country. Durbin Leahy Wellstone are writing to us who want us to try to Feinstein Levin Wyden I do not take a second seat to any­ put some fiscal sanity into the system. body with regard to taking care of chil­ We have tried five different balance­ The motion to table the amendment dren. In fact, Elaine and I have six. We the-budget methodologies and not one (No. 3) was agreed to. are expecting our 16th and 17th grand­ of them has worked. The distinguished Mr. CRAIG. Mr. President, I move to child within 2 weeks. I want them to Senator said his amendment is not a reconsider the vote by which the mo­ have a future. I want them to have the gimmick, but his amendment reads: tion was agreed to, and I move to lay care. I want there to be some money to It is the policy of the United States that in that motion on the table. help them. I want our country to be achieving a balanced budget amendment- The motion to lay on the table was solvent. I do not want their futures "It is the policy of the United agreed to. bartered away and mortgaged away. States." He is writing policy into the Mr. SPECTER addressed the Chair. The reason child care programs are Constitution- The PRESIDING OFFICER. The Senator from Pennsylvania. being cut every year is because we are Federal outlays must not be reduced in a spending it all on interest on the na­ manner that disproportionately affects out­ tional debt. lays for education, nutrition and health pro­ CURRENT MILK CRISIS The only thing that will give chil­ grams for poor children. dren protection in the future is if we I agree with him; it is not a gimmick. Mr. SPECTER. Mr. President, I send pass this balanced budget amendment. It is a risky gimmick. If you start put­ a resolution to the desk. We have here 28 years of unbalanced ting language into the Constitution The PRESIDING OFFICER. The budgets. I do not know about others, that the distinguished Senator thinks Senator from Pennsylvania has sent a but this pile is very significant to me. can be easily interpreted, he does not resolution to the desk which will re­ Every year we have people who are of know much about the Supreme Court if quire a unanimous-consent request at the more liberal persuasion saying we he takes that attitude. I have to tell this time. should spend more, we should just get you, we are making a great mistake. Mr. SPECTER. I understand that. I the will to balance the budget but we So I hope our colleagues will realize it want to make a comment or two about should spend more. They are incon­ is important to keep this amendment it, and then I will make that unani­ sistent. intact. It is the only amendment that mous-consent request. Let me just tell you something. I has a chance of passing. It is a bipar­ Mr. President, this resolution relates think out of the mouths of children tisan amendment, and I hope we will to a very urgent problem on milk pric­ comes the greatest truths sometimes. support it here today. ing in the country, but especially in This is a letter I received from Grant I move to table the Senator's amend­ Pennsylvania, where Senator Anderson, a young boy. Here is what he ment and ask for the yeas and nays. SANTORUM and I have been working said, August 5, 1996: The PRESIDING OFFICER (Mr. with our farmers to try to find some­ Dear ORRIN HATCH. I think we have a huge KEMPTHORNE). Is there a sufficient sec­ thing to grant some immediate relief. problem with the national budget. I have the ond? This is a problem which exists nation­ easiest way to fix it. Do you want to hear it? There appears to be a sufficient sec­ wide, and we believe that we have OK- ond. found a way to deal with this issue in With an exclamation mark. And then The yeas and nays were ordered. the short run as it relates to the price he writes in big print the letters. He The PRESIDING OFFICER. The of cheese, which is an ingredient in es­ said: question is on agreeing to the motion tablishing the price of milk. February 11, 1997 CONGRESSIONAL RECORD-SENATE 1859 Yesterday, Secretary of Agriculture it would not customarily draw the ob­ stitutional amendment. I think it is Glickman accompanied me to north­ jection. I understand it has not been properly named Senate Joint Resolu­ eastern Pennsylvania. We have found cleared. tion 1 because it is one of the most im­ that the Secretary has the authority I ask unanimous consent that the portant acts that this Congress, I think unilaterally to change the price of resolution be printed in the CONGRES­ anyway, will achieve. milk if there is a different price for SIONAL RECORD. And, the objection hav­ My home State of Montana has had cheese other than that which has been ing been heard, I will reinstate the res­ that balanced budget amendment law established by the National Cheese Ex­ olution at a time when it has been since its inception when it joined the change in Wisconsin. cleared. Union in 1889. So, living with fiscal This is a matter of some urgency, Mr. (The text of S. Res. 52 is printed in prudence has always been our way of President, which is why I have dis­ today's RECORD under "Submission of life. Even though there are times when cussed with the leadership the prospect Concurrent and Senate Resolutions.") we strayed from this, and had our ups of offering this resolution at this time. Mr. SPECTER. I thank the Chair and and downs, we always produced a little I ask unanimous consent that this yield the floor. bit of a surplus, which we had this last resolution be taken up on a 20-minute The PRESIDING OFFICER. Is the time, and the State returned it to the time limit, 10 minutes equally divided, Senator asking that all action be viti­ taxpayers. The Federal Government with the yeas and nays on the vote. I ated on this resolution? could learn a lot just looking at the ex­ submit this resolution on behalf of my­ Mr. SPECTER. I am not asking that ample of the States. self, Mr. SANTORUM, Mr. FEINGOLD, Mr. all action be vitiated to the extent that For example, according to the Con­ KOHL, Mr. JEFFORDS, and Mr. LEAHY. the resolution has been sent to the gressional Budget Office, if we do not The PRESIDING OFFICER. Is there desk, and that the discussion has been pass this legislation and we stay with objection? held. I understand that I may not pro­ the present trend, it has been pointed Mr. FORD addressed the Chair. ceed now except with unanimous con­ out that the deficit will be over 21/2 The PRESIDING OFFICER. The sent, and unanimous consent has not times in 10 years what it was in the Senator from Kentucky. been granted. I understand why unani­ year of 1996. Using CBO's numbers, our Mr. FORD. Mr. President, on advice, mous consent has not been granted. So national debt will rise from $3. 7 trillion I must object to the Senator's re­ I do not think I can do anything fur­ to over $6 trillion by the year 2007. quest-- ther, but I do not want to withdraw Every day that goes by without a bal­ The PRESIDING OFFICER. Objec­ anything either. anced budget is another step closer to tion is heard. Mr. President, the fact is, I have sub­ financial calamity for the United Mr. FORD. But I want to say why. mitted the resolution for the RECORD. I States. Around 40 cents of every tax We are attempting to clear it, and it is do not know that I need to do anything dollar you send to us goes to pay the not something that I am objecting to else since an objection was heard and I interest on the national debt, $344 bil­ lightly. So we are in the process of try­ cannot proceed unless there is unani­ lion last year alone. That is as much as ing to get it cleared, and as soon as we mous consent, which there is not. we have spent on law enforcement, edu­ do, we will lift the objection. So I must The PRESIDING OFFICER. The cation, environment, energy, transpor­ object at this time, Mr. President. Senator from Pennsylvania is advised tation, agriculture, and technology Mr. BYRD addressed the Chair. this resolution will go to that section combined. The PRESIDING OFFICER. The res­ of the calendar that is entitled, "Reso­ I guess in order to understand what olution will go over-- lutions and Motions Over, Under the we are doing here you have to boil it Mr. BYRD. Reserving the right to ob­ Rule." down to where the average American ject. Mr. SPECTER. A point of informa­ family can make sense of it and how it The PRESIDING OFFICER. Would tion, Mr. President. Does that in any relates to them. Over the life of a 30- the Senator withhold, please? way prejudice my bringing it back to year mortgage on a $75,000 home, it Mr. BYRD. Yes. the floor when it has been cleared on means a savings of around $71,000; sav­ The PRESIDING OFFICER. The both sides? ings of $1,000 on the life of a 4-year loan Senate will please come to order. All of The PRESIDING OFFICER. It would on an automobile worth $15,000; savings the conversations should stop. The require a unanimous-consent request of $1,800 over the life of a 10-year stu­ Senator from West Virginia has been again at that time. dent loan at $11,000. By the way, I am recognized. Mr. SPECTER. I understand that. It experiencing some of that, and that Mr. BYRD. Mr. President, I realize requires a unanimous-consent now. It means quite a lot to this Senator. The that the objection has already been would require a unanimous-consent at grand total of all the savings of these heard. May I say, I have no objection that time. I just do not want to preju­ loans will be around $74,000 over the to the resolution. But I hope the Sen­ dice my position on bringing it back lifetime. I think that is something that ator, when he propounds his request up. Whatever is the appropriate proce­ we cannot just overlook or ignore as a again, will not include that provision dural call, I am prepared to accept the consumer. in the request that states that there be ruling of the Chair. A small State like Montana-we are a rollcall vote. That has to be done by The PRESIDING OFFICER. That is small businesses, ranching, farming­ a show of hands. I do not want us to get understood. uses these savings to expand our busi­ started with having rollcall votes by nesses, thus expanding the economy of unanimous consent. Montana. Mr. SPECTER. Mr. President, I BALANCED BUDGET AMENDMENT That is one thing that we have to do thank my distinguished colleague from TO THE CONSTITUTION in this country. We have to continually West Virginia for that suggestion. I The Senate continued with consider­ expand the economy. If you want to do shall incorporate that in my next ation of the resolution. something for people to ensure jobs, unanimous-consent request. The PRESIDING OFFICER. The job opportunity, and work opportunity, I understand the reasoning of my col­ Senator from Montana is recognized. we cannot stand at the same trough league from Kentucky. We had cir­ Mr. BURNS. Mr. President, what is and at the same side of the pie. We culated this yesterday, so I thought the order of business? have to grow the pie. there had been ample time for clear­ The PRESIDING OFFICER. The In the legislative branch we have to ance. It is my understanding that this pending question is Senate Joint Reso­ enact this amendment because it seems is an issue which will not cause re­ lution 1. that we can't rely on the current ad­ gional friction, as do so many issues on Mr. BURNS. Mr. President, I rise ministration to furnish or enact poli­ milk pricing. It is an adjustment on today to express my support for the cies that will provide for further def­ price which will benefit all regions. So balanced budget amendment, the con- icit-reduction measures. Sometimes we ...... --ir:...,...... :'Y'J.V~·---.-...;;;.,.,...... ,....-.,- •• ~ ...~--~~_.. ••

1860 CONGRESSIONAL RECORD-SENATE February 11, 1997 can't even do it ourselves. The Presi­ the States do every day. We would hope families in America have to pay their dent vetoed the Balanced Budget Act of at least to have a surplus. bills. If they don't , they go into bank­ 1995, which would have led to a bal­ I come out of county government. We ruptcy and go through a lot of extreme anced budget by the year 2002. All told, maintain surpluses in every line item. difficulties. But the Federal Govern­ this year the omnibus appropriations We always maintain reserves. There is ment does not pay its bills. It does not for fiscal year 1997 added back $70 bil­ a reason for that because of the tax collect enough in taxes to pay what we lion of Federal spending because of collection. It makes you maintain re­ are buying. pressure from the White House. serves. It is prudent to do it. The Governor of California, Earl Finally, the President has publicly Nobody knows what the future holds. Warren, once said-I never forgot it-­ stated that he would like to see the The American people look to us to pro­ the people of California can have any­ legislation fail. In fact, the President, vide those funds in the event of emer­ thing they want, anything they want, Secretary Rubin, and Members of this gencies. You cannot do it without as long as they are willing to pay for Chamber have been working overtime maintaining reserves. it. And that should be the guiding rule to ensure that this amendment does So I maintain that to keep safe and for us in the United States. not pass. secure the future programs like those People might say, "Well, sometimes What is wrong with passing an which are meant to protect our senior you have to borrow some money." Sure amendment, sending it to the States, citizens and our children, that we have you do. Thomas Jefferson borrowed $15 and letting the States decide, getting to pass a balanced budget amendment million to finance the Louisiana Pur­ closer to the people? Unfortunately, to the Constitution of the United chase. And our Nation, obviously, had some of these individuals have been States. It just makes good sense. to borrow money during World War II trying to undermine the balanced Mr. President, I yield the floor. in the 1940's to pay for that war. No one budget constitutional amendment by Mr. CHAFEE addressed the Chair. would argue with those decisions. But suggesting that if we include Social Se­ The PRESIDING OFFICER (Mr. GoR- when we borrow money, we ought to curity in the equation, this would TON). The Senator from Rhode Island. pay it back and pay it back promptly. cause future harm to the Social Secu­ Mr. CHAFEE. Mr. President, I would That isn't the way the Federal Govern­ rity trust fund and there by the next appreciate it if the desk would inform ment works today. generation of seniors. I would like to me when I have spoken for 7 minutes. Mr. President, what this balanced state flatly that that is exactly the op­ Mr. President, when I speak with budget amendment is attempting to do posite of what we are trying to do here. Rhode Islanders I often find it very dif­ is to say if we want something in the We are trying to save and strengthen ficult to put the budget problems in United States, then we ought to levy Social Security. perspective. Few, if any, of us under­ taxes to pay for it. And if we are not The President has even admitted stand what a billion dollars is, never willing to levy the taxes to pay for it, that no one could balance the budget mind what $1 trillion is. But the cur­ whether it is better parks or better without the Social Security funds. The rent national debt of the United States education or better health care or bet­ President said that. is $5.3 trillion-not billion dollars, not ter protective services or a stronger This is a false argument. It is a risky million dollars-trillion dollars. FBI or better facilities for our Ambas­ gimmick that causes undue anxiety So we try to figure how can we put sadors and officials of our Foreign among our people. this in some form of perspective and Service serving abroad, all of those So my fellow Members believe that what the national debt is. This is what things, maybe they are fine. And if Social Security will have to fight it we owe our children. And the national they are and if the decision is that out with other programs if tied to the debt amounts to $20,000 for every they are fine, then let us levy the taxes amendment. This is not the case. American in our Nation, or a bill for a to pay for it. That is what this amend­ Money has already been allocated, and family of four of $80,000. ment is all about. it will remain in these trust funds. We Let me give you some idea of what $5 Mr. President, I hope that this first should not be needlessly scaring people trillion is: $5 trillion is enough money step on a long road to balancing our into believing that their futures are to purchase every automobile ever sold budget will be undertaken. This, of uncertain. We would never cut Social in the United States and have enough course, does not say we are going to Security to balance this budget. money left over to purchase every air­ pay off that $5.3 trillion debt. But we So it is a risky business whenever line ticket ever sold for travel in the will get started on it. First, we will not you start talking about setting the So­ United States. You buy all the auto­ be adding to it every day of every year. cial Security trust fund off to the side mobiles that have been made in the Certainly, for the last 40 years we have and not being included in the budget history of the United States, and then spent more than we have taken in. process. you have money left over to buy every That is why we have the $5.3 trillion If you do not include Social Security airline ticket that has ever been sold in deficit. in this amendment, our deficit will im­ the United States, and then you will Mr. President, I think that this bal­ mediately increase by an additional have used up $5.3 trillion; $5 trillion is anced budget amendment is a good start. I hope it will be approved. $465 billion during fiscal year 1998 equal to the asset value of all the U.S. I thank the Chair. through the year 2002, and by another stocks held by Americans. If we went Mr. HELMS addressed the Chair. $602 billion during fiscal year 2003 to out to spend a dollar every second of The PRESIDING OFFICER. The the year 2007, for a total of $1.067 tril­ every day to reach the goal of $5 tril­ Senator from North Carolina. lion over a 10-year period. Excluding lion, it would take 158,000 years at a Mr. HELMS. I thank the Chair. this provision will actually make it dollar per second. more difficult to choose which pro­ When the Federal Government spends grams will stay and which will be cut more than it collects in tax revenue, it UNANIMOUS-CONSENT AGREE- away. borrows the difference. This debt, obvi­ MENT-NOMINATION OF BILL So why would anybody suggest any­ ously, is a liability for future genera­ RICHARDSON TO BE U.N. AMBAS­ thing different? As we know, the bal­ tions. My children, your children, these SADOR anced budget constitutional amend­ young people here, the young people all Mr. HELMS. Mr. President, as in ex­ ment will force lawmakers to make over America are going to have to pick ecutive session, I ask unanimous con­ some tough decisions. That is the way up the bill for what we spent that we sent that the majority leader, after it should be. We have always lived in a didn't collect taxes for. And those who consultation with the Democratic lead­ life of priorities. support a balanced budget constitu­ er, may proceed to executive session to If we are to save our Nation from fu­ tional amendment such as we have be­ consider the nomination of BILL RICH­ ture heavy debt and uncertainty, hope­ fore us believe the Federal Government ARDSON to be U.N. Ambassador. I fur­ fully we will follow the course of what should do just like a family does. All ther ask that there be 30 minutes for February 11, 1997 CONGRESSIONAL RECORD-SENATE 1861 debate on the nomination equally di­ BINGAMAN, the distinguished chairman I have asked the Secretary General vided between the chairman and rank­ of the Senate Judiciary Committee, for his ideas and input, as I work with ing member of the Foreign Relations Senator HATCH, the chairman and Senator GRAMS, who will chair the Committee, and following the conclu­ ranking member of the House Inter­ international operations subcommittee sion or yielding back of time the Sen­ national Relations Committee, Con­ during this Congress, and as I work ate proceed to a vote on the confirma­ gressmen GILMAN and HAMILTON, and with other Senate colleagues to pre­ tion of the nomination. I finally ask Congressman ROBERT MENENDEZ of New pare this legislation. that following the vote, the President Jersey. Mr. President, Congressman RICHARD­ be immediately notified of the Senate's During the hearing, Congressman SON has pledged to work with the Sen­ actions, and that the Senate then re­ RICHARDSON was questioned extensively ate Foreign Relations Committee and turn to legislative session. by many members of the committee on with the Congress as a whole, in imple­ The PRESIDING OFFICER. Without a broad range of issues related to the menting concrete reforms at the objection, it is so ordered. United Nations, and other foreign pol­ United Nations. We welcome his input. icy matters. I believe that on balance, he is well At the conclusion of the hearing, it qualified for the post of U.S. Perma­ EXECUTIVE SESSION was agreed to keep the record open nent Representative to the United Na­ Mr. HELMS. Mr. President, are the until close of business on January 31, tions. I look forward to working with papers on the nomination at the desk? so that Senators could submit written him in moving our agenda forward. The PRESIDING OFFICER. The pa­ questions to the nominee. Five Sen­ I yield the floor. pers are at the desk. ators submitted 135 such questions, all Mr. GREGG addressed the Chair. The Senator from North Carolina is of which were answered in writing by The PRESIDING OFFICER. The informed that under the unanimous­ Congressman RICHARDSON. The admin­ Senator from New Hampshire. consent agreement, the nomination istration also complied with a docu­ Mr. GREGG. Who controls the time? can be brought up by the majority ment request concerning State Depart­ The PRESIDING OFFICER. The leader after consultation with the mi­ ment involvement with negotiations to Senator from North Carolina controls nority leader, and therefore the nomi­ free certain hostages in Southern the time on his side. nation is not yet before the Senate. Sudan. Mr. HELMS. I yield 5 minutes to the Mr. HELMS. My understanding is Earlier today, after members had Senator. that that consultation has occurred be­ spent several days examining the writ­ Mr. GREGG. I thank the chairman of cause I was handed this unanimous­ ten replies, the committee met in a the Foreign Relations Committee for consent request. business meeting to consider this nom­ yielding me time on this nomination. I The PRESIDING OFFICER. Does the ination. By a vote of 17 to 0, the Com­ rise in support of this nomination of Senator from North Carolina ask unan­ mittee on Foreign Relations reported Congressman RICHARDSON to be Amer­ imous consent that the Senate take up favorably the Richardson nomination. ica's Ambassador to the United Na­ Mr. President, Congressman RICHARD­ tions. I had the pleasure of serving the nomination? SON has been nominated to one of the Mr. HELMS. Yes. Nation's top foreign policy posts. He with BILL RICHARDSON while he was in The PRESIDING OFFICER. Without has been nominated at a critical time the House. We arrived at nearly the objection, it is so ordered. in the history of the United Nations. I same time. believe that he could very well make He was a joy to serve with, and I have history as the U.S. Permanent Rep­ a lot of respect for what he has done NOMINATION OF BILL RICHARD­ since that time, especially in the area SON, OF NEW MEXICO, TO BE resentative who rolled up his sleeves and worked with Congress to bring true of international affairs where he has in THE U.S. REPRESENTATIVE TO a number of instances been able to ex­ THE UNITED NATIONS and lasting reform to that dysfunc­ tional institution. tricate Americans from very difficult The legislative clerk read the nomi­ We have heard a lot of rhetoric from situations. nation of BILL RICHARDSON' of New the administration and the inter­ However, on this issue of the nomina­ Mexico, to be the representative of the national community about the need to tion, I think we also need to address United States of America to the United pay arrearages to the United Nations. the question of the status of the United Nations with the rank and status of U.S. contributions to the United Na­ Nations and especially the relationship Ambassador Extraordinary and Pleni­ tions have been withheld by Congress of this Government to the United Na­ potentiary, and the Representative of for a valid reason: to cause the U.N. bu­ tions, and a few caveats need to be the United States of America in the Se­ reaucracy to wake up and smell the pointed out. curity Council of the United Nations. coffee. As I told Congressman RICHARD­ Specifically, my concern, and I think Mr. HELMS addressed the Chair. SON, I believe Congress may be willing the concern of a number of Members of The PRESIDING OFFICER. The to pay those arrears, but only-and I Congress, is with the payment of ar­ Senator from North Carolina. repeat emphatically, only-if payments rearages to the United Nations. The ad­ Mr. HELMS. I thank the Chair. are tied to concrete reform. ministration, we hear by rumor, is Mr. President, today the Senate ful­ Last month, the members of the Sen­ going to send to this Congress a supple­ fills its constitutional duty on the ate Foreign Relations Committee had a mental, which supplemental will in­ nomination of Congressman BILL RICH­ long and productive meeting with the clude in it a $900 million plus request ARDSON to serve as our country's Per­ new U.N. Secretary General, Kofi for payment of arrearages to the manent Representative to the United Annan. I believe Mr. Annan genuinely United Nations. Nations. wants to reform the United Nations, There are two major issues raised by The Senate Committee on Foreign and I genuinely want to help him. But this. First, the question of whether $900 Relations met for almost 3 hours on like Ronald Reagan used to say: "trust million is the correct number. There is Wednesday, January 29, to consider the but verify." some serious concern by those of us Richardson nomination. During that That is why I told Mr. Annan that I who have looked at this issue that that hearing, the committee also heard intend to introduce legislation shortly number may be too high and that the from a bipartisan group of six Members that sets benchmarks for U.N. reform, proper number should be less because of Congress who introduced Congress­ and that rewards reform with payment we as a government have not received man RICHARDSON. of the U.S. arrearage. As each bench­ proper credit for costs of peacekeeping That group included the distin­ mark is met, money will be dispensed, which we have incurred and should guished chairman of the Senate Budget thus ensuring U.S. contributions will have been credited for. Committee, Senator DOMENIC!, the jun­ be linked to concrete accomplish­ Second, independent of what the ior Senator from New Mexico, Senator ments. right number is relative to arrearages, 1862 CONGRESSIONAL RECORD-SENATE February 11, 1997 there is the question of what the lars, as the managers of our taxpayers' mained there to attend Tufts Univer­ money will be spent for in the future. hard-earned income that is sent here as sity, where he earned a bachelor's de­ The United Nations has some very seri­ taxes, to say to the United Nations you gree and a Master of Arts in Law and ous problems in its management. shall have this money in a carte Diplomacy. The new Secretary General, Kofi blanche type of approach. BILL RICHARDSON then came to Wash­ Annan, has made a commitment to try So there will be a significant debate ington, working in the Legislative Af­ to address those problems, and we re­ in the Senate, and I suspect in the Con­ fairs Office at the State Department spect that commitment. But we need gress generally, as to how we structure and as a staffer on the Senate Foreign to go beyond verbiage. We need to go any payment on arrearages, and it is Relations Committee, where, like his beyond language, and we need to have going to be my position, which I intend predecessor, Secretary of State specifics, and we need to have enforce­ to aggressively pursue-and it really is Albright, he gained an appreciation for able and identifiable and ascertainable a position where I follow the lead of the role of the Senate in helping craft standards we can look to. the chairman of the committee-that American foreign policy. Specifically, we need to have from we have effective accounting proce­ In 1978, BILL RICHARDSON moved to the United Nations a system to review dures in place and that they be ascer­ Santa Fe, and in 1982 he won election where the money is spent. There is not tainable and that they be structured in to this first term as a Member of Con­ now available to those who wish to re­ a way that we are sure we are getting gress. His vast district has been de­ view, those member countries that our dollar's worth of effective adminis­ scribed by one writer as a "mini-U.N.," wish to review, an effective accounting tration, personnel management and with a diverse population that is 35 procedure for where the money goes services. percent Hispanic and 25 percent Native once it arrives at the United Nations, The PRESIDING OFFICER. The 5 American, including members of 28 dif­ and we need to have that. minutes yielded the Senator have ex­ ferent tribes. Second, we need to have an effective pired. As a Congressman, he served on the process for determining the personnel Mr. GREGG. I thank the Presiding Intelligence Committee and was a fer­ policies of the United Nations. There is Officer for his courtesy and the chair­ vent advocate of the North American not now a structure for adequately re­ man for his courtesy. Free Trade Agreement. viewing how personnel decisions are Mr. BIDEN addressed the Chair. Mr. President, I ask unanimous con­ made at the United Nations. There is a The PRESIDING OFFICER. The sent to have printed in the RECORD the legitimate concern that there are a sig­ Senator from Delaware. official biography of BILL RICHARDSON. nificant number of political appointees Mr. BIDEN. Mr. President, I rise in There being no objection, the mate­ at the United Nations, patronage, for support of our colleague, Congressman rial was ordered to be printed in the lack of a better word, and that these RICHARDSON, to become our Ambas­ RECORD, as follows: appointees do vote in many instances. sador to the United Nations. REPORT FOR THE COMMITTEE ON FOREIGN That is the representation. It may or Mr. President, I will very shortly RELATIONS, UNITED STATES SENATE may not be correct. But because there yield back the remainder of the time. I Subject: Ambassadorial Nomination: Certifi­ is no system to be able to review the understand I have 15 minutes under my cate of Demonstrated Competence-For­ personnel policies of the United Na­ control. eign Service Act, Section 304(a)( 4). tions, because they do not have a sys­ Mr. President, I take this oppor­ Post: U.S. Mission to the United Nations. tematic personnel policy system, it is tunity to thank the chairman, Senator Candidate: Bill Richardson. HELMS, for his willingness to bring this Bill Richardson has served as a member of impossible to evaluate the accuracy of the U.S. House of Representatives, rep­ these representations. important nomination to the floor so resenting the state of New Mexico since 1983. Third, we need to have the process expeditiously. He serves on the Commerce, Resources and for evaluating the full services deliv­ I join Chairman HELMS in endorsing Intelligence Committees. Mr. Richardson is ered by the United Nations, the pro­ the nomination of Representative BILL active on the North Atlantic Assembly, the grammatic initiatives taken by the RICHARDSON to be the Permanent Rep­ Helsinki Commission on Human Rights, the United Nations and whether or not resentative of the United States of Congressional Hispanic Caucus, and the they are being efficiently and effec­ America to the United Nations, with House Democratic Steer1ng Committee. In tively handled. This is a very genuine addition, Congressman Richardson serves as rank of Ambassador. Chief Deputy Minority Whip. concern because there is a very signifi­ I commend President Clinton for hav­ Congressman Richardson has been active cant amount of anecdotal evidence, at ing nominated him, and I strongly urge in hostage negotiations in a number of coun­ least, that many of the activities and my colleagues here today to vote to tries which include the Sudan, North Korea, dollars that have been spent to support confirm this distinguished Member of Cuba, and Iraq. His diplomatic skills have those activities may not have produced Congress who already has a long list of been instrumental in the release of a number the results sought, or in many in­ diplomatic accomplishments to his of American hostages. stances the dollars may have just been name. Prior to his election to the U.S. House of Representatives, Mr. Richardson served as a misplaced in at least a few cases that Congressman RICHARDSON has ably Staff Member of the U.S. Senate Foreign Re­ have been found by the present inspec­ represented the Third District of New lations Committee, a Congressional Liaison tor general, even misappropriated. Mexico for 14 years, but it is his experi­ Officer as the Department of State, and a So until we get in place these three ence in successfully negotiating the re­ Staff Member of the Wednesday Group of the major accounting processes, which are lease of Americans and others in some U.S. House of Representatives. typical of any major structure of gov­ of the world's least hospitable locales Mr. Richardson received a B.A. from Tufts ernment or of the private sector, an ac­ that has brought his formidable diplo­ University and an M.A. from the Fletcher counting structure for knowing where matic skills to light. This diplomatic School of Law and Diplomacy at Tufts. He is the recipient of honorary degrees from the the money goes, an accounting struc­ experience will serve him well at the University of the Americas in Mexico, the ture for knowing what the personnel United Nations as he seeks to advance College of Santa Fe, and the Fletcher School policies are, and an accounting struc­ American interests in contacts with 185 of Law and Diplomacy. Mr. Richardson has ture that allows you to follow pro­ other nations. published a number of articles dealing with grammatic activity as to its efficiency Likewise, Congressman RICHARDSON'S U.S.-Mexico relations. and effectiveness, until we get some­ personal background and political ex­ Born November 15, 1947, Mr. Richardson thing in place that shows us we are perience have prepared him well to rep­ speaks Spanish and French. He has won nu­ going to have those types of systems in merous awards includ1ng the Aztec Eagle resent the United States in the world Award from Mexico Government in 1994. In place that allow us to review and know body. 1995, he was nominated for the Nobel Peace whether or not our dollars are being BILL RICHARDSON was born in Cali­ Prize. spent effectively, it is very hard for us fornia and grew up in Mexico City. He Mr. Richardson's dedication to public serv­ as the fiduciaries of our citizens' dol- attended high school in Boston and re- ice and his strong diplomatic and leadership February 11, 1997 CONGRESSIONAL RECORD-SENATE 1863 skills make him an excellent candidate as I have sought to demonstrate that commit­ ing an extraordinary range of challenges U.S. Representative to the United Nations. ment by serving my constituents and my around the world. It enables us to build Mr. BIDEN. Mr. President, BILL RICH­ country to the best of my ab111t1es. Those international support for our foreign policy ARDSON has engaged in successful diplo­ fourteen years of service, I believe, provide goals at a lower price; during the Gulf War, me with a perspective and a sensitivity to this multiplier effect meant that the inter­ macy with some of the world's most re­ issues that will strengthen my working rela­ national community shared the costs and re­ calcitrant regimes and rebels. His hu­ tionship with you, this Committee, and the sponsibility of defeating Iraq. We see peace manitarian concern for individuals and Congress. in Cambodia, El Salvador, Angola, Namibia his commitment to advance this coun­ We share a love for our nation and a deter­ and Mozambique thanks in no small part to try's interests have led him to coun­ mination to preserve and strengthen Amer­ the powerful combination of effective U.S. tries like North Korea, Cuba, Iraq, Ser­ ica's global leadership, to promote our goals leadership and sustained U.N. engagement. bia, Nigeria, Burma, Haiti, and Sudan. of world peace and security. We want a bet­ Mr. Chairman, I have seen for myself how My colleagues will recall that he nego­ ter world for our generation, our children's the United Nations can help us further tiated the release of an American heli­ generation and all those who follow. America's interests: today, IAEA inspectors The good news is that we live at a time of help to verify that North Korea is living up copter pilot in North Korea, three Red remarkable promise. Our nation is at peace. Cross workers in Sudan, and two Amer­ to its commitment not to produce nuclear Our economy is strong. And our most funda­ weapons; in remote parts of Sudan to which icans imprisoned in Iraq. mental beliefs are ascendant, as more coun­ Americans have little or no access, I have Two weeks ago, Congressman RICH­ tries and peoples than ever before enjoy the seen how U.N. affiliated organizations help ARDSON came before the Senate Foreign advantages of open societies and open mar­ protect and feed the innocent victims of a Relations Committee and outlined how kets. But we also face a host of threats­ terrible humanitarian disaster. In Burma, I the United Nations should be used to from rogue states and the spread of weapons have seen how the nations of the world at advance American interests, while of mass destruction to terrorism, drug traf­ the U.N. General Assembly and led by the ficking and environmental degradation­ United States, have brought hope to embat­ streamlining its bureaucracy and re­ that can all too easily undermine our hard­ forming its structure. I ask unanimous tled democrats by justly condemning a re­ won gains and our hopes for the next cen­ pressive regime. consent that his statement before the tury. committee be printed in the RECORD. I believe the U.N. is at a crossroads-and so As the President said last week, "our well­ There being no objection, the mate­ is America's leadership in the institution. being at home depends on our engagement rial was ordered to be printed in the Both the U.N. and the U.S. face fundamental around the world." U.N. agencies contribute RECORD, as follows: choices: for the United Nations, to adapt to the safety and security of Americans; fully to new demands and changing times, or they even protect U.S. jobs: the ICAO's avia­ STATEMENT BY REPRESENTATIVE WILLIAM to suffer the erosion of support from nations tion safety and security standards dispropor­ RICHARDSON BEFORE SENATE FOREIGN RE­ and peoples. For the United States, the tionately benefit Americans (who make up 40 LATIONS COMMITTEE choice is to sustain our leadership in a re­ percent of all international air travelers); Mr. Chairman, distinguished Members of formed, effective U.N. or lose our voice in an labor standards set by the ILO help ensure the Committee, it is a pleasure to meet with institution that has helped us advance Amer­ that U.S. exports remain competitive over­ you this morning. I would like to begin by ican interests for half a century. The U.N. seas; trademark and copyright protections expressing my gratitude to President Clinton must do its part. But we too must make the overseen by the World Intellectual Property for nominating me to this important and right choice. Let me explain why: Organization protect billions of dollars in challenging position. I am deeply honored by As a global power with global interests, U.S. exports of movies, software, music, his trust and deeply conscious of the fact the United States must lead in seizing the books, and industrial inventions; the F AO that, if confirmed, I will be representing the opportunities and meeting the challenges of and the WHO set international food product United States, and the interests and values this new era. And to lead, we must have all safety and quality standards that benefit our of its people to the world. This is a heavy re­ the tools of leadership at our disposal. Some­ agricultural exporters as well as our con­ sponsibility that I do not undertake lightly. times, when our vital interests are at stake, sumers. But I assure you that, if I am confirmed, we have to be willing and able to act alone. Increasingly, we use U.N. bodies to gain America will have no more forceful advocate That's why we are determined to maintain a international support for addressing such of its views and no more forceful defender of strong military, and an assertive, well-fund­ dangerous transnational scourges as ter­ its sovereign interests. ed diplomacy. rorism, crime, and narcotics trafficking. We I would also like to thank you, Mr. Chair­ But the U.S. can't do everything; nor work with and through the U.N. to achieve man, as well as Senator Biden, for moving should we try. As President Clinton has put our objectives on human rights, the environ­ forward so expeditiously with my nomina­ it, "we cannot sustain our leadership or our ment, and child labor-all issues of great im­ tion. I was very encouraged by the calls for goals for a better world alone." That is why portance to the American people. The U.N. bi-partisan cooperation on U.S. foreign pol­ the U.N. is essential: not as an independent has helped bring the world together in caring icy at Secretary Albright's confirmation actor on the world stage, but as an instru­ for refugees, feeding starving children, eradi­ hearing, and I look forward, if confirmed, to ment that helps us mobilize the support of cating smallpox and battling AIDS. If we can working with you in the same spirit. other nations for goals the American people maintain our leadership within the organiza­ I also extend my appreciation to Senators support. Without it, we would face, more and tion, this will continue to be so. Domenic! and Bingaman, and Representa­ more often, the stark choice between acting tives Gilman, Hamilton and Menendez, for alone and doing nothing. During the last several years, Secretary their kind introductions. It has been my I know there are some who question Albright worked tirelessly on U.N. reform, privilege to work with these distinguished whether our participation in the U.N. serves and she produced results: a new Secretary individuals. In my tenure in the Congress, I American interests. The question is a fair General was appointed, committed to accel­ have also come to know a number of the one-but the answer is clear: America's most erate the pace and widen the scope of reform; members of this Committee. I have seen how fundamental interests are best served by our the U .N. was persuaded to adopt no-growth deeply committed you are to advancing the active, hard-headed leadership in the U.N.; budgets-both currently and for the foresee­ interests of the America people. I thank all they will be set back if we drop out-either able future-and to reduce the number of of the members of the Committee for the in the literal sense or by failing to shoulder people working in the U.N. Secretariat by courtesies you have extended to me during our fair share of responsibilities. several hundred. Furthermore, we have per­ the last few weeks. The values that inform the U.N. Charter suaded the regional economic commissions I would like as well to express my great ad­ are also American values; the Charter's sen­ to begin initial re-prioritizing, and we have miration and respect for the work of my timents and, in many ways, its very words taken at least the first steps toward stream­ predecessor, whose resolve, frankness, and echo the ideals so familiar to generations of lining the specialized agencies. just plain good sense made her four years at Americans: "to reaffirm faith in funda­ Make no mistake, the U.N. has serious the U.N. such a resounding success. If con­ mental human rights, in the dignity and problems to surmount. There should, for ex­ firmed, I hope to profit from her example and worth of the human person, in the equal ample, be better coordination of its activi­ to work closely with her as a member of the rights of men and women." This should be no ties, consolidation of related programs and President's foreign policy team. surprise given the role that Americans bodies, and elimination of redundancies and Finally, I wonder if I might take a brief played in conceiving and drafting the U.N. low-priority activities. The specialized agen­ moment to introduce my wife Barbara. Charter. cies must learn to live within their means. Mr. Chairman, I am proud of my long­ But U.S. participation in the U.N. is not And the whole U.N. system must take a page standing commitment to public service. For merely a question of values. U.S. participa­ from the business community's handbook seven terms in the House of Representatives, tion has made a positive difference in meet- and learn to do more with less. The High- 1864 CONGRESSIONAL RECORD-SENATE February 11, 1997 Level Working Group on U.N. reform pro­ pect to lead through the United Nations un­ SON over the next 4 years to ensure posed by President Clinton at the 49th Gen­ less we pay what we owe." that the United States continues to eral Assembly to address key economic, so­ For that reason, at the same time as I play a leading role at the United Na­ cial and administrative issues has made lit­ make America's case at the U.N. I will be tions so that the United Nations con­ tle progress, and changes so far at the spe­ making the case to the Congress and the cialized agencies have been ad hoc and ten­ American people that a reformed, effective tinues to work in America's interests. tative. U.N. serves our interests in concrete ways Let me just suggest that I think Secretary General Kofi Annan has publicly and that our arrears have harmed our ability since I have been here--and it has been committed himself to achieving the kind of to press for reform. As Secretary Christopher 24 years-we have not had anyone who reform that will make the U.N. more effec­ used to say, "we can't reform and retreat at by temperament, experience, back­ tive. His appointment presents us with an the same time." ground, and education is any more opportunity to push for reform and solve our Clearly, the Administration and the Con­ gress must work together on a bipartisan qualified to be our Ambassador to the arrears problems. He appears receptive to United Nations than Ambassador RICH­ changing the way the U.N. operates; in his basis to advance U.S. interests through a re­ public remarks since being appointed he has formed United Nations. In addition to my ARDSON. We, all of us who have served stressed the need to make the U.N. "leaner, commitment to pressing for U.N. reform, I here, at least for 2 years or more, have more efficient and more effective." I know also pledge to you to make every effort to re­ come to know him personally or have his words have been applauded up here on inforce the unfailing commitment of the become acquainted with his incredible American people to democracy and human the Hill and I was very encouraged by the se­ record of special missions, where he rights around the world. ries of meetings he held last week here in I believe that one of my highest respon­ has not gone off on his own but gone off Washington-in particular by his meeting sibilities will be to confer, cooperate, and under the aegis and umbrella, at least, with you, Mr. Chairman, and members of the consult with the Congress across the board and being told by informing adminis­ committee. His job will be a difficult one, on the widest range of U.N.-related issues, trations what he has been doing, and but with will and effort, it can be done. If both in Washington and in New York. If con­ the remarkable negotiations that he confirmed, I will press relentlessly to make firmed, I will welcome your advice, Mr. sure that reforms are undertaken, both in has undertaken with such remarkable Chairman, and that of every member of this results. the U.N. -and the specialized agencies, and Committee and of the Congress. I extend to that our priorities are key factors in U.N. de­ you individually and collectively a standing The reason I mention that is not that cision-making. At the same time, I'll ask invitation to come to New York and see for that qualifies a man or woman to be your support for America's leadership in the yourselves what we are doing there. My door the Ambassador to the United Nations U.N.-and for fulfilling the commitments will always be open. in and of itself, but it indicates that that will enable us to lead. On one thing we can all agree: the U.N. can this is a man who understands how to Mr. Chairman, as a member of Congress, I and must do better and since we are part of assess his opposition's interests and know perfectly well that while our constitu­ the U.N. we must together be part of the so­ ents want to see America involved in the how to try to meet that interest with­ lution. If, with your consent, I am con­ out yielding on any principle that is world, they are not interested in seeing tax firmed, I can pledge to you that you will find dollars wasted on programs that are incon­ no one more committed to getting the job important to this country. I think sistent with American interests or values. A done. Madeleine Albright did that job well, central part of my job will be to make this Thank you very much. as others have, and I think that BILL reality absolutely clear to the U.N. and its Mr. BIDEN. Mr. President, Congress­ will do it equally as well. 184 other members. man RICHARDSON reminded us that I also think that he goes there In four years, I hope this Administration equipped with a firsthand knowledge of will be able to say that by working with you while U .N. reform is important, we and other key committees in Congress we: must never lose sight of the funda­ the concerns expressed by the chair­ Helped the U.N. and its specialized agencies mental value of the United Nations for man of the committee, the Senator make the transition to smaller and more ef­ our national interests. We rely on the from North Carolina, and our distin­ ficient organizations; put our U.N. assess­ United Nations to provide humani­ guished colleague from New Hamp­ ments on a sustainable financial footing that tarian assistance to millions who oth­ shire, who just spoke. This is not some­ preserves U.S. influence within the U.N. sys­ thing he has to divine or guess about. tem; paid America's debt to the U.N.; and re­ erwise would have no source of food or shelter. We rely on the United Nations This is not just in terms of our arrear­ built bipartisan support in the United States ages. Our involvement with the United for continued American leadership within to eradicate disease and improve and through the U.N. health. We rely on the United Nations Nations-and the future relationship To accomplish these far-reaching changes, to prevent nuclear proliferation. We the United States will have with the we envision a reform package consisting of rely on the United Nations to facilitate United Nations-is something that he five elements: Maintaining at least zero and maintain peace. The United Na­ is personally aware of, in terms of the growth in the U .N. budget, streamlining the tions allows us to combine our re­ intensity, the extent to which the con­ U.N. Secretariat in terms of personnel and sources with those of others to bring cern exists, and the detail of the con­ organizational structure, streamlining the cern as emanated from the U.S. Con­ U.N. 's "big three" affiliated agencies: the about outcomes that are in our na­ Food and Agriculture Organization, the tional interest. gress, both in the House and the Sen­ International Labor Organization, and the We must pursue reform, but we ate. World Health Organization, negotiating should not use reform as a stalking So, he is a man who will arrive on lower U.S. scales of assessment for the U.N. horse to undermine the United Na­ the scene fully aware of both sides of regular budget, the budgets of affiliated tions' ability to carry out tasks that this equation. He is not just a very agencies, and the U.N. peacekeeping budget, serve our fundamental interests. gifted academic or diplomat who will and negotiating the kind of Security Council We must maintain our leadership in serve us there. He is not someone who reform that preserves its efficiency and pro­ the United Nations. Doing so entails has just learned academically of the tects the prerogatives of the current Perma­ concern of the Congress and the simple, nent Members, while adding Germany and meeting our commitments to the Japan. United Nations; specifically, it means basic, legitimate political concerns To see these reforms implemented, how­ paying our back dues. We cannot ex­ that we have. I don't mean partisan po­ ever. I will need the help of the Congress. pect others to fulfill their inter­ litical, I mean political in the sense The administration is prepared--even national obligations if we do not fulfill that we have to answer to our constitu­ eager-to work with you to help achieve our our own. encies as to what we are going to do U.N. goals. But our efforts are increasingly The President's request for a $921 about paying arrearages, if we pay ar­ hampered by international resentment over million supplemental appropriation, to rearages, and how we pay them. And I our arrears. As the U.N. cleans its house, we be disbursed 2 years from now, is a think that is a particularly useful must do our part. Our U.N. debt continues to hurt our efforts to press for reform and dam­ good place to begin a bipartisan effort background for a man to have at this ages our influence in the U.N. and its affili­ to pay off our debt and encourage moment, going to that job. ated agencies. The United States needs to meaningful U .N. reform. He is, as I said, academically quali­ get out of debt and stay out of debt. As the Mr. President, I look forward to fied. He is qualified by temperament. President said just last week "We cannot ex- working with Congressman RICHARD- He is qualified by experience. And he is February 11, 1997 CONGRESSIONAL RECORD-SENATE 1865 qualified, uniquely qualified in what is national forum and a vital tool for funding in the 1998--99 budget outline to probably the single most significant American foreign policy. And second, continue those posts into the next bi­ issue that has faced our relations with that it is also an unbelievably complex ennium. It also means making sure the the United Nations, probably since the and bureaucratic organization which is OIOS has sufficient resources to sup­ United Nations has come into exist­ crying out for an overhaul. port the activities of its investigators. ence. That is: What is the relationship Last month, I was encouraged by the We have heard enough excuses on and role of the President's authority to visit to Washington of the new U.N. this issue and it's time for it to be re­ make commitments relative to the use Secretary-General, Kofi Annan, and by solved. The United States has declared of American dollars and forces in other his assertions to Congress that addi­ that one of its reform goals is to ex­ parts of the world, and how does that tional reforms are in the offing. I know pand the U.N. Inspector General's au­ interrelate with the Congress and the many of us look forward to reviewing thority to all agencies and programs Senate, in particular, and how and the reform package he has promised to throughout the U.N. system. I strongly under what circumstances should we be develop by September of this year. support this reform goal, but question making up our arrearages and looking During both his public testimony and how it can be accomplished when the out for our longer term interests at the in a private meeting with me, BILL OIOS is having great difficulty meeting United Nations? RICHARDSON pledged unprecedented its current responsibilities. So for those reasons and many others consultations with Congress on U.N. Another issue which has caused deep which I have not mentioned here issues. I deeply appreciated that prom­ congressional concern is the loss of the today' I think BILL RICHARDSON is the ise and know that Mr. RICHARDSON, as U.S. seat on the U.N. Advisory Com­ right man for the job at this moment, a member of Congress himself, under­ mittee on Administrative and Budg­ although I suspect he would be quali­ stands the importance of genuine inter­ etary Questions, known as the ACABQ. fied for the job at any moment. But I action between the executive and legis­ This is the first year since the found­ think he is particularly qualified to lative branches on foreign policy. ing of the United Nations that the take over this job at this time. In that vein, there are some matters United States has not had a position on Mr. GRAMS. Mr. President, as the at the United Nations that I believe re­ this crucial budget committee. With­ new chairman of the Subcommittee on quire immediate attention and I hope out this seat, it will be even more dif­ International Operations, I am pleased to begin working promptly with soon­ ficult for the United States to get ac­ to offer my support for the nomination to-be Ambassador RICHARDSON to ad­ cess to important technical budget in­ dress them. of BILL RICHARDSON to serve as the U.S. To begin with, I am alarmed by the formation at the very time we are try­ Ambassador to the United Nations. lack of resources currently being made ing to enforce fiscal restraint and a no­ Many of us have followed Congress­ available to the U .N. Inspector Gen­ growth budget at the United Nations. man RICHARDSON'S globe-trotting mis­ eral, known as the Office of Internal I would recommend Mr. RICHARDSON sions to assist captured Americans in Oversight Services, or the OIOS. This take three important steps with regard hostile circumstances. I want to ex­ office is one that would not exist with­ to the ACABQ: First, he must make press my personal appreciation for the out American advocacy and, I might sure the U.S. mission to the United Na­ successful effort he made 2 years ago to add, without the pressure of legislation tions and Congress will continue to obtain the release of Bill Barloon in mandating that some United States have access to important budget infor­ Iraq, since Mr. Barloon's brother lives contributions to the United Nations be mation whenever necessary. in my home State of Minnesota. withheld until it was created. Second, he should ensure that any We were very grateful. I have no The OIOS is charged with rooting out matters involving the commitment or doubt that the lessons BILL RICHARD­ waste, fraud, abuse, and mismanage­ reprogramming of U.N. funds are con­ SON has learned from these missions, ment at the United Nations. According sidered in the General Assembly's Fifth which one newspaper dubbed "daredevil to the Undersecretary-General who Committee, on which the United States diplomacy,'' will serve him well at the runs the office, it does not always re­ still has a seat, rather than only by the United Nations. Often, it seems the ceive the cooperation it needs from all ACABQ. United States must use just the right U.N. staff and member states. Now third, it is clear the United mix of aggressive persuasion and diplo­ This is unfortunate because the pur­ States must regain its seat during the matic negotiations to convince the pose of the OIOS is to save money and next elections for the ACABQ in 1998. other 184 member states at the United make more effective use of U.N. re­ Given the stunning loss of the last U.S. Nations to go along with even minor sources. All member states should re­ candidate, Mr. RICHARDSON and the reforms. member that money wasted is money State Department need to fully consult As a member of the Foreign Rela­ that will not help meet the goals of with Congress before nominating our tions Committee, I have long had an programs that they themselves man­ next ACABQ candidate. interest in the reform and revitaliza­ dated the U.N. undertake. Mr. President, before I close, I want tion of the United Nations. But late My immediate concern is that the to say a few words about the major last year, I was given the opportunity budget of the OIOS has been cut dra­ U.N. issue facing Congress this year, to become personally involved in some matically this biennium, including a which is the President's request for $1 of the controversial issues surrounding reduction of $700,000 just in 1997. It also billion to pay United States arrears to this body when President Clinton ap­ has 12 posts which have not been filled, the United Nations. pointed me to be a congressional dele­ giving it an especially high vacancy Given what I understand so far of the gate to the U.N. General Assembly. rate for U.N. offices. In fact, my under­ President's plan-and I still have yet From October to December, I made standing is that the OIOS has only to see anything on paper from the ad­ three trips to the United Nations to about 10 trained investigators to han­ ministration-I must express my dis­ participate in its activities. These in­ dle the massive job of U.N. oversight. appointment with his U.N. reform pro­ cluded not only meeting with a wide Not only is this simply unacceptable, posal. range of U.N. officials and representa­ but it causes us to question whether First of all, I am dismayed by the re­ tives from other nations, but also the U.N. Inspector General's office is luctance, if not outright refusal, of the speaking before the U.N. budget com­ truly independent. administration to link incremental mittee-known as the Fifth Com­ Now I hope one of Mr. RICHARDSON'S payment of U.S. arrears to specific mittee-and also the General Assembly first priorities will be to sit down with U.N. reforms mandated by law. Clearly, itself. Secretary-General Annan and figure this general approach has been success­ This experience reinforced my two out how to bring the OIOS up to full ful on a series of reforms ranging from key beliefs about the United Nations. strength. the creation of the U .N. Inspector Gen­ First, that a properly structured This means not only filling vacant eral to the ongoing implementation of United Nations can be a useful inter- posts for 1997, but making sure there is a no-growth budget. 1866 CONGRESSIONAL RECORD-SENATE February 11, 1997 Second, I am concerned the adminis­ The role of the United Nations in dic­ U.N. supporters may argue that the United tration is focusing narrowly on simply tating the foreign policy of this coun­ States is obligated to appropriate money di­ reducing U.N. budgets and assessments try, and its role in the military affairs rectly to the United Nations, not just to di­ to the United States. While I agree must be confronted and stopped. rect U.S. agencies to support U.N. oper­ that mandating budget reductions can ations. But U.S. support, including housing, I hope that Mr. RICHARDSON could ad­ humanitarian supplies and other goods and force U.N. bureaucrats to prioritize dress these and other issues during his services, is paid for by congressional appro­ funding and programs, this is only part coming tenure as our Ambassador. priations and directly enables the United Na­ of the picture. I ask unanimous consent that the ar­ tions to carry on its work. Why shouldn't There are a whole series of manage­ ticle by Mr. Cliff Kincaid be printed in these contributions count? ment reforms that also deserve to have the RECORD. Fourth: Why are U.N. officials continuing the leverage of U.S. arrears behind There being no objection, the article to push global taxation? The U.S. Congress them. The point is that we don't just was ordered to be printed in the was shocked when former U.N. secretary want a less expensive United Nations, RECORD, as follows: general Boutros Boutros-Ghali endorsed but one that is more manageable and international taxation schemes to fund the [From the Washington Post, Jan. 19, 1997) United Nations. Legislation to derail these efficient. WHO'S SOAKING WHOM? Third, I have reservations about the plans was voted on by the Senate last year. (By Cliff Kincaid) Not surprisingly, global taxes for the United President's request for $921 million as Nations went down by a 70-28 margin. an advance appropriation for fiscal Kofi Annan is coming to town. Unlike Santa Claus, who gives gifts, Annan wants Nevertheless, officials at the United Na­ year 1999. These reservations are them. The new secretary general of the tions Development Programme have now heightened if such funding will not be United Nations is scheduled to be in Wash­ edited a 300-page book, titled "The Tobin legislatively conditioned on mandatory ington this week to ask members of Congress Tax," on how to implement a global tax on reforms. to provide another $1 billion or more for the international currency transactions. (James My personal view is that this appro­ world organization. Members of Congress Tobin is the Yale University economist who priation should not be rushed through may wish to ask him some tough questions came up with the idea.) This tax could affect about U.N. finances. IRAs, pension funds, mutual funds and other Congress just so the President can have investments of ordinary Americans. Will it in his pocket for safekeeping. We First: Why has the position of U.N. sec­ retary general enjoyed a 70 percent increase Annan make sure that work on these should consider this funding in the nor­ in pay over the past six years while the schemes stops immediately? mal authorization and appropriations United Nations has been going broke? U.N. If the new U.N. secretary general wants to process so that it can be examined in figures show the position was paid $156,429 in make a convincing case on Capitol Hill, he the context of all budget priorities. gross salary in 1991, with an entertainment should answer these questions to the satis­ I understand that Secretary Albright budget of $22,500. By May 1995, the secretary faction of the U.S. Congress. will be coming to Congress tomorrow general's gross salary had risen to $280,075, Mr. BINGAMAN addressed the Chair. to discuss the President's proposal so I with $25,000 for entertainment. If Annan is The PRESIDING OFFICER. The will defer other comments until after sincere about reform, he should set an exam­ Senator from New Mexico is recog­ that meeting. However, as an opening ple by taking a pay cut. nized. bid in the negotiations over how to re­ Second: Why is former U.N. secretary gen­ Mr. BINGAMAN. Mr. President, our eral Kurt Waldheim still getting a $102,000 Nation has been very fortunate over solve U.S. arrears and guarantee U.N. annual pension? In 1986 journalists exposed reform, the administration's plan his collaboration in the Nazi extermination the years to have had distinguished, seems to be falling short. campaign in southern Europe during World capable representatives serving as our Therefore, Mr. President, I hope ne­ War II, and he was barred from the United Ambassadors to the United Nations. It gotiations between Congress and the States. Since Waldheim got his U.N. job is my honor today to speak on behalf of administration can proceed quickly so under false pretenses, why is the United Na­ yet another distinguished American, that we can begin discussing a serious, tions still obligated to pay him out of its $15 BILL RICHARDSON, who has been nomi­ comprehensive U.N. reform agenda. To billion pension fund? Moreover, doesn't it nated by the President to serve in that that end, I look forward to working look bad for the U.N. to prosecute suspected capacity. war criminals in Bosnia and Rwanda while with our next United States Ambas­ continuing to pay Waldheim? Let me offer a few words of strong sador to the United Nations, BILL RICH­ Third: What is the real U.S. "debt" to the endorsement for my colleague. BILL ARDSON, on a close and productive basis United Nations? The General Assembly came RICHARDSON and I first campaigned to­ to strengthen the relationship between up with the requirement that the United gether in 1982, when he was running for the United States and the United Na­ States pay 25 percent of the U.N. operating the House of Representatives and I was tions. budget and 31 percent of the peacekeeping running for the Senate. Mr. FAIRCLOTH. Mr. President, I budget. Over the course of the past decade, Starting with that 1982 campaign, rise in support of the nomination of congressional appropriations for the U.N. and in the 15 years since then, I have BILL RICHARDSON to be U.S. Ambas­ have fallen short of these "requirements," continued to be impressed by his re­ sador to the United Nations. which are based on national wealth and re­ sponsibilities in world affairs. If we don't pay sourcefulness, by his energy, by his tal­ But, Mr. President, I must express what the U.N. wants, its only option is to ent for winning the trust and respect my concern about the United Nations, deny us a vote in the General Assembly. from people of diverse backgrounds particularly the imminent discussion Members of the assembly haven't done this with widely varied points of view. about a multibillion-dollar bailout of because they know we're still the biggest Much has been made of the successful this body. contributor to the U.N. regardless of the diplomatic efforts that he has engaged My thoughts can best be summed up " debt" talk. in in the last few years, but I would by an article which I will ask to have The United States makes many contribu­ like to say just a few words about his printed in the RECORD. This excellent tions to the world organization for which it receives no credit or reimbursement. A performance on his so-called day job, opinion piece, written by Cliff Kincaid, March 1996 General Accounting Office (GAO) that is, his job as Congressman for the raises serious questions about the report on peace operations found that, dur­ State of New Mexico. United Nations that need to be an­ ing fiscal years 1992-95, U.S. government As you know, Mr. President, New swered. costs in support of U .N. -backed peacekeeping Mexico is a State of many cultures. We In addition to the wasteful spending operations amounted to $6.6 billion. About have a very large native American pop­ practices of the United Nations, in my $4.8 billion of this amount was never counted ulation, a very large Hispanic popu­ opinion, the organization in recent as part of our official U.N. assessment, ac­ lation, a community such as Los Ala­ years has begun to pose a threat to cording to the GAO. The United Nations did mos, which has the largest number of U.S. foreign policy and the command reimburse the United States for about $79 million of these expenses, leaving $4. 7 billion Ph.D.'s per capita of any city in the and control of the U.S. Armed Forces. that has effectively been provided as a gift. world. It needlessly delayed the conflict in If this sum is applied to our $1 billion-plus BILL RICHARDSON has managed to Bosnia and was partly responsible for " debt," as seems logical, then the United Na­ gain the trust and support of each of the debacle in Somalia. tions owes us money, not the reverse. these as well as many other groups and February 11, 1997 CONGRESSIONAL RECORD-SENATE 1867 has been a very effective and successful today and say to soon-to-be Ambas­ De Wine Inhofe Nickles Congressman receiving very large ma­ Dodd Inouye Reed sador RICHARDSON in behalf of New Domenic! Jeffords Reid jorities each of the eight elections that Mexicans, we wish you the very best Dorgan Johnson Robb he has stood for in our State. good fortune. We know that whatever Durbin Kempthorne Roberts BILL will demonstrate the same re­ you have tried, you have succeeded at Enz! Kennedy Rockefeller sourcefulness, energy, and skill in it in your life. And now, through that Faircloth Kerrey Roth Feingold Kerry Santorum building trust and rapport in the achievement and because New Mexi­ Feinstein Kohl Sarbanes United Nations that he has dem­ cans have sent you to the U.S. House in Ford Kyl Frist Landrieu Sessions onstrated in New Mexico. We in New numerous elections and for a number of Glenn Lau tenberg Shelby Mexico will be losing a very capable years, we all think you are ready for a Gorton Leahy Smith (NH) and effective Representative in Con­ much bigger role and a much bigger Graham Levin Smith (OR) gress, but the country will be well mission in behalf of our country. Gramm Lieberman Snowe Grams Lott Specter served by having BILL in this key posi­ Most of us who know you, and most Grassley Lugar Stevens tion of advocacy in the world's key New Mexicans who have observed you, Gregg Mack Thomas international institution. are confident you are going to do a Hagel McCain Thompson Mr. President, I strongly recommend Harkin McConnell Thurmond splendid job in behalf of our country. Hatch Mikulski Torricelli to my colleagues that they vote to con­ The fact that you came from a State Helms Moseley-Braun Warner firm the nomination of BILL RICHARD­ that has multiple cultures, that clearly Hollings Moynihan Wellstone SON for the U.N. Ambassador position. accepts the diversity that no other Hutchinson Murkowski Wyden Hutchison Murray Mr. BIDEN. Mr. President, I do not State in the Union has like ours, bodes see any other of my colleagues seeking well for your work with people from all The nomination was confirmed. to speak on this nomination. There­ over the world. The PRESIDING OFFICER. Without fore, I am prepared to yield back the While I could stand here and speak objection, the President will be noti­ remainder of my time and am prepared for a long time in your behalf, it is not fied of the action of the Senate. to vote anytime the chairman deems it necessary today because you are clear­ appropriate. ly going to be confirmed and your LEGISLATIVE SESSION The PRESIDING OFFICER. Does the name is going to be sent to the Presi­ The PRESIDING OFFICER. Under Senator from North Carolina yield dent as the next Ambassador to the the previous order, the Senate will re­ back his time? United Nations. But I believe I will turn to the consideration of legislative Mr. HELMS. Mr. President, the yeas close with just a couple of words in business. and nays have not been obtained for Spanish. Buena suerte, BILL. That's the Mr. MURKOWSKI. Mr. President, I this nomination, have they? simplest way of saying good luck and suggest the absence of a quorum. The PRESIDING OFFICER. They good fortune in Spanish. I have been The PRESIDING OFFICER. The have not. privileged to work with you. I hope you clerk will call the roll. Mr. HELMS. Mr. President, I ask for will continue to work with those of us The bill clerk proceeded to call the the yeas and nays. in the U.S. Senate and House who are roll. The PRESIDING OFFICER. Is there interested in the United Nations suc­ Mrs. HUTCHISON. Mr. President, I a sufficient second? ceeding. We think you have a big mis­ ask unanimous consent that the order There is a sufficient second. sion. We hope you can establish some for the quorum call be rescinded. The yeas and nays were ordered. inroads, in terms of the United Nations The PRESIDING OFFICER. Without Mr. HELMS. Mr. President, the being a more effective and efficient objection, it is so ordered. Cloakroom would do well to advise body, so that the United States can Mrs. HUTCHISON. I ask unanimous Senators that there shortly will be a truly continue to support its efforts consent I be allowed to speak for 5 min­ rollcall vote. I will explain to the and your efforts in behalf of our coun­ utes as in morning business. Chair, while we are delaying just a lit­ The PRESIDING OFFICER. Without try. objection, it is so ordered. tle bit, Senator DOMENIC!, who is a New I yield the floor. Mexican, as is Mr. RICHARDSON, is on The PRESIDING OFFICER. The his way to the floor and he wants to Senator from North Carolina. AMERICAN AIRLINES STRIKE say a few kind words about his fellow Mr. HELMS. Mr. President, I yield Mrs. HUTCHISON. Mr. President, I New Mexican. So, pending the arrival the remainder of my time. I suggest we am going to submit a resolution this of Senator DOMENIC!, I suggest the ab­ go to a vote. afternoon and ask it be considered. It sence of a quorum. The PRESIDING OFFICER. All time has not yet been cleared. I hope it will The PRESIDING OFFICER. Will having been yielded back, the question be cleared so we will be able to vote on time be equally divided? is, Will the Senate advise and consent this resolution on Thursday if we do Mr. HELMS. Yes. to the nomination of BILL RICHARDSON, not have a settlement of the American The PRESIDING OFFICER. Without of New Mexico, to be U.S. Ambassador Airlines strike. objection, it is so ordered. The clerk to the United Nations? The yeas and Mr. President, I am submitting this will call the roll. nays have been ordered. The clerk will resolution on behalf of myself, and The legislative clerk proceeded to call the roll. Senator GRAMM. Perhaps others will call the roll. The legislative clerk called the roll. want to come forward as well. Mr. DOMENIC!. Mr. President, I ask The PRESIDING OFFICER. Are But, Mr. President, we have a very unanimous consent that the order for there any other Senators in the Cham­ serious economic crisis pending Friday the quorum call be rescinded. ber desiring to vote? about midnight. If we do not have some The PRESIDING OFFICER. Without The result was announced-yeas 100, agreement by the two parties, Amer­ objection, it is so ordered. nays 0, as follows: ican Airlines and its pilots union, we Does the Senator from North Caro­ could hold up about one-fourth of the lina yield time to the Senator from [Rollcall Vote No. 9 Ex.] traveling public at the beginning of a New Mexico? YEAS-100 holiday weekend. We could cause 75,000 Mr. HELMS. Yes. Abraham Boxer Cleland other employees of American Airlines Akaka Breaux Coats Mr. DOMENIC!. Mr. President, I rise Allard Brownback Cochran all over our country to be laid off with­ just to say a few words in behalf of my Ashcroft Bryan Collins out pay. We are causing, if that hap­ good friend, the U.S. Representative Baucus Bumpers Conrad pens, other employees of rental car from the State of New Mexico, BILL Bennett Burns Coverdell companies-people who sell food to air­ Biden Byrd Craig RICHARDSON. I think I would have been Bingaman Campbell D'Amato ports and to airlines-all of these peo­ remiss if I did not come to the floor Bond Cha.fee Daschle ple who have livelihoods, who have 1868 CONGRESSIONAL RECORD-SENATE February 11, 1997 families, to possibly be totally de­ lives of so many people and the fami­ Mr. President, American Government prived of their ability-- lies of so many people in this country was transformed by the Great Depres­ Mr. CRAIG. Mr. President, the Sen­ and the economies of so many States in sion. In response to this crisis, our then ate is not in order. this country. The ripple effect is dev­ President Franklin Roosevelt in 1933 The PRESIDING OFFICER. The astating. We can do something about ushered in the age of social activist Senator from Texas. it. government, one of whose tenets was Mrs. HUTCIDSON. Mr. President, we I hope that the President will use the that in times of economic stress the are talking about the livelihoods of powers that he has for that very pur­ Government would actively intervene hundreds of thousands of Americans, pose. to restart the economy. Thus was born and we are talking about even inter­ Thank you, Mr. President, and I yield the age of peacetime deficit spending. national travel and commerce and the floor. Unfortunately, what has ensued in goods that are going into international Mr. MURKOWSKI addressed the the intervening 64 years is that the commerce. Chair. Federal Government has become in­ Mr. President, the effects of this The PRESIDING OFFICER. The capable of weaning itself from this ad­ strike are going to be so far reaching Senator from Alaska. diction to deficit spending. Whether in that it will have an economic impact Mr. MURKOWSKI. I thank the Chair. periods of strong growth or modest on this country that will be quite se­ growth, the Federal Government runs vere. deficits. In fact, in only 8 years since The pilots union is meeting with the BALANCED BUDGET AMENDMENT the Depression has the Federal Govern­ company as we speak. The deadline be­ TO THE CONSTITUTION ment operated with a surplus. fore a strike is midnight this Friday. The Senate continued with the con­ But even that fact is somewhat mis­ We have the opportunity with the reso­ sideration of the joint resolution. leading for I would note that the Fed­ lution that I am introducing to have a Mr. MURKOWSKI. Mr. President, I eral surplus in those 8 years was a sense of the Senate that the President counted it up the other day. This is my mere $33 billion. Compare that with 56 would use all of his persuasive powers 17th year of having the honor to rep­ years of deficits cumulating in a na­ to get these parties to sit down, and resent my State of Alaska in this body. tional debt of more than $5.2 trillion. that the President would be able to use During that period I participated in Let me refer to the chart here on my his powers to appoint an emergency seven separate debates on this floor on left. I hope that the President can view board which would automatically keep this very singular issue, and that is the this. It covers the next 4 years of the the contract in place for 30 days and amendment of our Constitution to re­ current administration with outlays in then provide for another 30-day cool­ quire that the budget be balanced. 1997 of $1.6 trillion to the year 2000 at ing-off period. This will give 60 days to A number of years ago, several of us $1.84 trillion. unloaded a big van on the steps of the The significance of what is occurring these people to be able to work out here is we are having to pay interest on their differences. U.S. Senate. In that van were mail­ bags. And in those mailbags were let­ this accumulated debt. The interest is I think that the pilots union and the running $247 billion in 1997, $250 billion airline company, American Airlines, ters from our constituents in over­ whelming support of an amendment to in 1998, $252 billion in 1999, and $248 bil­ are certainly big enough people to be lion in the year 2000. able to work out their differences and the Constitution that would mandate a I used to be in the banking business not cause the disruption of so many balanced budget. and I can tell you that interest is like lives in our country and the economies Mr. President, in 1982 the Senate owning a horse that eats while you are of so many States in our country. adopted the amendment but it failed in asleep. It goes on and on, night and day So I am asking that the Senate vote the House. Since then, the amendment and holidays. No day is exempt from on this on Thursday, if nothing has has failed in every year that we have the accumulation of interest. happened in between. I hope the Presi­ engaged in this debate. In the inter­ Here is our deficit, Mr. President: dent will use all of his persuasive pow­ vening decade and a half annual Fed­ $125 billion, $120 billion, $117 billion, $87 ers between now and Thursday to make eral spending has increased nearly $1 billion. One can say that is good news. sure that everything is being done to trillion and our national debt has quad­ The deficit is declining. Let us look a settle this strike. But if nothing has rupled. little further. happened by Thursday, we want the Mr. President, through this debate, But I would note that if we did not President to use the powers that Con­ my colleagues on both sides of the aisle have to pay interest on this accumu­ gress has given him to call an emer­ have amply demonstrated the billions lated debt, if we hadn't accumulated gency board together to give a 60-day and trillions that we have been spend­ all of these deficits, we would not have cooling-off period so that the negotia­ ing, and the meteoric rise of our na­ to pay nearly a trillion dollars in inter­ tions can continue. tional debt. I do not intend to repeat est in the next 4 years and instead of This is something that Congress and those numbers. As the 10-foot stack of running deficits for the next 4 years, the President have worked out in the budgets standing before me on the floor we would have a surplus. We would past. This is the process, Mr. President. clearly show, for the past 28 years the have a surplus of $122 billion this year, Let us step up to the line, and we hope­ Federal Government has been living on $130 billion in 1998, $135 billion in 1999, fully will be able to work with the debt. I find that rather ironic, Mr. and $161 billion in the year 2000. President to make sure that he has all President, in view of the fact that you My point is that at the end of this of the tools necessary to do what is and I and our constituents back home timeframe of 1997, through the year necessary to save this country from a have to balance, if you will, our check­ 2000, our outlays will have been a little real economic hit that could come books. But the Government goes over $7 trillion, our interest will have within the next 3 or 4 days. through a process of lengthy debate been just under $1 trillion-$997 billion. We can do something about it. The and budgetary process of seeing what Our deficit that we are adding would be President can do something about it. its revenues are, seeing what its ex­ $450 billion. And we are going to ask him to do that penditures are, and then whatever else So, if you look at where we are in this resolution. it seems to need it is simply added to today, at the end of this year our na­ As I said, I am going to submit this the national debt. tional debt is at $5.4 trillion. By the later. I am going to ask for unanimous Mr. President, I want to talk about end of the year 2000, the national debt consent to be able to vote on this on the awesome responsibility that we will be $6.3 trillion. Thursday. I hope it is a moot point by have as stewards of this Nation to face So the increase in the national debt that time. It is very important that up to the enormity of the challenge in the Clinton administration for the President address right away this that we are facing in changing the way roughly 8 years is projected to be $2.2 impending crisis that can affect the we govern and have been governing. trillion. February 11, 1997 CONGRESSIONAL RECORD-SENATE 1869 The significance of these figures is a leave behind will be an enormous debt I thank the Chair for its attention. bit startling, but the reality is if we that we have passed on to the citizens I yield the floor. were not strangled by $1 trillion in in­ of the 21st century. When this new cen­ The PRESIDING OFFICER [Mr. AL­ terest on the national debt in the next tury opens in just 3 years, we will have LARD]. Who seeks recognition? 4 years, we could run a surplus and we accumulated a debt of more than $6 The Senator from Idaho. could give every American family a trillion, the carrying costs, as I have Mr. CRAIG. Mr. President, we are $2,500-per-child tax credit, not the $500 indicated, of which will be a quarter under no specific time restraints per that is in the Republican proposal but trillion dollars annually. side, are we, at this moment? Who is going to pay off that debt? The PRESIDING OFFICER. The $2,500. Or we could give every American Senator is correct. family a $1,500-per-child tax credit and Well, consider, Mr. President, that the Mr. CRAIG. I thank the Chair. I every American citizen a 10 percent largest surplus this Government has thank my colleague, the Senator from across-the-board tax cut. Or give every ever run was a mere $11 billion in 1948. Alaska, for making a very clear state­ American a 20 percent across-the-board In inflation adjusted dollars, that is ment of what happens when a country tax cut. equivalent to a surplus today of ap­ creates the kind of debt which our That is the significance of the neces­ proximately $84 billion. country has over the last 30 years and sity of this legislation which will take If, starting in the year 2000, we could the kind of priorities we have to shift away deficit financing and allow us to replicate our 1948 experience and have to in funding simply to service debt. develop a surplus, do away with the in­ an annual surplus of $84 billion, the na­ The Senator from Alaska talked terest and get a hold of this continuing tional debt of the United States would about the impact of interest on debt. national debt which does not go away not be eliminated until the year 2073. Standing here or sitting here or until we reduce the deficit. That gives you some idea of the legacy stacked here beside me are 28 budgets, Some say, well, why do we need a we are passing on. 28 consecutive budgets of the last 28 constitutional amendment to do it? My In other words, under the most opti­ fiscal years of our Government that answer is rather simplistic, Mr. Presi­ mistic circumstances, the citizens who have been out of balance. In other dent. We have not had the self-dis­ are alive for the first 75 years of the words, that have had deficits that got cipline to do it ourselves. We could do next century will be shackled with pay­ spun into debt that have created the it ourselves, but it has not been done. ing the debts their parents and grand­ $5.3 trillion debt we have today. I say to my colleagues who have any parents and great-grandparents accu­ As a result of that, in the last fiscal doubt about the wisdom of this amend­ mulated. And we all know it is un­ cycle and the one we are currently in ment: The evidence is overwhelming likely we will sustain such large sur­ and the one we are currently exam­ that without the discipline of a con­ pluses throughout the next century. ining, this Senate and the Congress at stitutional amendment, elected offi­ More likely, it will take 100 years or large is going to have to consider out­ cials are incapable of fiscal manage­ more to pay off this debt, only if we lays of upwards of $250 billion to $260 ment of the people's business, and it start now. billion to pay the interest on this stack has taken the last 64 years to dem­ Can there be anyone in this Chamber of books or, more clearly spoken, on onstrate this fact. who believes that the citizens in Amer­ the debt that was generated by the Some say we can balance the budget ica who will be alive in the year 2097 budgets that are housed in this stack without this amendment. I say, OK, ought to be saddled with paying the in­ of budgets. prove it. There is nothing within our terest on the debt that we are accumu­ Of these 28 budgets, 14 of them were post-Depression experience to suggest lating today-money, I might add, that intended to be deficit budgets, with no that this is even remotely possible. is not being used to finance long-term excuse or no apology on the part of the Eight years out of 64 years with sur­ investments or jobs or inventory in Congress that passed them. But there pluses totaling $33 billion is hardly evi­ this country but money that is being were the other 14 you would find in the dence that convinces me. Quite the used to pay interest on the national language of the book that would sug­ contrary. It proves to me that we must debt. gest the intent was to balance in the have this amendment if we are ever That is right; that is what we are future, or it was designed as a sequence going to end deficit spending as busi­ doing. of budgets to balance. ness as usual in Washington, DC. In my view, this amendment is an Interestingly enough, that is the Mr. President, the first 10 amend­ economic bill of rights for future gen­ very debate this Congress and our ments to our Constitution, collectively erations of this country. It is equally President are involved in at this mo­ known as the Bill of Rights, are the as important as the Bill of Rights we ment. In fact, the President was here seminal protections afforded citizens in now take for granted as the foundation today in the President's Room just be­ a free society. They were adopted for this great Nation. hind the Chamber discussing his budget against the backdrop of the 17th and It finally will force Government to proposal and the leaders of our Senate 18th century tyranny that the kings ar­ learn that it cannot borrow indefi­ were there along with the leaders of bitrarily exercised over their subjects. nitely. It rearranges the rules of Gov­ the House comparing notes and decid­ The Founders knew that these ernment as never before in our history, ing where they might work together to rights-the freedom of speech, religion, for it requires us to face up to the fact bridge the gap of the kind of impasse and assembly-would not be guaran­ that we can only spend as much as we we have had and get to a balanced teed simply by congressional statute, take in in revenues, as we dictate to budget. But it is not a balanced budget. for what one Congress grants, another our private citizens. And it stands for It is one budget of a series of budgets can easily take away. That is why the proposition that building debt on that promises to bring balance by a these fundamental rights are enshrined top of debt is morally and fiscally irre­ given time, in this case by the year within our Constitution. That is why sponsible to Americans who have not 2002, as did 14 of these budgets. the concept of a balanced budget must even been born yet. That is what we Mr. President, 28 years later, 14 budg­ also be added to the Constitution, for are doing. ets in deficit and 14 intended to be bal­ the evidence shows without any doubt The legacy of the 105th Congress anced, we now are faced with the cir­ that in this modern era of government, must be that we, at the end of this cen­ cumstance the Senator from Alaska the President and Congress are simply tury, have recognized the responsi­ has spoken about, a $5.3 trillion debt, incapable of balancing the budget ex­ bility we have to future generations, $250 to $260 billion of interest paid on cept perhaps in rare and unique cir­ that we will no longer buy now and put debt depending on the rate of interest cumstances. off paying indefinitely. The time is and the amount our notes are nego­ When future historians review the now to finally stand up and change the tiated under, under the 3-year cycle history of 20th century American Gov­ way we have been governing for the under which our notes get renegoti­ ernment, I fear that the legacy we will past 60 years. ated, and here is the rest of the story. 1870 CONGRESSIONAL RECORD-SENATE February 11, 1997 The President, and I do not question illicit activities that flow across our Now, nearing the largest single item his sincerity, presents a budget for fis­ borders that somehow damage our citi­ in the Federal budget is interest on cal year 1998, of the U.S. Government, zenry. Yet, if you looked at our budget debt. So when our colleagues stand on that will have about 250 billion dollars' today, you would say that Congress is the floor and say, as the President said worth of net interest costs, which is more preoccupied with paying interest the other night, "Oh, gee whiz, you about 14.8 percent of the entire Federal on debt than they are with protecting guys have the votes and I have the sig­ budget. Here is what happens in a Gov­ our citizens against drugs, if you were nature. You pass a balanced budget and ernment like ours when we have to to look at the actual expenditure of I will sign it," what this President commit such a phenomenal amount of money. Why? Because 30 years worth of knows and what he clearly has dem­ our resource to interest on debt. Let fiscal irresponsibilities have forced us onstrated in the budget that he has me give these comparatives. This is to pay more attention to servicing our sent to the Hill, is that it is not in bal­ work that has been done by our policy debt than the flow of drugs across our ance. It is about $120 to $130 to $140 to committee as an examination of re­ borders and the kind of impact they $150 billion out of balance for the next ality because, when we talk about 250 have on our citizens and our children. 5 years. Then, if he really honors the billion dollars' worth of interest on We pay six times as much on interest tax cuts-which he does not, because debt, to serve debt, that means that as on benefits and services for vet­ he agrees in his budget that he takes creditors, people who buy our bonds, erans. A very large veterans group is them back to fund the deficit to create are owed money. A fair amount of that now visiting our community, this Na­ the balance in the outyears, because he flows to foreign countries and foreign tion's Capitol. I was just visited by a needs more money-what he is really interest, but a fair amount of it flows nice contingent of Veterans of Foreign saying is that his budget is not in bal­ to our own citizens and to their stocks Wars. This evening, there is a large ance. Why? Partly because of interest and to their trust accounts. gathering of hundreds of Veterans of on debt. But 250 billion dollars' worth of net Foreign Wars in this city, men and Where does the National Government interest in the President's 1998 fiscal women who put their lives on the line get $250 billion to pay its interest budget is something like this. It is 21 to protect our freedom. Many of them costs? By adding together all corporate times as much on interest as we are are concerned about the future of the income taxes, that is only $190 billion. spending on agricultural programs. In Veterans Administration and the vet­ Believe it or not, if we choose to double other words, our priority in budgeting erans health care delivery system, and corporate income tax in this country today is to spend 21 times more on in­ will we honor our commitment to them we would just get enough and a little terest than we do on agriculture. So and to the World War II veterans who more to pay interest on debt. And all our priority is not agriculture, it is are now reaching a peak in their need Federal excise taxes-that is $61 bil­ paying our debt. Better spoken, I for health care services? Yet, today, lion. I think the point I am making, should say paying our creditors who this Government, by the nature of its and the point the Senator from Alaska have loaned us their money to service fiscal irresponsibility of the last 28 made, is we do not believe the Congress the debt. years, is going to pay six times more truly has the will. We do not believe What about international affairs? We on interest as on the benefits and serv­ any President, Republican or Demo­ are the last great superpower of the ices to veterans. Is it our priority? It crat, can find the total will to work cold war period. We play an important has to be our priority if we are to for, make the tough choices, and get to role in the decisions of the world and maintain our fiscal solvency as a na­ a balanced budget in the kind of time­ our presence oftentimes causes other tion. We must progressively ignore the frame and with the kind of reasonable­ nations to think differently about how true interests and priorities of our ness that the American people have de­ they would conduct their business, country in light of paying our credi­ manded of us. That is why I and others both internally and externally. Yet, tors. so strongly believe we need the kind of today, 17 times as much on interest is Four times as much on interest as on constitutional framework to operate paid as on international affairs. So, for education, training, and employment within, that creates the kind of polit­ those of our constituents who say you programs; yet our President, in his ical discipline and fiscal discipline to are spending too much on foreign aid, I State of the Union, just this past week produce a balanced budget. would say we are spending 17 times prioritized for our Nation and for the Who do we owe it to? We owe it to a more on debt, interest on debt. Again, decade ahead the issue of our involve­ lot of people. But most important, we clearly spelling out the priorities that ment in education at all levels. None of owe it to future generations, because it we have forced ourselves into as a us disputes that priority. All of us rec­ is our children and our grandchildren great nation, simply because we could ognize that our public schools are in who will pay off the debt. More impor­ not control our spending appetite. need and, in many instances, they are tant, if we continue to create debt We pay 11 times as much on interest failing. Yet, today, as we wrestle with without servicing debt, without bring­ as on natural resources and the envi­ the 1998 budget, what will be the first ing debt down in the future, more and ronment. This President, this adminis­ priority? Funding interest on debt cre­ more of the resources of our young, tration, likes to call itself the environ­ ated by irresponsible Congresses of the when they grow to maturity, will have mental administration. And there is past that generated 5.3 trillion dollars' to go to pay the creditor instead of not a Senator on this floor who does worth of debt. So where in all of these fund the kind of Government they not want to make sure that Govern­ priorities will education fall? It is not want, or to fund the kind of services ment policy in cooperation with the going to be first. It cannot be first. they want from Government; but, more private sector promotes a positive, What is first? Paying interest on debt. important, to keep some of their own cleaner environment. And yet, today, It has to be taken right off the top. It money so they can have their own lives when it comes to priorities of dollars has to be taken right off the top of and their own families, and have their and cents, we pay 11 times more to Government expenditures, just the way part of the American dream as our gen­ service the debt created by these 28 interest on serving the debt in the pri­ eration has had it. budgets as we do on interest rates. vate sector is taken right off the top of There need not be any pointed finger Where are our priorities? They are to all the money coming in. Because if or accusation as to whose fault these pay our creditors so we can continue to you do not take it off the top, and you budgets have been, because, while most have debt. do not pay your debts or your interest of them in the 28-year period could be, We spend 10 times as much on inter­ on debts, if you do not service your arguably, Democratic budgets, a fair est as on the administration of justice. debt you do not borrow any money. number of them were Republican budg­ That is the Justice Department, that is You are busted. You are bankrupt. And ets. the FBI, that is our engagement in the that, of course, is exactly what has A fair number of them were created war on drugs, that is trying to curtail happened to this country. under Republican Presidents. All of February 11, 1997 CONGRESSIONAL RECORD-SENATE 1871 them were out of balance, and all of Mr. DODD addressed the Chair. If you wait until we are actually en­ them had deficits, and all of them cre­ The PRESIDING OFFICER. The gaged in that conflict, it seems to me ated the $5.3 trillion debt that this Senator from Connecticut. you are running the risk of leaving this country experiences today. Mr. DODD. Mr. President, at some country very, very vulnerable, particu­ So I really think we ought to quit point, I believe a unanimous-consent larly with weapons of mass destruction chasing our tail. The arguments that request will be entered into, and we that have the capability of causing we have heard for the last decade are will set out the agenda for tomorrow's great harm to our Nation. the same arguments, and the President business, including an allocation of This amendment attempts to address makes the argument today that is cer­ time for morning business, as well as that issue. If there is an imminent tainly not original that a few Presi­ an allocation of time for an amend­ threat to our national security-and dents before him have made but all ment, which I will shortly propose, to then allowing for the different provi­ who oppose a balanced budget amend­ be considered. sion here-we would have a resolution ment to our Constitution make. And I gather the respective leaders are adopted by both Houses where a major­ that is that you cannot tie the hands of working on that. In anticipation, Mr. ity of those present and voting would Government, that this would be much President, I have been asked, in order be necessary in case of some emer­ too rigid, that it would cause conflict to move the process along and make gency circumstance-I see, for exam­ within the economy, that it might sure we have some business to conduct ple, my good friend and colleague from cause us to not have the priorities in tomorrow, to submit an amendment. I Idaho who has some distance to travel Government that we want. will briefly describe the amendment to get to Washington-where some­ What they are really all saying is this afternoon and then yield the floor. thing may happen and Members are not that nobody is willing to make the Based on the allocation of time the able to get back here as quickly as tough choices, and 28 years of budgets leaders are able to agree upon, we will they may need to. clearly demonstrate that. That is why engage more fully in the debate tomor­ We would not be able to meet that row. constitutional requirement if the un­ I think it is important that we reflect derlying balanced budget amendment on the words of Thomas Jefferson who AMENDMENT NO. 4 (Purpose: To simplify the conditions is adopted, because you would need 51 said that if there is 1 more amendment Senators. The amendment that I offer to the 10, the 11th amendment he would for a declaration of an imminent and serious threat to national security) addresses both points; that is, enables have added was to disallow the ability a response prior to actually being en­ of Government to borrow, because he Mr. DODD. Mr. President, I send an amendment to the desk. gaged in military conflict and allows was fearful of a representative republic The PRESIDING OFFICER. The for a joint resolution to be adopted being able to vote itself money, and we clerk will report the amendment. with less than the whole number of have done that year in and year out. The assistant legislative clerk read each House. As a result of that, we are now here as follows: Again, I will wait until tomorrow, wrestling, as all Presidents and Con­ The Senator from Connecticut [Mr. DODD] Mr. President, to discuss this further. gresses do, with what do we do with the proposes an amendment numbered 4. This is an amendment, I remind my debt, what do we do with the deficit, On page 3, line 7, strike beginning with colleagues, which has been raised in and where do we find the money to "is" through line 11 and insert "faces an im­ very similar form on previous occa­ spend on some of these critical pro­ minent and serious military threat to na­ sions. Regardless of whether one is for grams. tional security as declared by a joint resolu­ the balanced budget amendment or The Senator from Alaska is right. tion.". not, it seems to me we do not want to When a nation overspends itself, when Mr. DODD. Mr. President, that is the place ourselves in the position, obvi­ a Congress no longer prioritizes as to sum and substance of the amendment. ously, of restricting our ability, par­ where the limited resources of the tax Very briefly, the proposed language ticularly where our national security is dollars go, but takes $250 billion right on the balanced budget constitutional in imminent danger and our Nation is off the top and says that has to go to amendment, section 5, reads as follows: in jeopardy and not able to respond. interest on debt, Mr. President, it is The Congress may waive the provisions of I cannot think of a single Member time we change, and that is why many this article for any fiscal year in which a who would want to be put in a position, declaration of war is in effect. The provisions as important as balancing the budget of us have stood on this floor and ar­ of this article may be waived for any fiscal gued for years that this is the mecha­ year in which the United States is engaged is, where we would be willing to risk a nism to bring that change, this is the in military conflict which causes an immi­ threat to this country on that par­ mechanism to bring the kind of polit­ nent and serious military threat to national ticular altar. ical and fiscal discipline and responsi­ security and is so declared by a joint resolu­ So I hope Members, this evening and bility that this Congress must have, tion, adopted by a majority of the whole tomorrow, before we have time to de­ because there isn't a Senator on this number of each House, which becomes law. bate this amendment, will look at it floor who can just vote it without the My concerns with this provision, Mr. carefully and consider it in hopes that real discipline that a Constitution President, are addressed, I believe, by I might garner their support when we brings. the amendment that we will consider vote on this tomorrow afternoon. So this is why I hope that, in the en­ tomorrow. Very briefly, if one reads Again, this will depend on when the suing days, all of our colleagues join this section very carefully, word for leaders are able to agree on a time for together to support the balanced budg­ word, and I emphasize in my reading of debate and a vote. et amendment to our Constitution and this section the language that is of par­ With that, Mr. President, I yield the ticular concern to me, and that is "is floor and suggest the absence of a to give the citizens of this country the quorum. right, under the Constitution, to de­ engaged in military conflict"-now the The PRESIDING OFFICER. The bate the issue in the capitals of their earlier language, "a declaration of clerk will call the roll. States to determine whether they want war," troubles me as well-it seems to The assistant legislative clerk pro­ to change the organic law of this coun­ mean we would have to be in the midst ceeded to call the roll. try to discipline this Government to of a conflict before we can waive the Mr. CRAIG. Mr. President, I ask cause this Government to react in a provisions of the amendment. There unanimous consent that the order for way that they perceive, as I, to be a have been numerous examples through­ the quorum call be rescinded. much healthier action on behalf of the out our history in which we were very The PRESIDING OFFICER. Without economy, the citizens and future gen­ much aware that an imminent danger objection, it is so ordered. erations. was on the horizon and we, in prepara­ UNANIMOUS-CONSENT AGREEMENT-AMENDMENT Mr. President, I yield the floor. tion of that imminent danger, were NO. 4 The PRESIDING OFFICER. Who able to respond, utilizing deficit fi­ Mr. CRAIG. Mr. President, I ask seeks recognition? nancing to do it. unanimous consent the Senate resume 1872 CONGRESSIONAL RECORD-SENATE February 11, 1997 consideration of Senator Donn's who has given 50 years of his life to the ing the Senate to continue working amendment regarding national secu­ safety of the citizens of West Point. with our distinguished former col­ rity beginning at 1:30 on Wednesday Mr. Wright has been a member of the league from Louisiana, Senator Ben­ with the time between 1:30 and 5:30 fire department for the last 50 years. nett Johnston. Like Senator Johnston, equally divided in the usual form. I fur­ He began as a firefighter and worked Proctor will be greatly missed in the ther ask unanimous consent that at his way up through the ranks to chief, Senate. 5:30 the Senate proceed to a vote on or a position he held for 27 years. After a Proctor Jones has been an out­ in relation to the Dodd amendment long and distinguished career in the standing staff member who has served and, finally, no amendment be in order fire department, Mr. Wright did not let the Senate and the American people to the amendment. retirement prevent him from fighting well for almost four decades. With his The PRESIDING OFFICER. Is there fires. In fact, in his retirement, Mr. vast experience on appropriations objection? Wright continues to serve as a fire­ issues and his skill at weighing com­ Mr. DODD. No objection. fighter-who still makes the first truck plex priori ties, Proctor has earned the The PRESIDING OFFICER. There out of the station. In addition, to his respect of the entire Senate over the being no objection, it is so ordered. service as a firefighter, he was a volun­ years. He has also earned the deep ap­ teer EMT on the ambulance service for preciation of other staff members for several years. his signature style-unerring gracious­ ORDER OF PROCEDURE Because of his tireless efforts on be­ ness and pleasantness, even under in­ Mr. CRAIG. Mr. President, for the in­ half of the citizens of West Point, to­ tense pressure. Proctor represents the formation of all Senators, the leader­ day's volunteer fire department is what best of Senate civility, and he will be ship has decided there will be no fur­ it is today: dedicated to the safety of long remembered by all of us. ther votes this evening. I suggest the all its citizens; prepared to battle fires It has been my particular pleasure to absence of a quorum. and hazardous material spills; respond­ work closely with Proctor on a number The PRESIDING OFFICER. The ing to protect the community from of projects in Massachusetts which clerk will call the roll. floods and other natural disasters. have been conducted by the U.S. Army The assistant legislative clerk pro­ In addition to his work on behalf of Corps of Engineers, and which have sig­ ceeded to call the roll. the safety of the citizens of West Point, nificantly improved public safety, the Mr. CRAIG. Mr. President, I ask Mr. Wright has been a strong and ac­ environment, and the economy of our unanimous consent that the order for tive supporter of the Crusade for Chil­ State. I am grateful for Proctor's lead­ the quorum call be rescinded. dren. The citizens of West Point have ership on these issues and many others. The PRESIDING OFFICER. Without been well served by Ralph Wright. He is He represents the best in public serv­ objection, it is so ordered. an outstanding citizen and a shining ice, and I wish him well in the years example to all. I know that the com­ ahead. munity of West Point holds Ralph MORNING BUSINESS Wright in the highest of esteem. This is MESSAGES FROM THE PRESIDENT (During today's session of the Sen­ an honor that is long overdue and I am ate, the following morning business delighted to share this event with my Messages from the President of the was transacted.) colleagues. I extend my heartfelt con­ United States were communicated to gratulations to Ralph Wright and to the Senate by Mr. Williams, one of his his family on this special occasion. secretaries. THE VERY BAD DEBT BOXSCORE EXECUTIVE MESSAGES REFERRED Mr. HELMS. Mr. President, at the HONORING THE WILLIAMS ON As in executive session the Presiding close of business yesterday, Monday, THEffi 50TH WEDDING ANNIVER­ Officer laid before the Senate messages February 10, the Federal debt stood at SARY from the President of the United $5,302,292,166,231. 47. States submitting sundry nominations Mr. ASHCROFT. Mr. President, fami­ which were referred to the appropriate Five years ago, February 10, 1992, the lies are the cornerstone of America. Federal debt stood at $3,794,592,000,000. committees. The data are undeniable: Individuals (The nominations received today are Ten years ago, February 10, 1987, the from strong families contribute to the Federal debt stood at $2,225,440,000,000. printed at the end of the Senate pro­ society. In an era when nearly half of ceedings.) Fifteen years ago, February 10, 1982, all couples married today will see their the Federal debt stood at union dissolve into divorce, I believe it $1,033,575,000,000. is both instructive and important to REPORT CONCERNING THE INTER­ Twenty-five years ago, February 10, honor those who have taken the com­ NATIONAL WHALING COMMIS­ 1972, the Federal debt stood at mitment of "till death us do part" seri­ SION-MESSAGE FROM THE $424,269,000,000 which reflects a debt in­ ously, demonstrating successfully the PRESIDENT-PM 13 crease of more than $4 trillion timeless principles of love, honor, and The Presiding Officer laid before the ($4,878,023,166,231.47) during the past 25 fidelity. These characteristics make years. Senate the following message from the our country strong. President of the United States, to­ For these important reasons, I rise gether with an accompanying report; today to honor Wade and Flo Williams which was referred to the Committee HONORING RALPH W. WRIGHT OF of Springfield, MO who on February 10, WEST POINT, KY, FOR 50 YEARS on Commerce, Science, and Transpor­ 1997, will celebrate their 50th wedding tation. OF SERVICE TO FffiEFIGHTING anniversary. My wife, Janet, and I look Mr. FORD. Mr. President, on Satur- forward to the day we can celebrate a To the Congress of the United States: day, February 8, 1997, the community similar milestone. Wade and Flo's com­ On December 12, 1996, Secretary of of West Point, KY held its annual Vol­ mitment to the principles and values of Commerce Michael Kantor certified unteer Fire Department and EMS Ap­ their marriage deserves to be saluted under section 8 of the Fishermen's Pro­ preciation Banquet. Each year, this and recognized. tective Act of 1967, as amended (the banquet honors and celebrates those in "Pelly Amendment") (22 U.S.C. 1978), the community who have been instru­ that Canada has conducted whaling ac­ mental in supporting the mission of TRIBUTE TO PROCTOR JONES tivities that diminish the effectiveness the volunteer fire department and EMS Mr. KENNEDY. Mr. President, I join of a conservation program of the Inter­ services. This year, the community my colleagues in paying well-deserved national Whaling Commission (IWC). honored one man, Ralph W. Wright, tribute to Proctor Jones, who is leav- The certification was based on the February 11, 1997 CONGRESSIONAL RECORD-SENATE 1873 issuance of whaling licenses by the trade in marine mammal products Ms. Goetz, one of its reading clerks, an­ Government of Canada in 1996 and the within the Arctic Council. These ac­ nounced that pursuant to section 8002 subsequent killing of two bowhead tions grow from our concern about of the Internal Revenue Code of 1986, whales under those licenses. This mes­ Canada's efforts to move whaling the Committee on Ways and Means des­ sage constitutes my report to the Con­ issues to fora other than the IWC and, ignated the following Members to serve gress pursuant to subsection (b) of the more generally, about the taking of on the Joint Committee on Taxation Pelly Amendment. marine mammals in ways that are in­ for the 105th Congress: Mr. ARCHER, Mr. In 1991, Canadian natives took a consistent with sound conservation CRANE, Mr. THOMAS, Mr. RANGEL, and bowhead whale from the western Arctic practices. Mr. STARK. stock, under a Canadian permit. In Second, I have instructed the Depart­ That pursuant to section 161 of the 1994, Canadian natives took another ment of Commerce, in implementing Trade Act of 1974, the Committee on bowhead whale from one of the eastern the Marine Mammal Protection Act, to Ways and Means recommended the fol­ Arctic stocks, without a permit. withhold consideration of any Cana­ lowing Members to serve as official ad­ In 1996, under Canadian permits, one dian requests for waivers to the exist­ visors for international conference bowhead whale was taken in the west­ ing moratorium on the importation of meetings and negotiating session on ern Canadian Arctic on July 24 and one seals and/or seal products into the trade agreements: Mr. ARCHER, Mr. bowhead whale was taken in the east­ United States. CRANE, Mr. THOMAS, Mr. RANGEL, and Finally, the United States will con­ ern Canadian Arctic on August 17. The Mr. MATSUI. whale in the eastern Arctic was taken tinue to urge Canada to reconsider its from a highly endangered stock. The unilateral decision to authorize whal­ IWC has expressed particular concern ing on endangered stocks and to au­ EXECUTIVE AND OTHER thorize whaling outside the IWC. COMMUNICATIONS about whaling on this stock, which is I believe the foregoing measures are not known to be recovering. more appropriate in addressing the The following communications were None of the Canadian whale hunts de­ problem of Canadian whaling than the laid before the Senate, together with scribed above was authorized by the imposition of import prohibitions at accompanying papers, reports, and doc­ IWC. Canada withdrew from the IWC in this time. uments, which were referred as indi­ 1982. In those instances where Canada I have asked the Departments of cated: issued whaling licenses, it did so with­ Commerce and State to keep this situ­ EC-1045. A communication from the Direc­ out consulting the IWC. In fact, Can­ ation under close review. tor of the Defense Procurement, Under Sec­ ada's 1996 actions were directly con­ WILLIAM J. CLINTON. retary of Defense, transmitting, pursuant to trary to IWC advice. At the 1996 Annual law, a rule entitled "Defense Acquisition THE WHITE HOUSE, February 10, 1997. Regulation Supplement" received on Feb­ Meeting, the IWC passed a resolution ruary 10, 1997; to the Committee on Armed encouraging Canada to refrain from Services. issuing whaling licenses and to rejoin REPORT OF PROPOSED RESCIS­ EC-1046. A communication from the Fed­ the IWC. However, Canada has recently SIONS OF BUDGETARY RE­ eral Register Liaison Officer, Office of Thrift advised the United States that it has SOURCES-MESSAGE FROM THE Supervision, transmitting, pursuant to law, no plans to rejoin the IWC and that it PRESIDENT-PM 14 the report of a rule entitled "Expanded Ex­ intends to continue granting licenses The Presiding Officer laid before the amination Cycle for Certain Small Insured for the taking of endangered bowhead Institutions," (RIN15ro-AB02) received on Senate the following message from the February 7, 1997; to the Committee on Bank­ whales. President of the United States, to­ ing, Housing, and Urban Affairs. Canada's unilateral decision to au­ gether with an accompanying report; EC-1047. A communication from the Sec­ thorize whaling outside of the IWC is referred jointly, pursuant to the order retary of the U.S. Securities and Exchange unacceptable. Canada's conduct jeop­ of January 30, 1975, to the Committee Commission, transmitting, pursuant to law, ardizes the international effort that on the Budget, to the Committee on the report of a rule relative to disclosure re­ has allowed whale stocks to begin to Appropriations, to the Committee on quirements, (RIN3235-AF91) received on Feb­ recover from the devastating effects of Agriculture, Nutrition, and Forestry, ruary 7, 1997; to the Committee on Banking, Housing, and Urban Affairs. historic whaling. to the Committee on Armed Services, EC-1048. A communication from the Sec­ I understand the importance of main­ to the Committee on Energy and Nat­ retary of the U.S. Securities and Exchange taining traditional native cultures, and ural Resources, to the Committee on Commission, transmitting, pursuant to law, I support aboriginal whaling that is Banking, Housing, and Urban Affairs, the report of a rule relative to net capital, managed through the IWC. The Cana­ to the Committee on the Judiciary, to (RIN3235-AG15) received on February 7, 1997; dian hunt, however, is problematic for the Committee on Governmental Af­ to the Committee on Banking, Housing, and two reasons. fairs, and to the Committee on Fi­ Urban Affairs. First, the whaling took place outside nance. EC-1049. A communication from the Ad­ the ICW. International law, as reflected ministrator of the Food and Consumer Serv­ To the Congress of the United States: ice, Department of Agriculture, transmit­ in the 1982 United Nations Convention In accordance with the Congressional ting, pursuant to law, a rule entitled "Child on the Law of the Sea, obligates coun­ Budget and Impoundment Control Act and Adult Care Food Program," (RIN0584- tries to work through the appropriate of 1974, I herewith report nine proposed AC42) received on February 7, 1997; to the international organization for the con­ rescissions of budgetary resources, to­ Committee on Agriculture, Nutrition, and servation and management of whales. taling $397 million, and one revised de­ Forestry. Second, whaling in the eastern Cana­ ferral, totaling $7 million. EC-1050. A communication from the Sec­ dian Arctic poses a particular con­ retary of Transportation, transmitting, pur­ The proposed rescissions affect the suant to law, the report on Performance servation risk, and the decision to take Departments of Agriculture, Defense­ Goals for fiscal year 1996; to the Commerce, this risk should not have been made Military, Energy, Housing and Urban Science, and Transportation. unilaterally. Development, and Justice, and the EC-1051. A message from the President of I believe that Canadian whaling on General Services Administration. The the United States, transmitting, pursuant to endangered whales warrants action at deferral affects the Social Security Ad­ law, the report relative to radio frequency this time. ministration. spectrum; to the Committee on Commerce, Accordingly, I have instructed the WILLIAM J. CLINTON. Science, and Transportation. Department of State to oppose Cana­ THE WHITE HOUSE, February 10, 1997. EC-1052. A communication from the Acting Deputy Assistant Administrator, National dian efforts to address takings of ma­ Ocean Service, National Oceanic and Atmos­ rine mammals within the newly formed pheric Administration, Department of Com­ Arctic Council. I have further in­ MESSAGES FROM THE HOUSE merce, transmitting, pursuant to law, the re­ structed the Department of State to At 2:17 p.m., a message from the port of a rule relative to the Florida Keys oppose Canadian efforts to address Ho·use of Representatives, delivered by National Marine Sanctuary, (RIN0648-AD85) 1874 CONGRESSIONAL RECORD-SENATE February 11, 1997 received on February 10, 1997; to the Com­ Amount Date Do nee Amount Date Do nee mittee on Commerce, Science, and Transpor­ tation. 1,000 ...... 4-1-94 Leslie Byrne for Congress 500 10-28-94 Mike Ward 5,000 ...... ~20-94 DCCC 500 10-28-94 Jeff Whorley EC-1053. A communication from the Chair­ 1,000 ...... 10-14-96 Art Trujillo for Senate 500 10-28-94 Lynn Woolsey man of the Surface Transportation Board, 1,000 ...... 10-7-96 Dick Durbin Committee 250 10-27- 94 Maggie Lauterer transmitting, pursuant to law, the report of 100 ...... 8-1-96 Coopersmith for Congress 250 10-26-94 John Galdacci In addition, my Leadership PAC, the Chief Deputy 250 10-26-94 Ken Bentsen a rule relative to Ex Parte No. 555, received Whip's Fund, made the following contributions 250 10-26-94 Mike Doyle on February 7, 1997; to the Committee on with my concurrence: 250 10-26-94 Richard Moore Commerce, Science, and Transportation. 1,000 ...... 12-~96 Ken Bentsen 250 10-26-94 Dave Nagle 500 11-4-96 Tom Allen 500 10-~94 Sam Coppersmith 500 ...... 11-4-96 Rod Blagojevich 500 10-~94 Alan Wheat 500 ...... 11-4-96 Leonard Boswell 500 10-21-94 Lynn Rivers EXECUTIVE REPORTS OF 500 ...... 11-4-96 Walter Capps 500 10-20-94 James Bilbray 500 ...... 11-4-96 Jim Davis 500 10-20-94 Bill Hefner COMMITTEES 500 ...... 11-4-96 Judy Hancock 500 10-12-94 George Brown 500 ...... 11-4-96 Carolyn McCarthy 500 10-12-94 Elaine Peterson The following executive report of 500 ...... 11-4-96 Loretta Sanchez 500 9--30-94 Martin Frost committee was submitted: 500 ...... 11-4-96 Vic Snyder 500 9--27- 94 Tom Foley 500 ...... 11-4-96 Dick Swett 500 9--27-94 Steny Hoyer By Mr. HELMS, from the Committee on 500 ...... 11-4-96 Jim Turner 500 9--27- 94 MarkTokano Foreign Relations: 500 ...... 11-4-96 Bill Yellowtail 500 9--26-94 Jimmy Hayes 500 ...... 10--31-96 Brian Baird 500 9--12-94 Neal Smith Bill Richardson, of New Mexico, to be the 500 ...... 10--31-96 Bob Coffin 500 8-4-94 John Bryant Representative of the United States of Amer­ 500 ...... 10--31-96 Bob Etheridge 500 8-4-94 Gary Condit ica to the United Nations with the rank and 500 ...... 10--31- 96 Lane Evans 500 8-4-94 Peter DeFazio 500 ...... 10--31-96 Elizabeth Furse 500 8-4-94 Norm Dicks status of Ambassador Extraordinary and 500 10--31-96 Sam Gejdenson 500 8-4-94 Chet Edwards Plenipotentiary, and the Representative of 500 10--31-96 Darlene Hooley 500 8-4-94 Harold Ford the United States of America in the Security 500 10--31- 96 Eddie Bernice Johnson 500 8-4-94 Bart Gordon 500 10--31-96 Tim Johnson 500 8-4-94 Bill Hefner Council of the United Nations. 500 10-31-96 Dale Kildee 500 8-4-94 Jim McDermott Nominee: William Blaine Richardson. 500 10--31- 96 Dennis Kucinich 500 8-4-94 Alan Mollohan Post: U.S. Representative to the United 500 10--31- 96 Bill Orton 500 8-4-94 Jim Moran 500 10--31-96 Steve Owens 500 8-4-94 Dave Obey Nations. 500 10--31-96 Bill Pascrell 500 8-4-94 Lewis Payne The following is a list of all members of 500 10--31-96 Steve Rothman 500 8-4-94 David Price my immediate family and their spouses. I 500 10--31-96 Adam Smith 500 8-4-94 Louis Stokes 500 10--31- 96 Debbie Stabenow 500 8-4-94 James Traficant have asked each of these persons to inform 500 10--31-96 Rick Weiland 500 8-4-94 Charles Wilson me of the pertinent contributions made by 500 10--31-96 Rick Zbur 500 8-4-94 Bob Wise them. To the best of my knowledge, the in­ 500 ...... 10-17-96 John Wertheim 500 8-3-94 Gerry Kleczka 1,000 ...... 10-14-96 Art Trujillo 500 7-28-94 Howard Berman formation contained in this report is com­ 1,000 ...... 10-7-96 Dick Durbin 500 7-28-94 David Bonior plete and accurate. 500 ...... 10-3-96 Julia Carson 500 7- 28-94 Cardiss Collins 1. Self.-While I have not made any per­ 500 ...... 10-3-96 Diana DeGette 500 7-28-94 Vic Fazio 500 ...... 10-3-96 Maurice Hinchey 500 7- 28-94 Dan Glickman sonal contributions, the following contribu­ 300 ...... 10-3-96 Joe Keefe 500 7- 28-94 William Lipinski tions were made with my concurrence from 500 10-3-96 Ted Little 500 7-28-94 Nita Lowey my principal campaign committee, New 500 10-3-96 Jim Maloney 500 7-28-94 Michael McNul ty 500 10-3-96 Peter Navarro 500 7- 28-94 Kweisi Mfume Mexicans for Bill Richardson: 500 10-3-96 David Price 500 7- 28-94 George Miller 500 10-3-96 Kevin Quigley 500 7-28-94 Norm Mineta Amount Date Do nee 500 10-3-96 Loretta Sanchez 500 7-28-94 Sonny Montgomery 500 10-3-96 Ted Strickland 500 7- 28-94 Don Payne $1,000 . ... . 1-29--92 Ron Coleman for Congress 500 10-3-96 Dan Williams 500 7-28-94 Pete Peterson 500 ...... 1-23-92 Committee to Re-elect 500 10-3-96 Bob Wilson 500 7-28-94 Charles Schumer Charlie Hayes 500 ~96 George Brown 500 7-28-94 Richard Swett 1,000 ...... 2--6-92 David R. Nagle for Con- 500 9--20-96 Ron Coleman 500 7- 28-94 Gene Taylor gress 500 8-3-96 John Byron 500 7-28-94 Walter Tucker 1,000 ...... 2-2~92 Russo for Congress 500 ...... 8-3-96 Bill Yellowtail 500 7- 28-94 Bruce Vento 1,000 ...... 1-31-92 Swett for Congress 2,000 ...... 8-1-96 Ed Pastor 500 7- 20-94 Lloyd Doggett 1,000 ...... 4-10-92 Jim Moody for Senate 1,000 ...... 7- 26-96 Barbara Rose Collins 500 7-20-94 Sheila Jackson Lee 500 ...... ~92 Oakar for Congress 500 ...... 7-9--96 Sanford Bishop 500 7-20-94 Zoe Lofgren 1,000 ...... ~7-92 Ben Reyes for Congress 500 ...... 6-18-96 Sylvester Reyes 500 7- 20-94 Charles Rangel 500 ...... ~92 Roybal Allard for Con- 1,000 ...... 6-13-96 Harold Ford Jr. 500 7-12-94 Chaka Fattah gress 500 ...... 6-13-96 Bill Luther 500 6-29--94 Eliot Engel 500 ...... 4-1-92 Sikorski for Congress 500 ...... 6-13-96 Earl Pomeroy 500 6-29--94 Martin Lancaster 1,000 ...... 4-10-92 Pat Williams Campaign 1,000 ...... 6-6-96 Bart Gordon 500 6-29--94 Sander Levin Committee 500 ...... ~~96 Shirley Baca 500 6-29--94 Tom Sawyer 1,000 ...... ~11-92 Woman's Campaign Fund 500 ...... ~~96 Don Payne 500 6-29--94 Louise Slaughter 250 ...... ~2~92 Barbara Boxer for Senate 500 ...... ~~96 Jack Reed 500 6-28-94 Gary Ackerman 1,000 ...... 6-28-92 Ben Campbell for Senate 500 ...... ~~96 John Wertheim 500 6-28-94 Sam Gejdenson 1,000 ...... ~2~92 Mel Levine for Senate 1,000 ...... 3-~96 Luis Gutierrez 500 6-28-94 Peter Hoagland 500 ...... 8-~92 Bonker for Senate 1,000 ...... 1- 23-96 Richard Durbin 500 6-28-94 Jill Long 250 ...... 8-~92 Carol Mosely Braun for 1,000 ...... 1-23-96 Bob Filner 500 6-28-94 Frank McC1oskey Senate 2,000 ...... 1-23-96 Richard Swett 500 6-28-94 Frank Pallone 1,000 ...... 8-6-92 Bob Carr for Senate 500 ...... 11-1~95 Jerry Estruth 500 6-28-94 David Skaggs 1,000 ...... 7-11-92 DNC Victory Fund 500 ...... 11-1~95 Jesse Jackson Jr. 500 6-28-94 Pat Williams 5,000 ...... 9-6-92 DCCC 500 ...... 10-11-95 Bill Luther 500 6-27-94 Patrick Kennedy 1,000 ...... 9-6-92 Democratic Leadership 500 ...... 10-11- 95 Karen McCarthy 250 6-23-94 Ben Chavez Council 500 10-11-95 Mike Ward 500 6-23-94 John Conyers 1,000 ...... 7-13-92 Luis Gutierrez for Con- 500 2-3-95 Mel Reynolds 500 6-17-94 Bill Sarpalius gress 500 11-8-94 Dan Glickman 500 6-1~94 Larry Larocco 1,000 ...... 8-~92 Hefner for Congress 500 11-8-94 Karen Thurman 500 6-13-94 George Darden 1,000 ...... 9--10-92 Kosmayer for Congress 500 11-2-94 Thomas Barlow 500 6-13-94 Eric Fingerhut 1,000 ...... 8-4-92 Phil Schiliro for Congress 500 11-2-94 Chuck Blanchard 500 6-13-94 Sam Gibbons 1,000 ...... 8-~92 Dan Sosa for Congress 250 11-2-94 Gerry Brewster 500 6-13-94 George Hochbrueckner 500 8-6-92 Friends of Harley Stag- 500 11-2-94 Jack Brooks 500 6-13-94 Richard Lehman gers 500 11-2-94 John Bryant 500 6-13-94 Collin Peterson 250 ...... 10-9--92 Friends of Byron Dorgan 250 11- 2-94 Walter Capps 500 6-13-94 Jolene Unsoeld 500 ...... 10-9--92 Luis Gutierrez for Con­ 500 11-2-94 Dennis Dutremble 500 6-13-94 Harold Volkmer gress 500 ...... 11-2-94 Elizabeth Furse 500 6-1-94 Bennie Thompson 250 ...... 10-9--92 Lucille Roybal-Allard for 500 ...... 11-2-94 Dale Kildee 500 ~24-94 Peter Barca Congress 250 ...... 11-2-94 Bill Leavens 500 ~24-94 Sherrod Brown 250 10-9--92 Sarpalius for Congress 250 ...... 11-2-94 Craig Mathis 500 ~24-94 Maria Cantwell 250 10-9--92 Jim Jontz for Congress 500 ...... 11-2-94 Harriet Spanel 500 ~24-94 Pat Danner 300 10-9--92 Friends of Rosa DeLauro 500 ...... 11-2-94 Richard Swett 500 ~24-94 Elizabeth Furse 500 10-9--92 Les Aucoin for Senate 250 ...... 11-2-94 Catherine Webber 500 ~24-94 Maurice Hinchey 500 ...... 10-6-92 Bustamante for Congress 250 ...... 11-1-94 David Adkisson 500 ~24-94 Tim Holden 1,000 ...... 10-23-92 Les Aspin for Congress 500 ...... 10-28-94 Maria Cantwell 500 ~24-94 Jay Inslee 1,000 ...... 10-30-92 Thomas Downey for Con- 500 10-28-94 Ron Coleman 500 ~24-94 Herb Klein gress 500 10-28-94 George Hochbrueckner 500 ~24-94 Ron Klink 250 ...... 10-31-92 Wayne Owens for Senate 500 10-28-94 Joe Hogsett 500 ~24-94 Mike Kreidler 1,000 ...... 10-1~92 Harry Reid for Senate 500 10-28-94 Bill Luther 500 ~24-94 Carolyn Maloney 250 ...... 4-29--93 Peter Barca for Congress 500 10-28-94 David Mann 500 ~24-94 M. Margolies-Mezvinsky 1,000 ...... 3-1- 93 David Bonior for Congress 500 10-28-94 Frank Mascara 500 ~24-94 Paul McHale 5,000 ...... 2-24-93 DCCC 500 ...... 10-28-94 Karen McCarthy 500 ~24-94 David Minge 500 ...... 3-29--93 Friends of Jane Harmon 500 ...... 10-28-94 Frank McC1oskey 500 ~24-94 Earl Pomeroy 500 ...... 3-4-94 C. Washington for Con- 500 ...... 10-28-94 Phil Schiliro 500 ~24-94 Karen Shepherd gress 500 ...... 10-28-94 Jolene Unsoeld 500 ~24-94 Ted Strickland February 11, 1997 CONGRESSIONAL RECORD-SENATE 1875

Amount Date Donee poses; to the Committee on Banking, Hous­ resentatives MCCOLLUM, LAF ALCE, and ing, and Urban Affairs. DREIER. This legislation will promote 500 ...... !>--23--94 James Barcia By Mr. McCAIN: 500 ...... l>--23-94 Nathan Deal efficiency and fair competition be­ S. 301. A bill to authorize the Secretary of 500 ········· l>--23--94 Karan English tween all financial service providers 500 ········· !>--23--94 Anna Eshoo the Interior to set aside up to $2 per person 500 ...... l>--23--94 Sam Farr from park entrance fees or assess up to $2 per and make U.S. financial firms stronger 500 ...... ••. l>--23-94 Cleo Fields in global competition. 500 ...... !>--23--94 Bob Filner person visiting the Grand Canyon or other 500 ...... •.• !>--23-94 Dan Hamburg national park to secure bonds for capital im­ Mr. President, Congress has been 500 ...... !>--23--94 Jane Harman provements to the park, and for other pur­ struggling to modernize the financial 500 ...... !>--23--94 Don Johnson 500 ...... l>--23-94 Lynn Schenk poses; to the Committee on Energy and Nat­ system since before I became a member 500 ...... l>--23--94 Bart Stupak ural Resources. of the Banking Committee in 1981. 500 ...... l>--23--94 Karen Thurman By Mr. CHAFEE (for himself, Mr. 500 ········· l>--20-94 Dale Kildee That effort must continue and should 500 ...... l>--19-94 Thomas Barlow ROCKEFELLER, Mr. FRIST, Mr. JEF­ conclude successfully in this Congress. 500 ...... 5-4-94 David Mann FORDS, and Ms. COLLINS): 500 ...... 5-4-94 Dan Webber S. 302. A bill to amend title XVIII of the Our existing legal framework is fun­ Social Security Act to provide additional damentally outdated. The Glass­ Contributions, amount, date, donee: consumer protections for medicare supple­ Steagall and Bank Holding Company 2. Spouse: none. mental insurance; to the Committee on Fi­ Acts impose regulatory structures that 3. Children and spouses names: none. nance. are inadequate for today's global mar­ 4. Parents names: William B. Richardson, By Mr. ABRAHAM (for himself and Mr. ketplace and the financial needs of deceased; Maria Luisa Zubiran, none. LEVIN): consumers. 5. Grandparents names: William Richard­ S. 303. A bill to waive temporarily the son and Vesta Richardson, Jorge Lopez Mr. President, our Nation's entire fi­ Medicare enrollment composition rules for nancial system-including traditional Collada and Maria Marquez de Lopez The Wellness Plan; to the Committee on Fi­ Collada, all deceased. nance. banks, insurance companies, and secu­ 6. Brothers and spouses names: none. rities firms-faces a future that is 7. Sisters and spouses names: Vesta Rich­ somewhat unsettled. Competitive de­ ardson, none. SUBMISSION OF CONCURRENT AND velopments in the marketplace and the (The above nomination was reported SENATE RESOLUTIONS technological revolution that is well with the recommendation that he be The following concurrent resolutions underway have brought about signifi­ confirmed, subject to the nominee's and Senate resolutions were read, and cant changes in the financial system, commitment to respond to requests to referred (or acted upon), as indicated: domestic and international. And these appear and testify before any duly con­ changes have already had a significant stituted committee of the Senate.) influence on all financial services pro­ By Mr. SPECTER (for himself, Mr. viders and their customers. SANTORUM, Mr. FEINGOLD, Mr. KOHL, Mr. President, there is widespread INTRODUCTION OF BILLS AND Mr. JEFFORDS, and Mr. LEAHY): recognition that the United States JOINT RESOLUTIONS S. Res. 52. A resolution expressing the must adopt a regulatory regime that The following bills and joint resolu­ Sense of the Senate regarding the need to ad­ recognizes market realities and as­ tions were introduced, read the first dress immediately the current milk crisis; sesses and controls risk. Our present and second time by unanimous con­ ordered to lie over, under the rule. patchwork of financial laws protects sent, and referred as indicated: particular industries, restrains com­ By Mr. BRYAN (for himself and Mr. By Mrs. HUTCHISON (for herself, Mr. petition, prevents diversification that REID): GRAMM, and Mr. D'AMATO): would limit risks, restricts potential S. 296. A bill to amend the Nuclear Waste S. Res. 53. A resolution to express the sense sources of capital, and undermines the Policy Act of 1982 to allow commercial nu­ of the Senate concerning actions that the efficient delivery of financial services clear utilities that have contracts with the President of the United States should take and the competitive position of our fi­ Secretary of Energy under section 302 of that to resolve the dispute between the Allied Pi­ nancial institutions in world markets. act to receive credits to offset the cost of lots Association and American Airlines; to storing spent fuel that the Secretary is un­ Mr. President, Congress' reform ef­ the Committee on Labor and Human Re­ fort in the 105th Congress must be for­ able to accept for storage on and after Janu­ sources. ary 31, 1998; to the Committee on Energy and ward-looking, not merely a re­ Natural Resources. engineering of the legacy and laws S. 297. A bill to establish a Presidential STATEMENTS ON INTRODUCED from the New Deal. Our reform effort commission on nuclear waste, and for other BILLS AND JOINT RESOLUTIONS must not be limited in its design by un­ purposes; to the Committee on Energy and founded fears and outdated philoso­ Natural Resources. By Mr. D'AMATO (for himself, phies. The far-reaching changes we are By Mr. D'AMATO (for himself, Mr. Mr. GRAMS, Mr. GRAMM and Mr. witnessing require a top-to-bottom ex­ GRAMS, Mr. GRAMM, and Mr. BEN­ BENNETT): NET!'): amination of long-standing conven­ S. 298. A bill to enhance competition in the S. 298. A bill to enhance competition tions about the way our financial sys­ financial services sector, and for other pur­ in the financial services sector, and for tem should be structured and regulated poses; to the Committee on Banking, Hous­ other purposes; to the Committee on as we approach the 21st century. Al­ ing, and Urban Affairs. Banking, Housing, and Urban Affairs. ready, banks and competitors from By Mr. LAUTENBERG (for himself, THE DEPOSITORY INSTITUTION AFFILIATION ACT outside the conventional banking sys­ Mr. DEWINE, Mr. LEVIN, Mr. INOUYE, OF 1997 tem are jockeying for position and ad­ Mr. COVERDELL, and Mr. ABRAHAM): Mr. D'AMATO. Mr. President, today S. 299. A bill to require the Secretary of vantage as competition heats up for the Treasury to mint coins in commemora­ with the cosponsorship of my col­ control of market share and customers tion of the sesquicentennial of the birth of leagues, Senators GRAMM, GRAMS, and in a world of electronic commerce. Thomas Alva Edison, to redesign the half BENNETT, I am introducing the "De­ Existing institutions that fight for dollar circulating coin for 1997 to commemo­ pository Institutions Affiliation Act of legislative restrictions to protect their rate Thomas Edison, and for other purposes; 1997," to modernize the laws governing markets are fighting the last war. De­ to the Committee on Banking, Housing, and the financial services industry in a bate over financial modernization that Urban Affairs. comprehensive, progressive fashion. I focuses primarily on issues like the fu­ By Mr. FEINGOLD (for himself and Mr. am pleased that Representative RICH­ ture of the banking franchise or gerry­ Kom..): S. 300. A bill to prohibit the use of certain ARD BAKER, chairman of the Housing mandering markets through piecemeal assistance provided under the Housing and Banking Subcommittee on Capital legislation to protect a particular mar­ Community Development Act of 1974 to en­ Markets, Securities and Government ket segment is too narrow from a pub­ courage plant closings and the resultant re­ Sponsored Enterprises, will introduce lic policy standpoint. Such a narrow location of employment, and for other pur- similar legislation, joined by Rep- approach addresses questions and I ... ., ._,. • •• ~ * - ,- ... _,r.;; • "° -.·•,; -- ...... --...... ,._ ... • ./'...... • .._ _,_. •

1876 CONGRESSIONAL RECORD-SENATE February 11, 1997 solves problems that existed in the Most recently, Federal Reserve Second, this bill will facilitate diver­ 1970's and 1980's; however, the year 2000 Chairman Greenspan announced f orma­ sification and assure fair competition is quickly approaching and the policy tion of a committee that will look at by creating a new charter alternative debate in Congress and among industry the Fed's role in the payments system for all companies interested in enter­ leaders should be oriented toward the of the future. ing or diversifying in the financial future. Technology and new financial Mr. President, I introduce the Depos­ services field-a financial services competitors from outside the tradi­ itory Institution Affiliation Act as a holding company-FSHC. These tional arena will now provide an impor­ prelude to a vigorous debate about the FSHC's will be authorized to engage in tant and new catalyst for meaningful future of our financial system. Let me any financial activity through sepa­ change and long overdue comprehen­ explain how the Depository Institution rately regulated affiliates of the hold­ sive financial modernization. Affiliation Act [DIAA] will make the ing company. The bill would permit the Mr. President, in its consideration of financial system safer, more stable, merging of banking and commerce financial modernization, the new Con­ and more competitive. I will submit a under carefully regulated cir­ gress will need to explore a number of more detailed section-by-section expla­ cumstances by allowing a FSHC to own new and important issues, including: nation of the bill at the end of my re­ both a depository institution and com­ Given all the technological changes marks. The bill is virtually identical to panies engaged in both financial and and new players in the market, what legislation that I have previously spon­ nonfinancial activities. does it mean to be a bank? Does it sored or cosponsored in 1987 (S. 1905) Third, this legislation will insulate make sense to maintain an artificial and in 1989 (S. 530). In the previous insured subsidiaries-for example, distinction between banks and Congress, it was S. 337. With the excep­ banks-from the more risky business nonbanks? Does it make sense to pre­ tion of technical and conforming activities of its affiliates, as well as serve the fiction that banking and changes to reflect the enactment of the parent holding company. It would commerce are somehow separate? Does banking laws since its original intro­ not authorize or allow these activities it make sense to prohibit information­ duction, the text of the bill is un­ to be conducted in a bank's operating changed. driven firms from owning or affiliating Mr. President, comprehensive finan­ subsidiary. with banks now that financial services cial modernization as proposed in this Mr. President, by authorizing this al­ are in large part information proc­ reform legislation would produce many ternative regulatory framework, the essing activities? beneficial changes for all financial legislation would essentially exempt a How will the old system of deposit in­ intermediaries. FSHC's subsidiaries and affiliates from surance fit into this environment? First, the legislation will enable all those sections of the Glass-Steagall Should more complex institutions be financial intermediaries--commercial and Bank Holding Company Acts that required to give up deposit insurance, banks, investment banks, thrifts, and restrict mixing commercial banking as was suggested by one of the Federal so forth-to attract financial capital with other financial-securities, in­ Reserve Bank presidents? and managerial expertise by elimi­ vestment banking, and so forth-and How do we ensure that technology re­ nating existing restrictions on owner­ nonfinancial activities-retailing, sults in greater choice, lower fees and ship by and affiliations among deposi­ technology, manufacturing. A FSHC fair, readily available access by con­ tory and nondepository firms. How­ would be able to diversify into any ac­ sumers? The experience we are having ever, the DIAA preserves all the safety­ tivity through affiliates of the holding with ATM's raises questions about and-soundness and conflict-of-interest company, with such affiliates subject whether consumers will share in the protections of the present system, to enhanced regulation. benefits of technology or whether the while providing legal flexibility for a Fourth, this bill will enhance sub­ benefits will go primarily to the own­ company to meet the financial needs of stantially the quality and effectiveness ers of that technology. consumers, businesses, and others. of regulation through functional regu­ How can we protect individual pri­ Mr. President, some detractors of lation. The regulation of the bank and vacy now that computers make it so DIAA describe it as too radical because nonbank affiliates of financial services easy to collect and disseminate per­ it permits these affiliations. However, holding companies would be along sonal information? This is such a sen­ this type of common ownership is al­ functional lines. The insured bank af­ sitive concern that the Congress di­ ready allowed by our laws and has ex­ filiate would be regulated by Federal rected the Federal Reserve to conduct isted for decades without any evidence and State bank regulators, the securi­ a study. of problems. Federal law and public ties affiliate by the Securities and Ex­ I do not know the answers, but these policy expressly allows commercial change Commission, and so on. Thus, are provocative questions which re­ companies to own and affiliate with a for each affiliate, existing regulatory quire careful study and debate. variety of federally insured banks-for expertise and resources will be applied Others are studying these issues as example, credit card banks, limited to protect consumers, investors, and well. purpose banks, trust companies, and so taxpayers. Functional regulation will Last year, Congress directed the forth-and savings and loans. For ex­ also assure that competition in dis­ Treasury Department to conduct a ample, unitary thrift holding compa­ crete products and services is fair by study of all issues relating to a com­ nies have proven that finance and com­ eliminating advantages attributable to mon charter for all federally insured merce can be mixed safely. In fact, the current loopholes, regulatory gaps, and depository institutions as part of the lack of ownership restrictions on cost subsidies. law stabilizing and eventually merging thrifts has worked to expand the cap­ Finally, the bill would improve co­ the two Federal deposit insurance ital and managerial talent available to ordination and supervision of the over­ funds (BIF and SAIF) (P .L. 104-208). thrifts. And the successful record of all financial system by permitting The Treasury Department is expected unitary holding companies dem­ more effective analysis and monitoring to submit that study next month. onstrates that broader ownership affili­ of aggregate stability and vulner­ The Treasury Department appointed ations can actually strengthen deposi­ ability to severe disruptions and break­ a consumer electronic payments task tory institutions through greater di­ down. force which will include the principal versification and financial strength. By removing unnecessary barriers to Federal agencies involved in the pay­ Moreover, the reality is that nonbank competition between providers of fi­ ments system. organizations, including telecommuni­ nancial service in the United States, In addition, the Treasury Depart­ cations, cable companies, and software this legislation will permit U.S. capital ment is completing a study on the firms are designing and delivering markets to maintain their pre­ strengths and weaknesses of our finan­ banklike financial services and prod­ eminence, and will allow U.S. financial cial services system in meeting the ucts over the Internet and World Wide intermediaries to respond to growing needs of the system's users. Web without owning a bank. competition from foreign companies. February 11, 1997 CONGRESSIONAL RECORD-SENATE 1877 Mr. President, I want to underscore We must focus on the needs of our TITLE I-CREATION AND CONTROL OF that the DIAA would not require exist­ economy for credit and growth in the DEPOSITORY INSTITUTION HOLDING COMPANIES ing firms to alter their regulatory future and the next century. We must Section 101 structure. By permitting financial focus on financial stability, safety and This section creates a new type of financial services providers to become FSHC's, soundness, fair competition, and func­ company, a depository institution holding company (DIHC), and sets out the terms and such providers will have the option to tional regulation of all financial serv­ conditions under which such a company can phase gradually into, or expand within, ice providers-whether they are banks, be established and must be operated. the financial services industry. investment banks, insurance compa­ Subsection (a) Definitions. This subsection Mr. President, the DIAA provides a nies, finance companies or even tele­ defines terms used in this section. solid platform and a sound approach to communications or computer compa­ Paragraph (a)(l) defines a DIHC to be any modernizing our financial structure. I nies. company that files a notice with the Na­ recognize that this bill can be im­ Mr. President, the benchmark provi­ tional Financial Services Committee (see Title TI of this Act) that it intends to comply proved, and I am specifically request­ sions, principles, and purposes of DIAA, with the provisions of this section, and con­ ing constructive and helpful comments as stated above, have been tested and trols an insured depository institution, or, to improve and to refine the major explored over the years. During a dec­ either (i) has, within the preceding 12 principles underlying the bill. As the ade of debate, several studies, includ­ months filed a notice under subsection (b) of committee proceeds to hearings and ing a 1991 study by the Treasury De­ this section to establish or acquire control of further consideration of the bill, I in­ partment entitled, "Modernizing the a federally insured depository institution or tend to make changes and adjustments Financial System: Recommendations a company owning such a federal insured de­ pository institution, or (11) controls a com­ in order to ensure competitive fairness, for Safer More Competitive Banks", pany which, within the preceding 12 months, promote safety and soundness; achieve these principles and the framework of has filed an application for federal deposit depositor, investor, and consumer pro­ the bill have become the centerpiece of insurance, provided that such notice or ap­ tection; and assure effective and effi­ an emerging consensus in favor of for­ plication has not been disapproved by the ap­ cient functional regulation. Moderniza­ ward-looking, balanced and prudent ap­ propriate Federal banking agency or with­ tion of the financial services industry proach to modernization. I am hopeful drawn. Any holding company which elects to should not include the preemption of that a new study underway by the become a DIHC and which does not control State consumer protection laws. Treasury Department and due to be any banks that are not FDIC insured, will Mr. President, in the absence of con­ lose its status as a bank holding company submitted to Congress in March related immediately upon filing the notice of its gressional action, the Comptroller of to a common bank and thrift charter election to become a DIHC. Similarly, a sav­ the Currency and the Federal Reserve will reach similar conclusions. ings and loan holding company that elects to Board have acted to achieve limited Mr. President, by continuing to work become a DIHC will lose that status upon fil­ modernization with results often of together, as demonstrated by the BIF/ ing the notice of its election to become a questionable legal authority and public SAIF bill last year, the Congress and DIHC. To assure that each bank controlled policy results. Specifically, I am con­ the administration can overcome the by a DIHC would be subject to regulation cerned about the OCC's action to per­ complaints of vested interests and re­ and supervision by an appropriate federal mit a bank's operating subsidiaries to form our antiquated financial services banking agency, owners of uninsured banks would not be able to avail themselves of the engage in activities that are not per­ laws. We should not miss this oppor­ opportunity to become a DIHC, unless they missible for the bank. I believe this tunity for constructive bipartisanship. agreed to convert such uninsured banks into regulation is unwise. And I am deeply I believe that this bill provides a good federally insured depository institutions. concerned that the Comptrollers action starting point for the 105th Congress to Paragraph (a)(2) gives the term 'bank hold­ may subject federally insured banks to act on financial modernization. Pas­ ing company' the meaning given to it in Sec­ excessive risks and expose the bank in­ sage of this bill will be a high priority tion 2(a) of the Bank Holding Company Act surance funds, and therefore taxpayers, of 1956, as amended. for the Banking Committee. I believe Paragraph (a)(3) gives the term 'savings to unnecessary liability. Congress can this is a realistic objective. and loan holding company' the meaning never forget the lessons of the savings Mr. President, I ask unanimous con­ given to it in section lO(a) of the Home Own­ and loan crisis in the late 1980's. In ad­ sent that a more detailed section-by­ ers' Loan Act. dition, the Fed's recent actions to in­ section summary of the bill be re­ Paragraph (a)(4) defines for this section, crease the aggregate level of business a printed in the RECORD. except paragraph (5) of subsection (f), the section 20 securities affiliate may en­ There being no objection, the sum­ term 'affiliate' of a company as any company gage in and its proposal to reduce or mary was ordered to printed in the which controls, is controlled by, or is under common control with such a company. even eliminate important firewalls and RECORD, as follows: Paragraph (a)(5) gives the term 'appro­ safeguards that have existed for over a DEPOSITORY INSTITUTION AFFILIATION ACT­ priate Federal banking agency' (AFBA) the decade are also imprudent. SECTION-BY-SECTION ANALYSIS meaning given to it in section 3 of the Fed­ Mr. President, the rivalry between Section 1: Short title eral Deposit Insurance Act. regulators to attempt unilaterally to Section 1 provides that this Act be cited as Paragraph (a)(6) gives the term 'insured de­ set public policy and alter the competi­ the "Depository Institution Affiliation Act". pository institution' the meaning given to it in section 3(c)(2) of the Federal Deposit In­ tive balance for their constituencies is Section 2: Findings and purpose surance Act. not wholesome or helpful. The regu­ The purpose of this Act is to promote the Paragraph (a)(7) gives the term 'State' the lators actions will never be a sub­ safety and soundness of the nation's finan­ meaning given to it in section 3(a) of the stitute for comprehensive and balanced cial system, to increase the availability of fi­ Federal Deposit Insurance Act. congressional action. For far too long, nancial products and services to consumers, Paragraph (a)(8) defines the term 'com­ Congress has ceded the field to piece­ businesses, charitable institutions and gov­ pany' to mean any corporation, partnership, meal deregulation by bank regulators ernment in an efficient and cost effective business trust, association or similar organi­ manner. In addition, this Act aims to pro­ zation. However, corporations that are ma­ and the courts. The time has come for mote a legal structure governing providers of jority owned by the United States or any Congress to decide on a legal and pol­ financial services that permits open and fair State are excluded from the definition of icy framework that prepares our finan­ competition and affords all financial services company. cial institutions for the new century companies equal opportunity to serve the Paragraph (a)(9) defines control by one and the challenges of a rapidly chang­ full range of credit and financial needs in the company over another. For purposes of this ing global economy. The 105th Congress marketplace. This Act also aims to ensure section, the term "control" means the must address and resolve the impor­ that domestic financial institutions and power, directly or indirectly, to direct the tant questions relating to the health companies are able to compete effectively in management or policies of a company, or to international financial markets. Finally, vote 25% or more of any class of voting secu­ and future of the banking industry in this Act aims to regulate financial activities rities of a company. the broader context of a financial sys­ and companies along functional lines with­ There are three exceptions from the defini­ tem that is increasingly composed of out regard to ownership, control, or affili­ tion of control. These pertain to ownership nonbank financial service providers. ation. of voting securities acquired or held: 1878 CONGRESSIONAL RECORD-SENATE February 11, 1997 1. as agent, trustee or in some other fidu­ Subparagraph (c)(l)(B) empowers the stitution will be replenished, the Dmc will ciary capacity; AFBA to create certain exceptions to the be required to divest the insured depository 2. as underwriter for such a period of time provisions of the preceding subparagraph, if institution in an orderly manner within ape­ as will permit the sale of these securities on the AFBA deems that such exceptions are riod of six months, or such additional period a reasonable basis; or in connection with or reasonable and in the public interest and not of time as the AFBA may determine is rea­ incidental to market making, dealing, trad­ inconsistent with the purposes of this Act. sonably required in order to effect such di­ ing, brokerage or other securities-related ac­ These exemptions may relate to certain in­ vestiture. tivities, provided that such shares are not stitutions or classes of institutions, or to Paragraph (d)(3) states that in view of the acquired with a view toward acquiring, exer­ certain transactions or classes of trans­ enhanced regulatory control over insured de­ cising or transferring control of the manage­ actions, including transactions covered pository institutions controlled by DIHCs, ment or policies of the company; under Sections 23A or 23B of the Federal Re­ no AFBA may regulate the capital of the 3. for the purpose of securing or collection serve Act. Dmc. Thus, no AFBA may require the Dmc of a prior debt until two years after the date Paragraph (c)(2) provides that any rules itself to enter into any other agreement re­ of the acquisition; and adopted under subparagraph (c)(l )(A) shall be garding the maintenance of capital in its in­ In addition, no company formed for the issued in accordance with normal rule­ sured depository institution affiliates. The sole purpose of proxy solicitation shall be making procedures and shall afford inter­ capital of the Dmc would, however, be regu­ deemed to be in control of another company ested parties the opportunity to comment in lated by any other agency having jurisdic­ by virtue of its acquisition of the voting writing and orally on any proposed rule. tion over it. For example, if the Dmc were rights of the other company's securities. Paragraph (c)(3) grandfathers specific also a registered broker/dealer, it would have Paragraph (a)(lO) defines the term 'ade­ interaffiliate transactions approved by a to conform to the minimum capital require­ quately capitalized' with respect to an in­ Federal regulatory agency prior to the en­ ments mandated by the SEC. sured depository institution has the meaning actment of this Act, exempting them from Subsection (e): Interstate Acquisitions and given to it in section 38(b)(l) of the Federal rules and regulations promulgated under Activities of Insured Depository Institu­ Deposit Insurance Act. subparagraph (c)(l)(A). tions. This subsection subjects interstate ac­ Paragraph (a)(ll) defines the term 'well Paragraph (c)(4) makes it clear that sec­ quisitions of an insured depository institu­ capitalized' with respect to an insured depos­ tion by a DmC to the same restrictions as itory institution has the meaning given to it tions 23A and 23B of the Federal Reserve Act in section 38(b)(l)(A) of the Federal Deposit will apply to every insured depository insti­ those applicable to bank holding companies tution controlled by a depository institution under section 3(d) of the Bank Holding Com­ Insurance Act. Paragraph (a)(12) defines the term 'min­ holding company. pany Act of 1956, as amended, and it subjects imum required capital' with respect to an in­ Paragraphs (c)(5) and (c)(6) prohibit any in­ interstate acquisitions of savings associa­ sured depository institution as the amount sured depository institution in a Dmc from tions by a DmC to the same restrictions as of capital that is required to be adequately extending credit to or purchasing the assets those applicable to savings and loan holding capitalized. of a securities affiliate and providing other companies. Subsection (b): Changes in Control of In­ types of financial support to that DIHC's se­ Subsection (f): Differential Treatment Pro­ sured Depository Institutions. This sub­ curities affiliate except for daylight over­ hibition; Laws Inconsistent with this Act. section provides that any DmC wishing to drafts that relate to U.S. government securi­ This subsection does two things. First, it acquire control of an insured depository in­ ties transactions 1f the daylight overdrafts prohibits adversely differential treatment of stitution or company owning such insured are fully collateralized by U.S. government DmCs and their affiliates, including their depository institution must comply with the securities as to principal and interest. insured depository institution affiliates, ex­ requirements of the Change in Bank Control Paragraph (c)(7) prohibits insured deposi­ cept as this Act specifically provides. Sec­ Act. Failure to comply with these require­ tory institutions in a Dmc from issuing var­ ond, this subsection ensures that state and ments will subject the relevant Dmc to the ious guarantees for the enhancement of the federal initiatives do not undermine achieve­ penalties and procedures provided in sub­ marketability of a securities issue under­ ment of the purposes of this Act. Whether sections (i) through (m) of this section, in written or distributed by a securities affil­ couched as affiliation, licensing or agency addition to otherwise applicable penalties. iate of that Dmc. restrictions or as constraints on access to Subsection (c): Affiliate Transactions. This Paragraph (c)(8) prohibits insured deposi­ state courts, such laws effectively perpet­ subsection authorizes supplemental regula­ tory institutions in a Dmc from extending uate market barriers and deny consumers tion of the transactions of insured deposi­ credit secured by or for the purposes of pur­ the opportunity to choose between different tory institutions controlled by Dmcs with chasing any security during an underwriting financial products and services. their affiliates. These regulations would be period of for 30 days thereafter where a secu­ Paragraph (f) (l ) notwithstanding any other in addition to the restrictions on interaffil­ rities affiliate of such institution partici­ federal law, prohibits states from enacting iate transactions provided for under sections pates as an underwritten or member of a laws that discriminate against Dmcs or 23A or 23B of the Federal Reserve Act. This selling group. against their affiliates, including their in­ subsection gives each AFBA some flexibility Paragraph (c)(9) prohibits insured deposi­ sured depository institution affiliates. This to promulgate and adapt rules and regula­ tory institutions in a Dmc from extending paragraph also prohibits, notwithstanding tions in response to changing market condi­ credit to an issuer of securities underwritten any other federal law, federal and state regu­ tions so that the AFBA has at all times the by a securities affiliate for the purpose of latory agencies from discriminating by rule, capability to prevent insured depository in­ paying the principal of those securities or in­ regulation, order or any other means against stitutions under its supervision that are con­ terest for dividends on those securities. DmCs or against their affiliates, including trolled by DmCs from engaging in trans­ Paragraph (c)(lO) defines "securities affil­ their insured depository institution affili­ actions that would compromise the safety iate" for the purposes of paragraphs (c)(5), ates, except as this Act specifically provides. and soundness of such insured depository in­ (6), (7), (8) and (9). This is intended to assure that the primary stitutions or that would jeopardize the de­ Subsection (d): Capitalization. This sub­ purpose of this Act-the enhancement of posit insurance funds. section regulates the capitalization of in­ competition in the depository institution Moreover, other provisions of this Act as­ sured depository institutions that are con­ sector-will be fulfilled. sure that the AFBA will have the capab1lity trolled by a DIHC. Paragraph (f)(2) finds that certain State af­ to enforce these regulations vigorously (sub­ Paragraph (d)(l) requires that insured de­ filiation and licensing laws restrain legiti­ section (i) of this section) and that any vio­ pository institutions controlled by a DIHC mate competition in interstate commerce, lations of these regulations will be more se­ be well capitalized. deny consumers freedom of choice in select­ verely punished than violations of regula­ Paragraph (d)(2) provides that 1f the AFBA ing an insured depository institution and tions applicable to insured depository insti­ finds that an insured depository institution threaten the long-term safety and soundness tutions that are not controlled by DIHCs subsidiary of a DIHC is not well capitalized, of insured depository institutions by lim­ (subsections (i), (j), (k) and (1) of this sec­ the Dmc shall have thirty days to reach an iting their access to capital. tion). agreement with the AFBA concerning how Accordingly, with the exception of certain Subparagraph (c)(l)(A) empowers the and according to what schedule the insured laws related to insurance and real estate bro­ AFBA to develop rules and regulations to depository institution will bring its min­ kerage which are treated in Subsection (g), prevent insured depository institutions imum capital back into conference with re­ this paragraph preempts any provision of under its supervision that are also controlled quirements. During that time the insured de­ federal or state law, rule, regulation or order by a Dmc from engaging in unsafe or un­ pository institution shall operate under the that is expressly or impliedly inconsistent sound practices involving the DIHC or any of close supervision of the AFBA. with the provisions of this section. The pre­ its affiliates, including unsafe and unsound In the event that the Dmc does not reach empted statutes include state banking, sav­ practices that may arise in connection with an agreement within thirty days with the ings and loan, securities, finance company, transactions covered by sections 23A and 23B AFBA on how and according to what sched­ retail or other laws which restrict the affili­ of the Federal Reserve Act. ule the capital of the insured depository in- ation of insured depository institutions or February 11, 1997 CONGRESSIONAL RECORD-SENATE 1879 their owners, agents, principals, brokers, di­ Subparagraph (g)(l)(B) provides that no in­ In addition, this subsection grants each rectors, officers, employees or other rep­ sured depository institution controlled by a AFBA the right to apply to the appropriate resentatives with other firms. Similarly, DIHC shall directly engage in insurance un­ district court of the United States for a tem­ laws prohibiting cross marketing of products derwriting. porary or permanent injunction or a re­ and services are preempted insofar as such Subparagraph (g)(l )(C) provides that no in­ straining order to enjoin any person or com­ cross marketing activities are conducted by sured depository institution controlled by a pany from violation of the provisions of this DIHCs, their aff111ates, or by any agent, prin­ DIHC shall directly engage in real estate in­ section or any regulation prescribed under cipal, broker, director, officer, employee or vestment or development except insofar as this section. The AFBA may seek such an in­ other representative. By contrast, non­ these activities are incidental to the insured junction or restraining order whenever it discriminatory state approval, examination, depository institution's investment in or op­ considers that an insured depository institu­ supervisory, regulatory, reporting, licensing, eration of its own premises, result from fore­ tion under its supervision or any DIHC con­ and similar requirements are not affected. closure on collateral securing a loan, or are trolling such an insured depository institu­ Paragraph (f)(3) removes a common uncer­ the type of activities that could be per­ tion is violating, has violated or is about to tainty under state licensing and qualifica­ formed by a national bank's trust depart­ violate any provision of this section or any tion to do business statutes, which leaves an ment. regulation prescribed under this section. In out-of-state insured depository institution's Paragraph (g)(2) clarifies that nothing in seeking such an injunction or restraining access to another state's courts unresolved. this subsection shall be construed to prohibit order the AFBA may also request such equi­ Under this provision, so long as such an in­ or impede a DIHC or any of its affiliates table relief as may be necessary to prevent sured depository institution limits its activi­ (other than an insured depository institu­ the violation in question. This relief may in­ ties to those which do not constitute the es­ tion) from engaging in any of the activities clude a requirement that the DIHC divest tablishment or operation of a " domestic set forth in paragraph (1) or to prohibit an itself of control of the insured depository in­ branch" of an insured depository institution employee of an insured depository institu­ stitution, if this is the only way in which the in that other state, it can qualify to main­ tion that is an affiliate of a DIHC from offer­ violation can be prevented. tain or defend in that state's court any ac­ ing or marketing products or services of an tion which could be maintained or defended This injunctive power will enable the affiliate of such an insured depository insti­ AFBA to move speedily to stop practices by a company which is not an insured deposi­ tution as set forth in paragraph (1). tory institution and is not located in that that it believes endanger the safety and Paragraph (g)(3), however, contains signifi­ soundness of an insured depository institu­ state, subject to the same filing, fee and cant limits on DIHC entry into the busi­ other conditions as may be imposed on such tion under its supervision that is controlled a company. This paragraph is not intended nesses of insurance agency and real estate by a DIHC. If necessary to protect the de­ to grant states any power that they do not brokerage. No DIHC could enter these fields positors and safeguard the deposit insurance currently have to regulate the activities of de novo. Rather, they would have to pur­ funds, the AFBA may request that the in­ out-of-state insured depository institutions. chase either an insurance agency or real es­ junction proceedings be held in camera, so as Paragraph (f)(4) makes clear that a state, tate brokerage business which had been in not to provoke a run on the insured deposi­ except subject to the provisions of this Act, business for at least five years prior to pas­ tory institution. may not impede or prevent any insured de­ sage of the Act. Paragraph (g)(4) provides that nothing in Subsection (j): Divestiture. This subsection pository institution affiliated with a DIHC states that an AFBA may require a DIHC to or any DIHC or affiliate thereof from mar­ this subsection w111 require the breach of a contract entered into prior to enactment of divest itself of an insured depository institu­ keting products and services in that state by tion, if the agency finds that the insured de­ utilizing and compensating its agents, solici­ this Act. Subsection (h): Tying and Insider Lender pository institution is engaging in a con­ tors, brokers, employees and other persons tinuing course of action involving the DIHC located in that state and representing such a Provisions. This section subjects DIHCs to the tying provisions of section 106 of the or any of its affiliates that would endanger insured depository institution, company, or the safety and soundness of that insured de­ affiliate. However, to the extent such per­ Bank Holding Company Act Amendments of 1970 and to the insider lending prohibitions pository institution. Although the DIHC sons are performing loan origination, deposit would have the right to a hearing and to ju­ solicitation or other activities in which an of section 22(h) of the Federal Reserve Act. dicial review and have one year in which to insured depository institution may engage, These sections prohibit tying between prod­ ucts and services offered by insured deposi­ divest the insured depository institution, it those activities cannot constitute the estab­ should be emphasized that the insured depos­ lishment or operation of a "domestic tory institutions and products and services offered by the DIHC itself or by any of its itory institution would operate under the branch" at any location other than the main close supervision of the AFBA from the date or branch offices of the insured depository other affiliates. Note, however, that these of the initial order until the date the divesti­ institution. tying provisions do not apply to products and services that do not involve an insured ture is completed. This is intended to safe­ Paragraph (f)(5) contains a special defini­ guard the insured depository institution in tion of "affiliate" and "control" for purposes depository institution. The insider lending provisions severely limit loans by an insured question, its depositors and the deposit in­ of paragraphs (2) through (4) this subsection surance funds. only. Control is deemed to occur where a per­ depository institution to officers and direc­ son or entity owns or has the power to vote tors of the insured depository institution. Subsection (k): Criminal Penalties: This 10% of the voting securities of another enti­ For purposes of both provisions, the AFBA subsection provides for criminal penalties ty or where a person or entity directly or in­ will exercise the rulemaking authority vest­ for knowing and w1llful violations of the pro­ directly determines the management or poli­ ed in the Federal Reserve with regard to visions of this section, even if these viola­ cies of another entity or person. Unlike the these limitations. tions do not result in an initial or final order definition of aff111ate set forth in paragraph Subsection (i): Examination and Enforce­ requiring divestiture of the insured deposi­ (4) of subsection (a), this definition encom­ ment. This subsection provides that the tory institution. For companies found to be passes not only corporate affiliations but af­ AFBA shall use its examination and super­ in violation of the provisions of this section filiations between corporations and individ­ vision authority to enforce the provisions of the maximum penalty shall be the greater of uals. this section, including any rules and regula­ (a) $250,000 per day for each day that the vio­ Subsection (q): Securities, Insurance and tions promulgated under subsection (c). In lation continues or (b) one percent of the Real Estate Activities of Insured Depository particular, it is intended that each AFBA minimum required capital of the insured de­ Institutions. In order to fac111tate functional should structure its examination process so pository institution per day for each day regulation of the activities of DIHCs this as to uncover possible violations of the pro­ that the violation continues, up to a max­ section prohibits insured depository institu­ visions of this section and that the agency imum of 10% of the minimum capital of the tions controlled by DIHCs from conducting should not hesitate to make full use of its insured depository institution-a fine that certain securities, insurance and real estate cease-and-desist powers or to impose as war­ could amount to tens of millions of dollars activities currently permissible for some in­ ranted the special penalties discussed below, for a large insured depository institution. sured depository institutions. if it believes that an insured depository in­ Such a fine is designed to be large enough to Subparagraph (g)(l)(A) provides that no in­ stitution under its supervision that is con­ deter even large insured depository institu­ sured depository institution controlled by a trolled by a DIHC is in violation of any pro­ tions from violating the provisions of this DIHC shall directly engage in dealing in or visions of this section. section. underwriting securities, or purchasing or This subsection also grants the AFBA au­ For individuals found to be in violation of selling securities as agent, except to the ex­ thority to examine any other affiliate of the the provisions of this section the penalty tent such activities are performed with re­ DIHC as well as the DIHC itself in order to shall be a fine and/or a prison term. The gard to obligations of the United States or ensure compliance with the limitations of maximum fine shall be the greater of (a) are the type of activities that could be per­ this section or other provisions of law made $250,000 or (b) twice the individual's annual formed by a national bank's trust depart­ applicable by this section such as sections rate of total compensation at the time the ment (12 U.S.C. 92a). 23A and 23B of the Federal Reserve Act. violation occurred. The maximum prison 1880 CONGRESSIONAL RECORD-SENATE February 11, 1997 sentence shall be one year. In addition, indi­ to member banks that are controlled by been drafted by Senate Banking Com­ viduals violating the provisions of this sec­ DllICs. mittee Chairman ALFONSE D'AMATO. tion will also be subject to the penalties pro­ Subsection (b) amends section 32 of the This landmark piece of legislation will vided for in Section 1005 of Title 18 for false Glass-Steagall Act so that it does not apply modernize the archaic laws that govern entries in any book, report or statement to to officers, directors and employees of affili­ the extent that the violation included such ates of a single depository institution hold­ our financial services industry. Pas­ false entries. ing company. sage of this legislation will benefit con­ A DllIC and its affiliates shall also be sub­ Section 105: Amendment to the Federal Deposit sumers, increase the availability of ject to the Criminal penalties provisions of Insurance Act venture capital for job creation, and the Financial Institutions Reform, Recovery This section amends the Change in Bank bolster the international competitive­ and Enforcement Act of 1989 and the Com­ Control Act to provide that an acquisition of ness of America's financial services in­ prehensive Thrift and Bank Fraud Prosecu­ dustry. tion and Taxpayer Recovery Act of 1990 to a DllIC controlling an insured depository in­ the same extent as a registered bank holding stitution may only be accomplished after There is a clear need to modernize complying with that Act's procedures. It company, savings and loan holding company also modifies the definition of "control" in the outdated laws that govern Amer­ or any affiliate of such companies. ica's financial services industry, be­ Subsection (1): Civil Enforcement, Cease­ the Change in Savings and Loan Control Act to conform it to the definition in section cause financial services play a vital and-Desist Orders, Civil Money Penalties. role in our daily lives. We take out This subsection provides for civil enforce­ 101(a)(9) of this Act. ment, cease-and-desist orders and civil Section 106: Amendment to the Securities Ex­ loans to go to college, to buy a car, and money penalties consistent with subsections change Act of 1934 to purchase a home. We buy insurance (b) through (s) and subsection (u) of section This section amends the Securities Ex­ to proVide greater security to ourselves 1818 of Title 123 for any company or person change Act of 1934 to provide for the reg­ and our families. We make investments that violates the provisions of this section in istration and regulation of Broker Dealers. throughout our life so that we may re­ the same manner as they apply to a state Section 107: Amendment to the Home Owners' tire in comfort and dignity. member insured bank, and grants the AFBA Loan Act the power to impose such penalties after pro­ Today, technological advancements viding the company or person accused of This section amends section 11 of the Home and increased innovation in the deliv­ such violation the opportunity to object in Owners' Loan Act in order to apply Section ery of financial services make it easier writing to its finding. lOl(c)(l)(B) of this section to savings associa­ tions. than ever for consumers to get loans, Subsection (m): Judicial Review. This sub­ purchase insurance, and invest their section provides for judicial review of deci­ Section 108: Amendment to the Community Rein­ vestment Act earnings. Unfortunately, our archaic sions reached by an AFBA under the provi­ and burdensome laws governing finan­ sions of this section. This right to review in­ This section amends the Community Rein­ cludes a right of judicial review of statutes, vestment Act to make it applicable to acqui­ cial institutions continue to discour­ rules, regulations, orders and other actions sitions of insured depository institutions by age, rather than encourage, such ad­ that would discriminate against DllICs or af­ DllIC's. vancement and innovation. filiates controlled by such companies. TITLE IT-SUPERVISORY IMPROVEMENTS The laws to which I am referring are Section 102: Amendment to the Bank Holding Section 201 : National Financial Services Com­ not those governing the safety and Com1J<1,ny Act of 1956 mittee soundness of financial institutions, This section contains a conforming amend­ This section establishes a standing com­ such as setting minimum capital re­ ment to the definition of the term " bank" in mittee, the National Financial Services quirements or requiring periodic over­ the Bank Holding Company Act to ensure Oversight Committee (Committee), in order that a DllIC owning an insured depository sight by Federal or State regulators. to provide a forum in which federal and state Safety and soundness laws and regula­ institution will be regulated under this Act regulators can reach a consensus regarding rather than the Bank Holding Company Act. how the regulation of insured depository in­ tions are beneficial and necessary, as Section 103: Amendments to the Federal Reserve stitutions should evolve in response to they enhance the security of the con­ Act changing market conditions. In addition, the sumer whenever he or she deposits This section clarifies the application of Committee also provides a mechanism money in a bank or purchases an insur­ Section 23A of the Federal Reserve Act to through which various federal regulatory ance policy. certain loans and extensions of credit to per­ agencies could coordinate their responses to The outdated laws to which I am re­ sons who are not affiliated with a member a financial crisis, if such a crisis were to bank. Section 23A contains a provision that occur. The Committee comprises all federal ferring are the laws that create bar­ was intended to prevent the use of "straw agencies responsible for regulating financial riers to competition by artificially man" intermediaries to evade section 23A's institutions or financial activities, and it is compartmentalizing the three major 11m1tations on loans and extensions of credit structured to allow state regulators to par­ sectors of financial services-banking, to affiliates. Contrary to its original pur­ ticipate in its deliberations. securities, and insurance. For example, pose, the provision may also be literally read The Committee consists of the Chairman under the Banking Act of 1933, more to restrict a bona fide loan or extension of of the Secretary of the Treasury, who is also commonly known as the Glass-Steagall credit to a third party who happens to use the Chairman of the Committee, the Chair­ Act, banks are generally barred from the proceeds to purchase goods or services man of the Board of Governors of the Federal from an affiliate of the insured depository Reserve System, the Chairman of the FDIC, directly investing in corporate securi­ institution; such a loan could occur, for ex­ the Director of the Office of Thrift Super­ ties, underwriting new corporate issues ample, if a customer happened to use a credit vision, the Comptroller of the Currency, the or sponsoring mutual funds. Under the card issued by an insured depository institu­ Secretary of Commerce, the Attorney Gen­ Bank Holding Company Act of 1956, se­ tion to buy an item sold by the insured de­ eral, the Chairman of the SEC, and the curities underwriters, insurance under­ pository institution's affiliate. This section Chairman of the CFTC. writers, and nonfinancial companies clarifies that such loans and extensions of The Committee is directed to report to are generally prohibited from owning credit are not covered by section 23A as long Congress within one year of enactment of as (i) the insured depository institution ap­ this Act on proposed legislative or regu­ banks or being owned by a bank hold­ proves them in accordance with substan­ latory actions that will improve the exam­ ing company. tially the same standards and procedures and ination process to permit better oversight of These outdated financial institution on substantially the same terms that it ap­ all insured depository institutions. It is also laws hurt consumers by artificially in­ plies to similar loans or extensions of credit directed to establish uniform principles and creasing the costs of financial services, that do not involve the payment of the pro­ standards for examinations. reducing the availability of financial ceeds to an affiliate, and (11) the loans or ex­ TITLE ill tensions of credit are not made for the pur­ products, and reducing the level of con­ pose of evading any requirement of section Section 301 : Effective date venience in the delivery of financial 23A. The Act will become effective on the date services. These laws hurt small busi­ Section 104: Amendments to the Banking Act of of enactment. nesses-an engine of job growth in the 1933 Mr. GRAMS. Mr. President, I rise American economy-by artificially Subsection (a) amends section 20 of the today in support of the Depository In­ limiting the amount of equity capital Glass-Steagall Act so that it does not apply stitution Affiliation Act, which has available for expanded activity. These February 11, 1997 CONGRESSIONAL RECORD-SENATE 1881 laws weaken the international com­ This legislation will provide for com­ both in need of repair. Irreplaceable petitiveness of America's financial in­ petitive equality among all financial records and priceless memorabilia are stitutions by prohibiting them from of­ services providers. Its provisions have in danger of being destroyed because of fering the range of financial services been carefully crafted to provide a moisture damage and structural prob­ that foreign financial institutions may level playing field for banks, thrifts, lems. Each year, 9,000 young students offer. securities companies and insurance visit the West Orange site to learn It should be noted that the Glass­ companies. This charter up approach about the great inventor. Our legisla­ Steagall Act-which created the com­ will permit all of these companies to tion, at no cost to the Government, partmentalized structure of financial become Financial Services Holding would provide the funds necessary to services that we have today-was based Companies, and will not prevent cur­ protect these and five other historical upon the false premise that the mas­ rent financial institutions from con­ sites so that generations of school­ sive amount of bank failures that oc­ ducting any activities that they cur­ children can continue to visit them. curred during the Great Depression was rently conduct. Let me emphasize that this legisla­ caused by the securities activities that In closing, I look forward to sup­ tion would have no net cost to the Gov­ these banks conducted. However, just porting Chairman D'AMATO in his ef­ ernment. In fact, because circulating the opposite is true: Diversification in forts to pass financial modernization coins are a source of Government rev­ financial services actually increased legislation. It is my hope that 1997 will enue known as seigniorage, this bill the safety and soundness of the banks. be the year that we join together and would reduce Government borrowing Between 1929 and 1933, 26.3 percent of create a bipartisan bill that will reform requirements, thereby lowering the an­ all national banks failed. However, the our laws so that America's financial in­ nual interest payments on the national failure rate for those banks that con­ stitutions will be able to compete, in­ debt. An Edison commemorative coin ducted securities activities was lower. novate and grow to meet the chal­ program also has strong support among Of the national banks in 1929 that ei­ lenges of the 21st century. America's numismatists, whose inter­ ther had securities affiliates or had in­ est is crucial to the success of any coin ternal bond departments, only 7.2 per­ By Mr. LAUTENBERG (for him­ program. cent had failed by 1933. The message self, Mr. DEWINE, Mr. LEVIN, Mr. President, I introduced similar from these statistics is clear: We Mr. INOUYE, Mr. COVERDELL, legislation at the end of the 104th Con­ should encourage competition and di­ and Mr. ABRAHAM): gress. I introduce it again on the 150th versification, not discourage it. S. 299. A bill to require the Secretary birthday of this great American inven­ Last year, Congress passed a bipar­ of the Treasury to mint coins in com­ tor with the anticipation that my col­ tisan and comprehensive legislative memoration of the sesquicentennial of leagues will join me in honoring the initiative to reform the Telecommuni­ the birth of Thomas Alva Edison, to re­ memory of Thomas Alva Edison while cations Act and stimulate competition design the half dollar circulating coin providing sorely needed funds to impor­ and innovation in the telecommuni­ for 1997 to commemorate Thomas Edi­ tant historical sites. cations industry. Similar action is son, and for other purposes; to the I urge my colleagues to support this needed this year to stimulate the Committee on Banking, Housing, and legislation and ask unanimous consent growth and global competitiveness of Urban Affairs. that a copy of the bill be printed in the our financial services industry. The Depository Institution Affili­ THE THOMAS AL VA EDISON SESQUICENTENNIAL RECORD. COMMEMORATIVE COIN ACT There being no objection, the bill was ation Act creates a new Financial Services Holding Company structure Mr. LAUTENBERG. Mr. President, I ordered to be printed in the RECORD, as that will permit banks, thrifts, securi­ rise on behalf of Senators DEWINE, follows: ties companies and insurance compa­ LEVIN, INOUYE, COVERDELL, ABRAHAM, S.299 nies to affiliate and cross-market their and myself, to introduce legislation Be it enacted by the Senate and House of products. This structure will do this that would direct the Secretary of the Representatives of the United States of America while maintaining consumer protec­ Treasury to mint coins commemo­ in Congress assembled, tions and the safety and soundness of rating the 150th anniversary of Thomas SECTION 1. SHORT TITI.E. the Federal deposit insurance system. Alva Edison's birth. The introduction This Act may be cited as the "Thomas This legislation will greatly benefit of this legislation today, February 11, Alva Edison Sesquicentennial Commemora­ is significant because Thomas Edison tive Coin Act". consumers. The D'Amato bill's termi­ SEC. 2. FINDINGS. nation of affiliation restrictions will was born 150 years ago. Mr. President, few Americans have The Congress finds that- significantly increase competition in (1) Thomas Alva Edison, one of America's the financial services industry. Con­ had a greater impact on our Nation, greatest inventors, was born on February 11, sumers' costs in the purchase of insur­ and our world, than Thomas Edison. He 1847, in Milan, Ohio; ance, securities and banking products produced more than 1,300 inventions, (2) the inexhaustible energy and genius of will be lowered. The bill's termination including the incandescent light bulb, Thomas A. Edison produced more than 1,300 of crossmarketing restrictions will in­ the alkaline battery, the phonograph, inventions in his lifetime, including the in­ crease consumer convenience, as con­ and motion pictures. candescent light bulb and the phonograph; sumers will be able to do one-stop In 1928, the Congress saw fit to award (3) in 1928, Thomas A. Edison received the to Mr. Edison a Congressional Gold Congressional gold medal "for development shopping for all of their financial serv­ and application of inventions that have revo­ ices needs. The D' Amato bill does all of Medal "for development and applica­ lutionized civilization in the last century"; this while maintaining the statues and tion of inventions that have revolu­ and regulations that protect consumers tionized civilization in the last cen­ (4) 1997 will mark the sesquicentennial of from fraud and discrimination. tury." The legislation I am introducing the birth of Thomas A. Edison. This legislation will maintain the today would once again honor one of TITLE I-COMMEMORATIVE COINS safety and soundness of the Federal de­ the world's greatest inventors by SEC. 101. COIN SPECIFICATIONS. posit insurance system. The D'Amato issuing both commemorative and cir­ (a) DENOMINATIONS.-In commemoration of bill protects banks from being affected culating coins with Mr. Edison's like­ the sesquicentennial of the birth of Thomas by affiliate and holding company insol­ ness. A. Edison, the Secretary of the Treasury vency by implementing firewalls that These coins not only would honor the (hereafter in this Act referred to as the prohibit affiliates from raiding the in­ memory of Thomas Edison, they would "Secretary") shall mint and issue- (1) not more than 350,000 Sl coins, each of sured bank. As added protection, it re­ also raise revenue to support organiza­ which shall- quires that if a bank becomes anything tions that preserve his legacy. The two (A) weigh 26. 73 grams; less than satisfactorily capitalized, the New Jersey Edison sites, the "inven­ (B) have a diameter of 1.500 inches; and Financial Services Holding Company tion factory" in West Orange and the (C) contain 90 percent silver and 10 percent must immediately divest of the bank. Edison Memorial Tower in Edison, are copper; and 1882 CONGRESSIONAL RECORD-SENATE February 11, 1997 (2) not more than 350,000 half dollar coins, (2) DISCOUNT.-Sale prices with respect to coins under this title will not result in any each of which shall­ prepaid orders under paragraph (1) shall be net cost to the United States Government. (A) weigh 12.50 grams; at a reasonable discount. (b) PAYMENT FOR COINS.- A coin shall not (B) have a diameter of 1.205 inches; and (d) SURCHARGES.-All sales of coins minted be issued under this title unless the Sec­ (C) contain 90 percent silver and 10 percent under this title shall include a surcharge of­ retary has received- copper. (1) $14 per coin for the Sl coin; and (!) full payment for the coin; (b) LEGAL TENDER.-The coins minted (2) $7 per coin for the half dollar coin. (2) security satisfactory to the Secretary under this title shall be legal tender, as pro­ SEC. 106. GENERAL WAIVER OF PROCUREMENT to indemnify the United States for full pay­ vided in section 5103 of title 31, United States REGULATIONS. ment; or Code. (a) IN GENERAL.-Except as provided in (3) a guarantee of full payment satisfac­ (C) NUMISMATIC ITEMS.-For purposes of subsection (b), no provision of law governing tory to the Secretary from a depository in­ section 5134 of title 31, United States Code, procurement or public contracts shall be ap­ stitution whose deposits are insured by the all coins minted under this title shall be con­ plicable to the procurement of goods and Federal Deposit Insurance Corporation or sidered to be numismatic items. services necessary for carrying out this title. the National Credit Union Administration SEC. 102. SOURCES OF BULLION. (b) EQUAL EMPLOYMENT OPPORTUNITY.­ Board. The Secretary shall obtain silver for mint­ Subsection (a) shall not relieve any person TITLE ll-CffiCULATING COINS ing coins under this title only from stock­ entering into a contract under the authority SEC. 201. AUTHORITY TO REDESIGN HALF DOL­ piles established under the Strategic and of this title from complying with any law re­ LAR cmCULATING COINS. Critical Materials Stock Piling Act. lating to equal employment opportunity. Section 5112(d) of title 31, United States SEC. 103. DESIGN OF COINS. SEC. 107. DISTRIBUTION OF SURCHARGES. Code, is amended by inserting after the 6th (a) DESIGN REQUIB.EMENTS.- (a) IN GENERAL.-Subject to section 5134(f) sentence the following: " At the discretion of (1) IN GENERAL.-The design of the coins of title 31, United States Code, the first the Secretary, half dollar coins minted after minted under this title shall be emblematic $7,000,000 of the surcharges received by the December 31, 1996, and before July 31, 1998, of the many inventions made by Thomas A. Secretary from the sale of coins issued under may bear the same design as the commemo­ Edison throughout his prolific life. this title shall be promptly paid by the Sec­ rative coins minted under title I of the (2) DESIGNATION AND INSCRIPTIONS.-On retary as follows: Thomas Alva Edison Sesquicentennial Com­ each coin minted under this title there shall (1) MUSEUM OF ARTS AND HISTORY.-Up to 1fr memorative Coin Act, as established under be- to the Museum of Arts and History, in the section 103 of that Act.''. (A) a designation of the value of the coin; city of Port Huron, Michigan, for the endow­ (B) an inscription of the years " 1847-1997"; ment and construction of a special museum By Mr. FEINGOLD (for himself and on the life of Thomas A. Edison in Port and Mr. KOHL): (C) inscriptions of the words " Liberty" , Huron. S. 300. A bill to prohibit the use of " In God We Trust", "United States of Amer­ (2) EDISON BIRTHPLACE ASSOCIATION.-Up to ica", and "E Pluribus Unum". 1h to the Edison Birthplace Association, In­ certain assistance provided under the ·(3) OBVERSE OF corn.-The obverse of each corporated, in Milan, Ohio, to assist in the Housing and Community Development coin minted under this title shall bear the efforts of the association to raise an endow­ Act of 1974 to encourage plant closings likeness of Thomas A. Edison. ment as a permanent source of support for and the resultant relocation of employ­ (b) DESIGN COMPETITION.-Before the end of the repair and maintenance of the Thomas ment, and for other purposes; to the the 3-month period beginning on the date of A. Edison birthplace, a national historic Committee on Banking, Housing, and enactment of this Act, the Secretary shall landmark. Urban Affairs. (3) NATIONAL PARK SERVICE.-Up to Yr to conduct an open design competition for the THE PROHIBITION OF INCENTIVES FOR design of the obverse and the reverse of the the National Park Service, for use in pro­ RELOCATION ACT OF 1997 coins minted under this title. tecting, restoring, and cataloguing historic _(c) SELECTION.-The design for the coins documents and objects at the " invention fac­ • Mr. FEINGOLD. Mr. President, I in­ minted under this title shall be--- tory" of Thomas A. Edison in West Orange, troduce legislation to address an im­ (1) selected by the Secretary after con­ New Jersey. portant and timely issue for the citi­ sultation with the Commission of Fine Arts; (4) EDISON PLAZA MUSEUM.-Up to 1fr to the zens of my State of Wisconsin, and for and Edison Plaza Museum in Beaumont, Texas, others all over our Nation-the issue of (2) reviewed by the Citizens Commemora­ for expanding educational programs on job piracy. tive Coin Advisory Committee. Thomas A. Edison and for the repair and Last month, officials in the State of SEC. 104. ISSUANCE OF COINS. maintenance of the museum. Michigan announced a new initiative (a) QUALITY OF COINS.-Coins minted under (5) EDISON WINTER HOME AND MUSEUM.-Up designed to lure businesses from other this title shall be issued in uncirculated and to 1h to the Edison Winter Home and Mu­ proof qualities. seum in Fort Myers, Florida, for historic States into their own borders. Busi­ (b) MINT FACILITY.--Only 1 facility of the preservation, restoration, and maintenance nesses are provided a tempting incen­ United States Mint may be used to strike of the historic home and chemical laboratory tive to relocate there, tax-free status any particular quality of the coins minted of Thomas A. Edison. for 15 years, if they relocate to select under this title. (6) EDISON INSTITUTE.-Up to 1h to the Edi­ regions of the State. The communica­ (c) COMMENCEMENT OF !SSUANCE.-The Sec­ son Institute, otherwise known as "Green­ tions director for the Michigan Jobs retary may issue coins minted under this field Village", in Dearborn, Michigan, for use Commission, Jim Tobin, was quoted in title beginning on and after the date of en­ in maintaining and expanding displays and actment of this Act. educational programs associated with Thom­ the Wisconsin State Journal as saying (d) TERMINATION OF MINTING AUTHORITY.­ as A. Edison. that the new so-called renaissance No coins may be minted under this title (7) EDISON MEMORIAL TOWER.-Up to 1h to zones program " will aggressively pur­ after July 31, 1998. the Edison Memorial Tower in Edison, New sue Wisconsin companies for relocation SEC. 105. SALE OF COINS. Jersey, for the preservation, restoration, and into Michigan." Presumably, other (a) SALE PRicE.-The coins issued under expansion of the tower and museum. States bordering Michigan will be tar­ this title shall be sold by the Secretary at a (b) ExCESS PAYABLE TO THE NATIONAL NU­ geted as well. price equal to the sum of- MISMATIC COLLECTION.-After payment of the I was extremely disappointed to hear (1) the face value of the coins; amounts required under subsection (a), the that my neighboring State had chosen (2) the surcharge provided in subsection (d) Secretary shall pay the remaining sur­ with respect to such coins; and charges to the National Museum of Amer­ to blatantly target Wisconsin jobs, (3) the cost of designing and issuing the ican History in Washington, D.C., for the rather than focusing its energies on coins (including labor, materials, dies, use of support of the National Numismatic Collec­ creating new jobs for its residents. In machinery, overhead expenses, marketing, tion at the museum. my opm1on, economic development and shipping). (c) Aunrrs.-Each organization that re­ ought not be thought of as a zero-sum (b) BULK SALES.-The Secretary shall ceives any payment from the Secretary game. We live in an era of increasing make bulk sales of the coins issued under under this section shall be subject to the economic interdependence, and respon­ this title at a reasonable discount. audit requirements of section 5134(f)(2) of (c) PREPAID ORDERS.- title 31, United States Code. sible elected officials should be focus­ (!) IN GENERAL.-The Secretary shall ac­ SEC. 108. FINANCIAL ASmJRANCES. ing on regional and national solutions cept prepaid orders for the coins minted (a) No NET COST TO THE GoVERNMENT.- The to the crises in our States' most eco­ under this title before the issuance of such Secretary shall take such actions as may be nomically distressed areas, not on raid­ coins. necessary to ensure that minting and issuing ing each others' jobs. February 11, 1997 CONGRESSIONAL RECORD-SENATE 1883 Upon hearing of the new Michigan Washington to be distributed to other Development Act of 1974 (42 U.S.C. 5308(q)) is initiative, my colleagues Senator KOHL States in order to attract jobs out of amended by adding at the end the following new paragraph: and Congressman TOM BARRETT and I our State, leaving behind communities "(5) PROHIBITION OF USE OF ASSISTANCE TO requested investigations from several whose economic stability has been de­ ENCOURAGE PLANT CLOSINGS AND RESULTANT Federal agencies in order to ascertain stroyed. RELOCATION OF EMPLOYMENT.- whether and to what degree Federal Mr. President, it is not clear if CDBG "(A) IN GENERAL.-Notwithstanding any funds are being used to finance the ren­ dollars are being used by the State of other provision of law, no amount from a aissance zones initiative. We feel Michigan to finance their piracy of grant made under this subsection shall be jobs from my State and from our other used for any activity that is intended or is strongly that our constituents' tax dol­ likely to- lars should not have to help finance the Midwestern neighbors. But in any "(i) facilitate the closing of an industrial efforts of those across State lines who event, the statute should be revised to or commercial plant or the substantial re­ attempt to steal their jobs. prohibit such usage. It is an issue of duction of operations of a plant; and Fortunately, most Federal economic fairness, and it deserves our attention. "(ii) result in the relocation or expansion development grant programs, such as I ask unanimous consent that the text of a plant from one area to another area. of the bill be printed in the RECORD. "(B) NOTICE.-The Secretary shall, by no­ those funded by the Small Business Ad­ tice published in the Federal Register, estab­ ministration and the Economic Devel­ There being no objection, the bill was lish such requirements as may be necessary opment Administration, currently in­ ordered to be printed in the RECORD, as to implement this paragraph. Such notice clude antipiracy language. However, follows: shall be published as a proposed regulation this important anti-piracy provision is s. 300 and take effect upon publication. The Sec­ conspicuously absent in the Commu­ Be it enacted by the Senate and House of Rep­ retary shall issue final regulations, taking nity Development Block Grant [CDBG] resentatives of the United States of America in into account public comments received by Program and several other small pro­ Congress assembled, the Secretary.".• grams administered by the Department SECTION 1. PROHIBITION OF USE OF CERTAIN of Housing and Urban Development ASSISTANCE TO ENCOURAGE PLANT By Mr. McCAIN: CWSINGS AND RESULTANT REW­ S. 301. A bill to authorize the Sec­ [HUD]. CATION OF EMPWYMENT. retary of the Interior to set aside up to Today, Senator KOHL and I are intro­ (a) AUTHORIZATIONS.-Section 103 of the ducing the Prohibition of Incentives $2 per person from park entrance fees Housing and Community Development Act of or assess up to $2 per person visiting for Relocation Act of 1997, a bill we 1974 (42 U.S.C. 5303) is amended- have introduced previously, in both the (1) by inserting "(a)" before "The Sec­ the Grand Canyon or other national park to secure bonds for capital im­ 103d and 104th Congresses. It would retary"; and (2) by adding at the end the following new provements to the park, and for other simply make the CDBG, HUD special subsection: purposes; to the Committee on Energy purpose grants, and HUD economic de­ "(b) PROHIBITION OF USE OF ASSISTANCE TO and Natural Resources. velopment grants consistent with other ENCOURAGE PLANT CLOSINGS AND RESULTANT domestic economic development grant RELOCATION OF EMPLOYMENT.- NATIONAL PARKS LEGISLATION programs, by prohibiting HUD funds "(l) IN GENERAL.-Notwithstanding any •Mr. McCAIN. Mr. President, I in­ from being used for activities that are other provision of law, no amount from a troduce legislation that would allow us grant made under section 106 shall be used to make desperately needed improve­ intended, or likely to facilitate, the for any activity that is intended or is likely ments within America's national closing of an industrial or commercial to- parks. plant, or the substantial reduction of " (A) facilitate the closing of an industrial The National Parks Capital Improve­ operations of a plant; and result in the or commercial plant or the substantial re­ ments Act of 1997 would allow private relocation or expansion of a plant from duction of operations of a plant; and fundraising organizations to enter into one area to another area. Identical leg­ "(B) result in the relocation or expansion of a plant from one area to another area. agreements with the Secretary of the islation is being introduced in the "(2) NOTICE.-The Secretary shall, by no­ Interior to issue taxable capital devel­ House by Representative BARRETT and tice published in the Federal Register, estab­ opment bonds. Bond revenues would Representative KLECZKA. lish such requirements as may be necessary then be used to finance park improve­ We became aware of this problem in to implement this subsection. Such notice ment projects. The bonds would be se­ the way the CDBG language is cur­ shall be published as a proposed regulation cured by an entrance fee surcharge of rently drafted several years ago. In and take effect upon publication. The Sec­ retary shall issue final regulations, taking up to $2 per visitor at participating 1994, Briggs and Stratton, one of Wis­ parks, or a set-aside of up to $2 per vis­ consin's major employers, announced into account public comments received by the Secretary.". itor from current entrance fees. that its Milwaukee plant would be clos­ (b) SPECIAL PURPOSE GRANTS.-Section 107 Our national park system has enor­ ing. As a result, over 2,000 jobs at the of the Housing and Community Development mous capital needs-by last estimate, plant were lost. The total economic im­ Act of 1974 (42 U.S.C. 5307) is amended by add­ over $3 billion for high priority pact on the community was even ing at the end the following new subsection: projects such as improved transpor­ worse: For every four Briggs jobs lost, "(g) PROHIBITION OF USE OF ASSISTANCE TO tation systems, trail repairs, visitor fa­ an estimated one additional job from a ENCOURAGE PLANT CLOSINGS AND RESULTANT cilities, historic preservation, and the supplier or other business that relied RELOCATION OF EMPLOYMENT.- "(l) IN GENERAL.-Notwithstanding any list goes on and on. The unfortunate on Briggs was lost. other provision of law, no amount from a reality is that even under the rosiest At the same time as the Milwaukee grant made under this section shall be used budget scenarios our growing park closing, Briggs and Stratton expanded for any activity that is intended or is likely needs far outstrip the resources cur­ two of its plants in other States. I do to- rently available. not dispute its right to do so. But what " (A) facilitate the closing of an industrial A good example of this funding gap is I find objectionable, Mr. President, is or commercial plant or the substantial re­ at Grand Canyon National Park. The duction of operations of a plant; and that Federal dollars, CDBG funds, were "(B) result in the relocation or expansion park's recently approved park manage­ used to facilitate the transfer of these of a plant from one area to another area. ment plan calls for over $300 million in jobs from one State to another. This "(2) NOTICE.-The Secretary shall, by no­ capital improvements, including a des­ was, in my opinion, a completely inap­ tice published in the Federal Register, estab­ perately needed transportation system propriate use of Federal funds. The lish such requirements as may be necessary to reduce congestion. Despite this Community Development Block Grant to implement this subsection. Such notice enormous need for funding, the Grand Program is designed to expand employ­ shall be published as a proposed regulation Canyon received only $12 million from ment opportunities and economic and take effect upon publication. The Sec­ the Federal Government last year for retary shall issue final regulations, taking growth, not simply move jobs from one into account public comments received by operating costs. The gap is as wide as community to another. There is no the Secretary.". the Grand Canyon itself. Clearly, we way to justify to my constituents that "(c) ECONOMIC DEVELOPMENT GRANTS.-Sec­ must find a new way to finance park they are sending their tax dollars to tion 108(q) of the Housing and Community needs. 1884 CONGRESSIONAL RECORD-SENATE February 11, 1997 Revenue bonding would take us a propriate at certain parks. Under the lating within the National Park System. But long way toward meeting our needs bill, those parks could choose to dedi­ in specific parks-like that of Grand Canyon within the national park system. Based cate $2 per park visitor from current or others with carefully defined Master Plans-this authority to issue bonds could be on current visitation rates at the entrance fees toward a bond issue. put to beneficial use immediately, address­ Grand Canyon, a $2 surcharge would Finally, I want to point out that the ing critically important infrastructure and enable us to raise $100 million from a bill will not cost the Treasury any visitor services improvement programs. bond issue amortized over 20 years. money? On the contrary, it will result I hasten to add that not many parks have That is a significant amount of money in a net increase in Federal revenue. non profit partnerships as strong as Grand which we could use to accomplish First, the bonds will be fully taxable. Canyon National Park has with its affiliates, many critical park projects. Second, making desperately needed im­ the Grand Canyon Association and the Grand I want to emphasize, however, the provements sooner rather than later Canyon Fund. The key to making this bond Grand Canyon would not be the only will reduce total project costs. issuance authority work effectively is the Mr. President, this legislation seeks leadership and managerial competence com­ park eligible to benefit from this legis­ ing from these non profit partners. The Na­ lation. Any park unit with capital to use park entrance fees to their full­ tional Park Service is fortunate to have such needs in excess of $5 million is eligible est potential through bonds. I appre­ strong non profit friends who are able to to participate. Among eligible parks, ciate that some details may remain to both create and manage this financing plan the Secretary of the Interior will deter­ be worked out in this bill and I encour­ within the context of our National Park Sys­ mine which may take part in the pro­ age the administration and other inter­ tem. gram. ested groups to work with me to fine I applaud your foresight and your leader­ I also want to stress that only tune this legislation. But, I believe ship in reintroducing the National Parks that use of revenue bonds to pay the Capital Improvements Act in this current projects approved as part of a park's session of Congress. I heartily endorse your general management plan can be fund­ staggering costs for capital improve­ concern and your continued efforts in seek­ ed through bond revenue. This proviso ments within our parks is an idea ing new solutions to help our national parks. eliminates any concern that the rev­ whose time has come. Kindest regards, enue could be used for projects of ques­ America has been blessed with a rich C.W. BUCHHOLTZ, tionable value to the park. natural heritage. The National Park Executive Director. In addition, only organizations under Service Organic Act, which created the agreement with the Secretary will be National Park Service, enjoins us to NATIONAL TRUST FOR HISTORIC authorized to administer the bonding, protect our precious natural resources PRESERVATION, so the Secretary can establish any for future generations and to provide Washington, DC, February 3, 1997. rules or policies he deems necessary for their enjoyment by the American Hon. JOHN MCCAIN , and appropriate. people. The National Parks Capital Im­ U.S. Senate, Under no circumstances, however provements Act must pass if we are to Washington, DC. successfully fulfill the enduring re­ DEAR SENATOR MCCAIN: On behalf of the would, investors be able to attach liens more than 250,000 members of the National against Federal property in the very sponsibilities of stewardship with Trust for Historic Preservation, I am writing unlikely event of default. The bonds which we have been vested. I urge my to express our support for the National will be secured only by the surcharge colleagues to support me in this impor­ Parks Improvements Act of 1997. This legis­ revenues. tant effort. lation creates, in the form of revenue bonds, Finally, the bill specifies that all I ask unanimous consent that copies an innovative mechanism for funding the professional standards apply and that of letters supporting this legislation backlog of capital investment and deferred the issues are subject to the same laws, from the Environmental Defense Fund, maintenance needs in our National Park rules, and regulatory enforcement pro­ the National Trust for Historic Preser­ System. vation, the Grand Canyon Fund, the Recently, Senator Craig Thomas, the new cedures as any other bond issue. Chairman of the Subcommittee on Parks, The most obvious question raised by National Park Foundation, the Grand Historic Preservation and Recreation, ex­ this legislation is: Will the bond mar­ Canyon Trust, the Friends of Acadia, pressed the view that the challenges facing kets support park improvement issues, Mount Rainier, North Cascades & the National Parks System-specifically the guaranteed by an entrance surcharge? Olympic Fund and the Rocky Mountain backlog of deferred maintenance, repair and The answer is yes, emphatically. Amer­ National Park Associates, Inc., be in­ restoration needs-must be addressed outside icans are eager to invest in our Na­ cluded in the RECORD. that normal annual appropriation process. tion's natural heritage, and with park There being no objection, the letters The National Trust for Historic Preservation visitation growing stronger, the risks were ordered to be printed in the has a particular interest in finding sources of RECORD, as follows: funding for the Sl to $2 billion backlog of res­ would appear minimal. For example, a toration and rehabilitation needs for the recent Washington Times editorial RoCKY MOUNTAIN NATIONAL PARK 20,000 historic structures in our National printed on December 8, 1996, noted that ASSOCIATES, INC., Parks. The National Parks Improvement Act park visitation has increased to nearly Estes Park, CO, February 3, 1997. of 1997 provides a solution to the complex 280 million since 1983, so that now more Senator JOHN MCCAIN, problem, and we look forward to working U.S. Senate, with you on this legislation. than a quarter of a million people visit Washington, DC. our national parks every year. That Sincerely, DEAR SENATOR McCAIN, Permit me to add a EDWARD M. NORTON, Jr. editorial went on to point out that at­ voice of support for the bill you are reintro­ tendance is expected to further in­ ducing known as the National Parks Capital crease to well over 300 million by the Improvement Act. GRAND CANYON FUND, INC. , turn of the century. Many of us affiliated as non profit and Grand Canyon, AZ, January 31 , 1997. Are park visitors willing to pay a lit­ philanthropic partners working to improve Hon. JOHN MCCAIN, and enhance America's National Park Sys­ U.S. Senate, tle more at the entrance gate if the tem are searching for innovative solutions to Washington, DC. money is used for park improvements? address the pressing needs of our parks. The DEAR SENATOR MCCAIN: We are very Again, yes. Time and time again, visi­ concept of the National Parks Capital Im­ pleased to offer our enthusiastic support of tors have expressed their support for provements Act may be innovative within your new legislation, which will enable the increased fees provided that the rev­ the context of national parks, but it is clear­ National Park Service and private partners enue is used where collected and not di­ ly a well-tested tool in the private sector and to use taxable revenue bond funding for the verted for some other purpose devised it is needed now for our park fix-up kits. It benefit of our irreplaceable national parks. is my understanding that it permits bonds to We understand the new legislation incor­ by Congress. be issued at our parks-at least those areas porates the necessary changes to accommo­ With the fee demonstration program having special long-term needs and those date the recreation fee demonstration currently being implemented at parks adept at revenue generation. This legislation project and other interests. around the Nation, an additional $2 is not designed to address every need of the Revenue bonding is an additional tool for surcharge may not be necessary or ap- maintenance backlog which is fast accumu- private partners to utilize in assisting the February 11, 1997 CONGRESSIONAL RECORD-SENATE 1885 National Park Service with meeting the Thank you for your consistent, thoughtful Thank you for your efforts to preserve and overwhelming backlog of unfunded capital support of Grand Canyon National Park and protect our natural heritage. needs. We appreciated your support of the the leadership you have shown in developing Sincerely, parks with your bill S. 1695 (National Parks solutions to help the entire National Park KIM M. EV ANS, Capital Improvements Act of 1996) and were System. Executive Director. very pleased to testify before the United Sincerely, States Senate Subcommittee on Parks, His­ JIM MADDY, ENVIB.ONMENTAL DEFENSE FUND, President. toric Preservation and Recreation last Sep­ Boulder, CO, February 9, 1997. tember. We stand ready to assist you in any Hon. JOHN MCCAIN, appropriate way. U.S. Senate, Sincerely, GRAND CANYON TRUST, February 6, 1997. Washington, DC. EUGENE P. POLK, DEAR SENATOR MCCAIN: In a recent report, Chairman. Hon. JOHN MCCAIN ' Washington, DC. the General Accounting Office told the ROBERT W. KOONS, United States Congress that "the national President. DEAR SENATOR MCCAIN: I am writing to ex­ press Grand Canyon Trust's support for the park system is at a crossroads." The General National Parks Capital Improvements Act of Accounting Office confirmed what many of FRIENDS OF ACADIA, us have known for some time: while the na­ Maine, February 3, 1997. 1997, legislation to authorize a $2.00-per-per­ son surcharge on entrance fees at Grand Can­ tional park system is growing and visitation Re S. 1695--National Parks Capital Improve- is increasing, the resources available to ments Act of 1997. yon and other national parks to secure bonds manage and protect these resources are fall­ Senator JOHN MCCAIN, for capital improvements. ing far short of what is needed to preserve Senator BEN NIGHTHORSE CAMPBELL, We believe the proposed legislation will America's natural and historical heritage. Subcommittee on Parks, Historic Preservation, greatly assist the efforts of the National As a result, the backlog of repairs and main­ and Recreation. Park Service and other entities to generate tenance needed throughout the national DEAR SEN. MCCAIN, SEN. CAMPBELL AND the additional funding so urgently needed to park system has grown to S4 billion. COMMI'ITEE MEMBERS: Friends of Acadia en­ maintain, repair and enhance the infrastruc­ Last year, you proposed legislation that thusiastically supports S. 1695, the National ture of Grand Canyon National Park and would have authorized a limited number of Parks Capital Improvements Act of 1997. others in the National Park System. We sup­ not-for-profit entities to issue taxable bonds, Please add these comments directly to the port the proposed use of the $2.00-per-person the proceeds of which would have been used record. surcharge to generate incremental revenue to make critically needed investment in The bill would allow as much as a $2.00 for park capital projects. units of the national park system. Without user surcharge for visitors to Grand Canyon Grand Canyon Trust shares your concerns creative and innovative approaches such as National Park and allow the issuance of that the park system's, and particularly this, we very likely will never close the gap bonds by a nonprofit park cooperator. The Grand Canyon National Park's, pressing in­ between the financial resources that are bill can apply to other, unspecified parks as frastructure and resource management needs needed to manage and protect our national well. will not be met unless Congress acts to pro­ park system, and the resources that are Friends of Acadia endorses this resourceful vide the new authority proposed in this leg­ available. idea and thinks it may be applicable to Aca­ islation. If those needs are not met, the envi­ I understand that you plan to introduce a dia National Park, which has an approved ronment in the parks and visitors' experi­ similar bill in the 105th Congress, and I am general management plan and currently has ences will continue to deteriorate, an unac­ writing to offer the Environmental Defense capital needs exceeding $5 million. ceptable and unnecessary fate for America's Fund's support for this undertaking. While We respectfully request that, based on con­ "crown jewels," the national parks. no one piece of legislation will solve all of ditions unique to a given park, an individual We look forward to working with you to the problems confronted by the national park may be allowed to set the surcharge achieve passage of this important legisla­ park system, your legislation is a big step in within or above the fee demonstration tion. the right direction. amount, if it is a fee demonstration park. Sincerely, I look forward to working with you as your Friends of Acadia is an independent non­ GEOFFREY S. BARNARD, proposal works its way through the legisla­ profit organization whose mission is to pro­ President. tive process. tect and preserve Acadia National Park and Respectfully, the surrounding communities. We recently JAMES B. MARTIN, raised $4 million in private funds to leverage MOUNT RAINIER, NORTH CASCADES Senior Attorney.• a $4-million park capital appropriation. & OLYMPIC FUND, This was a model private-public partner­ Seattle, WA, January 31, 1997. By Mr. CHAFEE (for himself, Mr. ship. Its success demonstrates that federal Senator JOHN MCCAIN, ROCKEFELLER, Mr. FRIST, Mr. dollars can be effectively multiplied by inno­ Washington, DC. JEFFORDS, and Ms. COLLINS): vative use of philanthropic nonprofits, as is DEAR SENATOR MCCAIN: On behalf of the S. 302. A bill to amend title XVID of envisioned in this bill. Mount Rainier, North Cascades & Olympic Friends of Acadia urges passage of S. 1695. Fund, I would like to state our strong sup­ the Social Security Act to provide ad­ Thank you for your consideration of and port for the upcoming bill that is replacing ditional consumer protections for support for this effort. s. 1695. Medicare supplemental insurance; to Sincerely, The Fund is a non-profit organization, the Committee on Finance. HEIDI A. BEAL, dedicated to the preservation and restora­ THE MEDIGAP PORTABILITY ACT OF 1997 Director of Programs. tion of Washington's National Parks. Organi­ Mr. CHAFEE. Mr. President. Last zations such as the Fund, have been created year, the President signed into law bi­ NATIONAL PARK FOUNDATION, throughout the United States to help fill the partisan legislation that provides Washington, DC, February 3, 1997. increasing gap between national park needs greater portability of health insurance Hon. JOIIN McCAIN, and funds. In 1995, these non-profits contrib­ for working Americans. Today, I join U.S. Senate, Washington, DC. uted approximately S16 mill1on dollars to na­ with my colleagues, Senator ROCKE­ DEAR SENATOR McCAIN: Last year the Na­ tional parks throughout the nation. How­ tional Park Foundation enjoyed working ever, even this impressive figure is only FELLER, Senator FRIST, Senator JEF­ with you on several pieces of legislation, in­ scratching the surface of the National Park FORDS, and Senator COLLINS, in the in­ cluding a bill you authored which would Services needs. troduction of a bipartisan bill that will have allowed the use of taxable bonds to fi­ " The National Park Service was created in provide some of the same guarantees nance long-term capital improvements with­ 1916, with a mandate to manage the national for Medicare beneficiaries who buy in the National Park System. This bill, the parks in such a manner ... as will leave Medicare supplemental insurance or National Parks Capital Improvements Act, them unimpaired for the enjoyment of future MediGap policies. would have generated additional revenue for generations." As financial pressures have Of the 38 million Medicare bene­ America's natural, cultural and historic mounted, it has become increasingly dif­ ficiaries, about 80 percent, or 31 mil­ treasures through an innovative public-pri­ ficult for the parks to fulfill this mission. lion, have some form of Medicare sup­ vate partnership. I believe that passage of the National As the 105th Congress begins, we look for­ Parks Capital Improvements Act, will help plemental insurance, whether covered ward to working closely with you and your parks such as the Grand Canyon, fulfill their through an employer-sponsored health staff on legislation designed to help conserve mission to protect our national treasures for plan, Medicaid or another public pro­ and protect National Parks. present and future generations. gram, or a private MediGap policy. Our ...... ' • I"" - - --;"1.r--...... ,...-.,.~__,..., .... --,,o ... rl...,.••.r ...... ?##"""--...-- .... --••..---.::-...,- ---...:-T"f',~--.#....._~ • .-.-,~~,. • •• ' • • •

1886 CONGRESSIONAL RECORD-SENATE February 11, 1997 bill does several important things for unsuccessfully tried to obtain adequate During the open enrollment period, in­ Medicare beneficiaries who have had Medicare supplemental coverage. surers may not use a preexisting condi­ continuous coverage: Therefore, I would like to share with tion to refuse a policy for an indi­ First, it guarantees that if their plan you the experience of one of my con­ vidual. However, coverage for a specific goes out of business or the beneficiary stituents-Gary Purcell, a 60-year-old preexisting condition can be delayed moves out of a plan service area, he or retired professor from the University of for up to 6 months. This is called un­ she can buy another comparable policy. Tennessee. derwriting. Even though alternative These rules also would apply to a sen­ To say the least, Dr. Purcell's health policies which do not use the under­ ior who has had coverage under a re­ status has been a challenge for him. writing process are available, they do tiree health plan or Medicare Select if Despite a history of multiple illnesses not necessarily offer comparable cov­ their plan goes out of business. including lupus, hypertension, diabe­ erage. Further, Federal law does not Second, it encourages beneficiaries tes, severe heart and kidney disease, guarantee that these alternatives will to enroll in Medicare managed care by and recurrent life-threatening skin in­ continue in the future. Thus, individ­ guaranteeing that they can return to fections, this man kept working. Even uals with disabilities on Medicare may Medicare fee-for-service and, during after suffering a stroke, he kept work­ not receive the same choices of the first year of enrollment, get back ing. Dr. Purcell fought to remain pro­ MediGap plans as their senior counter­ their same MediGap policy if they de­ ductive, but as his condition deterio­ parts. cide they do not like managed care. rated, he was forced to retire on dis­ Third, such stringent requirements Under current law, if a senior wishes to ability. He subsequently developed hinder the efforts of seniors who wish enroll in a Medicare managed care prostate cancer and recently suffered to try a Medicare managed care option. plan, he or she has two options. The an amputation of the left leg. They are afraid of not being able to re­ MediGap policy may be dropped if the One day last fall, he received a letter ceive comparable supplemental cov­ senior chooses a managed care pro­ saying he was eligible for Medicare due erage should they decide to return to gram, or the individual can continue to to disability. In fact, the situation was the traditional fee-for-service Medi­ pay MediGap premiums in the event a little more complicated than that. care. Accordingly, they do not take the that the policy is needed again some Since he had not yet reached his 65th risk of changing. This is perhaps one day-a very costly option for those on birthday, Dr. Purcell was actually reason that enrollment in Medicare fixed incomes. Many seniors fear that being reassigned to Medicare, thus los­ managed care lags far behind the rest if they lose their supplemental policy ing his private health insurance cov­ of the population. We must encourage after entering a managed care plan, it erage. Due to the fact he is eligible for this transition if we are to slow the may be financially impossible for them Medicare because of disability and not growth of Medicare costs. to reenroll in MediGap. age, and because of preexisting medical Fourth, those Medicare beneficiaries Third, it bans preexisting condition conditions, Dr. Purcell could not ob­ whose employer-provided wrap-around exclusion periods for Medicare bene­ tain MediGap coverage and he had no plans are reducing or dropping benefits ficiaries who obtain MediGap policies other insurance options. As a result, he after they become eligible for Medicare when they are first eligible for Medi­ will incur high out-of-pocket costs to will have difficulties purchasing addi­ care. Under current law, any time in­ fill the many gaps in Medicare's cov­ tional coverage. surers sell a MediGap policy, they can erage. Although Dr. Purcell will be eli­ Finally, we must consider those who limit or exclude coverage for services gible for supplemental coverage at age have enrolled in Medicare managed related to preexisting health condi­ 65, 5 years from now, until then he will care plans which terminate contracts tions for a 6-month period. have to spend $500 per month or 25 per­ with Medicare or whom move outside Fourth, it establishes a guaranteed cent of his income on medications to the service area of their plan. In these open enrollment period for those under make up for what Medicare does not circumstances, beneficiaries often need 65 who become Medicare beneficiaries cover. to return to the traditional Medicare because they are disabled. Under cur­ Dr. Purcell explored other options-­ program and may again wish to obtain rent Federal law, Medicare bene­ ways of obtaining less expensive drugs, supplemental coverage. ficiaries are offered a 6-month open en­ but the bottom line is, he will still rollment period only if they are 65. have to pay massive sums of money for To summarize, although our current There are approximately 5 million his medications, money which he does policies may encourage many members Americans who are under 65 years of not have. Unfortunately, his situation of the aging population to obtain con­ age and are enrolled in the Medicare is not unique. Many seniors, as well as tinuous coverage, they are deficient in program. Currently, they do not have other individuals with disabilities, are encouraging the same for individuals access to MediGap policies unless State suffering as well. with disabilities who are unable to ob­ laws require insurers to offer policies How did this happen? What is the tain supplemental coverage even if to them. Our bill provides for a one­ real issue? MediGap insurance policies they have had continuous insurance time open enrollment period for the offer coverage for Medicare's coverage. They also limit the choices current Medicare disabled, which will deductibles and coinsurance and pay of seniors who wish to switch plans or guarantee access to all MediGap plan for many services not covered by Medi­ whose retiree plans terminate or limit options for almost 5 million disabled care. However, for several reasons, the coverage. The situation is simply un­ Americans. current MediGap laws do not always fair. It is true that this bill does not go as meet the needs of Medicare bene­ Last fall, the President signed the far as some would like. Our bill leaves ficiaries-especially individuals with Health Insurance Portability and Ac­ to the states more controversial issues, disabilities. countability Act of 1996 (the "Kasse­ such as continuous open enrollment First, under current law, individuals baum-Kennedy" bill) which addressed and community rating of MediGap pre­ with disabilities who qualify for full health insurance portability for the miums. I believe, however, that this Medicare benefits before the age of 65 small group market. The Medigap legislation will provide seniors similar must wait to purchase MediGap cov­ Portability Act addresses similar guarantees to those that we provided erage until they reach that age. At issues for seniors and individuals with to working Americans under the Kasse­ that time, they are given a 6-month pe­ disabilities. baum-Kennedy legislation. riod of open enrollment. This means First, seniors will now have more Mr. FRIST. Mr. President, I rise to that unlike the elderly, they cannot choices than were available before. speak in support of the MediGap Port­ obtain MediGap insurance when they They will be able to explore the man­ ability Act of 1997. The importance of become eligible for Medicare. aged care options now available, yet this legislation is best expressed by the Second, even when obtainable, still return to their original Medigap many stories of individuals who have MediGap coverage may be limited. plans if they change their minds. February 11, 1997 CONGRESSIONAL RECORD-SENATE 1887 Second, if their retiree health plans mental policies, so-called MediGap nies to fill gaps in their Medicare bene­ terminate or substantially reduce ben­ policies. I am especially pleased that fits. This MediGap insurance com­ efits, seniors will still have access to Senator JEFFORDS, both the new chair­ monly covers the $756 deductible re­ supplemental health insurance without man of the Labor and Human Re­ quired for each hospital stay, the part regard to previous health status. sources Committee and one of the new­ B deductible for doctor visits and doc­ Finally, if their insurance plans est members of the Finance Com­ tor copayments. MediGap policies also should go out of business, seniors will mittee, Senator FRIST, and Senator cover copayments for nursing home still have Medigap options. COLLINS have joined us this year as care, extended rehabilitation, or for In other words, it guarantees choice original cosponsors of our legislation. emergency care received abroad. Some and security for senior citizens on And I continue to be pleased that simi­ MediGap policies cover prescription Medicare. lar legislation has been introduced in drugs. In addition, the bill guarantees ac­ the House of Representatives by the bi­ But even MediGap policies have gaps cess to the same coverage available to partisan team of Representatives because of insurance underwriting seniors for individuals with disabilities NANCY JOHNSON and JOHN DINGELL. practices which prevent beneficiaries in three ways: When enacted, our bipartisan, bi­ from switching MediGap insurers or, as First, it insures that anyone will be cameral bill will make MediGap poli­ in the case of the Medicare disabled, able to enroll in a Medigap plan of cies more portable, more reliable, and from even initially purchasing their choosing without discrimination more accessible for almost 40 million MediGap protection. during the first 6 months of their eligi­ Medicare beneficiaries, including 5 mil­ Employers, looking to lower their bility for full Medicare benefits, re­ lion disabled Medicare beneficiaries. health care costs, are increasingly cut­ gardless of age. Last year, when we introduced this ting back on retiree health benefits. In Second, the bill guarantees that the bill, we were not terribly optimistic just 2 years, employer-sponsored re­ disabled will still have the same access that it would get enacted before the tiree health benefits has dropped by 5 to the array of Medigap choices that end of the 104th Congress. But we put percent. These retirees are forced to go are available to seniors after the en­ forward our legislation anyway to out on the private market and pur­ rollment period ends, although restric­ share our proposal and objectives, chase individual MediGap coverage. tions may apply. begin building momentum for changes Those lucky enough to find insurance And, third, individuals with disabil­ we feel are necessary, and to preview will find their coverage compromised ities who are currently enrolled in the the fact that we would be back in the by preexisting condition limitations. Medicare program will have a one-time 105th Congress with a concerted effort Some won't find an insurer willing to open enrollment period to guarantee to make this a legislative priority. As sell them a policy at any price. their access to all Medigap plan op­ it turns out, having identified MediGap In 1990, I worked with Senator tions. improvements as an area of bipartisan CHAFEE, the minority leader, Senator Dr. Purcell is a responsible middle concern, President Clinton has re­ income American who fell through the sponded directly by adding the same DASCHLE, and the then-chairman of the safety net. He lost both rights and Finance Committee, Senator Bentsen, goal of new MediGap protections as a On enacting a number of measures to choices. In his own words, "I find it so priority he shares and included it in his improve the value of MediGap policies. frustrating that I had really planned recently submitted budget proposal. for the retirement period and had tried We are very happy that our bipartisan We also successfully enacted legisla­ to prepare myself as prudently as pos­ support for improved MediGap protec­ tion that standardized MediGap poli­ sible * * * Yet, I had no idea that my tions got noticed by the President and cies so that seniors could more easily comprehensive coverage would cease will be pursued by his administration compare the prices and benefits pro­ after only 2 years. Even though I have in the upcoming budget process. vided by MediGap insurers. always done my best to be a good Mr. President, too many Americans At that time, Congress also man­ worker and to provide for my family, are falling through the gaps in our dated that insurers must sell a the rug was pulled out from under me health care system. For example, con­ MediGap policy to any senior wishing anyway. I feel so helpless." sider the situation of a 44-year-old dis­ to buy coverage when that person first Dr. Purcell went on to say, "I abled man from Capon Bridge, WV. He becomes eligible for Medicare, without thought the issue through and tried to earns too much money to qualify for being subject to medical underwriting. determine where I might have the most Medicaid and is unable to buy a private At the time, there was a worry that in­ impact just as one person * * * I felt MediGap policy because of his medical cluding the Medicare disabled popu­ that my best option was to go to the condition. And, there is the 47-year-old lation in this open enrollment period people who represent me * * * in the woman from Slanesville, WV, who is in would escalate premiums for current national legislature." a similar situation. She was uninsured MediGap policyholders. As a result, the Dr. Purcell and the 4 million other before qualifying for Medicare because disabled were not included in this guar­ disabled Americans he represents have of kidney disease. She and her husband anteed issue requirement. Since then, legitimate concerns. So do the 34 mil­ have too many assets to qualify for 12 States have moved ahead and re­ lion senior citizens who are also af­ Medicaid and they can't afford the $300- quired insurers to issue policies to all fected by this issue. They are only ask­ a-month health insurance policy of­ Medicare beneficiaries in their States, ing for the same rights given to work­ fered by her husband's employer. They including the disabled. To my knowl­ ing Americans. They are coming to us, have not been able to find an insurer edge, not one State has reported large their elected representatives, for help. willing to sell them a MediGap policy hikes in premi urns as a result of their Mr. President, I challenge my col­ to help with Medicare's hefty cost­ new laws. leagues and the insurance industry to sharing requirements. A MediGap pol­ We have also asked the American respond to these beneficiaries. This bill icy would be more affordable for them Academy of Actuaries for an inde­ will provide freedom of choice for sen­ than the insurance policy offered by pendent analysis of our legislation. We iors and individuals with disabilities. It her husband's employer which dupli­ are confident that their evaluation of is a step forward in our battle to im­ cates, rather than supplements, Medi­ our bill will lay to rest any concerns prove health care access for all of our care's benefits. Many of the 50,000 dis­ about wild hikes in MediGap premiums citizens and I give it my full support. abled West Virginians who qualify for because of our provision to end the cur­ Mr. ROCKEFELLER. Mr. President, I Medicare are in a similar situation. rent law discrimination against the am pleased to be reintroducing a bill This is wrong and we can do better. disabled. with my colleague from Rhode Island, Mr. President, almost 8 in 10 older Mr. President, our bill would protect Senator CHAFEE, to improve the secu­ Americans have opted to purchase poli­ all Medicare beneficiaries by guaran­ rity and protection of Medicare supple- cies through private insurance compa- teeing them MediGap coverage if they 1888 CONGRESSIONAL RECORD-SENATE February 11, 1997 are forced to change their MediGap in­ Co. increased by 17 percent between of Michigan. Today I rise along with surer, or if their employer stops pro­ 1995 and 1996. In Ohio, premiums in­ my colleague from Michigan, Senator viding retiree health benefits. Specifi­ creased by 30 percent and in California LEVIN, to reintroduce our legislation cally, our bill would require MediGap by 37 percent. providing a Medicare 50/50 enrollment insurers to sell Medicare beneficiaries Congress has considerable history in composition rule waiver for the a new MediGap policy without any pre­ trying to guarantee at least a minimal Wellness Plan of Detroit, MI. existing condition limitations if an in­ level of value across all MediGap poli­ The Wellness Plan is a federally cer­ dividual moves outside the State in cies. Under the current law, individual tified Medicaid health maintenance or­ which the insurer is licensed, or the and group MediGap policies must spend ganization located in Detroit, MI. It health plan goes out of business; if an at least 65 and 75 percent, respectively, has approximately 150,000 enrollees­ individual loses their employer-spon­ of all premium dollars collected, on roughly 140,000 of whom are Medicaid, sored retiree health benefits; if an indi­ benefits. If a MediGap plan fails to while only about 2,000 are Medicare vidual enrolled in a health mainte­ meet these minimum loss ratios, they beneficiaries. Since 1993, the Wellness nance organization [HMO] or Medicare must issue refunds or credits to their Plan has had a health care prepayment Select policy moves outside of a heal th customers. plan contract with Medicare. However, plan's service area, or if the HMO's Mr. President, while Federal loss technical changes enacted by Congress contract is canceled; or if an individual ratio standards help assure a minimum effective January 1, 1996, unintention­ enrolled in a HMO or a Medicare Select level of value, they do not prevent in­ ally prevent the Wellness Plan from policy decides during their first 12 surance companies from annually up­ enrolling additional Medicare bene­ months of enrollment to return to a ping premiums as a senior ages. This ficiaries under the HCPP contract. So MediGap fee-for-service policy. practice, known as attained age-rating, the Wellness Plan is positioned to be­ Mr. President, our bill gives Medi­ results in the frailest and the lowest come a full Medicare risk contractor, care beneficiaries an opportunity to income seniors facing large, annual it currently is precluded from doing so try out a managed care plan without premium hikes as they age. I would due to the 50/50 Medicare enrollment worrying about losing their option to hope that more States would follow the composition rule. return to fee-for-service medicine. Un­ lead of the 10 States that have already Mr. President, it is important to note derstandably, many seniors worry banned attained age-rating. This would that even the Heal th Care Financing about enrolling in a managed care or­ vastly improve the affordability of Administration has supported the ganization if it means losing access to MediGap for the oldest and frailest of Wellness Plan receiving this plan-spe­ their lifelong doctor. Our bill would en­ our seniors. cific 50/50 waiver. We also expect a courage Medicare beneficiaries to try Mr. President, to repeat what I said companion bill to be introduced in the out a managed care plan to see if it last year, our bill is a targeted, mod­ other Chamber shortly, and we expect suits them, but our bill gives them a est, proposal. But it would provide very it to be cosponsored by the entire way back to fee-for-service medicine, if real and very significant help to mil­ Michigan delegation. that ends up being their personal pref­ lions of Medicare beneficiaries who, Because this legislation is essentially erence. year in and year out, pay out billions noncontroversial, affects only the Our legislation bans insurance com­ of dollars in premiums to have peace of State of Michigan, and is supported by panies from imposing any preexisting mind when it comes to the cost of their the entire State delegation, it is our condition limitation during the 6- health care. It is wrong and unfair earnest hope that the Senate will act month open enrollment period for when senior and disabled citizens in on this measure as expeditiously as MediGap insurance when a person first West Virginia and across the country possible. There is no rational justifica­ qualifies for Medicare. This change are suddenly dropped by insurers or de­ tion for preventing the Wellness Plan from current law makes the rules for nied a MediGap policy just because from enrolling new Medicare bene­ MediGap policies consistent with the they move to another State, or their ficiaries into its health plan. If our recently enacted Kassebaum-Kennedy employer cuts back on promised re­ goal is to allow a wider variety of op­ bill for the under-65 population, and tiree health benefits, or because tions and choices of health care plans with Medicare coverage which begins they're disabled. for our seniors, a good place to start is immediately, regardless of any pre­ Mr. President, it is always a pleasure to allow those Michigan residents who existing conditions. to be working on legislation with the wish to join this particular health Mr. President, our bill also includes a Senator from Rhode Island. Senator maintenance organization to be able to section to help seniors choose the right CHAFEE has a long, impressive, and, do so. heal th plan for them by ensuring that more important, successful record in Mr. President, I wish to thank my they get good information on what enacting legislation that has helped friend and colleague from Michigan, plans are available in their area. It al­ millions of seniors, children, and dis­ Senator CARL LEVIN, for once again lows them to compare different health abled. I urge my colleagues to join Sen­ supporting and helping me with this ef­ plans based on results of consumer sat­ ators JEFFORDS, FRIST, and COLLINS in fort. I look forward to working with isfaction surveys, and will include in­ cosponsoring this bill, and to help us him to see that this measure which has formation on benefits and costs. extend more of the health care peace of such broad support in Michigan be­ Our bill does not directly address af­ mind that older and disabled Ameri­ comes enacted in the very near future. fordability. And, even since we intro­ cans ask for and deserve. Mr. President, I ask unanimous con­ duced our original bill last September, sent that the text of the bill be printed there is growing evidence that By Mr. ABRAHAM (for himself in the RECORD. MediGap premiums are skyrocketing. I and Mr. LEVIN): There being no objection, the bill was am hopeful that the Finance Com­ S. 303. A bill to waive temporarily ordered to be printed in the RECORD, as mittee will take a closer look at this the Medicare enrollment composition follows: issue during its deliberations on other rules for the Wellness Plan; to the S.303 Medicare reform initiatives. Between Committee on Finance. Be it enacted by the Senate and House of J?ep­ 1995 and 1996, large numbers of seniors MEDICARE WAIVER FOR THE WELLNESS PLAN OF resentatives of the United States of America in received double-digit increases in their DETROIT, MI Congress assembled, MediGap premiums. These increases Mr. ABRAHAM. Mr. President, at the SECTION 1. WAIVER OF MEDICARE ENROLLMENT were far in excess of Social Security end of the last Congress I expressed my COMPOSmON RULES FOR THE WELLNESS PLAN. cost-of-living increases and varied dra­ disappointment at the unwillingness of The requirements of section 1876(f)(l) of matically across States. In my own this body and the other Chamber to the Social Security Act (42 U.S.C. State of West Virginia, MediGap poli­ move legislation that I believe is im­ 1395mm(f)(l)) are waived with respect to cies sold by the Prudential Insurance portant to the health care of the people Comprehensive Health Services, Inc. (doing February 11, 1997 CONGRESSIONAL RECORD-SENATE 1889 business as The Wellness Plan) for contract S. RES. 52 Whereas because 1/4 of the air traffic of periods through December 31, 2000. Whereas, during the last few months farm American Airlines is in foreign air commerce •Mr. LEVIN. Mr. President, today I milk prices have experienced substantial vol­ (as that term is defined in section 40102 of am joining with my colleague Senator at111ty, dropping precipitously from $15.37 title 49, United States Code), a strike would ABRAHAM in introducing legislation per hundredweight in September, 1996 to have an adverse effect with respect t<>- $11.34 per hundredweight in December, 1996, (1) the expansion of the market of United that would provide the Wellness Plan while simultaneously there have been record States goods and services in foreign coun­ of Michigan with a Medicare 50/50 en­ high costs for cattle feed; tries; and rollment composition rule waiver. I Whereas, there is a strong sense of finan­ (2) the trading partners of the United was disappointed that Congress did not cial crisis in the dairy industry; States: Now, therefore, be it enact this waiver last session as the Whereas, many dairy farmers have looked Resolved, That it is the sense of the Sen­ to the Federal government for relief because ate that- Wellness Plan is the prototype for the (1) the President should work in conjunc­ type of health maintenance organiza­ minimum milk prices under the Milk Mar­ keting Orders are established by the Depart­ tion with the National Mediation Board to tion into which many Medicare bene­ ment of Agriculture; facilitate a resolution of the labor dispute ficiaries will want to enroll. It is my Whereas, the price of cheese at the Na­ between the Allied Pilots Association and hope that the Senate will act expedi­ tional Cheese Exchange in Green Bay. Wis­ AMR, the parent company of American Air­ tiously on this legislation so that consin influences milk prices paid to farmers lines; and because of its use in the Department of Agri­ (2) the President should­ Michigan Medicare beneficiaries may (A) encourage- have the opportunity to enroll in this culture's Basic Formula Price under Federal (i) the settlement of the issues that are the well-established, quality plan.• Milk Marketing Orders; Whereas, less than one percent of the subject of the labor dispute through the use cheese produced in the United States is sold of the services of the National Mediation Board established under section 4 of the ADDITIONAL COSPONSORS on the National Cheese Exchange and the Exchange acts as a reference price for as Railway Labor Act (45 U.S.C. 154) before mid­ night on February 15, 1997 (which is the date S.206 much as 95 percent of the commercial bulk At the request of Mr. REID, the name cheese sales in the nation; specified by the Allied Pilots Association as of the Senator from Louisiana [Mr. Whereas, there has been some concern the deadline for averting a strike); or BREAUX] was added as a cosponsor of S. among dairy producers that the prices at the (ii) the achievement, by the date specified National Cheese Exchange may have been in clause (i), of an agreement by the parties 206, a bill to prohibit the application of to the dispute to arbitrate the issues that the Religious Freedom Restoration Act manipulated downward, benefiting proc­ essors at the expense of dairy farmers; are the subject of the labor dispute through of 1993, or any amendment made by the National Mediation Board; and Whereas, it is in the national interest to (B) if necessary, establish a board under such act, to an individual who is incar­ ensure that market prices for milk, cheese, cerated in a Federal, State, or local and other dairy products are determined by section 10 of the Railway Labor Act (45 correctional, detention, or penal facil­ a fair and competitive marketplace; Now, U.S.C. 160) to serve as an emergency board to ity, and for other purposes. therefore, be it investigate the matter relating to the labor Resolved, That it is the Sense of the Senate dispute and to make a report to the Presi­ s. 251 dent in the manner prescribed in that sec­ At the request of Mr. SHELBY, the of the United States that the Secretary of Agriculture should act immediately pursu­ tion. name of the Senator from Nebraska ant to his legal authority to modify the [Mr. HAGEL] was added as a cosponsor Basic Formula Price for dairy by replacing of S. 251, a bill to amend the Internal the National Cheese Exchange as a factor to AMENDMENTS SUBMITTED Revenue Code of 1986 to allow farmers be considered in setting the Basic Formula to income average over 2 years. Price and to establish in its place an equiva­ THE BALANCED BUDGET S.277 lent pricing mechanism more reflective of At the request of Mr. COCHRAN, the the actual market conditions for cheese and CONSTITUTIONAL AMENDMENT name of the Senator from North Caro­ other dairy products nationally. lina [Mr. FAIR.CLOTH] was added as a co­ DODD AMENDMENT NO. 4 sponsor of S. 277, a bill to amend the SENATE RESOLUTION 53- Mr. DODD proposed an amendment Agricultural Adjustment Act to restore RELATIVE TO A DISPUTE to the joint resolution (S.J. Res. 1) pro­ the effectiveness of certain provisions posing an amendment to the Constitu­ regulating Federal milk marketing or­ Mrs. HUTCffiSON (for herself, Mr. tion of the United States to require a ders. GRAMM, and Mr. D'AMATO) submitted the following resolution; which was re­ balanced budget; as follows: S.294 On page 3, line 7, strike beginning with At the request of Mrs. HUTClilSON, the ferred to the Committee on Labor and Human Resources: "is" through line 11 and insert "faces an im­ names of the Senator from Arizona minent and serious military threat to na­ [Mr. McCAIN], the Senator from Mis­ S. RES. 53 tional security as declared by a joint resolu­ souri [Mr. ASHCROFT], the Senator from Whereas a strike by the Allied Pilots Asso­ tion.''. Alaska [Mr. STEVENS], the Senator ciation, the union of the pilots of American from New Hampshire [Mr. SMITHJ, and Airlines, could lead to a severe disruption in the Senator from North Carolina [Mr. air service; AUTHORITY FOR COMMITTEES TO Whereas such a strike could result in the MEET FAIR.CLOTH] were added as cosponsors of loss of employment by tens of thousands of S. 294, a bill to amend chapter 51 of individuals in the United States; COMMITTEE ON AGRICULTURE, NUTRITION, AND title 18, United States Code, to estab­ Whereas such a strike would affect ap­ FORESTRY lish Federal penalties for the killing or proximately 20 percent of the domestic air­ Mr. HELMS. Mr. President, I ask attempted killing of a law enforcement line traffic in the United States; unanimous consent that the Com­ officer of the District of Columbia, and Whereas such a strike would cause more mittee on Agriculture, Nutrition, and than 75,000 American Airlines employees to Forestry be allowed to meet during the for other purposes. be idle; Whereas such a strike would affect- session of the Senate on Tuesday, Feb­ (1) the livelihood of thousands of other ruary 11, 1997, at 9 a .m. in SRr-328A to SENATE RESOLUTION 52-CON- workers employed in airline and airport sup­ discuss reform to the Commodity Ex­ CERNING THE NEED TO AD­ ply industries; and change Act. DRESS THE CURRENT MILK CRI­ (2) commerce relating to tourism, logis­ The PRESIDING OFFICER. Without SIS tics, and business requiring travel; objection, it is so ordered. Mr. SPECTER (for himself, Mr. Whereas such a strike would cause sub­ COMMITTEE ON ARMED SERVICES stantial adverse economic effects in commu­ SANTORUM, Mr. FEINGOLD, Mr. KOHL, nities of the United States; Mr. HELMS. Mr. President, I ask Mr. JEFFORDS, and Mr. LEAHY) sub­ Whereas such a strike could jeopardize the unanimous consent that the Com­ mitted the following resolution; which largest order made in history for the produc­ mittee on Armed Services be author­ was ordered to lie over, under the rule: tion of civ111an aircraft; and ized to meet at 10 a.m. on Tuesday, 1890 CONGRESSIONAL RECORD-SENATE February 11, 1997 February 11, 1997, in closed session, to Erica's headmaster Thomas Pike de­ "It started when I was about 6. My mom receive a briefing on the situation in scribes her as "a delightfully different had married my stepdad. He was in the Army Bosnia and the status of U.S. military young person." Counselor Kit and he took me for a tank ride one day and I just thought that was the coolest thing. I forces participating in the stabilization Llewellyn sees her as a "risk-taker" admired the discipline in the Army." force [SFOR]. and admires her integrity. Next scene: Erica gets her first paying job, The PRESIDING OFFICER. Without Erica's military career dreams began earning $5 an hour to format computer disks objection, it is so ordered. at the age of 6 when her stepfather for her mom's boss at the Internal Revenue COMMITTEE ON FOREIGN RELATIONS took her for a tank ride. At the tender Service. She is 8. Mr. HELMS. Mr. President, I ask young age of 8 she began working for Next scene: Erica is stepfatherless, owing unanimous consent that the Com­ her mother's boss formatting computer to divorce. She and her mom, Pamela Scott, disks for $5 an hour. Entering as a sev­ are living in Louisville. Erica masters public mittee on Foreign Relations be author­ school effortlessly. "I was so used to just ized to meet during the session of the enth-grader at the respected Saint showing up for class, reading the newspaper Senate on Tuesday, February 11, 1997, Francis, she was immediately placed in during first period and not doing any work immediately after the first rollcall the freshman class, where, lacking a all day and still getting an A in every single vote to hold a business meeting to vote girls basketball team, Erica played on class I took." So her mom takes Erica to St. on pending i terns. the boy's team. She has participated in Francis, a downtown school of high academic The PRESIDING OFFICER. Without a Russian exchange program, the Duke reputation and equally stratospheric cost University Talent Identification Pro­ (tuition up to $8,140). objection, it is so ordered. Headmaster Thomas Pike recalled, "I re­ COMMITTEE ON LABOR AND HUMAN RESOURCES gram, and served on the Courier-Jour­ nal High School Round Table. And, member her and her mom coming in and her Mr. HELMS. Mr. President, I ask talking about not being academically chal­ unanimous consent that the Com­ amidst her participation on the aca­ lenged, talking about being an environ­ mittee on Labor and Human Resources demic team and the yearbook staff, mental lawyer or biochemist. This is a sev­ be authorized to meet for a hearing on Erica works part-time at the Louisville enth-grader. Just a really bright, lively 13- Science Center year round. year-old, and she has been lively and bright the Health Insurance Portability and ever since . . . a delightfully different young Accountability Act, during the session As you can see, Erica's childhood has been far from average. Notwith­ person." of the Senate on Tuesday, February 11, St. Francis took her and let her skip from 1997, at 9:30 a.m. standing, she has grown into a graceful the seventh to the ninth grade. ("A double The PRESIDING OFFICER. Without young woman whose lofty dreams have bonus," Erica said.) objection, it is so ordered. been realized. Hoping to enter the "Her life has always been action-packed," Judge Advocate General's Corps after COMMITTEE ON VETERANS' AFFAIRS said school counselor Kit Llewellyn. "She's a her years at West Point, Erica aspires skateboarder, a volleyball player, a basket­ Mr. HELMS. Mr. President, the Com­ to serve on the Supreme Court or be ball player. She volunteers regularly .... mittee on Veterans' Affairs would like elected President. Both goals are well She has worked on literary magazines, so her to request unanimous consent to hold a within her grasp. literary analysis is strong and indepth. . . . joint hearing with the House Com­ Mr. President, please join me in hon­ "She's kind of a risk-taker. She likes to mittee on Veterans' Affairs to receive start things. She participated in crew (row­ oring this outstanding young Ken­ ing) when it was founded. She's the first fe­ the legislative presentation of the Vet­ tuckian who has a bright future in the erans of Foreign Wars. The hearing will male from this school to entertain the idea U.S. military. I ask that an article of applying to a military academy." be held on February 11, 1997, at 9:30 which recently appeared in the Louis­ And yet, somewhere in that swirl of action, a.m., in room 345 of the Cannon House ville Courier-Journal be printed in the there's a cerebral center. Office Building. RECORD. The author does a wonderful "I guess what stands out with me for Erica The PRESIDING OFFICER. Without job of capturing Erica's charm and en­ is her integrity," Llewellyn said. "I was her objection, it is so ordered. thusiasm. sponsor at Calvary Episcopal Church when she went through the confirmation. For her The article follows: age (then 15), her questions and her depth of ADDITIONAL STATEMENTS GETTING TO THE POINT understanding, what she was pursuing in her (By C. Ray Hall) belief and in her spiritual self, was very At first blush, the most interesting thing strong. Well-thought-out and very, very TRIBUTE TO ERICA MICHELLE about Erica Pitts is this: Barely 17, she is calm in her approach." PITTS headed for the United States Military Acad­ Oh. And did we mention she wants to be emy to join West Point's legendary long gray president? •Mr. McCONNELL. Mr. President, line. Of the United States. Like the current oc­ each fall, Senators and Congressmen It will probably be the grayest thing that cupant of the Oval Office, she likes turn to the enjoyable task of submit­ has ever happened to her. So far, her life has lawyering. And, like Bill Clinton, she went ting nominations to the U.S. Service been like a colorsplashed, abstract work of to Russia at a tender age, as part of an ex­ art in progress. change program. Academies. This year, like every other, Erica was nominated to West Point last my office was flooded with applications Erica Pitts has been interesting for a long time. She was interesting even in the womb. year by then-Congressman Mike Ward. For from qualified young men and women­ "I was named after a soap-opera char­ the physical test, she returned to Fort Knox, students with excellent academic acter," she said. "Because I was trouble. My the scene of her first infatuation with the records, students whose extra­ mom went into labor and so she went to the Army. She passed the exam, which includes curricular activities would drive the hospital." running, throwing a basketball while on most patient parent crazy, students False alarm. your knees and hanging on a chin-up bar. who donate endless hours to commu­ "They sent her back home. Then I was Some girls immediately drop off the bar. She nity service projects. However, rarely about ready to pop out so they called the held on for 31 seconds. do I see a young person possessing all ambulance. I was almost born in the ambu­ The audience included Lt. Col. Don M1ller, lance. I was almost born outside on the way an Army reservist who serves as a West of this and more. into the hospital. I was almost born in the Point liaison (and, in another life, helps run This year I proudly nominated Erica lobby. I was almost born in the elevator, but a Louisville brokerage). After interviewing Michelle Pitts, of Louisville, KY, to finally they got her to a delivery room and her, he wrote to the academy, "Erica is a the U.S. Military Academy, as did Sen­ I was born. I made life a little difficult for very goal-oriented young lady with aspira­ ator WENDELL FORD and then-Congress­ her." tions of becoming president someday.... man Mike Ward. There are many adjec­ Hence the name, Erica: "Yeah, Erica Kane. Erica has excellent people skills and appears tives that can be used to describe Because I was trouble." to possess good leadership traits. Her mother Not even a minute old, and her life was al­ raised Erica alone and this has resulted in Erica-poised, accomplished, brave, ready a cliffhanger. sacrifice, and yet has developed her sense of athletic, energetic, but even combined Next scene in Erica's life: the beginning of commitment." they do not adequately portray her. A an unlikely romance. At Fort Knox:, of all So this is a 17-year-old of greater com­ senior at Saint Francis High School, places. In a tank, of all things. plex:ity than most. During her trip to Russia, February 11, 1997 CONGRESSIONAL RECORD-SENATE 1891 she bought a fur hat. She felt bad about it I didn't get into fistfights or anything, but I cally with the birth of the automobile when she realized rabbits had died to deco­ kind of verbally berated my teacher sopho­ industry. A Dodge Bros. auto plant was rate her head. She thinks the country spends more year, sometimes in front of his class. established in 1914, attracting skilled too much on defense. She clashed openly He didn't like that very much. That's when with a 10th-grade teacher, but she has a kind I learned to start controlling my temper. I and unskilled workers from around the word even for Adolf Hitler. ("He was psycho, felt kind of bad, although I think he kind of Nation and the world. Between 1910 and but he was a brilliant, brilliant ruler.") deserved some of that, although in front of 1920, Hamtramck boasted the greatest This is not your father's West Point cadet. his class was really mean." population growth of any community "She's a free spirit," said Bryan Walde, the On the prospects of harassment or hazing in the United States, going from 3,589 man who teaches her calculus, chemistry from macho military males: to 46,615 residents in a single decade. and basketball at St. Francis. In her grad­ "The sexual harassment thing, I think I While Hamtramck was originally set­ uating class of 38, the animal-loving, de­ would have the guts to just stand up and say, 'Hey, I don't like it. Stop.' Being hazed and tled by the same French colonists who fense-cutting, coffeehouse-and-concert ha­ had settled Detroit, and later farmed bitue might have been voted least likely to stuff like that, once it got to a dangerous go to West Point. point where people were setting me on fire, I by German immigrants, the auto­ " I heard that a lot," she said. would just have to like fight back, period. I mobile industry attracted huge num­ "'You were the last person I thought would not allow somebody to set me on fire bers of Polish workers. Since 1910, would ever go there.' A lot of the people I as part of a hazing ritual. I think I'm strong Hamtramck's Polish population has know are not really anti-government, but enough to handle anything that might be thrown at me as a hazing ritual." grown so rapidly that today, 80 percent they don't like people telling them what to Hazing? Been there, done that, in a non-in­ of its residents stem from first, second, do. I don't really like it myself, but I do need cendiary way. On a basketball court, of all or third generation Polish origin. the discipline. I would love to have the dis­ places. Many of the remainder of Ham­ cipline. And it's one of the best schools in "My favorite moment came freshman tramck's residents are from Central the country. Who would turn that down?" year," she said. "We didn't have a girls' West Point told her the price of the edu­ and Eastern Europe. Having received team yet, so I had to play on the boys' team. the warm and generous hospi tali ty of cation awaiting her. "They valued it as We were playing against a team that was $200,000, which I wouldn't doubt, because I very, very, very chauvinist.... I got in with Michiganite themselves, in 1946 the think West Pointers can easily top people about a minute 40 left, and they were not Polish-American residents of Ham­ who go to Harvard." treating me very well. At first my team­ tramck began welcoming displaced That's obviously the kind of talk they like mates wouldn't even pass me the ball, and fi­ people from Central Europe and the to hear on the cliffs overlooking the Hudson nally one of 'em did. I just stood back behind Balkans. More recently, Hamtramck River. Not that they actually like to hear the three-point line, shot and it went right much talk at all from first-year cadets, or has seen a substantial number of in. Swish. It was perfect. We still lost the Ukrainians join the community. All of "plebes." For a while at West Point, she will game, but I felt better." speak only when bidden. Too bad, for she has Next scene in Erica's life: November 1996. these groups have maintained their lots to say. To wit: The IRS transfers Erica's mom to Nashville. cultural heritage and identity, while On her willowy yet well-fed frame of 5 feet "She and her mother have been a team embracing the ideals and Government 10 inches, 120 pounds: through the years-her mom with pretty of their new country. "I eat a lot. This morning for breakfast, I high expectations and Erica living up to On any street or in any restaurant in had a cheeseburger, two pancakes and a cin­ them," said Llewellyn, the St. Francis coun­ Hamtramck, one can hear any of 25 dif­ namon roll.... selor. On love, sex and all that: Erica stays behind to graduate from her ferent languages being spoken, which is "I manage to stay friends with all of my school. She lives with her grandma, Ellen especially impressive in a city of ex-boyfriends. It's really strange. I think Pitts. "She's been pretty great. I have my slightly more than 2 square miles. partially because there's never any reason own loft, and it's really nice. It's not very Hamtramck is renowned for the best for either of us to be really bitter. I don't big, but it's nice. I've got a computer and a Polish food outside Poland, and the sleep with anybody. I just decided no sex be­ desk and my futon up there, and that's all I hospitality to match, as President fore marriage. So I never had to worry about really need.'' Clinton discovered on a trip to Michi­ sleeping with somebody and then the next For now, at least, she dreams in a loft. But gan in 1996 where he thoroughly en­ morning they just totally ditch me. There's soon enough, the dreams will be aloft. And never any big thing to get really mad about. Erica Pitts' life will get even more inter­ joyed lunch at Polish Village Cafe. It's just a bunch of little things that lead up esting.• Mr. President, Hamtramck's blend of to you saying, 'You know, maybe we cultures has produced a city which shouldn't be together.' So you can just go truly feels like a "Touch of Europe in back to being friends." THE 75TH ANNIVERSARY OF THE America." Under the steady leadership On her idea of cool wheels: CITY OF HAMTRAMCK of Mayor Robert Kozaren, Hamtramck "I want a big Dodge Ram truck as soon as •Mr. LEVIN. Mr. President, I am hon­ is prepared to enter the 21st century I can get a car." (She calculates that that ored today to pay tribute to the city of with a confidence rooted in the varied will be three years hence, with the down pay­ traditions and fervent unifying patriot­ ment saved from her West Point stipend of Hamtramck, MI, which is celebrating $6,600 a year.) its 75th anniversary this year. The peo­ ism of its citizens. I commend the resi­ On her mixed parentage, the result of a ple of Hamtramck call their city a dents and leaders of Hamtramck for college romance that never led to marriage. "Touch of Europe in America," and in­ the community they have built, and A delicate matter? deed it is truly a unique community. am proud to represent them in the U.S. "It never has been. People have asked me Hamtramck is a city within a city, Senate. I hope my colleagues will join about that for a long time. They've asked me whose boundaries on all sides are with me in congratulating the people of if I was mixed and it's never bothered me. the city of Detroit. Yet Hamtramck Hamtramck on the occasion of the I've never really worried about it. Yeah, my dad's white, my mom's black.. . . It's never maintains its own identity, an identity city's 75th anniversary.• been a big deal to me." rooted in its diversity. On her twin ambitions, of being a lawyer The history of Hamtramck predates its incorporation as a city by more JOHN D. MCALISTER: IN and a psychologist: MEMORIAM "I love to argue. That's what appeals to me than 100 years. It is named for Col. about being a lawyer. And I love using words John Francis Hamtramck, who served • Mr. GORTON. Mr. President, it is ... to get a point across. I want to be a psy­ as the first American commander of with sorrow that I recognize the pass­ chologist because I'm so used to doing that: Fort Detroit after it was surrendered ing of a good man and a fine citizen, There are so many people with problems. My by Great Britain in 1796. Originally a Mr. John D. McAlister, who died yes­ friends always come to me for advice." township larger in size than the terday. What's the best advice anyone gave her? John worked at Tree Top in Yakima, "You've got to learn to choose your battles present-day city of Detroit, Ham­ and not fight every single one. That's some tramck was organized as a village in WA, where he served as director of gov­ good advice I got from my mother.... For 1901. ernment affairs. In this capacity he be­ a while, every time somebody did something The village of Hamtramck began came a great friend of the Washington I didn't like, I was ready to argue with them. with 500 people but changed dramati- State congressional delegation and a 1892 CONGRESSIONAL RECORD-SENATE February 11, 1997 magnificent voice for the agricultural support of legislation to ban this particular we agree, albeit in a narrow sense, on the industry. John's activities were not procedure. Among them was my colleague meaning of fundamental terms such as life only confined to his work-he also Sen. Arlen Specter who stated on the floor of and death. And it is with this common point served the Yakima community as a the Senate, "In my legal judgment, the issue of departure and discourse-however nar­ is not over a woman's right to choose within row-that we gain a degree of coherence and member of many agricultural industry the constitutional context of Roe versus unity in our public life and dialogue. organizations and of the Goverment Af­ Wade ... The line of the law is drawn, in my I truly believe that out of the horror and fairs Council of the Association of legal judgment, when the child is partially tragedy of partial birth abortions, we can Washington Businesses, where he sat out of the womb of the mother. It is no find points of agreement across ideological, on the board of directors. longer abortion; it is infanticide." He was political and religious lines which enable us I am honored to have known John joined in these sentiments by other such to work toward a life-sustaining culture. So, consistently pro-choice members as Sen. as hundreds of thousands of faithful and McAlister, and am grateful for his serv­ steadfast citizens come together to partici­ ice to Washington State agriculture Daniel Patrick Moynihan and Sen. Ben Nighthorse Campbell. pate in this year's March for Life let us re­ and to his community in Yakima. Such coalescence with pro-choice pro­ member that such a culture, the culture for John is survived by his wife, Patri­ ponents suggests the enormous scope of the which we hope and pray daily, might very cia, to whom I extend my condolences.• tragedy that this procedure represents. This well be achieved one argument at a time.• broad coalition further confirms that extra­ neous considerations, such as the anticipa­ COMMENDING SENATOR tion of a disabled child, or a mother's broad­ PRESIDENT'S BUDGET PROPOSAL SANTORUM'S SEARCH FOR COM­ ly-defined health concerns, were just that-­ FOR AVIATION MON GROUND IN THE ABORTION extraneous to the debate. And for those who •Mr. McCAIN. Mr. President, I rise DEBATE may still be unclear what a partial birth today to express my deep disappoint­ • Mr. ABRAHAM. Mr. President, I rise abortion procedure is, it is this: a fully ment in the President's 1998 budget re­ to commend my colleague, Senator formed baby-in most cases a viable fetus of 23-26 weeks-is pulled from its mother until quest for critical aviation safety and SANTORUM, for the article he recently all but the head is delivered. Then, a scissors infrastructure purposes. Most notably, had published in the Washington Times is plunged into the base of the skull, a tube the administration proposes to fund concerning partial birth abortion. is inserted and the child's brains are the Airport Improvement Program All too often, Mr. President, debates suctioned out so that the head of the now­ [AIP] at only two-thirds of its current over public policy issues degenerate dead infant collapses and is delivered. level. This represents a drastic cut to into uncivil attacks on each side's mo­ Partial birth abortion is tragic for the in­ our Nation's airport grant program, tives. Mr. SANTORUM's article does an fant who loses his or her life in this brutal which supports airport safety, security, excellent job of showing how this bick­ procedure. It is also a personal tragedy for and capacity programs. ering can be avoided even when the the families who choose the procedure, as it Mr. President, the administration is for those who perform it-even if they issue is as serious and sensitive as aren't aware of it. But partial birth abortion has assured the American public of its abortion. How can we reach common is also a profound social tragedy. It rips commitment to a safe and secure avia­ ground on partial birth abortion? By through the moral cohesion of our public tion system. Without adequate re­ realizing that this procedure has noth­ life. It cuts into our most deeply held beliefs sources, this assurance rings hollow. ing to do with the Supreme Court's de­ about the importance of protecting and cher­ For instance, the White House Com­ cision in Roe versus Wade or the subse­ ishing vulnerable human life. It fractures mission on Safety and Security is due quent decision in Doe versus Bolton. our sense that the laws of our country should to report tomorrow on a number of By realizing that partial birth abortion reflect long-held, commonly accepted moral steps we should take to enhance the se­ norms. curity of the aviation system. I expect is simply unacceptable. Yet this kind of tragedy-can be an unex­ Whatever one's view of abortion, one pected catalyst for consensus, for new coali­ the Commission will offer valuable in­ should recognize this procedure as one tions and configurations in our public life. sight on where we should go from here that is, as Senator DANIEL PATRICK The partial birth abortion debate moves us to implement additional security en­ MOYNIHAN phrased it, "just too close to beyond the traditional pro-life/pro-choice hancements. How we pay for these en­ infanticide." lines of confrontation to hollow out a place hancements is a significant issue. We are a civilized society, Mr. Presi­ in the public square where disparate individ­ In addition, Congress approved and dent. I hope that our debates over this uals and groups can come together and draw the President signed into law the Fed­ contentious issue can be made more a line that they know should not be crossed. eral Aviation Reauthorization Act of civil. I also hope that we can reach The stark tragedy of partial birth abortion 1996. Administration officials hailed can be the beginning of a significant public the importance of the bill's safety and common ground in banning partial discussion, where we define-or redefine-our birth abortion. first principles. Why is such a discussion im­ security initiatives. We all joined to­ Mr. President, I ask that Senator portant? Precisely because it throws into re­ gether at the signing ceremony in SANTORUM's article from the Wash­ lief the fundamental truths around which a praise of the legislation's security im­ ington Times be printed in the RECORD. moral consensus is formed in this country. provements. However, these improve­ The article follows: And, as John Courtney Murray reminds us in ments are meaningless without ade­ We Hold These Truths, Catholic Reflections [From the Washington Times, Jan. 22, 1997) quate financial support. For politicians on the American Proposition, a public con­ to praise their own efforts in a press PARTIAL BmTH ABORTION: THE ART OF sensus which finds its expression in the law AGREEMENT conference and yet fail to provide suffi­ should be "an ensemble of substantive cient resources is cynical, at best. (By Rick Santorum) truths, a structure of basic knowledge, an A wide spectrum of individuals has coa­ order of elementary affirmations ..." Again, I want to be clear. The admin­ lesced around the recent effort to ban partial If we do not have fundamental agreement istration's actions and assurances are birth abortions. These varied individuals and about first principles, we simply cannot en­ only as good as the resources allocated groups have raised their voices in support of gage one another in civil debate. All we have to implement them. Unfortunately, the a ban both because of the brutality of partial is the confusion of different factions locked administration submitted a budget re­ birth abortions and because they recognize in their own moral universe. If we could quest significantly short on aviation that this debate is not about Roe vs. Wade, agree publicly on just this one point-that capital improvements, so that he can the 1973 Supreme Court decision legalizing partial birth abortion is not something our use these resources elsewhere in the abortion. It is not about when a fetus be­ laws should sanction, and if we could then budget to support his spending initia­ comes a baby. And it is certainly not about reveal the consensus-a consensus that I tives. Meanwhile, he knows he can women's health. It is about virtual infan­ know exists-against killing an almost-born ticide, it is about killing a child as he or she infant, we would have significantly advanced count on Congress to step up to the is being born, an issue that neither Roe vs. the discussion about what moral status and plate and restore funding for vital avia­ Wade nor the subsequent Doe vs. Bolton ad­ dignity we give to life in all its stages. Pub­ tion initiatives. Such budget chicanery dressed. lic agreement, codified by law, on this one is neither serious nor responsible. During the Senate debate last year, many prohibition gives us a common point of de­ Past experience bears out this point. traditionally pro-choice legislators voted in parture, a common language even, because When President Clinton took office, February 11, 1997 CONGRESSIONAL RECORD-SENATE 1893 the Airport Improvement Program was that of most any other private business RULES OF THE COMMITTEE ON a $1.9 billion program. Every year, Con­ employee. Even retirement can be a FOREIGN RELATIONS gress has funded the program at a level painful proposition for agricultural • Mr. HELMS. Mr President, pursuant higher than the request. For example, producers who have spent their lives to the requirements of paragraph 2 of in fiscal year 1996, the AIP request was building a security nest egg only to be Senate rule XXVI, I ask to have print­ for $1.3 billion, and Congress enacted a faced with onerous capital gains tax ed in the RECORD the rules of the Com­ $1.45 billion level. In fiscal year 1997, rates and, later, with a confiscatory es­ mittee on Foreign Relations for the the administration requested $1.35 bil­ tate tax when they want to pass their 105th Congress adopted by the com­ lion and Congress responded with a farm along to their children. mittee on January 30, 1997. $1.46 billion appropriation. At the same The rules follow: time, the administration claimed The American consumer still enjoys record-level investments in transpor­ the most plentiful food supply at the RULES OF THE COMMITTEE ON FOREIGN lowest cost in the developed world­ RELATIONS tation infrastructure improvements. (ADOPTED JANUARY 30, 1997) The AIP funds more than just airport thanks to our Nation's agricultural construction projects, which make air­ might. Population growth, rising per RULE I-JURISDICTION capita incomes, expanded trade oppor­ (a) Substantive-In accordance with Sen­ ports safer and enhance the system's ate Rule XXV.l(j), the jurisdiction of the ability to handle ever increasing levels tunities, along with new production Committee shall extend to all proposed legis­ of air traffic. Airports also use these and marketing technologies, are a few lation, messages, petitions, memorials, and funds to support their security pro­ of the reasons why the future of Amer­ other matters relating to the following sub­ grams and purchase security-related ican agriculture is so bright. However, jects: equipment. flexibility in our U.S. Tax Code is still 1. Acquisition of land and buildings for em- The Administration's budget request bassies and legations in foreign countries. needed to strengthen our position as 2. Boundaries of the United States. also proposes reduced funding for the the world's leader in production agri­ 3. Diplomatic service. FAA facilities and equipment account. culture. 4. Foreign economic, military, technical, This account is the principal resource Before 1986, agricultural producers and humanitarian assistance. for modernizing and improving the air 5. Foreign loans. traffic control system, providing en­ were allowed to average their income 6. International activities of the American hanced baggage screening equipment, over a 2-year period, which allowed National Red Cross and the International and enhanced weather detection pro­ greater flexibility in both profit poten­ Committee of the Red Cross. tial and management decisions. This 7. International aspects of nuclear energy, grams. including nuclear transfer policy. I recognize that the Administration tax management tool was repealed in 8. International conferences and con­ has made efforts to bolster its safety the 1986 tax reform bill, but the need gresses. and security work force. Even so, a sig­ for this instrument to reduce the farm 9. International law as it relates to foreign tax burden still remains. policy. nificant funding source for FAA oper­ 10. International Monetary Fund and other ations depends on an unspecified user A fairer and more equitable tax pol­ international organizations established pri­ fee for which the FAA has no statutory icy will also have a profound effect marily for international monetary purposes authority to collect. upon the creation and sustainment of (except that, at the request of the Com­ Mr. President, this is not a serious jobs in rural America. The economic mittee on Banking, Housing, and Urban Af­ budget proposal. The Administration vitality of our rural communities con­ fairs, any proposed legislation relating to should back up its safety and security such subjects reported by the Committee on tinues to hinge on the success of our Foreign Relations shall be referred to the recommendations with enough funding agricultural industry. A prosperous to put them in place. The Nation's air Committee on Banking, Housing, and Urban rural economy means greater opportu­ Affairs). travelers have paid taxes dedicated to nities for the local men and women 11. Intervention abroad and declarations of support the aviation system. They who sell the farm implements, drive war. rightfully expect the Government's the grain and livestock trucks, deliver 12. Measures to foster commercial inter­ commitment to spend these funds on course with foreign nations and to safeguard their intended purpose.• the feed and fuel, market the seed and American business interests abroad. fertilizer, and process the fruits of our 13. National security and international as­ harvest so as to maintain our position pects of trusteeships of the United States. RESTORING INCOME AVERAGING as the world's most efficient and reli­ 14. Ocean and international environmental FOR FARMERS able food supplier. and scientific affairs as they relate to for­ eign policy. • Mr. HAGEL. Mr. President, today I As we continue to move toward a 15. Protection of United States citizens am cosponsoring S. 251, a measure that more market-oriented farm program, abroad and expatriation. will provide farmers and ranchers with farm and ranch producers will need to 16. Relations of the United States with for­ a valuable tool-income averaging-to derive a greater proportion of their in­ eign nations generally. help manage their agricultural oper­ 17. Treaties and executive agreements, ex­ come from the marketplace-and to re­ cept reciprocal trade agreements. ations, improve profitability, and re­ tain a greater proportion of their hard­ 18. United Nations and its affiliated organi­ duce the tax burden on a crucial Ne­ earned income through tax relief. In­ zations. braska livelihood. I commend Senator come averaging is clearly a practice 19. World Bank group, the regional devel­ SHELBY, the bill's principal sponsor, for that will bring some degree of fairness opment banks, and other international orga­ his leadership on this matter. to the U.S. Tax Code. nizations established primarily for develop­ Today's Federal Tax Code is hardly a ment assistance purposes. friend to the family farmer. The current Tax Code adds up to The Committee is also mandated by Senate For example, farmers and ranchers higher taxes, more regulatory burdens, Rule XXV.l(j) to study and review, on a com­ and added retirement worries for Ne­ prehensive basis, matters relating to the na­ do not have access to company or gov­ tional security policy, foreign policy, and ernment pensions and retirement braska farmers who labor year in and international economic policy as it relates plans, in which many other Americans year out in order to feed and clothe the to foreign policy of the United States, and have the ability to participate. Farm­ world. This simply must change. In­ matters relating to food, hunger, and nutri­ ers and ranchers will receive fewer So­ come averaging is one tool that agri­ tion in foreign countries, and report thereon cial Security benefits than workers in cultural producers can utilize to en­ from time to time. hance profits and keep rural dollars in (b) Oversight.-The Committee also has a most other careers since they plow responsibility under Senate Rule XXVI.8, much of their income back into the rural communities. It's time that Con­ which provides that " ... each standing farm And, as self-employed workers, gress properly recognizes the contribu­ Committee . . . shall review and study, on a farmers and ranchers are charged with tions of the family farmers by reducing continuing basis, the application, adminis­ payroll taxes that are nearly double rather than raising their taxes.• tration, and execution of those laws or parts 1894 CONGRESSIONAL RECORD-SENATE February 11, 1997 of laws, the subject matter of which is with­ Chairman does not call the requested special (5) will disclose information relating to the in the jurisdiction of the Committee." meeting, to be held within seven calendar trade secrets or financial or commercial in­ (c) "Advice and Consent" Clauses.-The days after the filing of the request, a major­ formation pertaining specifically to a given Committee has a special responsib111ty to as­ ity of the members of the Committee may person if- sist the Senate in its constitutional function file in the offices of the Committee their (A) an Act of Congress requires the infor­ of providing "advice and consent" to all written notice that a special meeting of the mation to be kept confidential by Govern­ treaties entered into by the United States Committee will be held, specifying the date ment officers and employees; or and all nominations to the principal execu­ and hour of that special meeting. The Com­ (B) the information has been obtained by tive branch positions in the field of foreign mittee shall meet on that date and hour. Im­ the Government on a confidential basis, policy and diplomacy. mediately upon the filing of the notice, the other than through an application by such RULE 2--SUBCOMMITTEES Clerk shall notify all members of the Com­ person for a specific Government financial or (a) Creation.-Unless otherwise authorized mittee that such special meeting will be held other benefit, and is required to be kept se­ and inform them of its date and hour. cret in order to prevent undue injury to the by law or Senate resolution, subcommittees (c) Minority Request.-Whenever any hear­ shall be created by majority vote of the competitive position of such person, or Committee and shall deal with such legisla­ ing is conducted by the Committee or a sub­ (6) may divulge matters required to be tion and oversight of programs and policies committee upon any measure or matter, the kept confidential under other provisions of as the Committee directs. Legislative meas­ minority on the Committee shall be entitled, law or Government regulations. ures or other matters may be referred to a upon request made by a majority of the mi­ A closed meeting may be opened by a ma­ subcommittee for consideration in the dis­ nority members to the Chairman before the jority vote of the Committee. cretion of the Chairman or by vote of a ma­ completion of such hearing, to call witnesses (g) Staff Attendance.-A member of the selected by the minority to testify with re­ jority of the Committee. If the principal sub­ Committee may have one member of his or ject matter of a measure or matter to be re­ spect to the measure or matter during at her personal staff, for whom that member as­ ferred falls within the jurisdiction of more least one day of hearing thereon. sumes personal responsibility, accompany (d) Public Announcement.-The Com­ and be seated nearby at Committee meet­ than one subcommittee, the Chairman or the ings. Committee may refer the matter to two or mittee, or any subcommittee thereof, shall more subcommittees for joint consideration. make public announcement of the date, Each member of the Committee may des­ (b) Assignments.-Assignments of members place, time, and subject matter of any hear­ ignate members of his or her personal staff, to subcommittees shall be made in an equi­ ing to be conducted on any measure or mat­ who hold a Top Secret security clearance, for table fashion. No member of the Committee ter at least one week in advance of such the purpose of their eligib111ty to attend may receive assignment to a second sub­ hearings, unless the Chairman of the Com­ closed sessions of the Committee, subject to committee until, in order of seniority, all mittee, or subcommittee, determines that the same conditions set forth for Committee members of the Committee have chosen as­ there is good cause to begin such hearing at staff under Rules 12, 13, and 14. signments to one subcommittee, and no an earlier date. In addition, the Majority Leader and the member shall receive assignments to a third (e) Procedure.-Insofar as possible, pro­ Minority Leader of the Senate, if they are subcommittee until, in order of seniority, all ceedings of the Committee will be conducted not otherwise members of the Committee, members have chosen assignments to two without resort to the formalities of par­ may designate one member of their staff subcommittees. liamentary procedure and with due regard with a Top Secret security clearance to at­ No member of the Committee may serve on for the views of all members. Issues of proce­ tend closed sessions of the Committee, sub­ more than four subcommittees at any one dure which may arise from time to time ject to the same conditions set forth for time. shall be resolved by decision of the Chair­ Committee staff under Rules 12, 13, and 14. The Chairman and Ranking Minority Mem­ man, in consultation with the Ranking Mi­ Staff of other Senators who are not members ber of the Committee shall be ex officio nority Member. The Chairman, in consulta­ of the Committee may not attend closed ses­ members, without vote, of each sub­ tion with the Ranking Minority Member, sions of the Committee. committee. may also propose special procedures to gov­ Attendance of Committee staff at meetings (c) Meetings.-Except when funds have ern the consideration of particular matters shall be limited to those designated by the been specifically made available by the Sen­ by the Committee. Staff Director or the Minority Staff Direc­ ate for a subcommittee purpose, no sub­ (0 Closed Sessions.-Each meeting of the tor. committee of the Committee on Foreign Re­ Committee on Foreign Relations, or any sub­ The Committee, by majority vote, or the lations shall hold hearings involving ex­ committee thereof, including meetings to Chairman, with the concurrence of the penses without prior approval of the Chair­ conduct hearings, shall be open to the public, Ranking Minority Member, may limit staff man of the full Committee or by decision of except that a meeting or series of meetings attendance at specified meetings. by the Committee or a subcommittee on the the full Committee. Meetings of subcommit­ RULE ~UORUMS tees shall be scheduled after consultation same subject for a period of no more than (a) Testimony.-For the purpose of taking with the Chairman of the Committee with a fourteen calendar days may be closed to the sworn or unsworn testimony at any duly view toward avoiding conflicts with meet­ public on a motion made and seconded to go into closed session to discuss only whether scheduled meeting a quorum of the Com­ ings of other subcommittees insofar as pos­ the matters enumerated in paragraphs (1) mittee and each subcommittee thereof shall sible. Meetings of subcommittees shall not consist of one member. be scheduled to conflict with meetings of the through (6) would require the meeting to be (b) Business.-A quorum for the trans­ full committee. closed followed immediately by a record vote action of Committee or subcommittee busi­ The proceedings of each subcommittee in open session by a majority of the members ness, other than for reporting a measure or shall be governed by the rules of the full of the Committee or subcommittee when it recommendation to the Senate or the taking Committee, subject to such authorizations is determined that the matters to be dis­ of testimony, shall consist of one-third of or limitations as the Committee may from cussed or the testimony to be taken at such the members of the Committee or sub­ time to time prescribe. meeting or meetings- (1) will disclose matters necessary to be committee, including at least one member RULE 3-MEETINGS from each party. kept secret in the interests of national de­ (c) Reporting.-A majority of the member­ (a) Regular Meeting Day.-The regular fense or the confidential conduct of the for­ meeting day of the Committee on Foreign eign relations of the United States; ship of the Committee shall constitute a Relations for the transaction of Committee (2) will relate solely to matters of Com­ quorum for reporting any measure or rec­ business shall be on Tuesday of each week, mittee staff personnel or internal staff man­ ommendation to the Senate. No measure or unless otherwise directed by the Chairman. agement or procedure; recommendation shall be ordered reported (b) Additional Meetings.-Additional meet­ from the Committee unless a majority of the (3) will tend to charge an individual with Committee members are physically present. ings and hearings of the Committee may be crime or misconduct; to disgrace or injure called by the Chairman as he may deem nec­ the professional standing of an individual, or The vote of the Committee to report a meas­ essary. If at least three members of the Com­ otherwise to expose an individual to public ure or matter shall require the concurrence mittee desire that a special meeting of the of a majority of those members who are contempt or obloquy, or will represent a physically present at the time the vote is Committee be called by the Chairman, those clearly unwarranted invasion of the privacy members may file in the offices of the Com­ of an individual; taken. mittee their written request to the Chair­ (4) will disclose the identity of any in­ RULE 5--PROXIES man for that special meeting. Immediately former or law enforcement agent or will dis­ Proxies must be in writing with the signa­ upon filing of the request, the Chief Clerk of close any information relating to the inves­ ture of the absent member. Subject to the re­ the Committee shall notify the Chairman of tigation or prosecution of a criminal offense quirements of Rule 4 for the physical pres­ the filing of the request. If, within three cal­ that is required to be kept secret in the in­ ence of a quorum to report a matter, proxy endar days after the filing of the request, the terests of effective law enforcement; voting shall be allowed on all measures and February 11, 1997 CONGRESSIONAL RECORD-SENATE 1895 matters before the Committee. However, views, in writing, with the Chief Clerk of the chiefs of mission, a report on the dem­ proxies shall not be voted on a measure or Committee, with the 3 days to begin at 11:00 onstrated competence of that nominee to matter except when the absent member has p.m. on the day that the Committee has or­ perform the duties of the position to which been informed of the matter on which he is dered a measure or matter reported. Such he or she has been nominated. being recorded and has affirmatively re­ views shall then be included in the Com­ RULE 11-TRAVEL quested that he or she be so recorded. mittee report and printed in the same vol­ (a) Foreign Travel.-No member of the RULE &-WITNESSES ume, as a part thereof, and their inclusion Committee on Foreign Relations or its staff (a) General.-The Committee on Foreign shall be noted on the cover of the report. In shall travel abroad on Committee business Relations will consider requests to testify on the absence of timely notice, the Committee unless specifically authorized by the Chair­ any matter or measure pending before the report may be filed and printed immediately man, who is required by law to approve Committee. without such views. vouchers and report expenditures of foreign (b) Presentation.-If the Chairman so de­ (c) Rollcall Votes.-The results of all roll­ currencies, and the Ranking Minority Mem­ termines, the oral presentation of witnesses call votes taken in any meeting of the Com­ ber. Requests for authorization of such trav­ shall be limited to 10 minutes. However, mittee on any measure, or amendment there­ el shall state the purpose and, when com­ written statements of reasonable length may to, shall be announced in the Committee re­ pleted, a full substantive and financial re­ be submitted by witnesses and other inter­ port. The announcement shall include a tab­ port shall be filed with the Committee with­ ested persons who are unable to testify in ulation of the votes cast in favor and votes in 30 days. This report shall be furnished to person. cast in opposition to each such measure and all members of the Committee and shall not (c) Filing of Statements.-A witness ap­ amendment by each member of the Com­ be otherwise disseminated without the ex­ pearing before the Committee, or any sub­ mittee. press authorization of the Committee. Ex­ committee thereof, shall file a written state­ RULE 9--TREATIES cept in extraordinary circumstances, staff ment of his proposed testimony at least 48 (a) The Committee is the only Committee travel shall not be approved unless the re­ hours prior to his appearance, unless this re­ of the Senate with jurisdiction to review and porting requirements have been fulfilled for quirement is waived by the Chairman and report to the Senate on treaties submitted all prior trips. Except for travel that is the Ranking Minority Member following by the President for Senate advice and con­ strictly personal, travel funded by non-U.S. their determination that there is good cause sent. Because the House of Representatives Government sources is subject to the same for failure to file such a statement. has no role in the approval of treaties, the approval and substantive reporting require­ (d) Expenses.-Only the Chairman may au­ Committee is therefore the only congres­ ments as U.S. Government-funded travel. In thorize expenditures of funds for the ex­ sional committee with responsibility for addition, members and staff are reminded of penses of witnesses appearing before the treaties. Senate Rule :XXXV.4 requiring a determina­ Committee or its subcommittees. (b) Once submitted by the President for ad­ tion by the Senate Ethics Committee in the (e) Requests.-Any witness called for a vice and consent, each treaty is referred to case of foreign-sponsored travel. Any pro­ hearing may submit a written request to the the Committee and remains on its calendar posed travel by Committee staff for a sub­ Chairman no later than 24 hours in advance from Congress to Congress until the Com­ committee purpose must be approved by the for his testimony to be in closed or open ses­ mittee takes action to report it to the Sen­ subcommittee chairman and ranking minor­ sion, or for any other unusual procedure. The ate or recommend its return to the Presi­ ity member prior to submission of the re­ chairman shall determine whether to grant dent, or until the Committee is discharged of quest to the Chairman and Ranking Minor­ any such request and shall notify the Com­ the treaty by the Senate. ity Member of the full Committee. When the mittee members of the request and of his de­ (c) In accordance with Senate Rule :XXX.2, Chairman and the Ranking Minority Member cision. treaties which have been reported to the approve the foreign travel of a member of RULE7-SU13POENAS Senate but not acted on before the end of a the staff of the committee not accompanying (a) Authorization.-The Chairman or any Congress "shall be resumed at the com­ a member of the Committee, all members of other member of the Committee, when au­ mencement of the next Congress as if no pro­ the Committee shall be advised, prior to the thorized by a majority vote of the Com­ ceedings had previously been had thereon.'' commencement of such travel of its extent, (d) Insofar as possible, the Committee nature, and purpose. mittee at a meeting or by proxies, shall have (b) Domestic Travel.-All official travel in authority to subpoena the attendance of wit­ should conduct a public hearing on each treaty as soon as possible after its submis­ the United States by the Committee staff nesses or the production of memoranda, doc­ shall be approved in advance by the Staff Di­ uments, records, or any other materials. sion by the President. Except in extraor­ dinary circumstances, treaties reported to rector, or in the case of ·minority staff, by When the Committee authorizes a subpoena, the Minority Staff Director. it may be issued upon the signature of the the Senate shall be accompanied by a writ­ ten report. (c) Personal Staff.-As a general rule, no Chairman or any other member designated more than one member of the personal staff by the Committee. RULE 10--NOMINATIONS of a member of the Committee may travel (b) Return.-A subpoena, or a request to an (a) Waiting Requirement.-Unless other­ with that member with the approval of the agency, for documents may be issued whose wise directed by the Chairman and the Rank­ Chairman and the Ranking Minority Member return shall occur at a time and place other ing Minority Member, the Committee on of the Committee. During such travel, the than that of a scheduled Committee meet­ Foreign Relations shall not consider any personal staff member shall be considered to ing. A return on such a subpoena or request nomination until 6 calendar days after it has be an employee of the Committee. which is incomplete or accompanied by an been formally submitted to the Senate. (d) Personal Representatives of the Mem­ objection constitutes good cause for a hear­ (b) Public Consideration.-Nominees for ber (PRM).-For the purposes of Rule 11 as ing on shortened notice. Upon such a return, any post who are invited to appear before the regards staff foreign travel, the officially­ the Chairman or any other member des­ Committee shall be heard in public session, designated personal representative of the ignated by him may convene a hearing by unless a majority of the Committee decrees member (PRM) shall be deemed to have the giving 2 hours notice by telephone to all otherwise. same rights, duties, and responsibilities as other members. One member shall constitute (c) Required Data.-No nomination shall be members of the staff of the Committee on a quorum for such a hearing. The sole pur­ reported to the Senate unless (1) the nomi­ Foreign Relations. Furthermore, for the pur­ pose of such a hearing shall be to elucidate nee has been accorded a security clearance poses of this section, each Member of the further information about the return and to on the basis of a thorough investigation by Committee may designate one personal staff rule on the objection. executive branch agencies; (2) in appropriate member as the "Personal Representative of (c) Depositions.-At the direction of the cases, the nominee has filed a financial dis­ the Member." Committee, staff is authorized to take depo­ closure report and a confidential statement RULE 12-TRANSCRIPTS sitions from witnesses. with the Committee; (3) the Committee has (a) General.-The Committee on Foreign RULE 8-REPORTS been assured that the nominee does not have Relations shall keep verbatim transcripts of (a) Filing.-When the Committee has or­ any interests which could conflict with the all Committee and subcommittee meetings dered a measure or recommendation re­ interests of the government in the exercise and such transcripts shall remain in the cus­ ported, the report thereon shall be filed in of the nominee's proposed responsibilities; tody of the Committee, unless a majority of the Senate at the earliest practicable time. (4) for persons nominated to be chief of mis­ the Committee decides otherwise. Tran­ (b) Supplemental, Minority and Additional sion, ambassador-at-large, or minister, the scripts of public hearings by the Committee Views.-A member of the Committee who Committee has received a complete list of shall be published unless the Chairman, with gives notice of his intentions to file supple­ any contributions made by the nominee or the concurrence of the Ranking Minority mental, minority, or additional views at the members of his immediate family to any Member, determines otherwise. time of final Committee approval of a meas­ Federal election campaign during the year of (b) Classified or Restricted Transcripts.­ ure or matter, shall be entitled to not less his or her nomination and for the 4 preceding (!) The Chief Clerk of the Committee shall than 3 calendar days in which to file such years; and (5) for persons nominated to be have responsibility for the maintenance and 1896 CONGRESSIONAL RECORD-SENATE February 11, 1997 security of classified or restricted tran­ against such declassification, and provided (2) Any member of the Committee should scripts. that the executive departments involved and feel free to call upon the staff at any time (2) A record shall be maintained of each all former Committee members who partici­ for assistance in connection with Committee use of classified or restricted transcripts. pated directly in the sessions or reports con­ business. Members of the Senate not mem­ (3) Classified or restricted transcripts shall cerned have been consulted in advance and bers of the Committee who call upon the be kept in locked combination safes in the given a reasonable opportunity to raise ob­ staff for assistance from time to time should Committee offices except when in active use jections to such declassification. be given assistance subject to the overriding by authorized persons for a period not to ex­ (2) Any transcript or classified Committee responsibility of the staff to the Committee. ceed 2 weeks. Extensions of this period may report, or any portion thereof, may be de­ (3) The staff's primary responsibility is be granted as necessary by the Chief Clerk. classified fewer than twelve years after their with respect to bills, resolutions, treaties, They must never be left unattended and origination if: and nominations. In addition to carrying out shall be returned to the Chief Clerk prompt­ (i) the Chairman originates such action or assignments from the Committee and its in­ ly when no longer needed. receives a written request for such action, dividual members, the staff has a responsi­ (4) Except as provided in paragraph 7 and notifies the other members of the Com­ bility to originate suggestions for Com­ below, transcripts classified secret or higher mittee; mittee or subcommittee consideration. The may not leave the Committee offices except (11) the Chairman, Ranking Minority Mem­ staff also has a responsibility to make sug­ for the purpose of declassification. ber, and each member or former member who gestions to individual members regarding (5) Classified transcripts other than those participated directly in such meeting or re­ matters of special interest to such members. classified secret or higher may leave the port give their approval, except that the (4) It is part of the staffs duty to keep Committee offices in the possession of au­ Committee by majority vote may overrule itself as well informed as possible in regard thorized persons with the approval of the any objections thereby raised to early de­ to developments affecting foreign relations Chairman. Delivery and return shall be made classification; and and in regard to the administration of for­ only by authorized persons. Such transcripts (iii) the executive departments and all eign programs of the United States. Signifi­ may not leave Washington, DC, unless ade­ former Committee members are consulted in cant trends or developments which might quate assurances for their security are made advance and have a reasonable opportunity otherwise escape notice should be called to to the Chairman. to object to early declassification. the attention of the Committee, or of indi­ (6) Extreme care shall be exercised to avoid RULE 13-CLASSIFIED MATERIAL vidual Senators with particular interests. taking notes or quotes from classified tran­ (a) All classified material received or origi­ (5) The staff shall pay due regard to the scripts. Their contents may not be divulged nated by the Committee shall be logged in at constitutional separation of powers between to any unauthorized person. the Committee's offices in the Dirksen Sen­ the Senate and the executive branch. It (7) Subject to any additional restrictions therefore has a responsibility to help the ate Office Building, and except for material Committee bring to bear an independent, ob­ imposed by the Chairman with the concur­ classified as "Top Secret" shall be filed in rence of the Ranking Minority Member, only the Dirksen Senate Building offices for Com­ jective judgment of proposals by the execu­ the following persons are authorized to have mittee use and safekeeping. tive branch and when appropriate to origi­ access to classified or restricted transcripts. (b) Each such piece of classified material nate sound proposals of its own. At the same (i) Members and staff of the Committee in received or originated shall be card indexed time, the staff shall avoid impinging upon the Committee rooms; and serially numbered, and where requiring the day-to-day conduct of foreign affairs. (6) In those instances when Committee ac­ (11) Designated personal representatives of onward distribution shall be distributed by members of the Committee, and of the Ma­ tion requires the expression of minority jority and Minority Leaders, with appro­ means of an attached indexed form approved views, the staff shall assist the minority as by the Chairman. If such material is to be fully as the majority to the end that all priate security clearances, in the Commit­ distributed outside the Committee offices, it tee's Capitol office; shall, in addition to the attached form, be points of view may be fully considered by (111) Senators not members of the Com­ members of the Committee and of the Sen­ mittee, by permission of the Chairman in the accompanied also by an approved signature ate. The staff shall bear in mind that under sheet to show onward receipt. our constitutional system it is the responsi­ Committee rooms; and (c) Distribution of classified material (iv) Members of the executive departments among offices shall be by Committee mem­ bility of the elected Members of the Senate involved in the meeting, in the Committee's to determine legislative issues in the light of bers or authorized staff only. All classified as full and fair a presentation of the facts as Capitol office, or, with the permission of the material sent to members' offices, and that Chairman, in the offices of the officials who the staff may be able to obtain. distributed within the working offices of the (b) Restrictions.- took part in the meeting, but in either case, Committee, shall be returned to the offices only for a specified and limited period of designated by the Chief Clerk. No classified (!) The staff shall regard its relationship to time, and only after reliable assurances the Committee as a privileged one, in the na­ material is to be removed from the offices of ture of the relationship of a lawyer to a cli­ against further reproduction or dissemina­ the members or of the Committee without tion have been given. ent. In order to protect this relationship and permission of the Chairman. Such classified the mutual confidence which must prevail if (8) Any restrictions imposed upon access to material will be afforded safe handling and a meeting of the Committee shall also apply the Committee-staff relationship is to be a to the transcript of such meeting, except by safe storage at all times. satisfactory and fruitful one, the following (d) Material classified "Top Secret," after criteria shall apply: special permission of the Chairman and no­ being indexed and numbered shall be sent to tice to the other members of the Committee. (i) members of the staff shall not be identi­ the Committee's Capitol office for use by the fied with any special interest group in the Each transcript of a closed session of the members and authorized staff in that office Committee shall include on its cover a de­ field of foreign relations or allow their only or in such other secure Committee of­ names to be used by any such group; scription of the restrictions imposed upon fices as may be authorized by the Chairman access, as well as any applicable restrictions (11) members of the staff shall not accept upon photocopying, note-taking or other dis­ or Staff Director. public speaking engagements or write for (e) In general, members and staff under­ semination. take to confine their access to classified in­ publication in the field of foreign relations (9) In addition to restrictions resulting formation on the basis of a "need to know" without specific advance permission from from the inclusion of any classified informa­ the Staff Director, or, in the case of minor­ such information related to their Committee ity staff, from the Minority Staff Director. tion in the transcript of a Committee meet­ responsibilities. ing, members and staff shall not discuss with In the case of the Staff Director and the Mi­ (f) The Staff Director is authorized to anyone the proceedings of the Committee in make such administrative regulations as nority Staff Director, such advance permis­ closed session or reveal information con­ sion shall be obtained from the Chairman or may be necessary to carry out the provisions the Ranking Minari ty Member, as appro­ veyed or discussed in such a session unless of these regulations. that person would have been permitted to at­ priate. In any event, such public statements tend the session itself, or unless such com­ RULE 14-STAFF should avoid the expression of personal views munication is specifically authorized by the (a) Responsibilities.- and should not contain predictions of future, Chairman, the Ranking Minority Member, or (!) The staff works for the Committee as a or interpretations of past, Committee action; in the case of staff, by the Staff Director or whole, under the general supervision of the and Minority Staff Director. A record shall be Chairman of the Committee, and the imme­ (iii) staff shall not discuss their private kept of all such authorizations. diate direction of the Staff Director; pro­ conversations with members of the Com­ (c) Declassification.- vided, however, that such part of the staff as mittee without specific advance permission (!) All restricted transcripts and classified is designated Minority Staff, shall be under from the Senator or Senators concerned. Committee reports shall be declassified on a the general supervision of the Ranking Mi­ (2) The staff shall not discuss with anyone date twelve years after their origination un­ nority Member and under the immediate di­ the proceedings of the Committee in closed less the Committee by majority vote decides rection of the Minority Staff Director. session or reveal information conveyed or February 11, 1997 CONGRESSIONAL RECORD-SENAT E 1897 discussed in such a session unless th a t per- will resume consideration of Senator RONALD B. PINER, x... son would have been permitted to attend the MARK L . ROBERTS, x... Donn's amendment to the balanced RICHARD G. RUTTER , JR ., x... session itself, or unless such communication budget amendment beginning a t 1:30 KENNETH D. WHITE, x... is specifically authorized by the Staff Direc- PAUL R . WILSON, x... tomorrow. By unanimous consent, the To be captain tor or Minority Staff Director. Unauthorized vote will occur on or in relation to the disclosure of information from a closed ses- BURNELL H. AGE, JR. , x... sion or of classified information shall be Dodd amendment regarding national CHRISTOPHE W. ALLEN, x... cause for immediate dismissal and may, in security a t 5:30 on Wednesday. Addi- IL Y A R . AMMONS, x... ERIC D . ANDERSON , x... the case of some kinds of information, be tional votes can be expected during JOHN R . ANDERSON, x... grounds for criminal prosecution. Wednesday's session in relation to GREGORY D . ANDERSON , x... SAMEUL J . ANTCLIFFE, x... RULE !&-STATUS AND AMENDMENT OF RULES amendments to Senate Joint Resolu- MICHAEL P. ANTONIO. x... (a) Sta tus.-In addition to the foregoing, tion 1, on any nominations th a t are DANA I. ARENSON, x... JOSEPH L . ASHBAKER, JR ., x... the Committee on Foreign Relations is gov- available, or possibly on one or two STEPHEN H. ASHLEY, x... erned by the Standing Rules of the Senate Senate resolutions th a t we are at- PAUL H. ATTERBURY , x... ROBERT B. BABCOCK, which shall take precedence in the event of x... tempting to clear a t this time. KENDALL D. BAILEY, x... a clear inconsistency. In addition, the juris- Again, I th a nk my colleagues for RAYMOND G . BAKER, x... diction and responsibilities of the Com- AHMAD BANDANI. x... mittee with respect to certain matters, as their cooperation as we attempt to ad- STEPHEN S . BARRANCO, JR ., x... journ on Thursday for the Presidents' ERIC E. BATTLE, x... well as the timing and procedure for their PAUL M. BECKWITH. x... consideration in Committee, may be gov- Day recess. JAMES D. BELSON, x... erned by statute. DAVID BERNATOVICH, x... DAVID P . BERRY, x... (b) Amendment.-These Rules may be CHAD A. B L A m, x... modified, amended, or repealed by a major- ADJOURNMENT UNTIL 9:30 A.M. ARNOLD D. BLANKENSHIP II. x... ity of the Committee, provided th a t a notice TOMORROW RUSSELL A . BLAUW , x... in writing of the proposed change has been BRANTLEY A. BOND, x... Mr. CRAIG . Mr. President, if there is ANTHONYW . BOWN, x... given to each member a t least 48 hours prior no further business to come before the STEPHEN E. BROOKS, x... to the meeting a t which action thereon is to CHARLES L . BROWN, x... Senate, I now ask unanimous consent AUSTIN D . BRYANT, x... be taken. However, Rules of the Committee WILLIAM T . BUFKIN II, x... which are based upon Senate Rules may not th a t the Senate stand in adjournment BRIAN E. BUFTON, x... be superseded by Committee vote alone.· under the previous order. WAYNE M. BUNKER , x... CARL D . BURTNER. JR . , x... There being no objection, the Senate, RUSSELL C. BURTON, x... a t 5:57 p.m., adjourned until Wednes- DAVID W. BUSSEL, x... AUTHORIZING CORRECTION OF GREGORY E. BUTCHER, x... day, February 12, 1997, a t 9:30 a.m. KELLY D. CAILLOUET, x... THE ENGROSSMENT OF SENATE MARKHAM B. CAMPAIGNE, JR ., x... RESOLUTION 10 MICHEL C. CANCELLIER, x... NOMINATIONS DAVID CARBONERO, x... Mr. CRAIG. Mr. President, I ask CHRISTOPHE U. CARR , x... JOHN R. CASTILLO, x... unanimous consent th a t in the engross- Executive nominations received by JAMES C. CHAPMAN, x... ment of Senate Resolution 10, the Sec- the Senate February 11, 1997: CHRISTIAN P . CHARLEVILLE , x... MEL VINL . CHATTMAN, x... retary of the Senate be authorized to NATIONAL FOUNDATION FOR ARTS AND ERIK L. CHRISTENSEN, x... make the following corrections which HUMANITIES J .E . CHRISTIANSEN , x... BENJAMIN R. CLATTERBUCK, x... are a t the desk. TRACEY D. CONWELL, OF TEXAS, TO BE A MEMBER OF JOSEPH M. CLOWDSLEY. x... The PRESIDING OFFICER. Without THE NATIONAL MUSEUM SERVICES BOARD FOR A TERM DOUGLAS W. COCHRAN, x... EXPIRING DECEMBER 6. 2001, VICE F A Y S . HOWELL, TERM MICHAEL J . COCO, x... objection, it is so ordered. EXPIB.ED. STEPHEN C. COHN, x... JAIME O. COLLAZO, DEPARTMENT OF JUSTICE x... JAMES L . COMBS, x... ORDERS FOR WEDNESDAY, JOAQUIN L . G. SALAS, OF GUAM, TO BE U.S. MARSHAL KEVIN M. CONSOLE, x... FOR THE DISTRICT OF GUAM AND CONCURRENTLY U.S. CHAD J . CONYERS, x... FEBRUARY 12, 1997 MARSHAL FOR THE DISTRICT OF THE NORTHERN MAR- IAN D. COURTNEY, x... IANA ISLANDS FOR THE TERM OF 4 YEARS, VICE JOSE R. GERRY R . COX, x... Mr. CRAIG. Mr. President, I ask MARIANO. WAYNE O. COX II, x... BRADLEY W. CRABTREE. x... unanimous consent th a t when the Sen- THE JUDICIARY SCOTT N. CRADER, x... JOSEPH A. CRAFT, x... ate completes its business today it MARY ANN GOODEN TERREL L , OF THE DISTRICT OF CO- MARK A. CRAWFORD, x... LUMBIA, TO BE AN ASSOCIATE JUDGE OF THE SUPERIOR stand in adjournment until the hour of THOMAS W. CRECCA, x... COURT OF THE DISTRICT OF COLUMBIA FOR THE TERM MATTHEW A. CROCE, x... 9:30 a.m. on Wednesday, February 12. I OF 15 YEARS, VICE RICHARD STEPHEN SALZMAN, TERM MICHAELS. CUNINGHAM, x... EXPffiED. ask unanimous consent th a t on KEVIN G. CUNNANE, x... PATRICIA A. BRODERICK, OF THE DISTRICT OF COLUM- BRET R . CURTIS. x... Wednesday immediately following the BIA, TO BE AN ASSOCIATE JUDGE OF THE SUPERIOR ERIC B. DAILEY, x... COURT OF THE DISTRICT OF COLUMBIA FOR THE TERM prayer, the routine requests through THOMAS C. DAMES, x... OF 15 YEARS. VICE HARRIETT ROSEN TAYLOR, TERM EX- the morning hour be granted. I further EARL W. DANIELS, x... PIRED. JAMES G. DAVIDSON, x... ask unanimous consent th a t there be a IN THE COAST GUARD DOUGLAS B. DAVIS, x... period of morning business until the MATTHEW A. DAY, x... THE FOLLOWING REGULAR OFFICERS OF THE UNITED DEVIN C. DELL, x... hour of 11 a.m., with the following Sen- STATES COAST GUARD FOR THE APPOINTMENT TO THE MICHAEL P. DELMAS, x... ators to speak during the designated GRADE OF REAR ADMIRAL: JOHN B. DELUCA, x... time: From 9:30 until 10, Senator ROBERTC . NORTHTIMOTHY TOZZITHOMAS H. DOUGLAS B. DENNIS, x... W. JOSIAHFRED L . COLLINSERNEST R . KENNETH R. DEVERO II, x... ASHCROFT for 15 minutes and Senator AMESRICHARD M. RIUTTA THOMAS E. DEVINE, x... LARRABEE illJOHN T. DANIEL J . DEWHmST, x... DORGAN for 15 minutes; from 10 to 10:30, OSSEN J . DHAITI, x... Senator DASCHLE or his designee; from MARINE CORPS JOHN W. DIEDENHOFEN IV, x... MARK D. DIETZ. x... THE FOLLOWING-NAMED OFFICERS FOR REGULAR AP- 10:30 to 11 o'clock, Senator THOMAS or JOHN E. DOBES, x... POINTMENT TO THE GRADES INDICATED IN THE U.S. MA- JAMES K. DORIS, x... his designee. RINE CORPS UNDER TITL E 10, UNITED STATES CODE, KEVIN B. DOTY, x... SECTION 531: I further ask unanimous consent th a t DOUGLAS G. DOUDS. x... a t 11 a.m., the Senate resume consider- To be major TIMOTHY M. DOUGHERTY, x... LY T . DRUMMOND, x... ation of Senate Joint Resolution 1 and NEITA A. ARMSTRONG, x... ROBERT M. DUKES, x... Senator BYRD be recognized a t th a t MATTHEW A. BARBATO, x... DAVID P. DUMA, x... BRIAN K. BARTON, x... TERENCE J . DUNNE, x... time. MICHAEL R. BROWN, JR . . x... EDWARD C. DURANT, x... The PRESIDING OFFICER. Without FRANCIS X. CARROLL, x... ANDREW L . EAST. x... DOUGLAS W. EDWARDS, x... JEFFREY R . EBERWEIN, x... objection, it is so ordered. SUSAN L . EDWARDS, x... GOSCH L. EHLERS ill, x... JEFFERSON D. HOLDEN, x... ERIC J . ELDRED, x... MICHAEL J . JACKSON, x... LEGRAND ELEBASH, ' x... PROGRAM NEAL A. JACOB, x... THOMASMORE J. EPISCOPIO, x... ANNETTE R . JACOBSEN, x... THOMAS C. EULER ill, x... Mr. CRAIG. Mr. President, for the in- ROBERT B. MORRISON, x... PAUL C. FAGAN, x... TERRY D. OWENS, x... BRIAN E. FAGAN, x... formation of all Senators, the Senate RANDOLPH A. PETERSON, x... JOHN P . FARNAM. x... 1898 CONGRESSIONAL RECORD-SENAT E February 11, 1997

MICHAEL FARR.ELL, x... DANIEL B. MCDYRE, JR ., x... PETER C. TITCOMB, JR ., x... SHAWN S. FARRINGTON, x... JASON S. MCFARLAND. x... MARK D. TOBIN, x... DAN IELE. FENNELL, x... JOHN G. MC GINNIS, x... MATTHEW E. TOLLIVER, x... MATTHEW P . FERGUSON, x... ARTHUR B. MCKEEL. x... JOHN R. TOMCZYK, x... ROBERT A. FIFER, x... CHRISTOPHER A. MCPHILLIPS, x... WILLIAM P . V ANZWOLL, x... DONALD R. FIN N, x... KEVIN T. MCTARSNEY, x... WILLIAM A. VARGO. x... ALAND. FOUST, x... HALSTEAD MEADOWS III, x... JEFFREY M . VER.RANT , x... RICHARD F. FUERST, x... THOMAS M. MEANEY, x... GANPAT V. WAGH, x... ROBERT M. FUHRER, x... MICHAEL W. MELSO, x... THOMAS A. WAGONER, JR ., x... FRANK T. FULLER, x... SANDER H. MELVIN, x... GAINES L. WARD, x... BRIAN R. FULLER, x... JACK D. MERKEL, x... MICHAEL T. WARRING, x... MATTHEW K. GALLAGHER, x... JAMES L . MILLER, x... ROBERT B. WEHNER, x... MICHAEL GANTE, JR ., x... PAUL R. MOGG, x... DOUGLAS S. WEINMANN, x... STEPHEN A. GASSNER, x... JONATHAN S. MOONEYHAM. x... ERlC S. WEISSBERGER, x... TYSON B. GEISENDORFF, x... MARCUS A. MOORE, x... AARON S. WELLS, x... CHRISTIAN GHEE, x... DAVID B. MORGAN, x... BRIAN H. WIKTOREK, x... MICHAEL P . GILBERT, x... JUSTIN S . MORO, x... ANTHONY C. WILLIAMS, x... GREGORY 0 . GLAESER, x... DARIN S. MORRIS, x... GARY M. WILLIAMS, x... GREGORY N. GLASSER. x... ANDREW J. MOYER, x... CHRISTOPHE J. WILLIAMS, x... IV HERMAN GLOVER. x... DAVID J. MURPHY, x... MARCUS W. WILLIAMS, x... MICHAEL F. GOGOLIN, x... JOSEPH M. MURRAY, x... STEVEN L. WILSON, x... GARY J. GOLEMBISKI, x... LIONEL R. NEDER, x... ALFRED J. WOODFIN, x... DAVID R. GOODELL III, x... SEAN W. NESTLER, x... PATRICIA L. WOODS, x... VIRGILIO GONZALEZ, x... JOHN G. NEWHALL, JR ., x... MALCOLM J. WOOLFOLK, x... JOHN M. GRAHAM, x... MARK R. NICKLES, x... BRUCE D. YOUNGBLUTH, x... JEFFERY S. GREENWOOD, x... ERIK R. NIELSEN , x... WILLIAM A. ZACHARIAS, JR ., x... JUSTIN T. GREINER, x... HARRY D. OAKLEY, x... To be first lieutenant CHARLES G. GRIFFIN II, x... JAMES E . OHARRA, x... CHRISTOPHE R. GUILFORD, x... BRIAN R. OLEARY, x... DANA A. AHRENS, x... STEVE D. HAGERTY, x... DUANE A. OPPERMAN, x... ANTHONY L . ALLEN, x... ANDREW W. HALL, x... LYNN W. OYLER, x... CHARLES M. ANDREWS, JR ., x... SEAN V. HALPIN, x... RONALD L . PACE, x... ERlC M. ARBOGAST, x... DAN HANKS, x... MICHAEL L . PAGANO, x... WILLIAM L . BABCOCK, JR ., x... GREGORY J. HANVIl..LE. x... JAY B. PARKER, x... JAMES H. BAIN, x... JAMES W. HARGUS, JR., x... DAVID B. PARKS, x... ROBERT S. BAKER, x... JAMES F. HARP , x... PATRICK C. PATTERSON, x... DAVID G. BARDORF, x... BRIAND. HARRELSON. x... TRACY L . PEACOCK, x... MARTIN L . BARTLETT. x... MARK S. HARRINGTON, x... JEFFREY P . PFANNENSTEIN, x... DAVID A. BECKER, x... WESLEY D. HART, x... WILLIAM C. PIELLI, x... HAYNESLY R. BLAKE, x... PETER W. HART, x... JOHN C. POEHLER, x... DEVIN T. BLEA, x... EUGENE K. HARTER III, x... GREGORY A. PREWITT, x... STEVEN R. BOWERS, x... BRIAN W. HAVILAND, x... FRANK R. PROKUP, x... SCOTT H. BRAHIN, x... EVAN B. HAYMES, x... JOSEPH F. QUINLAN III, x... PAUL B. BRICKLEY, x... MATTHEW K. HAYS, x... JOSEP HN . RAFTERY. x... MARK W. BUIE, x... ANTHONY M. HENDERSON. x... MATTHEW R. RAJKOVICH, x... TIMOTHY J. BURCH, x... ELAINE M. HENSEN, x... FRAN KE. RAUCH II, x... KENNETH A. BURGER, x... RICHARD L. HILL, x... JOEL R. RAUENHORST, x... KERRY A. CAMPBELL, x... HUNTER H. HOBSON, x... TIMOTHY A. RAYNOR, x... DANIEL T. CANFIELD, JR ., x... WILLIAM M. HOFMANN, x... LOWELL F. RECTOR, x... CORBY S. CARBONE, x... MICHAEL T. HOLMES, x... WESLEY C. REED, x... WILLIAM P . CARROLL, x... GEORGEN . HOUGH, x... BRENDAN REILLY, x... STEPHEN L. CASTORA, x... RICHARD B. HOWELL. x... ROBERT J. REYNOLDS, x... MARC A. CESARIO, x... KEVIN M. HUDSON, x... WILLIAM D. RICE, x... ADAM L . CHALKLEY, x... DANIEL C. IRCINK, x... RICHARD R. RIERSON, x... BENJAMIN D. CHAPMAN, x... SAMUEL E. JACKSON, x... MICHAEL R. RIES, x... TROY L . CLARK, x... JOHN B. JENSEN II, x... THOMAS E. RINGO, x... DARIN J . CLARKE, x... JAMES E. JENNINGS, x... TIMOTHY S. ROBERTS, x... GREGORY J. CLARKE, x... ALLEN K. JOHNSON, x... HOWARD G. ROBINSON, x... JOSEP HR. CLEARFIELD, x... RONALD I. JOHNSON, x... DANIEL J. RODMAN, x... JEFFREY L . CONLEY, x... CARROLL J. JOUBERT, JR ., x... GREGG B. ROGERS, x... CARL E. COOPER, JR ., x... DONALD P. JULIAN , x... JERRY R. ROGERS II, x... ERlC M. CORCORAN, x... KIRIAKOS KALOGIANNIS, x... P AUL S . ROLLIN, x... KEVIN F. COUGHLIN, x... JOHN F. KELLIHER III. x... THOMAS J. ROMUALD, x... JOHN H. COVINGTON, JR. , x... CHARLES B. KELLY, x... CHARLES D. ROSE, JR., x... PATRICK W. COX, x... TRENTON E. KENAGY, x... STEVEN A. ROSS, x... DARYL G. CRANE, x... JAMES R. KENNEDY. x... WILLIAM R . RUSSELL , x... MCCARRELL A. CRUMRINE, x... PETER F. KIELTY, x... SHAUN L . SADLER, x... NICHOLAS E. DAVIS, x... CRAIG M. KILHENNY, x... SEAN M. SALENE, x... N EAL L . DEFORD, x... CRAIG T. KILLIAN , x... BRENT E . SANDERS. x... PAMELA J. DEMORAT, x... LAWRENCE E. KILLMEIER, JR ., x... ANDREW J. SAUER, x... TIMOTHY B. DENTRY, x... MICHAEL G. KING, x... JOHN M. SCHAAR, x... JORGE DIAZ, x... FORREST D. KNOWLTON, x... CHRISTOPHE W. SCHARF, x... DAVID C. DICKEY, x... KEVIN S. KRETZSCHMAR, x... GRANT W. SCHNEEMANN, x... NICHOLAS L . DITTLINGER, x... HENRY T. KUEHN, x... JONATHAN B. SCRABECK, x... ROSWELL V. DIXON, x... ROBERT A. KUROWSKI, x... THOMAS R. SEIFERT, x... DARRYL W. DOTSON, x... ROBERT M. LACK, x... GEORGE R . SEWELL, x... CRAIG R. DOTY, x... RHETT B. LAWING. x... BRIAN L. SHATT, x... LANCE A. DOWD, JR ., x... BEAU M. LAWRENCE, x... SANJEEV SHINDE, x... ROBERT D. DOZIER, x... TREVOR A. LAWS, x... PAUL A. SIMMONDS, x... KAR1 DRABICK, x... HEATH A. LAWSON, x... JOHN T. SIMPSON, x... BRIAN W. ECARIUS, x... MICHAEL J. LEAMY, x... THOMAS R. SIMS, x... JEFFREY A. EICHHOLZ, x... JACK T. LEDFORD, JR ., x... STEPHEN D. SIZEMORE, x... CHRISTIAN T. ELLINGER, x... IV CARL LEHRKIND, x... BRUCE K. SIZEMORE, x... KYLE B. ELLISON, x... BLAKE E. LEMAIRE, x... ROBERT B. SKANKEY, x... DOUGLAS J. ENGEL, x... MARK J. LENNERTON, x... GEORGE J. SLYER III, x... MONTGOMERYC.ERFOURTH, xx... COBY G. LEUSCHKE, x... LARRY J. SMITH, x... DAREN J. ERICKSON, x... DARIN E . LIER.LY, x... ROBERT J . SMULLEN, x... MANUEL ESCARCEGA, JR ., x... PATRICK A. LINDAUER, x... MICHAEL L . SNAVELY, x... PETER C. FARNUM, x... THOMAS M. LOEHLE, x... JON E. SPAAR, x... PHILIP B. FARR, x... MATTHEW W. LOTZ, x... P AUL L . STARlTA, x... RONALD M. FARRIS, JR. , x... JAMES I. LUKEHART, JR ., x... SCOTT F. STEBBINS, x... CHRISTOPHE M. FEARS, x... THOMAS P . MACAULEY, x... RICHARD G. STEELE, x... WALKER M. FIELD, x... DANIEL W. MACDONALD III, x... MICHAELS. STEGELMAN, x... SHAUN M. FITZSIMMONS, x... SEAN R. MADDEN, x... BENNETT L . STEINER, x... DOMINIC FOSTER, x... JOHN E. MADES, x... NOEL C. STEVENS, x... TYRONE R. FRANKLIN, x... SCOTT D. MAGIDSON, x... ANDREW V. STICH, x... MACEO B. FRANKS, x... FRANK W. MAJDAN, JR. , x... MICHAEL A. STOLZENBURG, x... WESLEY A. FRASARD, JR ., x... STEV EN P . MANBER, x... DOUGLAS D. STUMPF, x... KEITH A. FRY, x... DAMIEN M. MARSH, x... DAVID A. SUGGS, x... JOHN R. GABBARD, x... JOHN J. MARTIN, x... PATRICK C. SULLIVAN, x... SEAN C. GALLAGHER, x... GREGORY R. MARTIN, x... JOHN D. SWAIN, x... SYLVESTER GAVINS, x... KENDALL A. MARTINEZ, x... KURT A. SWANICK, x... PAUL J . GEARY, x... SEAN P . MATTINGLY, x... ERIK H. SWENSON, x... DANIEL W. GEISENHOF, x... JAMES H. MATTS, x... DOUGLAS K. SWITZER, x... MAX GORALNICK, x... GEORGE J. MAUTZ, x... MICHAEL D . TENCATE, x... MICHAEL T. GREENO, x... WILLIAM B. MAYBERRY, JR ., x... CHARLES C. TERRASSE, x... THOMAS C. GRESSER Il , x... DAVID B. MCCANN, x... MICHAEL C. TERREL, x... JOHN C. GRISDALE, x... JOSEPH T. MCCLOUD, x... ADAM C. THARP, x... DARYL E. GRISSOM, x... PAULR. MCCONNELL, x... BRIAN M. THAYER, x... DONG K. HAN, x... PAUL H. MCCONNELL, x... ALAND. THOBURN III, x... ALEXANDER H. HART, x... DAVID G. MCCULLOH, x... MATTHEW R. THOMAS, x... PATRICK J. HARTNETT, x... KATHERINE M. MCDONALD, x... PATRICK M. TIMOTHY, x... CHAD T. HEDLESTON, x... February 11, 1997 CONGRESSIONAL RECORD-SENATE 1899

RAPHAEL HERNANDEZ, x... KEVIN A. NORTON, x... KEVIN W. WINTER, x... TYLER R. HOLMQUIST, x... EDWARD W. NOVACK, x... BRYAN K. WOOD, x... JEFFREY C. HOLT, x... JOHN E. ORILLE, x... JOSEPH A. WRONKOWSKI, x... LAWRENCE E. HUGGINS, JR ., x... JOHN J . OTOOLE ill, x... VINCENT J . YASAKI, x... KENNETH E. HUMPHREY, x... KEITH E. OWENS, x... LAWRENCE K. HUSSEY, x... MARTIN J . PALLOTTA, x... To be second lie ute nant DENISE M. HYDE, TODD E. PERRY, x... x... MICHAEL R. ALEXANDER, x... CIIBISTOPHE B. JACKSON, x... TOLAN M. PICA, x... TIMOTHY M. BAIRSTOW, x... THOMAS C. JARMAN, x... RAYMOND J . PLACIENTE, x... RONI R. ELMORE, x... BRIAN E. JONES, x... MICHAEL J . PROUTY, x... MATl'HEW T. GOOD, x... ROBERT A. KAMINSKI, x... JAVIER T. RAMOS, x... BRYAN E. HILL, x... STEPHEN M. KAMPEN, x... CHARLES C. RANDOLPH II, x... STEVEN M. JACONETTI, x... MARVIN B. KETl'LE, x... RICHARD J . REILLY, x... GILBERT D. JUAREZ, x... DAV1D E. KINKAID. x... GREGORY F. RHODEN, x... MATl'HEW R. MC GATH. x... SCOTT J . KINNER, x... CARLOS R. RODRIGUEZ, JR., x... JASON S. PERRY, x... HEIDI E. KINNER, x... JOSEPH J . RUSSO, x... JOHN S. POSTORINO, x... STEVEN J . KOTANSKY, x... RONALD J . RUX, x... KENNETH C. POTTER, x... BRYAN K. KRAMER, x... MICHAEL E. SCHUTTE, x... THOMAS R. PRZYBELSKI, x... DAV1D E. LANE II, x... DOMINIC A. SETKA, x... ALAN B. ROWE, x... WENDELL B. LEIMBACH, JR. , x... WILLIAM D. SHANNON, x... EDWARD T. RUSH, JR., x... RODNEY L . LEWIS, x... MARK W. SHELLABARGER, x... MATl'HEW P . SEGREST, x... RICHARD J . LUCIER, x... JOHN H. SORENSON, x... ERIC M. MARTIN, x... ANTHONY M. SPARAGNO, JR ., x... COLLEEN D. MARSHALL, x... ROBER.TT. STANFORD. x... ERIC M. MARTINEAU, x... MICHAEL C. STARLING, x... CURTIS A. MASON, x... KIMBERLY A. STASTNY, x... CONFIRMATION MELISSA I. MCCAMISH, x... MICHAEL J . STEELE, x... JAMES M. MCGIVNEY, x... GREGG L . STIMATZE, x... Executive nomination confirmed by HEIDI J. MCKENNA, x... JAMES B. STONE IV, x... the Senate February 11, 1997: MICHAELE. MCWILLIAMS, x... BRIAN L . STROBEL, x... ELDON E. METZGER, x... KEITH A. SYKES, x... DEPARTMENT OF STATE RALPH B. MEYERS, x... DAVIDS. SYLVESTER, x... MICHAEL T. MILLER, x... MICHAEL J . TARGOS ill, x... BILL RICHARDSON, OF NEW MEXICO, TO BE THE REP- JAMES A. MISTRETTA, x... BRADFORD J . TENNEY, x... RESENTATIVE OF THE UNITED STATES OF AMERICA TO JOHN F. MOORE, x... JOHN W. THAYER, x... THE UNITED NATIONS WITH THE RANK AND STATUS OF JUAN J . MORENO, x... CLAY C. TIPTON, x... AMBASSADOR EXTRAORDINARY AND PLENIPOTENTIARY, CHRISTOPHE D. MORTON, x... KRIS A. TLAPA, x... AND THE REPRESENTATIVE OF THE UNITED STATES OF THOMAS J . NAUGHTON, JR. , x... ERIC H. TRAUPE, x... AMERICA IN THE SECURITY COUNCIL OF THE UNITED NA- BRIAN W. NEIL, x... GLENN C. VOGEL, x... TIONS. ERIK P . NELSON, x... DEAN J . VRABLE, x... THE ABOVE NOMINATION WAS APPROVED SUBJECT TO JULIE L . NETHER.COT, x... CHARLENE M. WALTERS, x... THE NOMINEE'S COMMITMENT TO RESPOND TO RE- MATl'HEW J . NOBLE, x... BRADLEY E. WHITE, x... QUESTS TO APPEAR AND TESTIFY BEFORE ANY DULY SEAN M. NOEL, x... SEAN B. WHITEHOUSE, x... CONSTITUTED COMMITI'EE OF THE SENATE.