Congressional Record United States Th of America PROCEEDINGS and DEBATES of the 106 CONGRESS, FIRST SESSION

E PL UR UM IB N U U S Congressional Record United States th of America PROCEEDINGS AND DEBATES OF THE 106 CONGRESS, FIRST SESSION

Vol. 145 WASHINGTON, FRIDAY, NOVEMBER 19, 1999 No. 165 House of Representatives

The House met at noon.

REVISED NOTICEÐNOVEMBER 17, 1999 If the 106th Congress, 1st Session, adjourns sine die on or before November 18, 1999, a final issue of the Congressional Record for the 106th Congress, 1st Session, will be published on December 3, 1999, in order to permit Members to revise and extend their remarks. All material for insertion must be signed by the Member and delivered to the respective offices of the Official Reporters of Debates (Room HT±60 or S±123 of the Capitol), Monday through Friday, between the hours of 10:00 a.m. and 3:00 p.m. through December 1. The final issue will be dated December 3, 1999, and will be delivered on Monday, December 6, 1999. If the 106th Congress does not adjourn until a later date in 1999, the final issue will be printed at a date to be announced. None of the material printed in the final issue of the Congressional Record may contain subject matter, or relate to any event that occurred after the sine die date. Senators' statements should also be submitted electronically, either on a disk to accompany the signed statement, or by e-mail to the Official Reporters of Debates at ``Records@Reporters''. Members of the House of Representatives' statements may also be submitted electronically by e-mail or disk, to accompany the signed statement, and formatted according to the instructions for the Extensions of Remarks template at http:// clerkhouse.house.gov. The Official Reporters will transmit to GPO the template formatted electronic file only after receipt of, and authentication with, the hard copy, signed manuscript. Deliver statements (and template formatted disks, in lieu of e-mail) to the Official Reporters in Room HT±60. Members of Congress desiring to purchase reprints of material submitted for inclusion in the Congressional Record may do so by contacting the Congressional Printing Management Division, at the Government Printing Office, on 512±0224, between the hours of 8:00 a.m. and 4:00 p.m. daily. By order of the Joint Committee on Printing. WILLIAM M. THOMAS, Chairman.

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b This symbol represents the time of day during the House proceedings, e.g., b 1407 is 2:07 p.m. Matter set in this typeface indicates words inserted or appended, rather than spoken, by a Member of the House on the floor.

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VerDate 29-OCT-99 02:01 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00001 Fmt 7634 Sfmt 8633 E:\CR\FM\A19NO7.000 pfrm02 PsN: H19PT1 H12894 CONGRESSIONAL RECORD — HOUSE November 19, 1999

The Reverend Dr. Ronald F. Chris- tleman from Illinois (Mr. HASTERT) is ness by paying down debt while giving tian, Chaplain, Lutheran Social Serv- recognized for 5 minutes. tax relief to American families. ices, Fairfax, VA, offered the following Mr. HASTERT. Mr. Speaker, as the We have made progress in all four prayer: first session of the 106th Congress con- areas. Our budget stopped the raid on Almighty God, we speak our words of cludes, I think it is proper to give this Social Security for the first time in 30 gratitude from hearts that sense Your legislative body my thoughts on what years. Why do we care so much about goodness. the House has accomplished this year protecting Social Security and the sur- You open Your hand and You satisfy and what is left to accomplish next plus? Let me give you three reasons. the desire of every living thing, and so year. Together we have enjoyed many First, it helps to strengthen the So- we raise our thankful song, for again victories and some disappointments. cial Security system far into the next the fall harvest has provided us with When I became Speaker last January, century. That means baby-boomers can granaries that are overflowing. the House needed some serious work. have the peace of mind that Social Se- The good Earth has produced bounti- The distrust and bitterness and ramp- curity will be there for them. ful fruits and seeds, and we are all ant partisanship of both parties threat- Second, when we protect the Social blessed because of it. ened to undermine the public support Security surplus, we also pay down the So this day we are a chorus of Your of this House. We had Members who Nation’s debt. Think about how good grateful recipients, and we sing as so would not even talk to each other, let you feel when you pay off your home many have sung through the years. alone work with one another. mortgage or your car loan. When we Now thank we all our God with heart Given that situation, last January in take responsibilities for our Nation’s and hands and voices. this very spot I said solutions to prob- debt, we ease the crippling burden of Amen. lems cannot be found in a pool of bit- our debt on our children and our grand- f terness. Solutions can be found in an children. Our budget discipline has al- environment in which we trust one an- lowed our government to make the THE JOURNAL other, and we trust one another’s word, largest debt reduction payment in the The SPEAKER. The Chair has exam- and where we generate heat and pas- history of this Nation. ined the Journal of the last day’s pro- sion, but where we recognize that each Third, when we protect the Social Se- ceedings and announces to the House Member is equally important to our curity surplus, we stop the govern- his approval thereof. overall mission of improving the life of ment’s spending spree. We have torn up Pursuant to clause 1, rule I, the Jour- America’s people. the government credit card and said nal stands approved. We have made progress in putting that now it is time for a new era of fis- f that bitterness behind us, because we cal responsibility. PLEDGE OF ALLEGIANCE decided to go to work. Members of the Retirement security also includes minority cosponsored six out of the ten vital programs like Medicare, and I am The SPEAKER. Will the gentleman top bills introduced by the majority. pleased that we were able to take steps from Indiana (Mr. PEASE) come forward Our greatest achievements this year to restore vital funding for Medicare. and lead the House in the Pledge of Al- had bipartisan support: The budget bill The health care bureaucrats misinter- legiance. that we just passed, the Social Secu- preted the Balanced Budget Act guide- Mr. PEASE led the Pledge of Alle- rity lockbox bill, the appropriations lines and began slashing Medicare re- giance as follows: bills, the missile defense bill, the Edu- imbursements to nursing homes, hos- I pledge allegiance to the Flag of the cation Flexibility bill and the Finan- pitals, and other health care agencies. United States of America, and to the Repub- cial Services Modernization Act. Both We believe that Medicare must be lic for which it stands, one nation under God, parties must continue to promote their more efficient, yet still responsive to indivisible, with liberty and justice for all. views and their philosophies, but we the needs of our citizens. We passed re- f must never sacrifice the common good form that fulfilled those needs and re- MESSAGE FROM THE SENATE of the American people on the altar of stored funding to the nursing homes A message from the Senate by Mr. partisan competition. and hospitals. Lundregan, one of its clerks, an- We have proved that when we work Millions of seniors rely on Medicare nounced that the Senate had passed together, we get our work done. This every day. Our government must con- without amendment a concurrent reso- year, we passed the budget on time for tinue to improve and strengthen this lution of the House of the following only the second time since 1974. By lifeline for our seniors. We still have a title: completing our budget on time, we year left in this Congress, and I hope were able to complete all 13 appropria- that the President will work with us to H. Con. Res. 235. Concurrent resolution providing for a conditional sine die adjourn- tions bills without dipping into the So- find long-term solutions to the prob- ment of the first session of the One Hundred cial Security Trust Fund, doing that lems that affect the Medicare program. Sixth Congress. for the first time since 1967. For the As important as retirement security The message also announced that the second consecutive year we passed a is to older Americans, education is Senate had passed with an amendment balanced budget. That is the first time vital to the future of all Americans. As in which the concurrence of the House that has happened since 1960. a former public schoolteacher, improv- is requested, a joint resolution of the The appropriations process was hard ing education is one of my top prior- House of the following title: work and took longer than I wanted to ities. take, but, thanks to the dogged deter- America’s teachers and parents and H.J. Res. 82. Joint resolution making further continuing appropriations for the fiscal mination of the gentleman from Flor- grandparents have told us that they year 2000, and for other purposes. ida (Chairman YOUNG) and the ranking want the government to help improve f member, the gentleman from Wis- the Nation’s schools. We have re- consin (Mr. OBEY), and the rest of the sponded by putting education improve- SPECIAL ORDERS Committee on Appropriations, we comment at the top of our agenda, and I The SPEAKER pro tempore (Mr. pleted the work of the House; and, by am proud to say that we passed more PEASE). Under the Speaker’s an- doing so, we made great progress in education funding with less strings at- nounced policy of January 6, 1999, and preparing America for the next cen- tached, which ensures that more dol- under a previous order of the House, tury. lars will go directly to the classroom. the following Members will be recog- We had four goals at the beginning of Earlier this year the President signed nized for 5 minutes each. this Congress: Protect retirement secu- our legislation that would give more f rity for the next century, improve na- control over education to parents and tional security by bolstering our armed teachers and local administrators. Al- THOUGHTS ON THE FIRST SESSION services, reform our education system though Washington provides only 6 per- OF THE 106TH CONGRESS so that all of our children can go to a cent of the resources for our Nation’s The SPEAKER pro tempore. Under a good school in a safe environment, and schools, it mandates over 60 percent of previous order of the House, the gen- promote economic security and fair- the red tape that our schools have to

VerDate 29-OCT-99 02:02 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00002 Fmt 7634 Sfmt 0634 E:\CR\FM\K19NO7.001 pfrm02 PsN: H19PT1 November 19, 1999 CONGRESSIONAL RECORD — HOUSE H12895 deal with. The Federal Government a Tax Code that punishes widows Government does have an important should be providing a helping hand not through the death tax. role to play in the lives of the Amer- a heavier load for our Nation’s schools. The time has come to get some fair- ican people. It does have a responsi- We also passed legislation to improve ness to the Tax Code. Couples should be bility to secure the freedom and pro- teacher quality, improve student re- able to get married without the fear of mote the general welfare of its citi- sults, and give parents and teachers higher taxes, the government should be zens. more flexibility to teach our children. encouraging people to save for retire- But we must remember this: the Gov- Every child should have the oppor- ment, not punishing them, and our tax ernment works for the people; the peo- tunity to go to a school in a safe envi- relief package was responsible because ple should not be forced to work for the ronment, and we are committed to see- it took money out of Washington and Government. ing that those opportunities exist. put it back into the pockets of the peo- I want to thank my colleagues for Likewise, all Americans must be safe ple who earned it, the American people. the great trust that they have placed from international threats, and so our It would be irresponsible to leave the in me over the course of this session. It Republican majority will continue our whole $3 trillion surplus here in Wash- is a great honor and privilege to serve commitment to improving the national ington so that only politicians can as Speaker of the House. I look forward security. spend it. to an even more productive second ses- I am proud to say that we have suc- Our tax relief package kept faith sion. cessfully increased commitment to our with the balanced budget and it se- f men and women in uniform. We have cured $2.2 trillion for retirement secu- given them a well-deserved pay in- rity and for debt relief. As a matter of RECESS crease. We have increased defense fact, our budget spends down $350 bil- The Speaker. Pursuant to clause 12 of spending in other areas so that our lion of national debt this year. Al- rule I, the Chair declares the House in troops have the resources to get the job though the President vetoed this com- recess for 5 minutes. done. And why have we made this common sense proposal, I hope he will Accordingly (at 12 o’clock and 20 mitment to our nation’s defense? It is work with us next year to provide tax minutes p.m.), the House stood in re- a dangerous world out there, and for relief to the American people. cess for 5 minutes. too many years the administration has We have come a long way since the f been slashing funding for our military, House first asked me to be the Speak- b 1225 while at the same time asking our er, but we still have much left to ac- troops to serve in more and more dan- complish next year, and we will con- AFTER RECESS gerous places around the world. sider a conservative agenda that makes The recess having expired, the House We currently have soldiers and sail- America a more compassionate place was called to order at 12 o’clock and 25 ors stationed in the Middle East, in to live. minutes p.m. Bosnia, in Kosovo, in East Timor and Earlier this month the President and f Korea, to name just a few places. Our I went to the South Side of Chicago to servicemen and servicewomen spend promote a plan that we hope will revi- CORRECTING ENROLLMENT OF months away from their families and talize America’s most impoverished H.R. 3194, CONSOLIDATED APPRO- are poorly compensated for doing so, urban and rural communities. It ac- PRIATIONS AND DISTRICT OF CO- and, as a result, many of them are complishes this goal through tax incen- LUMBIA APPROPRIATIONS ACT, leaving the military. In these good eco- tives, environmental cleanup, and 2000 nomic times, it is crucial that we in- other private sector and public sector Mr. PEASE. Mr. Speaker, I ask unan- crease our military budget to deter partnerships. Coupled with common imous consent that House Concurrent hostile or maverick countries and to sense education reform and better Resolution 239, directing the Clerk of improve the quality of life for military crime and drug control strategy, we the House of Representatives to make personnel and their families. can make these communities a safer a technical correction in the enroll- We also passed and the President place to grow up and to raise a family. ment of the bill H.R. 3194, which has signed a national missile defense bill This is compassionate conservatism. been introduced, be considered and that will make our homes and neigh- We will push for tax relief for the adopted. borhoods safer. Many hostile nations American family. It is compassionate The Clerk read the title of the con- are developing missile technology that to put more dollars into the family current resolution. will soon put the United States in budget. The SPEAKER. Is there objection to harm’s way. Fortunately, our missile We will consider health care legisla- the request of the gentleman from Indi- defense bill makes it a national pri- tion that will make HMOs more ac- ana? ority for the United States to develop a countable and health care insurance There was no objection. missile defense system capable of pro- more accessible. The text of House Concurrent Resolu- tecting us from the threat of enemy We will take up a trade bill for Africa tion 239 is as follows: missiles. and the Caribbean basin. We believe H. CON. RES. 239 As Americans, our liberty is our helping these countries help them- Resolved by the House of Representatives (the most valuable asset, and we must pro- selves is done more effectively with Senate concurring), That in the enrollment of tect ourselves from those who would trade, not necessarily foreign aid. the bill (H.R. 3194), making appropriations threaten it. National defense is among We will continue to find ways to im- for the government of the District of Colum- the most important roles of our Fed- prove retirement security for our Na- bia and other activities chargeable in whole eral Government. This is why this Con- tion’s seniors by addressing the long- or in part against revenues of said District gress will continue to support our mili- term problems that face our Social Se- for the fiscal year ending September 30, 2000, tary and give our troops the funding curity system, our Medicare system, and for other purposes, the Clerk of the and our pension system. And we will House of Representatives shall insert before they need to defend America and her the comma at the end of section 1000(a)(7) of interests. continue to do the work of the House. division B the following: ‘‘, except that sub- Finally, we remain committed to As we continue our agenda in the sec- section (c) of section 912 of H.R. 3427 shall be providing tax relief to the American ond session of the 106th Congress, we deemed to read as follows: people. This is why we sent a fair and will fight for certain principles. We ‘(c) ADVANCE CONGRESSIONAL NOTIFICA- responsible tax relief package to the will fight to keep the Social Security TION.— President’s desk. surplus dedicated only to retirement ‘(1) FISCAL YEAR 1998.—Funds made avail- Currently we have a Tax Code that security, we will also continue to fight able pursuant to section 911(a)(1) may be ob- punishes couples for getting married for the principles of a smaller and ligated and expended beginning on or after December 15, 1999, provided that the appro- through the marriage tax penalty. We smarter government, and we will con- priate certification has been submitted to have a Tax Code that punishes people tinue to fight against government the appropriate congressional committees. for trying to save for retirement waste, unnecessary government power ‘(2) FISCAL YEARS 1999 AND 2000.—Funds made through the capital gains tax. We have and undue government influence. available pursuant to paragraph (2) or (3) of

VerDate 29-OCT-99 01:28 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00003 Fmt 7634 Sfmt 0634 E:\CR\FM\K19NO7.003 pfrm02 PsN: H19PT1 H12896 CONGRESSIONAL RECORD — HOUSE November 19, 1999 section 911(a) may be obligated and expended Are Blind Or Severely Disabled, transmitting By Mr. ACKERMAN (for himself, Mr. only if the appropriate certification has been the Committee’s final rule—Procurement KING, Mr. WEINER, Mr. FORBES, Mrs. submitted to the appropriate congressional List Additions—received November 18, 1999, MALONEY of New York, Mr. CROWLEY, committees 30 days prior to the payment of pursuant to 5 U.S.C. 801(a)(1)(A); to the Com- Mr. BENTSEN, Mr. CALVERT, Mr. the funds’ ’’. mittee on Government Reform. CAPUANO, and Mr. OSE): The concurrent resolution was agreed 5472. A letter from the Director, Office of H.R. 3511. A bill to prohibit deductions to. Procurement and Assistance Management, under the Internal Revenue Code of 1986 for Department of Energy, transmitting the payments to Holocaust survivors under cer- A motion to reconsider was laid on DOE’s 1999 list of government activities not tain settlements; to the Committee on Ways the table. inherently governmental in nature; to the and Means. f Committee on Government Reform. By Mrs. CHRISTENSEN: 5473. A letter from the President and Chief H.R. 3512. A bill to amend title 46, United ADJOURNMENT TO MONDAY, Executive Officer, Overseas Private Invest- States Code, to exempt from inspection cer- NOVEMBER 22, 1999 ment Corporation, transmitting a report on tain small passenger vessels that operate in Mr. PEASE. Mr. Speaker, I ask unan- the FY 1999 activities of the agency’s formal waters of the United States only in the Vir- management control review program, pursu- gin Islands; to the Committee on Transpor- imous consent that when the House ad- ant to 5 app.; to the Committee on Govern- tation and Infrastructure. journs today, it adjourn to meet at ment Reform. By Mr. TALENT (for himself and Mr. noon on Monday next. 5474. A letter from the Board Members, THUNE): The SPEAKER. Is there objection to Railroad Retirement Board, transmitting H.R. 3513. A bill to provide for grants to as- the request of the gentleman from Indi- the Board’s commercial activities inventory; sist value-added agricultural businesses; to ana? to the Committee on Government Reform. the Committee on Agriculture. There was no objection. 5475. A letter from the Inspector General, By Mr. GILMAN (for himself and Mr. Social Security Administration, transmit- GEJDENSON): f ting the Administration’s inventory of com- H. Con. Res. 239. Concurrent resolution di- mercial activities; to the Committee on Gov- recting the Clerk of the House of Representa- SPECIAL ORDERS GRANTED ernment Reform. tives to make a technical correction in the By unanimous consent, permission to 5476. A letter from the Director, Fish and enrollment of the bill H.R. 3194; to the Com- address the House, following the legis- Wildlife Service, Department of the Interior, mittee on House Administration. lative program and any special orders transmitting the Department’s final rule— heretofore entered, was granted to: Endangered and Threatened Wildlife and f Plants; Determination of Endangered Status The following Member (at his own re- for the Plant Lesquerella thamnophila (Za- quest) to revise and extend his remarks pata Bladderpod) (RIN: 1018–AE54) received ADDITIONAL SPONSORS and include extraneous material: November 15, 1999, pursuant to 5 U.S.C. Under clause 7 of rule XII, sponsors Mr. HASTERT, for 5 minutes, today. 801(a)(1)(A); to the Committee on Resources. were added to public bills and resolu- f f tions as follows: ADJOURNMENT TIME LIMITATION OF REFERRED H.R. 230: Ms. PELOSI. BILL H.R. 939: Ms. MCKINNEY and Mr. WATT of Mr. PEASE. Mr. Speaker, I move North Carolina. that the House do now adjourn. Pursuant to clause 5 of rule X the fol- H.R. 1168: Mr. FOSSELLA, Mr. GILCHREST, The motion was agreed to; accord- lowing action was taken by the Speak- and Mr. MCINNIS. ingly (at 12 o’clock and 26 minutes er: H.R. 1275: Mr. LAZIO, Mr. RANGEL, Mr. CON- p.m.), under its previous order, the H.R. 1838. Referral to the Committee on YERS, Mr. SABO, Mr. WYNN, Ms. PELOSI, Mr. INSLEE, Mr. BILBRAY, Mr. BERMAN, and Mr. House adjourned until Monday, Novem- Armed Services extended for a period ending HALL of Ohio. ber 22, 1999, at noon. not later than November 22, 1999. H.R. 3081. Referral to the Committee on H.R. 1322: Mr. BILBRAY. f Education and the Workforce extended for a H.R. 1606: Mrs. MALONEY of New York. H.R. 2166: Ms. BERKLEY and Mr. DEFAZIO. EXECUTIVE COMMUNICATIONS, period ending not later than November 22, 1999. H.R. 2511: Mr. GOODLATTE. ETC. H.R. 2782: Mr. ROTHMAN f Under clause 8 of rule XII, executive H.R. 2893: Mr. UDALL of Colorado PUBLIC BILLS AND RESOLUTIONS H.R. 2966: Mr. DELAHUNT communications were taken from the H.R. 3293: Mrs. MCCARTHY of New York, Ms. Speaker’s table and referred as follows: Under clause 2 of rule XII, public SLAUGHTER, and Mrs. FOWLER. 5471. A letter from the Executive Director, bills and resolutions were introduced H.R. 3405: Mr. FRANKS of New Jersey. Committee For Purchase From People Who and severally referred, as follows: H. Res. 357: Mr. DAVIS of Florida.

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Vol. 145 WASHINGTON, FRIDAY, NOVEMBER 19, 1999 No. 165 Senate

The Senate met at 10 a.m. and was called to order by the President pro tempore [Mr. THURMOND].

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

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VerDate 29-OCT-99 01:33 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00001 Fmt 0624 Sfmt 8633 E:\CR\FM\A19NO6.000 pfrm01 PsN: S19PT1 S14840 CONGRESSIONAL RECORD — SENATE November 19, 1999

PRAYER The PRESIDENT pro tempore. The lenge in terms of our role in Kosovo. So The Chaplain, Dr. Lloyd John Senator from Nevada. we went from one extreme in the Con- Ogilvie, offered the following prayer: f stitution, involving an impeachment against the President, to the other ex- Dear God, it is with reverence and treme, where this Senate had to con- commitment that we address You as BANKRUPTCY REFORM template the possibility, the very real Sovereign of our lives and of our Na- Mr. REID. Mr. President, I hope in possibility, of war. That is how our ses- tion. You are absolute Lord of all, the the final hours of the session in the sion began, at such a high level with one to whom we are accountable and final day we will not forget the such great challenges. the only one we must please. Our fore- progress that has been made on the There were so many other challenges fathers and foremothers called You bankruptcy bill. I spoke to the man- that were presented to the Senate dur- Sovereign, with awe and wonder as ager of the bill, the subcommittee ing the course of the year. I am sad to they established this land and trusted chair, late yesterday evening, and he report that we addressed very few of You for guidance and courage. Our indicated that there was some thought them. Things that American families founders really believed that they de- by the Republican majority leadership really care about we did not spend rived their power through You and gov- they would accept the unanimous-con- enough time on, we did not bring to a erned with divinely delegated author- sent agreement that I suggested yes- conclusion. So, as we return to our ity. terday morning. As I indicated at that homes, States, and communities after In our secularized society, Lord, re- time, we have gone from some 320 this session is completed and we are call the Senators to their commitment amendments down to 14, 7 of which confronted by those who are concerned to Your sovereignty over all that is have either been accepted or they will about their daily lives and they ask us, said and done. May this day be a reaf- be resolved in some manner. We only What did you achieve during the course firmation that You are in control and have seven contested amendments. of this session? I am afraid there is that their central task is to seek and I hope we do not lose the initiative very little to which to point. to do Your will. Thank You that this is that has taken place to this point in This morning, I received some letters the desire of the Senators. So speak, the next few hours, or the next few from my home State of Illinois from Lord; they are listening. Guide, minutes, really, that we could enter senior citizens concerned about the strengthen, and encourage faithfulness into that unanimous-consent agree- cost of prescription drugs, as well they to You. In Your holy, all-powerful ment so that at such time as we return should be, because not only are these name. Amen. to the bankruptcy bill, we have a finite costs skyrocketing, but we find gross f number of amendments and can pro- disparities between the charges for pre- ceed to wrapping that up. I repeat that scription drugs in the United States PLEDGE OF ALLEGIANCE it is not the minority but, rather, the and the cost of the very same drugs The Honorable CHUCK HAGEL, a majority that is holding up this most made by the same companies if they Senator from the State of Nebraska, important bill. are sold in Canada or in Europe. led the Pledge of Allegiance as follows: Mr. HAGEL. Mr. President, I note the In fact, in the northern part of the I pledge allegiance to the Flag of the absence of a quorum. United States, it is not uncommon for United States of America, and to the Repub- The PRESIDENT pro tempore. The many senior citizens to get on a bus lic for which it stands, one nation under God, clerk will call the roll. and go over the border to Canada to indivisible, with liberty and justice for all. The legislative clerk proceeded to buy their prescription drugs at a deep f call the roll. discount from what they would pay in (Mr. HAGEL assumed the chair.) the United States. That is difficult for RECOGNITION OF THE ACTING Mr. DURBIN. Mr. President, I ask seniors to understand; it is difficult for MAJORITY LEADER unanimous consent that the order for Senators to understand as to why that The PRESIDENT pro tempore. The the quorum call be rescinded. same prescription drug should be so cheap if purchased overseas and so ex- acting majority leader is recognized. The PRESIDING OFFICER. Without pensive for American citizens in a Mr. HAGEL. I thank the Chair. objection, it is so ordered. country where those pharmaceutical f f companies reside and do business. The senior citizens have asked us, as SCHEDULE RESERVATION OF LEADER TIME well as their families who are con- Mr. HAGEL. Mr. President, on behalf The PRESIDING OFFICER. Under cerned about the costs they bear, to do of the leader, this morning the Senate the previous order, the leadership time something. Yet this session comes to will consider numerous legislative is reserved. an end and nothing has been done— items that have been cleared for ac- f nothing has been done—either to ad- tion. Following consideration of those dress the spiraling cost of prescription bills, the Senate will resume debate on MORNING BUSINESS drugs or to amend the Medicare pro- the final appropriations conference re- gram and to make prescription drugs port. Cloture was filed on the con- The PRESIDING OFFICER. Under the previous order, there will now be a part of the benefits. ference report yesterday, and it is still Think about it: In the 1960s, under hoped that those Senators objecting to period for the transaction of morning business. President Lyndon Johnson when Medi- an agreement to change the time of the care was created, we did not include The Senator from Illinois. cloture vote to occur at a reasonable any provision for paying for prescrip- hour during today’s session will recon- f tion drugs. We considered it from a sider. However, if no agreement is Federal point of view as if prescription made, the cloture vote will occur at A CHALLENGING SESSION OF THE drugs were something similar to cos- 1:01 a.m., Saturday morning. Senators SENATE metic surgery, just an option that one may also expect a vote on final passage Mr. DURBIN. Mr. President, the Sen- might need or might not need, but cer- to occur a few hours after the cloture ate, we hope today or perhaps tomor- tainly something that was not life- vote. In addition, the Senate could con- row, will be bringing this session to a threatening. sider the work incentives conference close. It has been a session which has Today, we know we were wrong. In report prior to adjournment. involved some historic decisions by the many instances, because of the wide Mr. President, I thank you. Senate. Of course, it began with an im- array of prescription drugs and the val- I suggest the absence of a quorum. peachment trial of the President of the uable things they can do for seniors, we Mr. REID addressed the Chair. United States, which ended in a bipar- find a lot of our senior citizens depend- Mr. HAGEL. Mr. President, I would tisan decision of the Senate not to con- ent on them to avoid hospitalizations ask the acting minority leader be rec- vict the President. Then, shortly there- and surgeries and to keep their lives at ognized. after, we faced a rather historic chal- the highest possible quality level.

VerDate 29-OCT-99 01:33 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00002 Fmt 0624 Sfmt 0634 E:\CR\FM\G19NO6.001 pfrm01 PsN: S19PT1 November 19, 1999 CONGRESSIONAL RECORD — SENATE S14841 Last week, I went to East St. Louis, never having addressed campaign fi- last thing said; no conference com- IL, the town where I was born, and St. nance reform, something so basic to mittee, no bill, no relief, no protection Mary’s Hospital and visited a clinic. I the future of our democracy. for families across America. walked around and met groups of sen- On a Patients’ Bill of Rights, there is I will return to Illinois, and my col- ior citizens and asked them how much a term which a few years ago American leagues to their States, unable to point they were paying for prescription families might not have been able to to anything specific we have done to drugs. The first couple took the prize: define. I think they understand it now. help families deal with this vexing $1,000 a month came in from their So- It was an effort on the floor of the Sen- problem. cial Security; $750 a month went out ate to say that families across America The minimum wage debate is another for prescription drugs. Three-fourths of and individuals and businesses would one. Senator KENNEDY, who sits to my all the money they were bringing in get a fair shake from their health in- right, has been a leader in trying to from Social Security went right out surance companies; that life-and-death raise the minimum wage 50 cents a the window to the pharmacy. decisions would be made by doctors and year for the next 2 years to a level of There was another lady with about nurses and medical professionals, not $6.15. He has been trying to do this for $900 a month in Social Security; $400 a by clerks at insurance companies. It is years. He has been stopped for years. month paid in prescription drugs. that basic. Mr. President, you know as We are literally talking about millions Another one, about $900 a month in well as I, time and again, a good doctor of Americans, primarily women, who Social Security; $300 a month in pre- making a diagnosis, who wants to go go to work in minimum-wage jobs and scription drugs. forward with a procedure, first has to try to survive. Many of them are the The last person we met, though, told get on the phone and ask for permis- sole bread winners of their families. We another story. He was retired from a sion. will leave this session of the Congress— union job he worked at for many years, I can recall a time several years ago the Senate and the House will go a tough job, a manual labor job, and in a hospital in downstate Illinois home—and those men and women will he, too, had expensive prescription where I accompanied a doctor on get up and go to work on Monday drugs, but he was fortunate. The union rounds for a day. I invite my colleagues morning still facing $5.15 an hour. plan helped him to pay for them. Out of to do that. It is an eye-opener to see In a Congress which could come up pocket, he puts down $5 to $15 a month what the life of a doctor is like, but with $792 billion for tax breaks for the and is happy to do it. also to understand how it has been wealthiest people in America, we cannot find 50 cents for the hardest work- Think of the contrast between $750 a changed because health insurance coming men and women, who get up every month and $15 a month. One can under- panies now rule the roost when it single day and go to work, as people stand why people across America, sen- comes to making decisions about who watch our children in day-care iors who want to continue to lead ac- health care. tive and healthy lives, have turned to This poor doctor was trying to take centers, as those who care for our par- Congress and said: Please, learn from care of his patients and do the right ents and grandparents in nursing homes, as those people who make our the President’s lead in the State of the thing from a medical point of view, and beds when we stay in hotels, service Union Address that we should have a he spent most of his time while I was our tables when we go to restaurants. prescription drug benefit. with him on the phone with insurance They get up and go to work every sin- This Senate—this Congress—will go companies. He would be at the nurses’ gle day. This Senate did not go to work home without even addressing that station on a floor of St. John’s Hos- to help those people. We could find tax issue. That is sad. It is a reality facing pital in Springfield, IL, begging these breaks for wealthy people, but when it American families. You will recall, as insurance companies to allow him to came to helping those who are largely well as I, a few months ago we were all keep a patient in the hospital over a voiceless in this political process, we in shock over what happened at Col- weekend, a patient he was afraid might did nothing. We will return home and umbine High School with the killing of have some dangerous consequences if face the reality of that decision. those innocent students. This Senate she went home before her surgery—her If there is any positive thing that made an effort to keep guns out of the brain surgery—on Monday. Finally, the came of this session, it emerged in the hands of children and criminals with a insurance company just flat out said: last few days. Finally, after an impasse very modest bill that said if you were No, send her home. over the budget that went on for month going to buy a gun at a gun show, we He said: I cannot do that. In good after weary month, the Republican want to know your background. conscience, she has to stay in the hos- leadership sat down at the table with The bill passed. It was sent over to pital, and I will accept the con- the President. The President insisted the House of Representatives. The gun sequences. on priorities, and you have to say, by lobby got its hands on it, and that was That is what doctors face. Patients any measure, he prevailed. And thank the end of it. End of discussion. who go to these doctors expecting to goodness he did. As we return home to face parents get the straight answers about their Let me tell you some of the things who say, what have you done to make medical condition and medical care that are achieved in the budget we will America safer, to make communities, find they are involved in a game in- vote for. It has its shortcomings—and I neighborhoods, and schools safer, the volving health insurance companies will point out a few of them—but it has honest answer is nothing, nothing. and clerks with manuals and com- several highlights. Take a look at campaign finance re- puters who decide their fate. The President’s 100,000 COPS Pro- form. Senator FEINGOLD of Wisconsin is When we tried to debate that issue on gram across America has had a dra- on the floor. He has been a leader on the floor of the Senate, we lost. Amer- matic impact in reducing violent crime this issue with Senator MCCAIN of Ari- ican families lost. The winners were and making America a safer place to zona. They had a bipartisan effort to the insurance companies. They came live. There was opposition from Repub- clean up this mess of campaign funding here, a powerful special interest, and lican leadership to continue this pro- in America. Yet when it came to a they won the day. They had a majority gram. But, finally, the President pre- vote, we could muster 55 votes out of of 100 Members of the Senate on their vailed, and we will move forward to 100 favoring reform, which most people side, and American families lost. send more police and community po- would say: You have a majority; why Thank goodness that bill went to the licemen into our neighborhoods and didn’t you win? other side of the Rotunda. The House schools across America to make them Under Senate rules, it takes more of Representatives was a different safer. That is something achieved by than a majority. It takes 60 votes. We story. Sixty-eight Republicans broke the President, in negotiation with con- were five votes short. All of the Demo- from the insurance lobby and voted gressional leaders at the 11th hour and cratic Senators supported campaign fi- with the Democrats for the Patients’ the 59th minute. nance reform, and 10 stalwarts on the Bill of Rights so that families across In the area of education, the Presi- Republican side came forward. Yet America would have a chance. But dent has an initiative at the Federal when it was all said and done, nothing nothing came of it. That was the end of level which makes sense from a par- was done. We will end this session it. The debate in the House was the ent’s point of view. If we can keep the

VerDate 29-OCT-99 01:02 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00003 Fmt 0624 Sfmt 0634 E:\CR\FM\G19NO6.004 pfrm01 PsN: S19PT1 S14842 CONGRESSIONAL RECORD — SENATE November 19, 1999 class sizes in the first and second grade Let me tell you about Head Start. was the lowest priority of the Appro- smaller—rather than larger—teachers This is a good story. Head Start is a priations Committee. When we wait have a better chance to connect with a program created by President Lyndon that long, we invite controversy and child, to find out if this is a gifted child Johnson in the Great Society. There delay. Fortunately, it ended well. The who has a bright future, or a child who were people who were critics of the President prevailed. These educational needs some special help with a learning President’s initiatives, but Head Start programs will be well funded. disability, or perhaps a slow learner has survived because it is a great idea. Let me tell you of a bipartisan suc- who needs a little more tutorial assist- We take kids from lower income and cess story: The National Institutes of ance to get through the first and sec- disadvantaged families, and bring them Health. That is one of the best parts of ond grade. into a learning environment at a very the bill that we are going to vote on. It You know what happens when those early age, put them in something simi- receives a 15-percent increase over last kids do not get that attention? They lar to a classroom, and give them a year’s funding level. The National In- start feeling frustrated and falling be- chance to start learning. And we institutes of Health conducts medical re- hind, and the next thing you know, it volve their parents. That is the critical search. Those of us who are in the Sen- is even a struggle to stay in school, let element in Head Start. ate, those serving in the House, are vis- alone enjoy the experience and learn This budget is going to provide $5.3 ited every single year by parents with from it. The President has said: Let’s billion—the amount requested by the children who suffer from autism, juve- take our Federal funds, limited as they President—to serve an additional 44,000 nile diabetes, by people representing are, and focus on an American initia- kids across America, and to stay on those who have Alzheimer’s disease, tive to make class sizes smaller in the track to serve 1 million children by the cancer, heart disease, AIDS. And all of first and second grade. year 2002. them come with a single, unified mes- I went to Wheaton, IL, and I saw a Class size reduction, which I have sage: Please, focus more resources, class like this. Believe me, it works. mentioned to you, is one that is very more money on research, more money Don’t take my word for it. Ask the ad- important to all of us. Disadvantaged on the National Institutes of Health. ministrators at the school, who applied students—there is $8.7 billion for title I We increase it this year some 15 per- for it, and the teachers who benefit compensatory education programs. cent. from it. And the parents are happy that That is an increase of $274 million, but Fortunately, one of the budget gim- it is there. it is still short of what the President micks which would have delayed giving The Republican side of the aisle re- requested. the money to the National Institutes of sisted the President’s initiative. But In special education there is good Health until the last 48 hours of the fis- thank goodness, in the closing minutes news. This budget will provide $6 bil- cal year was changed dramatically. Be- of the negotiations, the President pre- lion, $912 million—or 18 percent—more cause of that change, we do not believe vailed. Common sense prevailed. And than the fiscal year 1999 appropriations there will be any disadvantage to this we will continue this initiative to re- for special ed. In my home State of Illi- important agency. duce class size. nois, school districts will receive $227 I will give you an example of the life The way we are paying for some of million, a 62-percent increase since of a Senator and how this agency af- these things is very suspect; I will be 1997. fects it. A few weeks ago, a family in honest with you. We had this long de- Keep in mind these school districts, Peoria, IL, who had a little boy named bate during the course of the year because of a court decision and Federal Eric with a life-threatening genetic disease called Pompe’s disease, called about the future of the Social Security legislation, now bring disabled children my office. Their son’s only chance to trust fund. Some on the Republican and kids with real problems into a live was through a clinical trial; in side said: We will never touch it. Well, learning atmosphere to give them a other words, an experimental project historically we have touched it many chance. But it is very labor intensive at Duke University, which was being and very expensive. I am glad to see times. The money, the excess and sur- sponsored by a private company. plus in that fund that is not needed to that this budget will provide more Unfortunately, there were not any pay Social Security recipients has been money to those school districts to help additional slots available for Eric in borrowed by President Reagan, Presi- pay for those costs. this clinical trial. The company could dent Bush, and President Clinton, with Afterschool programs: We provide only manufacture enough of the drug the understanding it would be paid $453 million, an increase of $253 mil- for three patients. Eric would have back with interest. lion, to serve an additional 375,000 stu- been the fourth. Eric was denied admis- Now that we have gotten beyond the dents in afterschool programs. How im- sion to the trial for this rare disease. deficit era in America, when we talk portant are afterschool programs? Ask Sadly, Eric passed away. Pompe’s dis- about surplus, we hope we do not have your local police department. Ask the ease is rare. Children like Eric fre- to borrow from it in the future. So this families who leave their kids at the quently rely on the Government and year, to avoid directly borrowing from school door early in the morning, and its sponsored research for cures be- the fund, Republicans argued that they perhaps do not return home from work cause a cure for a rare disease is un- have done some things that are fiscally until 6 or 7 o’clock at night. They have likely to be very profitable for a lot of responsible. to be concerned about those kids, as the pharmaceutical companies. I am Let me give one illustration. This anyone would be. And the people in the glad to salute Senator SPECTER, Repub- budget agreement contains $38 billion local police department will tell you, lican of Pennsylvania; Senator HARKIN, for education programs. That is 7 per- after school lets out, we often run into my Democratic colleague from Iowa; cent, $2.4 billion, more than last year. problems. So afterschool programs give and my colleague from Illinois, Con- However, this increase is due to the kids something constructive to do after gressman JOHN PORTER, a Republican. fact that the agreement includes $6.2 school. I am glad the Federal Govern- They have made outstanding progress billion more in advance appropriations ment is taking some leadership in pro- in increasing the money available for than last year’s bill. viding this. the National Institutes of Health in What is an advance appropriation? In student aid, the agreement in- this bill. You borrow from next year. You do not creases maximum Pell grant awards to There is money also available for take your current revenue; you borrow college students by $175, from $3,125 to community health centers. We have from next year. So in order to provide $3,300. Since President Clinton has talked about a lot of things in this more for education, we borrow from taken office, we have seen the Pell Congress, but we don’t talk about the next year. grants increase by 43 percent. 42 million Americans—and that num- You might assume, then, we are This is an illustration of things that ber is growing—who have no health in- going to have this huge surplus of can be done when Congress works to- surance. Many of these Americans who money from which we continue to bor- gether. But we literally waited until are not poor enough to qualify for Med- row. It is anybody’s guess. We pass a the last minute to consider the edu- icaid and not fortunate enough to have bill, we appropriate the money, but we cation bill in the Senate. What is the a job with health insurance go to com- cannot account for its sources. highest priority for American families munity health centers, trying to get

VerDate 29-OCT-99 01:02 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00004 Fmt 0624 Sfmt 0634 E:\CR\FM\G19NO6.006 pfrm01 PsN: S19PT1 November 19, 1999 CONGRESSIONAL RECORD — SENATE S14843 the basic health care which all of us ex- this type of outreach program for asth- national family planning programs. pect for our families in this great Na- ma can have dramatic positive results. The Republican leadership in the House tion. These community health centers There is one other thing I will men- of Representatives insisted, if we are serve so many of these people, and they tion. That is a program in which I be- going to pay our U.N. dues, it has to be deserve our support. With a 30-year came interested in 1992. I went to De- at the expense of international family track record of providing quality serv- troit, MI, and saw an effort that was planning programs. I think that is ex- ice to America’s most vulnerable, these underway to provide residential treat- tremely shortsighted. I hope the next community health centers need to have ment to addicted pregnant women. I Congress will have a little more vision our support. thought it was such a good program, I when it comes to family planning, According to congressional testi- asked the directors: Where do you get when it comes to enacting a treaty, for mony by the Health Resources Service your Federal funds? They said: We example, a nuclear test ban treaty. The Administration, which overseas health don’t qualify for Federal funds. I went Senator from Nebraska, who is now center programs, 45 percent of these back to Washington and put a dem- presiding over the Senate, is working health centers are at risk financially, 5 onstration project in place so that we with Senator LIEBERMAN from Con- to 7 percent close to bankruptcy, and 5 could take addicted mothers across necticut in an effort to revive that ef- to 10 percent in severe financial trou- America out of their drug-infested fort as well. ble. Between 60 and 70 health center de- neighborhoods, put them in a safe envi- I hope the next session of Congress livery sites already have been forced to ronment, and try to make certain that will be more productive in that area close their doors. Changes in the Med- the babies they would bear would be and many others. icaid program have cut the compensa- free from drug addiction. I yield the floor. tion for these centers. The Balanced It was a demonstration project, and The PRESIDING OFFICER. The Sen- Budget Act, which was good overall, it worked—1,500 children in 1994 in ator from Nevada. made some cuts that really have re- America were born drug free because of Mr. WELLSTONE. Mr. President, sulted in deprivation of funds. An addi- this program which we started in 1992. will the Senator from Nevada yield? tional $100 million to community We were about to lose it this year. Mr. REID. Of course. health centers would provide health Imagine, we know a drug-addicted baby Mr. WELLSTONE. I ask unanimous care to another 350,000 Americans. It is extremely expensive, let alone, per- consent I be allowed to follow the Sen- can open up 259 new clinics. This is haps, a waste of great potential in ator from Nevada. something we should do. human life. I was able to work with The PRESIDING OFFICER. Without Let me point to one thing I am par- Senators SPECTER and HARKIN to put $5 objection, it is so ordered. ticularly proud of in this bill. It is an million in the bill to expand our cur- Mr. REID. Mr. President, before my initiative on asthma. I was shocked to rent efforts. friend from Illinois leaves the floor, I learn of the prevalence of asthma in I say, in closing, there is one area of want to direct a few questions to him. America today. I was stunned when I this bill I find particularly troubling. I appreciate very much the outline of learned it is the No. 1 diagnosis of chil- In a world which now has 6 billion peo- this congressional session made by my dren who were admitted to emergency ple, in a world where we see the need friend from Illinois. The Senator from rooms across America. Asthma is the for family planning and population Illinois and I came to the Senate from No. 1 reason for school absenteeism in control to avoid serious poverty, to the House of Representatives. I feel a America. When I asked my staff to re- avoid environmental disaster, and to great affinity for my friend, not only search what we are doing to deal with avoid wars, the leadership in the House for the great work he does but because asthma, I found that we did precious of Representatives and the Senate has we came as part of the same class. I little. I started asking my colleagues turned a blind eye to international made a number of notations as he gave in the Senate about their concerns over family planning. I cannot understand his speech. asthma and was surprised to find so how this Republican Party—not all of Isn’t it about time we updated, re- many of them who either had asthma them but many of them—can be so in- vised, modernized Medicare? I say that themselves or had a member of their sensitive to the need for international because it was almost 40 years ago, cer- family with asthma. family planning. Every year it is a bat- tainly 35, 36 years ago, that Medicare They joined in trying to find a new tle. We have to understand that when passed. Almost 40 years ago, 4 decades approach, a new initiative that would population growth is out of control in ago, we didn’t have prescription drugs; deal with this problem. Leading that underdeveloped countries, it is a threat we didn’t have drug therapies that ex- effort was my colleague from the State to the stability not only of that coun- tended lives or made life more com- of Ohio, Senator MIKE DEWINE. He and try, of that region, but of the world and fortable for most people. I put in an amendment, which was the United States. I say to my friend from Illinois, isn’t funded in this bill, to provide $10 mil- We have to follow the lead of Presi- it about time Medicare became mod- lion in funding to the Centers for Dis- dent Clinton and many in Congress ern? Isn’t it about time senior citizens ease Control for childhood asthma pro- who have said U.S. involvement in have a program where they can get an grams. international family planning is abso- affordable prescription drug program What is asthma like? I have never lutely essential. We hear arguments to keep them alive, to keep them suffered from it, thank God. But imag- and see amendments offered because healthy? ine this illustration: For the next 15 there are some who want to make this Mr. DURBIN. I agree with the Sen- minutes, imagine breathing through a an abortion issue. The sad reality is ator from Nevada. Isn’t it ironic that if tiny straw the size of a coffee stir, that if a woman in a faraway land does you bought a hospitalization policy never getting enough air. Now imagine not have the wherewithal to plan the now, as an employee of a company, you suffering this three to six times a day. size of her family and has an unin- would expect some sort of prescription That is asthma. tended pregnancy, it increases the like- drug benefit as part of it, that goes There have been some innovative lihood of abortion. So family planning, along with most policies? things that have been done. In South- when properly used, will reduce the Medicare does not include that. Sen- ern California, Dr. Jones, with the Uni- likelihood of these unintended preg- iors find themselves at a distinct dis- versity of Southern California, has nancies. That is as night follows day, advantage. Many of the seniors I started a ‘‘breathmobile’’ moving for those who care to even take a look talked to the other day in East St. around the areas and neighborhoods of at this policy issue. Louis, IL, had heart problems. Back 35 highest incidence of asthma, identi- I am sorry to report that although we years ago, we didn’t have the wide fying kids with the problem, making are going to finally pay a major part of array of potential prescription drugs to sure they receive the right treatment our U.N. dues, which has been an em- deal with blood pressure problems, for and that their parents and teachers barrassment to many of us for so many example. Now we do. The fact that know what to do. That is what we have years while the Republican Congresses these prescription drugs are available to encourage. The $10 million Senator have refused to pay those dues, it was means longer and better lives for sen- DEWINE and I have put in this bill for at the price of threatening inter- iors.

VerDate 29-OCT-99 01:02 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00005 Fmt 0624 Sfmt 0634 E:\CR\FM\G19NO6.009 pfrm01 PsN: S19PT1 S14844 CONGRESSIONAL RECORD — SENATE November 19, 1999 Mr. REID. Also, while we are talking you read the Patients’ Bill of Rights, In one circumstance, the employer about prescription drugs, I offered an the Senator knows it is not a Patients’ collected the health insurance pre- amendment in the Senate, which Bill of Rights. miums from the employee and then passed, that said for Federal employ- It is unusual in this country—and the didn’t pay the health insurance com- ees—I tried to broaden it to cover all Senator and I are both lawyers, and I pany. So when the family tried to get insurance policies but was unable to do know sometimes the legal profession coverage for medical care, the next that—health insurance programs, the doesn’t have the greatest name, unless thing that occurred was they found out people who are allowed to get prescrip- you need a lawyer. But in our great so- the premiums had not been paid by the tion drugs should be allowed to get pre- ciety, this country that we admire— employer. That was the only example scriptions for contraceptives. The rea- and we salute the flag every day—it is we could find. But if the employer son is that there are 3.6 million unin- interesting that the only two groups of picks a health insurance company and tended pregnancies in the United people you can’t sue in America are they make a decision, we could not find States and almost 50 percent of those foreign diplomats and HMOs. a single case where the employer was wind up in abortion. Doesn’t the Senator think that held liable because of the health insur- So if people really care about cutting should be changed? ance company’s bad medical decision. back the number of abortions, we Mr. DURBIN. I agree completely with So that, I think, is a red herring, one should have prescription drugs avail- the Senator from Nevada. If we did that really does a disservice to Amer- able in the form of contraceptives for nothing else but change that to say ican families who deserve this right. people. But what the Senator didn’t these health insurance companies Mr. REID. The Senator also gave an mention is hidden in this huge bill is could be held liable in a court of law example of one of his constituents in language to lessen the effectiveness of before a jury of Americans for their de- Illinois whose child has Pompe’s dis- this program. For reasons unknown to cisions on health care, it would have a ease, who, as we speak, is not receiving anyone, other than a way to attempt to dramatic overnight impact on their de- treatment for that. help the insurance companies, they cisions also. They would think twice Mr. DURBIN. The child has passed have said there is going to be a con- about denying a doctor’s recommenda- away. science clause for pharmacists. I say to tion for a surgical procedure or a hos- Mr. REID. He wanted to participate my friend, I understand there should be pitalization. They would think twice in what is called a clinical trial. Is the a conscience clause for physicians who about delaying these decisions. Senator aware that HMOs almost uni- might prescribe these drugs, but does I have noticed, and I am sure the versally deny the ability of their en- the Senator see any reason why you Senator from Nevada has noticed as rollees to participate in clinical trials? should weaken this most important well, many times, poor families I rep- Mr. DURBIN. Yes. Frankly, during piece of legislation in law and have a resent in Illinois will get into a strug- the course of the debate here, the Sen- so-called conscience clause for phar- gle with an insurance company to try ator can remember that when they re- macists? to get help, for example, for a child ferred to reputable medical leaders in Mr. DURBIN. I do not. I agree with with a serious illness or disease, and the United States, such as Sloan Ket- the Senator from Nevada that it is ex- the struggle goes on for months; ulti- tering—which is a great institution tremely shortsighted. Perhaps we are mately, the family prevails; but during when it comes to cancer treatment and striking a moralistic pose when we say that period of time, the poor child is research and is respected around the we are not going to allow prescriptions suffering and the family is suffering. I world—they said, after their survey, for contraception. In other words, we think that giving those families across that clinical trials really open the door will acknowledge all of the other needs America the right to sue health insur- for new treatments and therapies that, a woman may have, but not provide for ance companies and saying to the frankly, save us money. They found birth control pills. That seems to me to health insurance companies that, like better and more efficient ways to keep be out of step with what American every other business in America, you people healthy. Meanwhile, the health families expect us to do. Let them will be held accountable for any wrong- insurance companies won’t pay for make the decision with their doctor. doing, is just simple justice. To do oth- them, and we are literally stopped in Instead, we are imposing on them what erwise is to suggest that we are going our tracks from moving forward with may be viewed by many as a moralistic to create some special, privileged class this kind of medical research and clin- point of view that should not be in our of companies and that, literally, the ical trials. province. This is the first I have heard health insurance companies are above In this case, with this little boy, of this conscience clause, where a phar- the law. That is not America. Eric, who passed away from this dis- macist, for example, might refuse to Mr. REID. My friend also knows that ease, he was closed out of a clinical fill a prescription for birth control with part of the public relations mech- trial. Would he have survived with it? I pills. Under this amendment that is anisms these giant HMOs have, they am not sure, but because of the health being put in the bill, he or she is not are going around saying, well, what insurance company, he never got a required to do so. these people in Washington want to chance. Mr. REID. It is in this bill on which do—the Congressmen—is allow suits Mr. REID. On the floor today, right we are going to vote. against your employer. Now, the Sen- next to the Senator, is the Senator Mr. DURBIN. I think it really ator knows that is fallacious. Any liti- from Minnesota, who has been a leader stretches credibility to think that a gation that would be directed against in Congress fighting for the rights of pharmacist, in this situation, would be the wrongful acts of the entity that those people who are disadvantaged be- allowed to make that decision and per- disallows the treatment has nothing to cause of mental disease. Well, there haps disadvantage a woman who may do with the employer. Does the Sen- was a big fanfare a week or two ago not have easy access to another phar- ator understand that? about some big health entity in the macy. Mr. DURBIN. That is right. The Sen- Midwest that had decided they were Mr. REID. The Senator has said it all ator probably saw the survey that going to let doctors make the decision, there. Not everybody lives in metro- there are people against giving families rather than checking them out. They politan Chicago, where they can go to the right to hold health insurance com- looked on their accounting and found two or three different pharmacies with- panies accountable in court, and they they could spend a lot of money trying in a matter of a few blocks. In some say, well, if you work for an employer to direct care. They said what they are places, there is only one pharmacy. who provides health insurance, those going to do now is let doctors make the I also say to my friend it seems un- families may turn around and sue the decision. What they didn’t tell us is usual—while we are talking about employer, as opposed to the health in- that this would not apply to people health care—and the Senator did an ex- surance company. So we looked at that who had mental disease, who had emo- cellent job in talking about the Pa- and did a survey; we investigated. We tional problems. Is the Senator aware tients’ Bill of Rights. We passed a pa- found out that only in a very rare situ- of that? tients’ non-bill of rights. We passed a ation has that occurred. Here is an ex- Mr. DURBIN. I am aware of it. I sa- bill here that is a bill in name only. If ample. lute the Senator from Minnesota, my

VerDate 29-OCT-99 01:02 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00006 Fmt 0624 Sfmt 0634 E:\CR\FM\G19NO6.012 pfrm01 PsN: S19PT1 November 19, 1999 CONGRESSIONAL RECORD — SENATE S14845 friend, Senator PAUL WELLSTONE, and It strikes me that those of us who this morning on the floor of the Senate our colleague, Senator DOMENICI from sought this office to serve in the Sen- talking about providing health insur- New Mexico, for their leadership on ate or the House of Representatives did ance to the uninsured than we have this issue. It is a classic illustration of not do it just to collect a paycheck and spent in the entire session this year de- another problem facing American fami- accumulate years toward a pension but bating any proposals to deal with the lies which this Congress has refused to to do something to help families across problem. address. The problem is very straight- this country. This is the No. 1 concern I would say to my friends on the Re- forward. of families across the country. publican side of the aisle that if you An internist from Springfield, IL, If you have a child reaching the age have an idea, or a concept, or a piece of came to see me and said, ‘‘Senator, I of 23, and all of a sudden it dawns on legislation, come forward with it. Let am literally afraid to put in a patient’s you: Where is my daughter going to get us put our best proposal on the table. record that I am giving them medica- her health insurance? I can’t bring her That is what the Senate is supposed to tion for depression because the insur- under my policy. You start thinking. I be about. It is supposed to be a contest ance company will then label them as am sure the Senator from Nevada has. of ideas, and the hope that when it is ‘victims of chronic depression,’ a men- I have. As a parent, every day I call my all said and done, the American people tal illness, and discriminate against daughter in Chicago, who is an art stu- will prosper because we will come out them when it comes to future health dent, and an artist, and say, ‘‘Jennifer, with something that improves the insurance coverage.’’ are you insured this month?’’ ‘‘Yes, quality of their lives. This year we That is outrageous. Mental illness is dad.’’ But I have to ask the question have not. an illness, it is not a moral short- because health insurance is not auto- Mr. REID. I want the Senator, also, coming. These people can and deserve matic. to react to this. If we passed all of the to receive the very best care. Unless This Congress has done little, if any- programs the Republicans have talked and until the Senator from Minnesota thing, to help families across America about, the majority has talked about, and others of like mind prevail in the who struggle with this every single on rare occasions—medical savings ac- Senate and in the House of Representa- day—not to mention those with pre- counts, tax breaks for employers, and tives, we will continue to discriminate existing conditions. If you have a pre- insurance—does the Senator realize against the victims of mental illness. existing condition and it is a serious that would cover less than 5 million of That is something this Congress can do one, and you have to change insurers, the 45 million people? something about. We will leave here good luck. Most people find themselves Mr. DURBIN. The Senator from Ne- today or tomorrow, again, with that being discriminated against. vada is right. We overlook the num- unfinished item on the agenda. I agree with the Senator from Ne- bers. The numbers are important. It is Mr. REID. I also say to my friend vada. We have been here day in and day good to do something symbolic, but it that we were here last year wrapping out, and I have heard literally nothing doesn’t solve the problem. We know the up the congressional session. Is the suggested by the Republican leadership problem grows, as the Senator from Senator aware that since that time we to deal with this. Nevada has indicated, by 1 or 2 million have had 11⁄2 million new people in Mr. REID. At the beginning of our a year—more people without health in- America added to the uninsured rolls? August break, I traveled back to Ne- Mr. DURBIN. The list grows. The vada with my wife. As we flew home, surance coverage, more people who are Senator from Nevada knows as well as my wife became very sick. We got off vulnerable, and a Congress which has a I do that unless and until we face the the airplane and went immediately to tin ear when it comes to this issue. We look at the Time magazine polls reality that every American citizen the Sunrise Hospital emergency room. and every American family deserves As we walked in that room—she was where it talks about the concern of the the peace of mind of health insurance wheeled into the room—there were lots American people about health care. It coverage, you will continue to see em- of people. It was very crowded. We were doesn’t get through to the leadership ployers deciding not to offer health in- probably among the 10 percent of the in Congress, and we will leave this year surance protection, and working, lower fortunate ones in that room; we had in- having done nothing to make it better. income people in America will be with- surance to cover my wife’s illness. She Mr. REID. The Senator made an out- out the protection of either Medicaid was there for 18 days. Ninety percent of standing statement relating to guns, or health insurance at work. These the people there had no health insur- juvenile justice, kids getting killed, people get sick as other people do. ance of any kind. They were there be- and people getting killed. So that those When they present themselves to hos- cause they had no place else to go. people within the sound of our voice pitals, they receive charity treatment Those uninsured people get care. The understand what we are talking about, which is paid for by everyone, instead most expensive kind of care you can we are talking about people who pur- of receiving quality health care from get anyplace is in an emergency room. chase a gun shouldn’t be crazies or a the start. Preventive care can avoid se- Who pays for that? You and I pay for criminal. Isn’t that what we are say- rious illness. it. Everybody in America pays for it in ing? Again, it is an issue that this Con- the form of higher taxes for indigent Mr. DURBIN. It is very basic. That is gress has refused to address. care—higher insurance premiums, it. Mr. REID. I wanted to say this—the higher insurance policies, and higher Mr. REID. We are saying that we be- Senator has said it, but I want to un- hospital and doctor bills. We all pay for lieve the legislation we passed, with derline it and make it more graphic. it anyway. the Democrats voting for it and a few The Senator who is on the floor is the But we don’t have the direction from Republicans, basically said that under leader for the Democrats. I am the the majority here to have a debate on this law if you are mentally deranged, whip for the Democrats. We spend a lot what we are going to do with the rap- a criminal, or a felon, you shouldn’t be of time here on the floor. Have we idly rising number of people with no able to buy a gun. It should apply to missed something? Has the Senator health insurance. pawnshops, and it should apply to gun heard any debate dealing with the un- Next year, we are going to probably shows. Is that what the legislation we insured in this country? have 2 million more. It is going up passed said, and we can’t even get to Mr. DURBIN. No. We haven’t missed every year. We have 45 million people— conference on it? it, as the Senator from Nevada knows actually 44 million people now—who Mr. DURBIN. That is what it came very well. This is the third rail for a have no health insurance. Next year, it down to. Those who would argue that lot of politicians around here because will be close to 46 million people. Will gun control legislation and Capitol Hill you have to start to talk about things the Senator agree with me that it is want to take your gun away, that is that cost a lot of money. Doing noth- somewhat embarrassing for this great, not the case at all. What it is all about ing costs a lot more money. People get rich country, the only superpower in here is to say if you want to purchase ill, they have to go to the doctor, and the world, that 44 million people will a gun in America, whether it is from a to the hospital. When they need to have no health insurance? licensed dealer, a pawnshop, or a gun have serious treatment, or hospitaliza- Mr. DURBIN. It is an embarrassment, show, we want to know a little about tion, that is very expensive, too. and it is sad. We have spent more time you. Are you a stable person? Do you

VerDate 29-OCT-99 01:02 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00007 Fmt 0624 Sfmt 0634 E:\CR\FM\G19NO6.014 pfrm01 PsN: S19PT1 S14846 CONGRESSIONAL RECORD — SENATE November 19, 1999 have a criminal record? If the answer is When Senators FEINGOLD and MCCAIN approve of what is happening as we yes to either of those, if you are unsta- came forward with campaign finance sink to lower and lower depths in the ble, or you have a criminal record, then reform, 55 Senators—45 Democrats, 10 Democratic or Republican campaigns. we will deny you the right to own a Republicans—said we agree, at least I agree with the Senator from Ne- gun. Who can argue with that? A per- with respect to eliminating soft vada. If one can’t say something honest son who may in a weak moment do money. We should go forward with re- and complimentary about someone something to hurt an innocent person form. across the aisle without another person shouldn’t be given advantage or given The Senator from Nevada, though, looking for a political advantage, that an opportunity by the purchase of a points to another problem: Even elimi- is a sorry commentary on the state of firearm. nating soft money will not eliminate political affairs in America. We passed that when Vice President the expense of campaigns, until we find Mr. REID. I very much appreciate Gore came to the floor and cast a de- a way to put legitimate candidates on the Senator’s statement on education. ciding vote just a few weeks after Col- the television without the extreme The Senator talked about how impor- umbine. And that issue died over in the costs they run into now. tant it is to have additional teachers in U.S. House of Representatives when (Mr. BROWNBACK assumed the America to reduce class sizes. the gun lobby came through and said chair.) My daughter is a second grade teach- that is an outrageous suggestion—that Mr. REID. Let me say to my friend er. She said she can tell within the you would keep guns out of the hands from Illinois to show how the system first few days with these little kids of kids and criminals. has frayed, I was interviewed in Wash- who the smart ones are and those who I think American families see this a ington by a Reno TV station for a half are not so smart. The problem is class- lot differently. I am hoping that when hour interview. During the interview, es are so big, what can be done about Members of the Senate who voted with they said: How do you feel about the those in between, the average kid? the gun lobby go home, they will hear present Senate race? The person I had Most people are average. What happens the other side of the story. the good fortune of being able to beat to the average kids? Many times they Mr. REID. The Senator also men- is running again for the Senate; Sen- are lost in our present system. No matter how teachers struggle, tioned something we have not done— ator BRYAN is not running for reelec- campaign finance reform. I would like tion. I said nice things about my oppo- work long hours, and prepare their lessons, they don’t have time to do it all the Senator to reflect a minute on how nent. I said I have known him; he is a because the classes are too big. What many people live in the State of Illi- nice man; I have known his family, and we have been able to do as a result of nois, approximately. they always supported me. I said nice the President hanging in there is get Mr. DURBIN. About 12 million. things about my opponent and I said more teachers to reduce class size. Mr. REID. In the State of Nevada, we nice things about the person who is have at least 2 million. But yet in a That is a positive step. going to be the Democratic nominee. One thing the Senator didn’t men- Senate race a little over a year ago in The Republican Senatorial Campaign tion, and I know we have spoken about the State of Nevada, Harry REID and Committee issues a press release they it, is the problem we are having in his opponent spent $20 million; that is, poured out to Nevada saying, ‘‘Reid en- America with high school dropouts. between the State party moneys, our dorses Ensign,’’ because I said some- Every day we have about 3,000 children own money, $20 million. That doesn’t thing nice about my former opponent. drop out of high school, half a million count independent expenditures by peo- They stooped to the level of saying, a year. We have no specific programs to ple who come from someplace and are Reid endorses John Ensign. address that. The Senator from New spending money. You don’t know who I like John Ensign; he is a nice man. Mexico and I have introduced legisla- The system has gotten so callous. they are, and where they are from—an- tion two successive years. Last year, it After this came out, a radio talk show other probably $3 million. So in a small passed; it was killed in the House when host called me and said, I am a Repub- State of Nevada, about $23 million. the Gingrich Congress killed it. It lican but I want you to know I think Does that sound a little excessive to would have set up within the Depart- the Senator from Illinois? what the Republican Senatorial Cam- ment of Education a dropout czar who Mr. DURBIN. It is more than a little paign Committee did is despicable. I would have been able to work on pro- excessive. It is outrageous. In Illinois, think it is, too. We now are suspect be- grams that have been successful in of course, we are faced with similar de- cause we say something nice about other parts of the country and, in ef- mands. If you want to buy television somebody who is running for office. fect, give challenge grants to local time, you have to raise money. If you Shouldn’t it all be nice? We should be school districts—they would still con- can’t write a personal check for it, you in a contest where we can determine trol the programs, of course—giving have to go out and beg for it. who will be the best for the State of them guidance and direction in keep- Members of the Senate and House of Nevada, the State of Illinois, the State ing kids in school. Representatives who spend their time of Minnesota—not the worst. This year on a strictly partisan vote on the telephone begging for money Mr. DURBIN. I agree with the Sen- the majority killed the Bingaman-Reid from individuals and special interest ator from Nevada. He came to Con- amendment. groups are not using their time to rep- gress, as I did, in 1983. There has been Would the Senator acknowledge the resent people in Congress. They are, a dramatic and palpable change in the fact we have to do something about frankly, unfortunately bringing an ele- atmosphere on Capitol Hill in that pe- high school dropouts, we need to do ment into this political process that is riod of time. I know he can remember something to keep kids in school? not positive. And the voters know this. in the early days when there was real Mr. DURBIN. The Senator from Ne- Interestingly enough, since 1960, we civility between the political parties vada knows that is the source of many have seen a dramatic increase in spend- and real dialogue and parties at night. problems. At juvenile justice facilities ing on Presidential election campaigns, We went to dinner together even if we across America, whether in the courts for example. And we have seen a dra- fought like cats and dogs on an issue or in the correctional system, we will matic decline in voter turnout and the on the floor. generally find the kids who are there number of people who participate. Vot- That has changed. The well has been dropped out of high school. Having ers have decided to vote with their feet poisoned by the obsession with nega- dropped out, with time on their hands and stay home. They are sick of the tive politics. I think that is one of the and no skills to get a job, many of negative advertising. They are sick of reasons the American people are them veered toward drugs and crime the special interest groups. They are checking out. They said if that is the and a life that is not productive. sick of the fundraising involved in this. best that can be done, you profes- We end up paying for that over and And they are sick of the process. In a sionals in the business, we would just over and over and over again. The old democracy, you can’t stand that very as soon stay home and watch profes- saying about an ounce of prevention is long because if democracy is going to sional wrestling. Occasionally profes- true. The Senator from Nevada has work, people have to be involved in it. sional wrestlers are involved in poli- been a leader on this, telling the Na- And that means cleaning up our acts. tics. The point they make is they don’t tion we have to look at high school

VerDate 29-OCT-99 01:02 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00008 Fmt 0624 Sfmt 0634 E:\CR\FM\G19NO6.016 pfrm01 PsN: S19PT1 November 19, 1999 CONGRESSIONAL RECORD — SENATE S14847 dropouts not just as a sad reality but budget; let’s exclude the Social Secu- crats on Capitol Hill, had a very posi- as a challenge to all to do better. rity trust fund from the balancing. tive impact on America and its future. I look at some of the things I have The Senator is aware they defeated We have gone through one of the long- learned recently about the American that because they wanted to have their est and strongest economic growth pe- workforce. When I visited Dell Com- calculations applying the vast surplus riods in our history. I think it relates puter in Austin, TX, last week and that we have had the last several years back directly to that 1993 vote. talked to their officers and leaders in with our Social Security fund, they I can recall a number of my col- their company, they said they hired wanted to apply that to balance the leagues—Congresswoman Mezvinsky, a some 6,000 people in the previous 3 budget. new Congresswoman from Pennsyl- months to work for Dell Computer in Is the Senator aware of that? vania who only served one term be- Austin and Nashville, TN. I find their Mr. DURBIN. I remember that de- cause she had the courage to cast that complaint or request similar to those I bate. Frankly, I think that was really vote. If she had not, America might have heard in Illinois. We can’t find the critical debate, when it came to the have gone on a different course than we enough skilled workers. That says to future of that amendment and when have seen recently. me that our educational system has to the Republican majority rejected our Mr. REID. I apologize to my friend be better, it can’t let any child fall be- attempts to protect the Social Secu- from Minnesota. I want to end by ask- hind and be forgotten. We have to ad- rity trust fund in the balanced budget ing one final group of questions to the dress dropouts. We have to address amendment debate. That was the end Senator from Illinois. skilled training. We have to address of the debate. As I recall, that amend- We are here in kind of a celebratory the kind of educational reform that ment lost by one or two votes at the fashion. We are going to complete this goes way beyond the question about most. I voted against it. I think the bill tonight, unless certain Members of who wears a uniform to school and who Senator from Nevada did as well. If it the Senate keep our staff in all night doesn’t. But we haven’t done it in this was not going to protect Social Secu- long. Otherwise, we will finish it very rity, then we should not go forward Congress. quickly. I am glad the Senator from Nevada with it. Does the Senator understand getting As I reflect on it, it is a little over 21⁄2 has been a leader on this issue of drop- to this point has been really difficult years ago that the battle cry on Cap- out. and we, the minority, have had to hang itol Hill was: The deficits, the balanced Mr. REID. If for no other statistics, very tough? budget amendment, let the courts step we should look at the penitentiaries Remember, in an effort to get where in and have Congress stop spending; and jails in America. Eighty-three per- we are, there have been a number of that was our only hope. Now we are in cent of the people sentenced for crimes ways the majority has attempted to the era of surpluses. We have changed in America today are high school drop- get to this point. You remember the so dramatically without that constitu- outs, 83 percent. That says it all as far Wall Street Journal article where they tional amendment. as I am concerned as to why we need to The Senator from Nevada recalls ac- talked about the two sets of books the do something about dropouts. curately the Social Security trust fund Republicans were keeping? They would, Mr. WELLSTONE. Will the Senator was a viable issue at that point. for certain things, go with the Office of yield? Mr. REID. The Senator was also part Management and Budget and for cer- Mr. REID. I am happy to yield to the of this Congress when, in 1993, without tain things go with the Congressional Senator. a single Republican vote, we passed the Budget Office. Does the Senator re- Mr. WELLSTONE. Mr. President, budget to address the deficit. It passed. member that? Judge Rick Solum from Minnesota told We had to have the Vice President Mr. DURBIN. Yes. me—and I have to have this confirmed; come down and break the tie. The Sen- Mr. REID. You can’t keep two sets of it is dramatically jarring—there is ac- ator recalls at that time clearly, we books. The Senator recalls that didn’t tually a higher correlation between had deficits of about $300 billion a year. work. Does the Senator remember high school dropout and incarceration Since then, we now have surpluses. We that? than between cigarette smoking and have done very well with low inflation, Mr. DURBIN. Yes, I do. lung cancer. It is quite predictable. low unemployment—40-year employ- Mr. REID. Does the Senator also re- The Senator from Nevada was talk- ment highs in that regard. We have member they came up with this inge- ing about his daughter’s experience as created about 20 million new jobs. We nious idea that they would add a a second grade teacher. In many ways have about 350,000 fewer Federal em- month to the calendar? Does the Sen- we harp on the complexity of it all to ployees than we had then. We have a ator remember that? the point it becomes the ultimate cop- Federal Government about the same Mr. DURBIN. That is right, 13 out, but a lot of these kids by kinder- size as when President Kennedy was months. garten are way behind. There is a President. Mr. REID. I remember the Senator learning gap and they fall further be- We could go on with other things from Illinois saying that is a great idea hind and then they drop out of school that happened as a result of the hard because we can just keep adding and wind up all too often in prison. vote we cast, without a single vote months to the year and we will never It does seem to me this is a full agen- from the Republicans. Does the Sen- have a Y2K problem. da that we barely touched. ator remember that? Mr. DURBIN. That is right. Sorry to interrupt. I am enjoying lis- Mr. DURBIN. I was in the House of Mr. REID. That was something also tening to the discussion. Representatives and cast a vote in where we said: That is not fair, we are Mr. REID. I appreciate hearing from favor of the President’s program. I can not going to do it. That didn’t work. the professor. tell you, literally, there were Demo- Does the Senator also recall when I want to talk with my friend from cratic Members of the House of Rep- they decided, with the earned-income Illinois about Social Security. The resentatives who lost in the next elec- tax credit, the program that President Senator mentioned Social Security. tion, in 1994, because of that vote they Reagan said was the best welfare pro- One of the things that puts a smile on cast. It was a really courageous effort gram in the history of the country, my face is when I hear the majority on their part. It was exploited by those where you would give the working poor talking about having saved Social Se- who said they were going to somehow tax incentives to keep working—does curity. If that doesn’t put a smile on destroy the economy and raise taxes the Senator recall they wanted to your face, nothing would because the across America. Yet look at what has withhold parts of those moneys to the Senator will recall a few years ago here happened. From 1993 to the current poor in an effort to balance the budget? in the Congress we were debating some- day, we have seen the Dow Jones index Mr. DURBIN. I remember there was a thing called the constitutional amend- go from 3,500 to over 11,000, and all the certain Governor from Texas who ad- ment to balance the budget. As the things the Senator from Nevada has al- monished the Republican Members in Senator will recall, I offered the first luded to. the House and Senate, the House in amendment to say, fine, we want a con- So that decision by President Clin- particular, for their insensitivity. He stitutional amendment to balance the ton, supported exclusively by Demo- said you should not balance the budget

VerDate 29-OCT-99 01:02 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00009 Fmt 0624 Sfmt 0634 E:\CR\FM\G19NO6.019 pfrm01 PsN: S19PT1 S14848 CONGRESSIONAL RECORD — SENATE November 19, 1999 on the backs of working people, and THE LACK OF SENATE school for kids in the Indian commu- that was about the time they aban- ACCOMPLISHMENTS nity. doned that particular gimmick. Mr. WELLSTONE. Mr. President, I It is interesting, just this past week Mr. REID. Then there was the across- say to my colleagues, there are other I was there, and at the end of the dis- the-board cut. Does the Senator under- colleagues on the floor. I have waited cussion I said to the students: I have to stand when they were doing that, and for some time. I think it has been an leave in 30 seconds, and I am sorry we it was decided to do all these things, important discussion, but I am going are finishing. Can any of you talk they did it without the offsets that to try, since there are other Senators about one thing you care more about would take an across-the-board cut of 7 on the floor, to abbreviate my remarks. than anything else? or 8 percent, but now they are declar- I actually could speak for 3 or 4 or 5 This one student who is age 15 said: ing a victory because they got an hours right now. I will not. We will see The thing I think the most about is I across-the-board cut—except the Presi- when we are going to finish up today. would like for the children—I viewed dent can decide what is going to be I would like to build on a little bit of him as a child at age 15—I would like cut—of .37 percent? Does the Senator the discussion I just heard, and then I the children to live a better life than from Illinois understand that crying would like to go to the issue at hand, we have been able to live, and I would victory over having a .3-percent across- which is the extension of the Northeast like to live a life that will help kids do the-board cut where the President can Dairy Compact, the way this was done, better. decide what would be cut is not some- the impact on my State of Minnesota, I said to this student: That was the thing they should be crowing about and why we have been fighting this most beautiful, powerful thing I heard victoriously? out. said in any school I have visited, and I First of all, I also thank Senator have been in a school every 2 weeks for Mr. DURBIN. It is a face-saving ges- DURBIN for his very strong voice on the the last 9, 91⁄2 years I have been in the ture on their part. Once we got into the floor of the Senate. I say to Senator Senate. budget negotiations and the Repub- REID from Nevada, sometimes we come I tend to come down more on the side lican leadership was faced with actu- out here and compliment each other to of the editorial debate of the Wash- ally saying, no, we won’t add addi- the point it becomes so flowery, people ington Post. I do not think this Con- tional teachers, we will not have addi- are not sure whether it is sincere or gress has much to be proud of at all. tional cops on the beat to address the not. I believe it is sincere. Senator Part of what has happened is we have crime problem across America, they REID is a good example of somebody in been engaged in a lot of mutual self-de- could not do it. They ended up saying politics who, if he suffers from any- ception. I came out to the floor quite a we actually won because we got this thing, it is modesty. He rarely takes while ago on an amendment dealing so-called across-the-board cut of .37 credit. He really has done some tre- with veterans’ health care. I said it was percent. mendous work in the mental health a deliberate effort to bust the budget I might say to the Senator from Ne- field. He has probably done more than caps. vada, as he well knows, this is entirely anybody in the Senate to get us to The ways in which we have been within the discretion of the President, focus on the problem of depression. He talking about ‘‘not raiding the Social so it is not across the board. He can de- never takes the credit. He should have Security surplus’’ has been ridiculous. cide which areas of Federal spending to included himself in this discussion. President Clinton started to do it. Tom reduce to reach this target. I am talking about Senator REID. DeLay has done it. We have put our- Mr. REID. I have enjoyed very much Mr. President, I am not sure how ex- selves in a straitjacket. We know that visiting with my friend from Illinois. actly to view this overall omnibus con- is not what it is about, but it is great As the session is drawing to a close, I ference report we now have before us. I political sloganeering. want to express appreciation, on behalf am a little worried about sounding so For Republicans who do not believe, of all the Democratic Senators, for the negative that it will seem I only come when it comes to the most critical Senator being our floor leader. He has to the floor to be negative. I do not. I issues of people’s lives, there is nothing done an outstanding job. He has been think some of what my colleagues have the Government can or should do, then here. He has been able to express him- talked about—given the framework we I think you are consistent and I respect self very well, as we all know he can. I were working within and given where your point of view, for those Repub- want to personally tell him how much we started, I think there are some licans who take that position, and this I appreciate it. And on behalf of the things people can feel good about. is not a problem. But for Democrats Democratic Senators, for all of them, I I am pleased to give the administra- and other Republicans who believe tell the Senator how much we appre- tion and Democrats some credit for at there are certain decisive areas of life ciate every word he has spoken, every- least being able to get some resources in America, such as investment in chil- thing he has done, and I will make sure for some areas of priorities, such as dren and education and opportunities the majority keeps their ear to what more teachers and schools and moving for children, decent health care cov- the Senator from Illinois is saying. He toward smaller class size. It was a fix. erage, environmental protection, mak- has done extremely well in expressing I know for the State of Minnesota, and ing sure we have some support for the what I believe are the views of the ma- I am sure for many States, the Bal- most vulnerable citizens in the Con- jority of the American people. anced Budget Act of 1997 and the cuts gress, whether it be congregate dining Mr. DURBIN. I thank the Senator. It in Medicare reimbursement had, no or Meals on Wheels or affordable child could not have been done without Sen- pun intended, catastrophic con- care or, for God’s sake, making sure ator DASCHLE and Senator REID and the sequences, especially for our rural hos- children are not hungry in America, I leadership of my colleagues who have pitals, some of the nursing homes, do not think we have much to be proud joined me. I also say it could not have home-based health care, and teaching of because we have done precious little. been done without having such good, hospitals. At least we were able to As a matter of fact, I say to my col- strong issues the American people sup- make a difference for a couple of years, leagues on our side of the aisle, if you port, that we can come talk about on though, again, it is temporary. were to take the ‘‘non-Social Security the floor each day, pointing out that in I feel pretty good about some invest- surplus,’’ 75 percent of it because of this session of Congress they have not ment of resources that are going to be cuts in the budget caps of 2 years ago been addressed. helpful to people in Minnesota. If I had in a lot of these areas we say we care to pick out one priority, it would be $14 the most about, in real dollar terms we I thank the Senator for his kind million for the Fon du Lac School, a are still not spending as much as we words. pretty important commitment of re- spent several years ago. Mr. WELLSTONE addressed the sources. I count as one of the best days I do not think we have all that much Chair. as a Senator the day I visited Fon du to be proud of and we have to do a lot The PRESIDING OFFICER. Under Lac School. It is a pretty horrendous better. I said at the beginning I would the previous order, the Senator from facility, and for years I have been try- talk about some positive things. I do Minnesota is recognized. ing to get some money to build a new not want to come out here appearing to

VerDate 29-OCT-99 03:39 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00010 Fmt 0624 Sfmt 0634 E:\CR\FM\G19NO6.022 pfrm01 PsN: S19PT1 November 19, 1999 CONGRESSIONAL RECORD — SENATE S14849 be shrill. I do think, unfortunately, critically important, and we invest children and jobs at decent wages are this is a pretty rigorous analysis. hardly anything in affordable child important issues to them—that is their We did not pass campaign finance re- care. center; that is the center of their form. That is the core issue. That is Third, we do not do anything about lives—and they believe the Republican the core issue, the core problem. We the concerns and circumstances of chil- majority has not been willing to move did not pass patient protection legisla- dren’s lives in New York City or Min- on this agenda, and they feel as if there tion. We have done precious little to neapolis-St. Paul or rural Aitkin Coun- is a big disconnect between what is deal with the reality of 44 million peo- ty or rural anywhere or inner-suburban done here and the lives of people who ple without any health insurance cov- anywhere in the country before they go we are suppose to represent, then I say, erage and many other people having to school and when they go home, let the next election be a referendum. health insurance coverage but being whether it be the violence in the But I certainly wish we had done more. underinsured. homes, or the children who see the vio- f Under title I—I saw this listed as one lence or the violence in the commu- of our victories—we are funding about nities or children who come to school A FAIR DEAL FOR MINNESOTA one-third of the kids who are eligible hungry or children who come to school DAIRY FARMERS to be helped. These are some of our with an abscess because they do not Mr. WELLSTONE. Mr. President, most vulnerable children in America, have dental care. It is not very easy for final point. Some of us have been fight- to the point where in Minnesota, in St. children to do well in school under ing for several days. We are out of le- Paul, after you reach the threshold of a these conditions. We do not do hardly verage now. It is toward the end. But school that has 65 percent low-income anything to change any of those condi- to be real clear about it, there was a population, there is no money for any tions for children’s lives in America so time, when the Northeast Dairy Com- other schools. It is about a $16 billion that we can truly live up to the idea of pact was brought to the floor, it was shortfall, and we have increased spend- equal opportunity for every child. going to be part of the 1996 ‘‘Freedom ing by $75 million. But we are going to flunk them. We to Farm.’’ I think it is the ‘‘Freedom We have done hardly anything for af- are going to fail them. We are going to to Fail’’ bill. It was defeated. fordable child care. We did not include give them standardized tests and fail But this compact, which was not in prescription drug coverage as a part of them. We already know which kids are the farm bill that passed in either Medicare. On a whole host of amend- going to do well and which kids are House, was then put into the con- ments I have worked on as a Senator, not. I would argue it is cowardly. I ference committee. There is a reform almost all of them were eliminated in would argue it is a great political slo- issue on which we ought to work. There conference committee; whether it be at gan, but it is cowardly. There is a dif- is one in which I am really interested. least some support for kids who wit- ference between testing and standard- I do not think the conference com- ness violence in their homes or trying ized—we should have accountability, mittee, which has become the ‘‘third to deal with the problem of exploi- but there are different ways of testing. House’’ of the Congress, should be able If you cannot prove you are giving tation of women in international sex to put an amendment, a provision, into every child the same opportunity to trafficking or juvenile justice mental conference that was not passed in ei- achieve and do well in the test, what health services or having an honest ther House; or, for that matter, take are you doing giving these kids these policy evaluation of what the welfare out a provision that was passed in both standardized tests and flunking them ‘‘reform’’ is doing around the country Houses. and not letting them go on to the next or increasing some funding—I mean So this got snuck in. It was part of a grade? deal. It is how we got the ‘‘Freedom to real funding, a real increase of fund- We have done so little when it comes Fail’’ bill, which has visited unbeliev- ing—for Meals on Wheels or congregate to good health care for every citizen, dining or social services support. equal opportunity for every child, jobs able economic pain and misery. The argument that was made for the If you look at it from the point of at decent wages, and getting money Freedom to Farm bill was it should all view of how at least I think we can out of politics and bringing people back be in the market; there ought not be make life better for others—I am not into politics and speaking to the eco- going to speak for others—I think this nomic pain that exists among citizens any safety net; so a family farmer has been a do-nothing Congress, I real- in our country. should not have any real leverage for ly do. I start with agriculture. I am from an bargaining for a decent price. You I will make one other point before I agricultural State. We have a failed name it. It was a great bill for grain talk about this dairy compact, and it is farm policy that is driving family companies, a great bill for the packers, this: I am hearing so much discussion farmers off the land. We have not done but not a very good bill for family about testing. George W. is talking a thing about the price crisis. We have farmers. On the other hand, when it about testing third graders, and if they had another bailout. We have some came to dairy, it was a different set of do not pass those tests, they do not go money for people so they can live to rules. And we were going to have these on to fourth grade. It is high-stakes farm another day, but we have not dairy compacts with administered testing, and by the way, I will have an changed a thing when it comes to farm- prices. amendment next year to the Elemen- ers being able to get a decent price. We Our dairy producers were just asking tary and Secondary Education Act have not changed a thing when it for a fair shot—dairy producers in which makes sure we do not start test- comes to all the concentration of States such as Wisconsin and Min- ing at that young of an age. power in agriculture and in the media nesota. Here is the point. Jonathan Kozol and in banking and in energy and in Let me explain. In my State, we have wrote a book ‘‘Savage Inequalities,’’ in health insurance companies. We do not 8,700 dairy farms. We rank fifth in the which he points out—and all of us want to take on these big conglom- Nation in milk production. These know this about our States—some erates. We do not want to talk about farms generate about $1.2 billion for school districts have the best tech- antitrust action. our farmers each year. The average size nology, a beautiful building, recruit So I argue that at the macrolevel of the Minnesota dairy farm is about 60 the best teachers, have the best lab fa- this has been a do-nothing Congress. I cows—60 cows per farm. We are talking cilities, the best textbooks, and other think people in the country should about family-size farm operations. We schools have none of that. We do not do hold us accountable. I say to the ma- are going to lose many more because anything to change that. jority party, I think they should espe- this compact, for all sorts of reasons so I cite a second bit of evidence. We cially hold the majority party account- negative, impacts on our dairy farmers. have all these reports and studies, ir- able because I think many of us have Mr. President, I am disgraced by the refutable evidence that if you do not wanted to do much more. I think that recent action by the majority party to get it right for children by kinder- is what the next election probably will include such harmful dairy provisions garten, many of them come to school be all about. to the State of Minnesota as part of way behind and they fall further be- If people believe education and the final spending bill this year. The hind and then they drop out. This is health care and opportunities for their tactics used to include dairy as part of

VerDate 29-OCT-99 03:39 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00011 Fmt 0624 Sfmt 0634 E:\CR\FM\G19NO6.028 pfrm01 PsN: S19PT1 S14850 CONGRESSIONAL RECORD — SENATE November 19, 1999 this bill is yet another illustration of cows next year. Our 22-year-old son would The son and wife had to let their the flagrant abuse of power. I and my like to farm with us. But for us to do so he trailerhouse go since they could not make fellow colleagues have fought hard and must buy out my husband’s mother (his the payments and moved into a home owned have been successful in defeating pre- grandmother) because my husband and I who by a relative for the winter. Most of their are 47-years-old, still are unable to take over machinery is being liquidated. However, vious attempts to extend the Northeast the family farm. Our son must acquire a be- there are a few pieces of machinery that go Dairy Compact. We fought openly and ginning farmer loan. But should he shoulder toward paying off their existing debt. The fairly on the Senate floor, and now our that debt if there is no stable milk price? We family will be selling off 120 acres of land in successful efforts may be unjustly cur- continuously are told by bankers, veterinar- their struggle to reduce the debt. Recently, tailed by clandestine negotiations by ians and ag suppliers that we need to get big- the father has been having serious back trou- those who overtly misuse their power. ger or we will not survive. At 120 cows, we bles and has been unable to help his son with This type of backroom negotiating can manage our herd and farm effectively the work. This is tremendous stress both style is clearly not the first time that and efficiently. We should not be forced to physically and mentally on the son. The son harmful dairy provisions have been at- expand in order to survive. has decided he is going to have to sell part of the herd in order to reduce the herd to a tached to the bill. We have been fight- Lynn Jostock, a Waseca, MN dairy farmer: number that is more manageable for one per- ing such tactics since the authoriza- son. In addition, the money acquired from tion of the compact. In fact, the au- I have four children. My 11-year-old son Al selling off part of the herd will be applied to- helps my husband and I by doing chores. But thorization of the Northeast Dairy ward their debt. The son hopes that these it often is too much to expect of someone so Compact was inserted into the 1996 three items combined: selling machinery, young. For instance, one day our son came land and part of the herd can pay off enough farm bill as part of a backroom deal. In home from school. His father asked Al for of their debt that he might be able to do 1996, I offered an amendment which some help driving the tractor to another some restructuring on the remainder of the successfully struck the compact out of farm about 3 miles away. Al was going to farm and to reduce loan payments to a man- the Senate bill and the compact was come home right afterward. But he wound up ageable amount where there is something helping his father cut hay. Then he helped not in the farm bill initially passed by left to live on after payments are made. either House of Congress. Instead, it rake hay. Then he helped bale hay. My son These are just a few of the stories. I was later inserted during the bill’s con- did not return home until 9:30 p.m. He had read these stories, because it is impor- ference in the passage of the 1996 Free- not yet eaten supper. He had not yet done his schoolwork. We don’t have other help. The tant that when we consider national dom to Farm bill. Yet ironically, the price we get at the farm gate isn’t enough to dairy policy here in the Senate, we 1996 Freedom to Farm bill was passed allow us to hire any farmhands or to help our need to keep in mind that we are deter- with the intent to remove government community by providing more jobs. And it mining the future of an industry and a from the marketplace. Although, I ada- isn’t fair to ask your 11-year-old son to work way of life that are basic not only to mantly opposed the bill, many viewed so hard to keep the family going. When will the agricultural economy, but to the the 1996 farm bill as a way to decouple he burn out? How will he ever want to farm? very soul of America’s rural heartland. payments to family farmers. The Les Kyllo, a Goodhue dairy farmer: I am concerned that the dairy provi- thought at that time was that farmers My grandfather milked 15 cows. My dad sions attached to this omnibus bill will should produce for the market and that milked 26. I have milked as many as 100 hurt Minnesota dairy farmers and Congress should eliminate a safety net cows, and I’m going broke. They made a liv- frankly dairy farmers throughout the for our farmers. ing out here and I didn’t. Since my son went For some reason, we seemed to play away to college, my farmhands are my 73- country. I have been on the floor before year-old father and my 77-year-old father-in- discussing how the dairy compacts and by a different set of rules when it law who has an artificial hip. comes to dairy. We told our corn and any reversal to the implementation of I have a barn that needs repairs and up- an equitable milk marketing system soybean farmers that to succeed in the dates that I can’t afford. I have two children 21st century they should pay close at- that don’t want to farm. At one point, in a will harm Minnesota dairy farmers. tention to market signals, but at the 30-mile radius, there were 15 Kyllos farming. However, the dairy language included same time we considered implementing Now there are three. And now I’m selling my in this bill goes even further and could compacts that drown out those signals cows. My family has farmed since my ances- potentially threaten all family dairy tors emigrated to the United States. for dairy farmers. And yet even among farmers throughout the nation. When I leave farming, my community will What I am talking about and con- dairy producers, we scrutinized and lose the $15,000 I spend locally each year for cerned about as are many Americans is only allowed one region of the country cattle feed; the $3,000 I spend at the veteri- the trend towards factory-farm and to provide a safety net for their farm- narian; the $3,600 I spend for electricity; or concentration in dairy. It is unneces- ers, while hurting farmers in other the money I spend for fuel, cattle insemina- sary and unwise. There is no reason we parts of the country. tion and other farm needs. Minnesota is not asking for special The testimony I just read were from cannot have a family-farm based dairy favors. All Minnesota dairy producers MN farmers who felt comfortable to system. A dairy system which pro- are asking for is a fair shot. I have spo- share their names. I have additional motes economic vitality in rural com- ken here before about the importance testimony, but the farmers who shared munities and one which is more envi- of family dairy farming to my State’s their stories, had requested that I not ronmentally sustainable than a fac- economy. Minnesota’s dairy industry is use their name. This is testimony from tory-farm system. Family dairy farms one of the cornerstones of the State’s a farmer in East Ottertail, MN: are efficient and innovative. Family dairy farms can provide a plentiful sup- economy. We have 8,700 dairy farms in Despite the ongoing difficulties, it is amaz- Minnesota, ranking fifth in the Na- ing the steadfast willingness of this family ply of wholesome milk at a fair price. tion’s milk production. The milk pro- to try and hold things together. The farm is However, there is a provision stuck in duction from Minnesota farms gen- farmed by two families, a father and his son. this bill which no one has really dis- erates more than $1.2 billion for our Since dairy prices fell in the second quar- cussed, and would harm family dairy ter of 1999, there was not enough income for farmers everywhere. The provision farmers each year. Yet, the average this family to make the loan payments and herd size of a Minnesota dairy farm is would establish a pilot program allow- to provide for family living and cover farm ing for the expansion of forward con- about 60 cows. Sixty cows per farm. So operating expenses. The Farm Credit Serv- we are really talking about family op- ices would not release a loan for farm oper- tracting of milk. erations in my State. Family busi- ating assistance, and so the family had to Forward contracting reduces com- nesses with a total of $1.2 billion in borrow money from the lender from which petition in the marketplace and results sales a year, contributing to their they are already leasing their cows. They in lower prices to dairy producers. For- small-town economies, trying to live a have not been able to feed the cows properly ward contracting is not specific to the productive life on the land. because of the lack of funds. Because they dairy industry. In fact, one can note Let me read from a few farmers in cannot adequately feed their dairy herd, the effect of forward contracting by the their milk production has fallen and is con- my State of Minnesota who are recent events occurring in the hog in- siderably lower than the herd’s average pro- dustry. Recently, the hog industry has hurting: duction. In addition, because there was no Eunice Biel, a Harmony, MN dairy money for family living, the parents had to witnessed a significant increase in the farmer: cash out what little retirement savings they number of producers who decided to We currently milk 100 cows and just built had so that the two families had something forward contract. Hog producers will a new milking parlor. We will be milking 120 to live on day to day. contract with packers to guarantee

VerDate 29-OCT-99 03:39 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00012 Fmt 0624 Sfmt 0634 E:\CR\FM\A19NO6.004 pfrm01 PsN: S19PT1 November 19, 1999 CONGRESSIONAL RECORD — SENATE S14851 them a minimum price for their pigs. and it is a good price. Farmers could be Many, such as I heard Senator LEAHY Contracting is not inherently bad and pleased with that price. In September inquire, why doesn’t the Upper Mid- there are some good contracts. How- the BFP rose a little higher to $16.26 west form their own compact. Min- ever, what is occurring is that these per hundredweight. I haven’t seen the nesota and Wisconsin farmers would deals are made often in private and do analysis of why the BFP price rose so not benefit from organizing their own not reflect the spot market. There is a high. Back in May of 1999, the BFP was compact. A compact’s price boost ap- strong argument that contracting is only $11.26. Some would argue that it plies for only fluid milk. The percent- partly responsible for the depressed was due to the drought in the East that age of Upper Midwest milk going into hog prices and the rapid increase in the prices rose so high for August and Sep- fluid products is so low that any com- consolidation of the hog industry. tember. The milk price was high be- pact would do little for Minnesota’s What is happening in the hog industry cause cows in the eastern region were farmers’ income. The negative impact is also happening in dairy. strained and produces less milk. There- of compacts would far outweigh any This provision would expand forward fore, milk was in demand and thus the minimal boost to fluid prices here in contracting of milk by allowing proc- price rose. If this is the case, our farm- Minnesota. Congress should not accept essors to pay producers less than the ers are getting a decent price for their a policy that so clearly provides bene- federal milk price for milk. Under cur- milk only at the expense of farmers in fits to the producers of one region at rent law, forward contracting is al- other parts of the country who are suf- the expense of consumers and pro- lowed, however, only if the buyer is fering. ducers elsewhere. Instead, there should willing to offer at least as much as the In October, the BFP took a stum- be an effort to create a more uniform federal minimum price. In other words, bling tumble from the $16.26-September and rational national dairy policy—a this provision will remove an impor- price to $11.49 per hundredweight. This policy without the regional fragmenta- tant safety net for our dairy producers. is a dramatic drop price. The BFP for tion caused by compacts. Expanded forward contracting can also this month will not be released until To put it simply, compacts erect reduce the price for producers who do December 3rd, but it is predicted to be trade barriers in our country. By fixing not forward contract by reducing the even lower. Again, as I have stated be- milk prices at artificially high levels, competition for milk, thereby dam- fore with such volatility in the market, Compact proponents understand that it is no question why our farmers are aging the entire dairy market struc- their markets become vulnerable to having a difficult time to survive. And ture. This provision could also dis- market forces at work elsewhere in the if dairy farmers are not struggling criminate against our family farmers nation. So in order to prevent milk enough with the volatility of the mar- because the most likely scenario is from other regions entering those Com- ket, Congress is now assisting and in that processors would offer forward some cases is making the price of my pact markets at lower prices, a tariff- contracts to the largest producers. dairy farmers worse—and that is what like mechanism is established to en- Again, we would see the domino effect has happened with the Northeast Dairy sure that all milk entering the Com- of losing family farmers. By giving a Compact. The Northeast Dairy Com- pact area is priced at the level fixed by better deal to larger producers, our pact gives six states the right to join the price-fixing commission in the re- family farmers cannot compete and we together to raise prices to help pro- gion. It is bad enough that the exten- would see more losses of family farm- ducers in the region. While it may help sion of the Northeast Dairy Compact is ers. the Northeast, it is cutting into our attached to this bill, but it is unaccept- Those who support forward con- markets. It is true that the compact able for Congress to attempt to meddle tracting contend that forward con- provided a safety net this spring to cer- with USDA’s final plan by resurrecting tracting is a risk management tool; tain farmers when dairy prices an alternative similar to Option 1–A. however, this argument doesn’t hold plunged. When the price of raw milk As you know, the referendum voted water. In fact, National Farmers’ dropped by 37 percent, one Massachu- on by producers nationwide over- Union and other groups contend that setts farmer got a $2,100 check from the whelming passed this past summer. the proposal for forward contracting compact. Overall, that farmer said, aid Given the prominence of Minnesota’s will actually make it more difficult to from the compact totaled seven per- dairy industry, it should be no surprise manage risk by forcing producers to cent of his gross income during the that I have pushed for reform of the ex- guess whether the volatile dairy mar- first 12 months of its operation. Con- isting milk pricing system. The Sec- ket will go up or down. It is logically versely, Midwest dairy farmers—who retary’s reforms are a step forward in a deduced that in the absence of an ade- also confronted the sharp price de- long overhaul of dairy policy toward a quate support price, the market will cline—got no such price. more unified and simplified pricing continue to be highly volatile. What The Northeast Dairy Compact fixes system that benefits all producers. We can happen is that anytime producers fluid milk prices at artificially high need to reduce and eliminate the re- price guess wrong, they lose money prices for the benefit of dairy producers gional inequities that exist within the under this proposal. The truth is that in just that region. This artificial price federal order system. The current pric- our family dairy farmers cannot com- boost of a compact may benefit the ing system regulates the price of fluid pete in such a volatile market place. producers covered by the compact, but milk based on the distance from Eau We must set policy that keeps family it hurts all other dairy farmers. It is Claire, Wisconsin. This policy causes dairy farms in business while ensuring also no secret that the extension of the market distortions that disadvantage that consumer and taxpayer costs are Northeast Compact encourages other producers in the Upper Midwest. These kept at a reasonable level. What we regions such as the Southeast to form reforms must move forward quickly, need to achieve here is a fair, sustain- their own compact. This would be det- and be implemented as soon as possible able and stable price system for all rimental to the Upper Midwest. A re- by the Secretary. dairy farmers. cent report by University of Missouri These dairy provisions are putting at That has clearly not happened, and dairy economist Ken Baily found that great risk dairy farmers not just in my that’s partly why Minnesota continues Minnesota’s farm-level milk price State, but across the country. It is im- to lose dairy farmers at an appalling would drop at least 21 cents per hun- perative that we establish a national rate. Minnesota is losing dairy farms dredweight if a Southeast dairy com- and equitable dairy system for all. For at the rate of three per day due to base pact were allowed to be implemented this reason, and among numerous other price that are already low and unsta- alongside expanded Northeast dairy inequities included as part of this ble. Let me read to you the past couple compact. This would translate into a mammoth omnibus package, I cannot of BFP prices for family dairy farmers. $27.2 million annual reduction of Min- vote for the bill. The BFP is the basic formula price. It nesota farm milk sales. The compacts Mr. President, milk prices per 100 is the monthly base price per hundred- in Baily’s study would cover only 27 weight were about $16. Now they are weight paid to dairy farmers for their percent of U.S. milk production, yet down to $11. They are going down fur- milk. would have a sizable negative impact. ther. We do not have any kind of na- In August the BFP was $15.79 per If more regions adopted compacts Min- tional dairy policy that makes any hundredweight. That was quite high nesota prices would drop even further. sense.

VerDate 29-OCT-99 03:39 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00013 Fmt 0624 Sfmt 0634 E:\CR\FM\A19NO6.005 pfrm01 PsN: S19PT1 S14852 CONGRESSIONAL RECORD — SENATE November 19, 1999 What has happened, which affects Eu- just mentioned, put into this amend- what has been done on a whole lot of nice Biel and Lynn Jostock, and Les ment, and now this omnibus conference other decisions. It is no way to legis- Kyllo, and all sorts of other farmers report is brought to us, and we cannot late. who will remain anonymous but whose amend it. We can’t amend it. I can’t I contend that that is no way to leg- statements are included in the RECORD come to the floor of the Senate and islate. I contend that this omnibus bill —they do not want their names used— deal with this forward contracting of makes a mockery of the legislative it is hard when you are going through milk without the safety net. I can’t process. I contend on the floor of the pain, and you are working 19 hours a come to the floor of the Senate with an Senate today, not only because of what day, and you are going to lose your amendment to knock out this amend- happened to dairy farmers in Min- farm. ment. You get a few people who decide nesota but because of the whole way in What has happened, to add salt to the in a closed room, outside of any scru- which this decisionmaking process has wound, insult to injury, is that in the tiny, and they put this back in. worked, that this is unconscionable. I dark of night in a conference com- I am outraged. But we fought this contend that this kind of decision- mittee a few people—it did not pass the every way we know how. Today is the making process is going to lead to Senate; they did not get it through— last day. There will be a vote, and we more and more disillusionment on the they put through a provision that ex- can’t stop that vote—whether it be at 1 part of people in the country. tended this Northeast Dairy Compact, a.m. or in midafternoon. To me, that is People hate the mix of money and which would have run out, and they no longer an issue. We have done every- politics. They don’t like poison poli- blocked the Secretary of Agriculture thing we can. tics. They don’t like all the hack-at- from being able to move forward with But I say to my colleagues that I tack politics my colleagues, Senator milk marketing order reform. think what has been done to the dairy REID and Senator DURBIN, were talking They have another provision which farmers in the Midwest is an injustice. about earlier because they believe that would allow for a pilot project for the I think it is an injustice in a piece of is what is wrong. They don’t like what, expansion of the forward contracting of legislation that, in and of itself, apparently, some of us relish. They milk. That is what we have had in the doesn’t represent all that much for don’t like backroom deals, decision- hog industry. Contracting is not inher- America, even though I know every- making that is not open, accountable, ently bad, but what happens is these body will be talking about how great and that people can understand and arrangements are made in private; this is. I am certainly going to vote comprehend. they do not reflect the spot market. against it. Now, my final point. I am not so sure Basically, what happens is, you are I also say to my colleagues that I that some of the major decision- going to have this consolidated indus- hope we will, next year, think about makers, given the sort of deck of cards try, as in the hog industry. And what how we can reform the way we operate. they had to work with—I don’t know will happen is that the processors will On this, I hold the majority leader ac- that I want to point the finger at any be able to pay the producers less than countable—to the extent that I can one person. I don’t think that is prob- the Federal milk price for milk. In hold him accountable. And I will figure ably fair. I am making an argument other words, under current law, for- out every way I can next year, when we about process, not about a particular ward contracting is allowed; however, come back, to keep raising this issue. Senator. Some of them who were in- only if the buyer is willing to offer at We didn’t get a lot of these appro- volved in this probably did everything least as much as the Federal minimum priations bills done. We had a lot of they could do from their point of view. price. But this little-known provision— legislation that came to the floor. We They are very skillful. But I will tell you one thing. Minnesota dairy farm- never debated on the floor of the Sen- weren’t allowed to do amendments. ers came out on the short end of the ate—would now remove that important Frankly, I don’t know how anybody in here thinks we can be good legislators stick. safety net for our dairy producers. I regret the fact that this has been Processors are going to offer better for- when we don’t have the bills coming to the floor. We need to get them out here done and stuck into a conference reward contracts to the larger producers, port and was not done in an honest to the largest producers, and our dairy in the open and have debates that are introduced, have up-or-down votes, and way, with open debate on the floor of farms are going to go under. the Senate, where we could have In Minnesota, we continue to lose then we move forward. And if we have amendments. I also regret a legislative dairy farms at an appalling rate. Min- to work from 9 in the morning until 9 process where we didn’t get to the bills nesota is losing dairy farms at the rate at night, so be it. But instead, we don’t on time, didn’t have the debate on the of three per day due to a base price do our work. floor, didn’t have amendments we that is already so low and so unstable. Those of us who believe the Senate could introduce, didn’t have the up-or- I say to each and every one of my floor is the place to fight for what we down votes, and it all got done by a few colleagues that it is a triple blow to ag- believe in and have the debates are not people, really, basically, with very lit- riculture, to dairy farmers, in Min- able to do so. Instead, we have this tle opportunity for public scrutiny, for nesota. First of all, again, this horren- process where six, seven, eight people decide what is in and what is out, and democratic accountability. dous piece of legislation, which was I am going to vote ‘‘no’’ on this bill. we have this huge monstrosity called passed in 1996, that I think the Senate I think I would vote ‘‘no’’ just on the the ‘‘omnibus’’ bill that is presented to should be ashamed of, took the bar- issue of the way in which these deci- us, which none of us has read—or gaining power away from farmers. sions have been made because, again, I maybe two people have. But none of us They cannot even get a price to sur- think we have made a mockery of what has read this from cover to cover. I vive. should be the legislative process. We have a depression in agriculture. doubt whether there are more than two I yield the floor. We are going to lose a whole genera- Senators who know everything that is The PRESIDING OFFICER. The Sen- tion of producers. The way this hap- in here. ator from Maine is recognized. I would like to raise the question, pened, with the Northeast Dairy Com- f pact, was to put that into the con- How can we be good legislators with ference report. It never passed on the this kind of process? We are not being UNANIMOUS CONSENT floor. It was part of the whole deal that good legislators. I am speaking for my- AGREEMENT made this bill possible. self. I am not able to be an effective Ms. COLLINS. Mr. President, I ask Then this dairy compact was going to legislator representing Minnesota if we unanimous consent that the Senator expire in 2 years. We had a vote on it. are going to continue making decisions from Iowa, Mr. GRASSLEY, be recog- It did not get through the Senate. It in conference committees and rolling nized for approximately 10 minutes, if came back into the conference com- in six, seven, eight major pieces of leg- that is sufficient for the Senator. mittee, in this horrendous process— islation with no opportunity for me as Mr. GRASSLEY. I think it is. which will be my last point about this a Senator from Minnesota to bring Ms. COLLINS. I also ask unanimous process—no vote, no public discussion, amendments to the floor. That was consent that he be followed by the Sen- all sorts of provisions, one of which I done on the dairy compact, and that is ator from New York, Mr. SCHUMER, for

VerDate 29-OCT-99 03:39 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00014 Fmt 0624 Sfmt 0634 E:\CR\FM\G19NO6.030 pfrm01 PsN: S19PT1 November 19, 1999 CONGRESSIONAL RECORD — SENATE S14853 not to exceed 5 minutes, and that I be whatsoever that are kept just between dian-United States free trade agree- recognized to transact legislative busi- negotiators. ment. ness. In other words, if Congress is going The United States insisted that Can- The PRESIDING OFFICER. Without to legislate these agreements and se- ada was, indeed, selling wheat below objection, it is so ordered. cure these agreements, Congress has a cost in violation of the agreement. The Senator from Iowa is recognized. responsibility not only to make sure Canada denied the violation. The dis- f everything is on the table but to make pute was even taken to a binational sure the administration puts every- panel for resolution. CHINA’S ACCESSION TO THE thing on the table. In the argument before the bina- WORLD TRADE ORGANIZATION Let me be clear about this. There is tional panel for dispute resolution, the Mr. GRASSLEY. Mr. President, in an absolute requirement of disclosure. Canadian side at that time produced a my capacity as chairman of the Inter- Congress must see everything that is letter from a few years back from the national Trade Subcommittee and get- negotiated. And it has not always been United States Trade Representative to ting ready for the Seattle Round, as this way, or I wouldn’t be to the floor the Canadians supporting the Canadian well as considering China’s accession asking my colleagues to consider this, interpretation of the provision and to the World Trade Organization, I and with an admonition to the admin- very devastating to the case brought want to speak on Congress’ power and istration to make sure everything is by the United States. our responsibility on the whole issue of given to Congress. When congressional The question now is whether the U.S. international trade. approval is required, only what we see Trade Representative’s letter, or his It is very clear in the Constitution and vote on should become the law. interpretation of this controversial and that the Congress of the United States Nothing should become the law of the important provision, was properly re- has the power, as one of the specifi- land that is secretly negotiated and ported to the Congress before we con- cally delineated powers of Congress in that isn’t submitted to Congress for sidered that agreement, voted on it, the first article, to regulate interstate our approval. and it became the law of the land. and foreign commerce. So the United Because there have been problems in Some might argue that it was dis- States has just concluded a bilateral this area in the past, Senator CONRAD closed. Others say it was not. market access agreement with China. of North Dakota and I have introduced In my view, because the issue of Can- It should pave the way for China’s ac- legislation. This legislation is con- ada’s price support system for wheat cession to the World Trade Organiza- tained in the African trade bill. That was such a politically sensitive issue in tion. trade bill was recently approved by the the context of the NAFTA agreement, From what I have heard about this Senate. I will work very hard to see there should not have been any room agreement—and, of course, we only that this provision is part of the final for doubt what the administration’s in- have summaries at this point—it is an bill approved by conference committee terpretation was. The disclosure of the exceptionally good one for the United before the African trade bill is sent to administration’s interpretation of this States and especially for American ag- the President. key language should have been fully riculture. I said, when the agreement Why are we where we are today with and completely disclosed—not just in fell through on April 8, I was fearful what Senator CONRAD and I have tried the fine print or in response to ques- that a lot of ground would be lost. I to accomplish, and did accomplish, as tions raised by a Senator at a hearing. don’t think, from what I know, there far as the Senate is concerned? Unfor- When important issues of foreign has been any ground lost with the re- tunately, past administrations have commerce are at stake and Congress is negotiation. Charlene Barshefsky, our not complied with their basic prin- exercising its constitutional power of U.S. Trade Representative, conducted ciples of complete disclosure and com- regulating foreign commerce, we in the herself in a highly professional way plete openness in their submittal of Congress should not have to guess what and negotiated what appears to be an agreements to the Congress. A prior the answer is or even have to figure out excellent agreement, and she did it administration—it happened to be a how to ask the right questions in the under very difficult circumstances. Republican administration—violated hearing at the right time and in the Now that the negotiations are fin- the spirit, if not the letter, of this ab- right way to get an honest answer, to ished, the job of the Senate and the solute good faith requirement of com- have open disclosure of what our agree- House of Representatives becomes even plete disclosure. This incident occurred ments are and what the results of the more important. Our constitutional re- in 1988. I want to give background on it negotiation are. sponsibility requires that the Senate because it was in regard to the Cana- This incident on the wheat and the and the House carefully review the dian Free Trade Agreement which be- Canadian Free Trade Agreement had agreement in its entirety, and the ex- came part of the North American Free unfortunate and profound content to which there are changes in law, Trade Agreement. sequences. It led some in Congress to they obviously have to pass the Con- At that time, there was disagreement believe they could not trust our nego- gress, as any law would, and be signed about the meaning of a term relating tiators. Some of us believed we weren’t by the President. to Canada’s price support system for dealt with fairly. The American wheat It is a responsibility every Senator wheat. farmer has been harmed as a result of takes very seriously because it is as- If anybody has heard the articulate it. signed to us by the Constitution. And speaking of the Senator from North Now, I want to say I have the highest because the Congress has a unique and Dakota on this issue—Senator CONRAD regard for our negotiators, especially close relationship with the American has talked about this many times, for Ambassador Barshefsky. She has people, we must also keep faith with about wheat unfairly coming into the done a remarkable job. She has my the people who sent us here to fulfill northern United States in violation of complete trust. So this is not about our constitutional responsibilities. the free trade agreement but somehow Ambassador Barshefsky. It is not about That is why it is critical we know ev- being legal because of these side agree- any one of our negotiators. Nor is this erything that was negotiated. ments that Congress didn’t know about a partisan concern. The incident that I want to put emphasis upon that in the past. sparked my concern occurred during a statement. There was a disagreement about the Republican administration. I am con- That is why it is important that the meaning of a term relating to Canada’s cerned about one simple thing. The Congress of the United States know ev- price support system for wheat. The principle of openness and full disclo- erything that was negotiated—every- issue dealt with whether the Canadians sure to Congress. thing, every issue, every detail, and were manipulating their price support This simple, basic principle applies every interpretation—so there can be system by unfairly defining a very key not just to the agreement with China. no surprises, no private exchanges of term in their favor, thus allowing them In about ten days, the United States letters, no private understandings to sell wheat below cost in the United will help launch a new round of global about the key meanings of key phrases States market in violation of the clear trade negotiations in Seattle. This new in the agreement, and no reservations meaning of a provision of the Cana- round of trade liberalization talks will

VerDate 29-OCT-99 03:39 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00015 Fmt 0624 Sfmt 0634 E:\CR\FM\G19NO6.032 pfrm01 PsN: S19PT1 S14854 CONGRESSIONAL RECORD — SENATE November 19, 1999 cover agriculture, services, and other Yorkers in two ways. The Satellite it is they who seek to thwart the will key trade issues. Many of these issues Home Viewer Act will finally allow of the majority of the House and the are sensitive, and even controversial. rural residents in rural areas to receive Senate when they try at the last We must be confident that we will local television programming, and the minute to stop an omnibus bill from see everything that is negotiated in the dairy language in the omnibus final going through. We need this compact. new round before it can become law. package allows both option 1–A and the In New York and New England, the The legislation Senator CONRAD and I New England Dairy Compact to con- price of milk has not risen by more wrote that is part of the Africa trade tinue. Let me touch on both of these. It than 4 cents over the national average bill requires full disclosure to Congress is clearly two dollops of good news for in every given year. I say to my of all agreements or understandings rural New Yorkers. downstate constituents, to keep an in- with a foreign government relating to On the satellite bill, I have had con- dustry vital to all New Yorkers going, agricultural trade negotiations—what stituent after constituent in areas such is it worth it to pay that 4 cents? Al- we refer to here as agricultural trade as Allegany County and Chenango most everyone says yes. With senior negotiations, objectives, and consulta- County and Steuben County and Ulster citizen centers, WIC, and other types of tion. County, throughout New York State in good programs being exempt, this is a Anyway, our provision says that any rural areas, tell me all of a sudden they worthy piece of legislation. I think it is such agreement or understanding that were unable to receive over the air sig- a good day for the dairy farmers of New is not disclosed to Congress before leg- nals to receive local satellite program- York. islation implementing a trade agree- ming. Imagine being cut off. Imagine It is not all we wanted; I admit that. ment is introduced in the Congress for years depending on the weather re- We want New York to be added to the shall not become law. In other words, if ports before you took your kids to Northeast Dairy Compact, and we will Congress doesn’t know about the agree- school or because you are a farmer and fight like the devil to make that hap- ment, it should not become law. That then not being able to get them. Imag- pen in future years. Without 1–A and is very simple. It is very clear. It is a ine having your local news shows cut the existing dairy compact, which still restatement of the principle of full dis- off. Imagine not being able to see benefits New York dairy farms in the closure. It is consistent with Congress’ things your family was accustomed to north country and places such as Wash- constitutional responsibility for for- seeing, all because of a court action. ington and Warren Counties and in cen- eign commerce, but I understand the Today, that bill, that court action, is tral New York, those areas without the administration opposes this common- being overruled in the omnibus act. I New England Dairy Compact, we would sense provision. They want it removed am delighted to say half a million New have suffered dramatically. Adding in- from the bill. York residents will now be able to get sult to injury, not having option 1–A Mr. President, it says in the Conrad- their local signal from their satellite would have been devastating. Grassley bill, no secret side deals. The which they were not able to do before— In the last decade, New York State Congress agreed that there should be half a million people, all back the way has lost one-third of its dairy farms, fully submitted to Congress all of the they should be. 13,000 to 8,600. The dairy compact and provisions of any negotiations that I hope we will continue the progress option 1–A will help my State and re- must be approved by Congress. I don’t of the Satellite Home Viewer Act. The gion retain this vital and cherished in- know why the administration wants Federal provision was taken out. I un- dustry. I believe that can be done not this language removed from the trade derstand the Senate Banking Com- at the expense of our counterparts in bill, but this is what they have sent to mittee plans to hold hearings next year the Midwest. the conferees in the Congress of the to ensure that multiservice providers In conclusion, it is a good day for United States. They list this section are encouraged to extend competition. rural New Yorkers in this omnibus bill. that says no secret side deals. They are I want to work with my colleagues to No. 1, the Satellite Home Viewer Act suggesting we strike this subsection. make sure my constituents in upstate will allow half a million New York We cannot let this happen. I will do rural New York, central New York, the families to receive local signal once everything I can to make sure this west and southern tier, and in the again; and, an extension of the dairy physical disclosure provision becomes north country have the same viewing compact, as well as extension of option the law of the land when the House and options as those in downstate. 1–A, will allow our dairy farmers who Senate conferees finally consider the The other bit of good news, of course, have been struggling over the last dec- African trade bill. I believe our Gov- is the dairy language in the final bill. ade to have a better chance to survive, ernment should live by the same stand- First, I know some of my colleagues to grow, and to prosper in one of the ards we expect from farmers in my from Wisconsin and Minnesota have la- industries most vital to all of New hometown of New Hartford, IA, or any bored long and hard on behalf of their York State. businessman in Des Moines, IA. Tell us constituents in this regard. I salute The PRESIDING OFFICER. Under exactly what you mean. Show us every- their hard work, their tenacity, and the previous agreement, the Senator thing in the agreement. Act in good their diligence. I heard the Senator from Maine is recognized. faith. from Minnesota say the average dairy f I ask my colleagues to support this farm in his State has 60 cows. It is no SENATE ACCOMPLISHMENTS provision and vote for it when it comes different in New York. We don’t have back from the conference committee so large farms, by and large. We shouldn’t Ms. COLLINS. For the information of we have physical disclosure of every- be pitting one against the other. With- all of our colleagues, I inform Senators thing so Congress isn’t asked to vote out 1–A and without the dairy compact that we are still working out some on something that is secret, that we we would have had desperate times in last-minute issues that will then allow don’t know anything about. If we do rural New York for our dairy farmers. the Senate to move a number of impor- that, we are violating our constitu- We are the third largest dairy State. tant bills that have been cleared on tional responsibility to the people of Dairy is a vital industry in much of both sides. While we are waiting for this country. New York. these last-minute glitches to be re- The PRESIDING OFFICER. Under If option 1–B were allowed to be im- solved, I want to take this opportunity the previous agreement the Senator plemented, New York would experience to respond to some of the comments from New York is recognized for 5 min- the single largest loss of any State, made by my colleagues on the other utes. $30.5 million a year. Compacts, of side of the aisle this morning. f course, are necessary. The 1–A option I am disappointed in some of the passed both Houses. This is not some- process, and I do not support all of the GOOD NEWS FOR RURAL NEW thing being done in the dark of night provisions of the omnibus appropria- YORK and not being debated. Both Houses, tions bill which we will consider later Mr. SCHUMER. Mr. President, today after full debate, passed both compacts. this day, but I very much disagree with I am happy to say there is good news in I say with all due respect to my col- the assertions made by some of my col- the omnibus budget bill for rural New leagues from Minnesota and Wisconsin, leagues on the other side of the aisle

VerDate 29-OCT-99 03:39 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00016 Fmt 0624 Sfmt 0634 E:\CR\FM\A19NO6.002 pfrm01 PsN: S19PT1 November 19, 1999 CONGRESSIONAL RECORD — SENATE S14855 that we have not accomplished any- there has been a devastating impact on ardize their ability to provide care. thing during this Congress. We have, in the senior citizens of our country. Let These hospitals, in most cases, are the fact, accomplished a great deal of me use the example of the State of only hospital in the community. If which we can be proud. Rather than en- Maine. As you can see, in just a year’s they are forced to close because of un- gaging in harsh partisan rhetoric, we time, more than 6,000 Maine senior citi- fair and inadequate reimbursements should be coming together in these zens have lost their access to home from Medicare, it will devastate the final hours of this session to celebrate care. In fact, it is 6,600 Maine seniors communities. It will leave many of our what we have done for the American who have lost their access to home senior citizens and others in the com- people. health care. The number of home munity without access to health care First of all, I think we can take great health care visits in Maine has de- at all when they become ill and need pride in the accomplishment that we clined by more than 420,000. Reimburse- hospitalization. will be producing a balanced budget for ments to Maine’s home health agencies One of the features of the cutbacks in the first time in decades, one which have declined in a year’s time by more home health care troubles me. I wonder does not raid the Social Security trust than $20 million. what has become of these nearly 7,000 fund. This is a tremendous accomplish- Maine’s home health agencies have Maine citizens. In some cases they ment and it establishes a new mile- had a long tradition of providing low- have been forced to pay for the care stone in fiscal responsibility. It has cost compassionate care. We are not themselves. Many of the seniors in been the Republican caucus that has talking about home health agencies Maine simply cannot afford that kind held firm in their determination to pre- that were in any way abusing the sys- of out-of-pocket expense. They are liv- vent one penny of the Social Security tem, making too many visits, or over- ing on Social Security, on limited in- trust fund from being diverted to sup- billing Medicare. We are talking about comes. They already have a very dif- port expensive new unrelated Govern- home health agencies that were cost ef- ficult time affording their prescription ment programs. We have succeeded. We fective and efficient, providing quality drugs. Some of them have become sick- have kept that commitment. We have er because they have lost their access low-cost care throughout the State of fulfilled our obligation to the senior to home health care and have pre- Maine. citizens of this country. For the first I have visited with many of these maturely been forced into nursing time in 30 years, the Congress has pro- seniors who have lost access to home homes or have been subject to repeated duced a balanced budget which will re- health care. One was a retired priest in hospitalization which would have been sult in a surplus that does not rely on my hometown of Caribou, ME. He re- avoided had the home health care serv- funds from the Social Security trust lied on his home health services and ices been provided. The irony and the fund. The raid on the Social Security wrongheaded effect of this policy is we has now had to dig deeply into his sav- trust fund has been stopped cold. are probably going to end up paying ings to provide for the care out of his I give a great deal of credit to Sen- more for the care for these senior citi- own pocket because Medicare is no ator DOMENICI, to Senator STEVENS, to zens who have lost access to their longer providing the services he needs. Senator ABRAHAM, and to all col- In another case, I visited an elderly home health care because hospitaliza- leagues in the Republican caucus who couple in rural Maine who were able to tion and nursing home care is so much have united in their determination to stay together in their own home rather more expensive than home health care. secure the Social Security trust fund Surely this has been a shortsighted than go into a nursing home because of for our seniors and for future genera- policy. the valuable services provided by home tions. That is an accomplishment of I am pleased this legislation is going which we can be proud. health care nurses. The woman in this to take the first steps we need to pro- Second, I am delighted the omnibus case was severely diabetic. She was vide much needed financial relief to appropriations bill includes what has confined to a wheelchair and had a our Nation’s home health care agen- been my highest priority in the last wound that was not healing. It was cies, our rural hospitals, and our nurs- few months and that is to restore some home health care nurses who came ing homes. It is going to make a real of the unintended cuts made by the three times a week to clean the wound, difference. There is much else that is Balanced Budget Act of 1997 as well as to change the dressing, to take care of very valuable in this legislation for our by onerous regulations imposed by the her other health care needs. Home Nation’s families. Not only our senior Clinton administration that have im- health care allowed her and her elderly citizens but our children are going to paired the ability of our rural hos- husband to stay together in their gold- benefit from this legislation. pitals, our home health care agencies, en years. When you hear the rhetoric in this and our nursing homes to provide much It is that kind of service which has Chamber about education, you would needed quality health care to our Na- made such a difference to the quality think that somehow there has been an tion’s senior citizens. of life of our senior citizens, and it was attempt to slash education funding. The Presiding Officer has been an that kind of service which has been so Nothing could be further from the early supporter of legislation that I jeopardized by the ill-advised Clinton truth. In fact, the Republican Senate have introduced to provide financial administration regulations and the un- increased—increased, Mr. President— relief to our distressed home health intended consequences of the Balanced education spending by $500 million be- care agencies. America’s home health Budget Act of 1997. yond what was requested by President care agencies allow our senior citizens The legislation I introduced was a bi- Clinton in his budget. and our disabled citizens to receive the partisan bill. It was cosponsored by The increase also represents a sub- health care where they want it, in the more than 30 of my colleagues, to re- stantial hike in spending for education security and the privacy of their own verse these unintended consequences. programs over last year’s spending lev- homes. Unfortunately, under the Bal- The Balanced Budget Remedies Act els. In fact, the legislation we are anced Budget Act of 1997, and exacer- that is included in the omnibus appro- about to consider increases education bated by misguided policies of the Clin- priations bill does not go as far as I spending by $2 billion over the last fis- ton administration, America’s home would like, frankly, but it is a good cal year, and, again, the increase is health agencies have found their abil- and necessary first step. I commend $500 million over what the President ity to provide this care has been jeop- the chairman of the Finance Com- proposed. ardized. This care is so important to mittee, Senator ROTH, as well as Sen- Clearly, there is a deep and heartfelt our Nation’s senior citizens, particu- ator MOYNIHAN, for working with us to commitment in the Senate to increase larly those who are living in rural come up with legislation that we can education spending and to recognize its areas of our country where access to enact to ensure our senior citizens do importance to the future of this coun- home health care may spell the dif- not lose access to much needed health try and to ensuring a bright future for ference between staying in their own care. our Nation’s children. The issue has homes and having to travel many miles That is also a very important bill to not been about money. The issue has to receive health care. our rural hospitals. In our hospitals, in been who is best able to make edu- Unfortunately, since cutbacks in States such as Maine, we have been cation decisions. That is the debate we home health care have gone into effect, suffering from the cutbacks that jeop- will continue next year.

VerDate 29-OCT-99 03:39 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00017 Fmt 0624 Sfmt 0634 E:\CR\FM\G19NO6.039 pfrm01 PsN: S19PT1 S14856 CONGRESSIONAL RECORD — SENATE November 19, 1999 To me, the answer is obvious. We do could be cleaner, that we could work to Sec. 203. Certain transfers to be treated as a need to increase the Federal invest- get our legislation accomplished ear- separation from service for pur- ment in education, but at the same lier, that we had more cooperation poses of the thrift savings plan. Sec. 204. Clarifying amendments. time we need to empower our local with the White House in achieving this school boards, our parents, our teach- goal. But the fact is, this legislation TITLE III—AMENDMENT TO THE FEDERAL PROPERTY AND ADMINISTRATIVE SERV- ers, and our principals to make the de- will ensure brighter futures for the ICES ACT OF 1949 cisions and set the priorities. We need families of America. Sec. 301. Transfer of certain property to State to hold them accountable for improved I appreciate the opportunity to set and local governments. education achievement, but we do not the record straight on these important TITLE I—DECEPTIVE MAIL PREVENTION need a Washington-knows-best, a one- issues. The bill, which will be before us AND ENFORCEMENT size-fits-all approach to education pol- later today, is not perfect but it is good SEC. 101. SHORT TITLE. icy. legislation that deserves the support of This title may be cited as the ‘‘Deceptive Mail There is other good news in the om- all our colleagues. Prevention and Enforcement Act’’. nibus appropriations bill, and that is Mr. President, I suggest the absence SEC. 102. RESTRICTIONS ON MAILINGS USING good news for students and their fami- of a quorum. MISLEADING REFERENCES TO THE lies who are pursuing higher education. The PRESIDING OFFICER. The UNITED STATES GOVERNMENT. Section 3001 of title 39, United States Code, is Since I have come to the Senate, one of clerk will call the roll. my highest priorities has been to in- amended— The legislative assistant proceeded (1) in subsection (h)— crease Pell grants and student loans so to call the roll. (A) in the first sentence by striking ‘‘contains that no qualified student faces a finan- Ms. COLLINS. Mr. President, I ask a seal, insignia, trade or brand name, or any cial barrier that makes it impossible unanimous consent that the order for other term or symbol that reasonably could be for him or her to attend college. the quorum call be rescinded. interpreted or construed as implying any Fed- Prior to coming to the Senate, I The PRESIDING OFFICER. Without eral Government connection, approval or en- worked at a small business and health dorsement’’ and inserting the following: ‘‘which objection, it is so ordered. college in Bangor, ME, known as reasonably could be interpreted or construed as Husson College. It was there that I f implying any Federal Government connection, first became aware of how critically approval, or endorsement through the use of a DECEPTIVE MAIL PREVENTION seal, insignia, reference to the Postmaster Gen- important Federal financial assistance AND ENFORCEMENT ACT eral, citation to a Federal statute, name of a was for students who are attending col- Ms. COLLINS. Mr. President, I ask Federal agency, department, commission, or pro- lege. gram, trade or brand name, or any other term or Eighty-five percent of the students at the Chair lay before the Senate a mes- symbol; or contains any reference to the Post- Husson College could not afford to at- sage from the House of Representatives master General or a citation to a Federal statute tend college but for the assistance they on the bill (S. 335) to amend chapter 30 that misrepresents either the identity of the were provided from student loans and of title 39, United States Code, to pro- mailer or the protection or status afforded such from Pell grants. This assistance was vide for the nonmailability of certain matter by the Federal Government’’; and absolutely essential in allowing them deceptive matter relating to sweep- (B) in paragraph (2)— stakes, skill contests, facsimile checks, (i) in subparagraph (A) by striking ‘‘and’’ at to attend college. Many of them were the end; first-generation college students. They administrative procedures, orders, and (ii) in subparagraph (B) by striking ‘‘or’’ at were the first people in their families civil penalties relating to such matter, the end and inserting ‘‘and’’; and to have the opportunity to attend col- and for other purposes. (iii) by inserting after subparagraph (B) the lege. They were taking a big step they The PRESIDING OFFICER laid be- following: knew would ensure a brighter future fore the Senate the following message ‘‘(C) such matter does not contain a false rep- from the House of Representatives: resentation stating or implying that Federal for them and more opportunities. Government benefits or services will be affected We know the vast majority of new Resolved, That the bill from the Senate (S. by any purchase or nonpurchase; or’’; jobs that are being created into the 335) entitled ‘‘An Act to amend chapter 30 of (2) in subsection (i) in the first sentence— next century will require some kind of title 39, United States Code, to provide for (A) in the first sentence by striking ‘‘contains postsecondary education, either at- the nonmailability of certain deceptive mat- a seal, insignia, trade or brand name, or any tendance at a technical college, a pri- ter relating to sweepstakes, skill contests, other term or symbol that reasonably could be vate college, or a university. We are facsimile checks, administrative procedures, interpreted or construed as implying any Fed- going to need more and more skills, orders, and civil penalties relating to such eral Government connection, approval or en- matter, and for other purposes’’, do pass with more and more education, if we are to dorsement’’ and inserting the following: ‘‘which the following amendment: reasonably could be interpreted or construed as compete for the jobs of the future. Strike out all after the enacting clause and implying any Federal Government connection, That is why I am so delighted the legis- insert: approval, or endorsement through the use of a lation provides a significant increase SECTION 1. TABLE OF CONTENTS. seal, insignia, reference to the Postmaster Gen- for Pell grants. The table of contents for this Act is as follows: eral, citation to a Federal statute, name of a As you can see, the maximum Pell Sec. 1. Table of contents. Federal agency, department, commission, or pro- grant will be increased in the appro- gram, trade or brand name, or any other term or TITLE I—DECEPTIVE MAIL PREVENTION symbol; or contains any reference to the Post- priations bill. Currently, it is $3,125. AND ENFORCEMENT The President proposed $3,250. The ap- master General or a citation to a Federal statute propriations bill passed by the Senate Sec. 101. Short title. that misrepresents either the identity of the Sec. 102. Restrictions on mailings using mis- mailer or the protection or status afforded such proposed $3,325. Those are good steps. leading references to the United matter by the Federal Government’’; and They will help make college a little bit States Government. (B) in paragraph (2)— more affordable for our Nation’s young Sec. 103. Restrictions on sweepstakes and de- (i) in subparagraph (A) by striking ‘‘and’’ at people; indeed, also for older adults ceptive mailings. the end; who are returning to college because Sec. 104. Postal service orders to prohibit decep- (ii) in subparagraph (B) by striking ‘‘or’’ at they realize they need additional tive mailings. the end and inserting ‘‘and’’; and skills. Sec. 105. Temporary restraining order for decep- (iii) by inserting after subparagraph (B) the tive mailings. following: Once again, it is important we em- ‘‘(C) such matter does not contain a false rep- phasize, the Senate increased spending Sec. 106. Civil penalties and costs. Sec. 107. Administrative subpoenas. resentation stating or implying that Federal for these essential Pell grants beyond Sec. 108. Requirements of promoters of skill con- Government benefits or services will be affected what the President recommended. This tests or sweepstakes mailings. by any contribution or noncontribution; or’’; is a budget of which we can be proud. It Sec. 109. State law not preempted. (3) by redesignating subsections (j) and (k) as does not include every provision each Sec. 110. Technical and conforming amend- subsections (m) and (n), respectively; and of us would like. It reflects hours, ments. (4) by inserting after subsection (i) the fol- Sec. 111. Effective date. lowing: weeks, and months of work. It reflects ‘‘(j)(1) Any matter otherwise legally accept- compromise. That is what the system TITLE II—FEDERAL RESERVE BOARD able in the mails which is described in para- is all about. RETIREMENT PORTABILITY graph (2) is nonmailable matter, shall not be Each of us would write this bill dif- Sec. 201. Short title. carried or delivered by mail, and shall be dis- ferently. Each of us wishes the process Sec. 202. Portability of service credit. posed of as the Postal Service directs.

VerDate 29-OCT-99 03:39 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00018 Fmt 0624 Sfmt 6333 E:\CR\FM\G19NO6.041 pfrm01 PsN: S19PT1 November 19, 1999 CONGRESSIONAL RECORD — SENATE S14857 ‘‘(2) Matter described in this paragraph is any statement qualifying, limiting, or explaining the (1) by striking ‘‘or’’ after ‘‘(h),’’ each place it matter that— rules or disclosures in a manner inconsistent appears; and ‘‘(A) constitutes a solicitation for the pur- with such rules or disclosures; (2) by inserting ‘‘, (j), or (k)’’ after ‘‘(i)’’ each chase of or payment for any product or service ‘‘(B)(i) includes entry materials for a skill place it appears. that— contest or a promotion that purports to be a skill SEC. 105. TEMPORARY RESTRAINING ORDER FOR ‘‘(i) is provided by the Federal Government; contest; and DECEPTIVE MAILINGS. and ‘‘(ii)(I) does not state all terms and conditions (a) IN GENERAL.—Section 3007 of title 39, ‘‘(ii) may be obtained without cost from the of the skill contest, including the rules and United States Code, is amended— Federal Government; and entry procedures for the skill contest; (1) by redesignating subsection (b) as sub- ‘‘(B) does not contain a clear and conspicuous ‘‘(II) does not disclose the sponsor or mailer of section (c); and statement giving notice of the information set the skill contest and the principal place of busi- (2) by striking subsection (a) and inserting the forth in clauses (i) and (ii) of subparagraph ness or an address at which the sponsor or mail- following: (A).’’. er may be contacted; or ‘‘(a)(1) In preparation for or during the pend- ‘‘(III) does not contain skill contest rules that SEC. 103. RESTRICTIONS ON SWEEPSTAKES AND ency of proceedings under section 3005, the DECEPTIVE MAILINGS. state, as applicable— Postal Service may, under the provisions of sec- ‘‘(aa) the number of rounds or levels of the Section 3001 of title 39, United States Code, is tion 409(d), apply to the district court in any contest and the cost to enter each round or amended by inserting after subsection (j) (as district in which mail is sent or received as part level; added by section 102(4)) the following: ‘‘(bb) that subsequent rounds or levels will be of the alleged scheme, device, lottery, gift enter- ‘‘(k)(1) In this subsection— more difficult to solve; prise, sweepstakes, skill contest, or facsimile ‘‘(A) the term ‘clearly and conspicuously dis- ‘‘(cc) the maximum cost to enter all rounds or check or in any district in which the defendant played’ means presented in a manner that is levels; is found, for a temporary restraining order and readily noticeable, readable, and understand- ‘‘(dd) the estimated number or percentage of preliminary injunction under the procedural re- able to the group to whom the applicable matter entrants who may correctly solve the skill con- quirements of rule 65 of the Federal Rules of is disseminated; test or the approximate number or percentage of Civil Procedure. ‘‘(B) the term ‘facsimile check’ means any entrants correctly solving the past 3 skill con- ‘‘(2)(A) Upon a proper showing, the court matter that— tests conducted by the sponsor; shall enter an order which shall— ‘‘(i) is designed to resemble a check or other ‘‘(ee) the identity or description of the quali- ‘‘(i) remain in effect during the pendency of negotiable instrument; but fications of the judges if the contest is judged by the statutory proceedings, any judicial review of ‘‘(ii) is not negotiable; other than the sponsor; such proceedings, or any action to enforce or- ‘‘(C) the term ‘skill contest’ means a puzzle, ‘‘(ff) the method used in judging; ders issued under the proceedings; and game, competition, or other contest in which— ‘‘(gg) the date by which the winner or winners ‘‘(ii) direct the detention by the postmaster, in ‘‘(i) a prize is awarded or offered; will be determined and the date or process by any and all districts, of the defendant’s incom- ‘‘(ii) the outcome depends predominately on which prizes will be awarded; ing mail and outgoing mail, which is the subject the skill of the contestant; and ‘‘(hh) the quantity, estimated retail value, of the proceedings under section 3005. ‘‘(iii) a purchase, payment, or donation is re- and nature of each prize; and ‘‘(B) A proper showing under this paragraph quired or implied to be required to enter the con- ‘‘(ii) the schedule of any payments made over shall require proof of a likelihood of success on test; and time; or the merits of the proceedings under section 3005. ‘‘(D) the term ‘sweepstakes’ means a game of ‘‘(C) includes any facsimile check that does ‘‘(3) Mail detained under paragraph (2) chance for which no consideration is required to not contain a statement on the check itself that shall— enter. such check is not a negotiable instrument and ‘‘(A) be made available at the post office of ‘‘(2) Except as provided in paragraph (4), any has no cash value. mailing or delivery for examination by the de- matter otherwise legally acceptable in the mails ‘‘(4) Matter that appears in a magazine, news- fendant in the presence of a postal employee; which is described in paragraph (3) is non- paper, or other periodical shall be exempt from and mailable matter, shall not be carried or delivered paragraph (2) if such matter— ‘‘(B) be delivered as addressed if such mail is ‘‘(A) is not directed to a named individual; or not clearly shown to be the subject of pro- by mail, and shall be disposed of as the Postal ‘‘(B) does not include an opportunity to make Service directs. ceedings under section 3005. a payment or order a product or service. ‘‘(4) No finding of the defendant’s intent to ‘‘(3) Matter described in this paragraph is any ‘‘(5) Any statement, notice, or disclaimer re- make a false representation or to conduct a lot- matter that— quired under paragraph (3) shall be clearly and tery is required to support the issuance of an ‘‘(A)(i) includes entry materials for a sweep- conspicuously displayed. Any statement, notice, order under this section. stakes or a promotion that purports to be a or disclaimer required under subclause (I) or (II) ‘‘(b) If any order is issued under subsection sweepstakes; and of paragraph (3)(A)(ii) shall be displayed more (a) and the proceedings under section 3005 are ‘‘(ii)(I) does not contain a statement that dis- conspicuously than would otherwise be required concluded with the issuance of an order under closes in the mailing, in the rules, and on the under the preceding sentence. order or entry form, that no purchase is nec- ‘‘(6) In the enforcement of paragraph (3), the that section, any judicial review of the matter essary to enter such sweepstakes; Postal Service shall consider all of the materials shall be in the district in which the order under ‘‘(II) does not contain a statement that dis- included in the mailing and the material and subsection (a) was issued.’’. (b) REPEAL.— closes in the mailing, in the rules, and on the language on and visible through the envelope or (1) IN GENERAL.—Section 3006 of title 39, order or entry form, that a purchase will not im- outside cover or wrapper in which those mate- United States Code, and the item relating to prove an individual’s chances of winning with rials are mailed. such entry; ‘‘(l)(1) Any person who uses the mails for any such section in the table of sections for chapter ‘‘(III) does not state all terms and conditions matter to which subsection (h), (i), (j), or (k) ap- 30 of such title are repealed. of the sweepstakes promotion, including the plies shall adopt reasonable practices and proce- (2) CONFORMING AMENDMENTS.—(A) Section rules and entry procedures for the sweepstakes; dures to prevent the mailing of such matter to 3005(c) of title 39, United States Code, is amend- ‘‘(IV) does not disclose the sponsor or mailer any person who, personally or through a con- ed by striking ‘‘section and section 3006 of this of such matter and the principal place of busi- servator, guardian, or individual with power of title,’’ and inserting ‘‘section,’’. (B) Section 3011(e) of title 39, United States ness or an address at which the sponsor or mail- attorney— er may be contacted; ‘‘(A) submits to the mailer of such matter a Code, is amended by striking ‘‘3006, 3007,’’ and ‘‘(V) does not contain sweepstakes rules that written request that such matter should not be inserting ‘‘3007’’. state— mailed to such person; or SEC. 106. CIVIL PENALTIES AND COSTS. ‘‘(aa) the estimated odds of winning each ‘‘(B)(i) submits such a written request to the Section 3012 of title 39, United States Code, is prize; attorney general of the appropriate State (or amended— ‘‘(bb) the quantity, estimated retail value, and any State government officer who transmits the (1) in subsection (a) by striking ‘‘$10,000 for nature of each prize; and request to that attorney general); and each day that such person engages in conduct ‘‘(cc) the schedule of any payments made over ‘‘(ii) that attorney general transmits such re- described by paragraph (1), (2), or (3) of this time; quest to the mailer. subsection.’’ and inserting ‘‘$50,000 for each ‘‘(VI) represents that individuals not pur- ‘‘(2) Any person who mails matter to which mailing of less than 50,000 pieces; $100,000 for chasing products or services may be disqualified subsection (h), (i), (j), or (k) applies shall main- each mailing of 50,000 to 100,000 pieces; with an from receiving future sweepstakes mailings; tain or cause to be maintained a record of all re- additional $10,000 for each additional 10,000 ‘‘(VII) requires that a sweepstakes entry be quests made under paragraph (1). The records pieces above 100,000, not to exceed $2,000,000.’’; accompanied by an order or payment for a prod- shall be maintained in a form to permit the sup- (2) in paragraphs (1) and (2) of subsection (b) uct or service previously ordered; pression of an applicable name at the applicable by inserting after ‘‘of subsection (a)’’ the fol- ‘‘(VIII) represents that an individual is a win- address for a 5-year period beginning on the lowing: ‘‘, (c), or (d)’’; ner of a prize unless that individual has won date the written request under paragraph (1) is (3) by redesignating subsections (c) and (d), as such prize; or submitted to the mailer.’’. subsections (e) and (f), respectively; and ‘‘(IX) contains a representation that con- SEC. 104. POSTAL SERVICE ORDERS TO PROHIBIT (4) by inserting after subsection (b) the fol- tradicts, or is inconsistent with sweepstakes DECEPTIVE MAILINGS. lowing: rules or any other disclosure required to be Section 3005(a) of title 39, United States Code, ‘‘(c)(1) In any proceeding in which the Postal made under this subsection, including any is amended— Service may issue an order under section

VerDate 29-OCT-99 03:39 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00019 Fmt 0624 Sfmt 6333 E:\CR\FM\A19NO6.003 pfrm01 PsN: S19PT1 S14858 CONGRESSIONAL RECORD — SENATE November 19, 1999 3005(a), the Postal Service may in lieu of that ‘‘(A) delivering a duly executed copy thereof ‘‘§ 3017. Nonmailable skill contests or sweep- order or as part of that order assess civil pen- to any partner, executive officer, managing stakes matter; notification to prohibit mail- alties in an amount not to exceed $25,000 for agent, or general agent thereof, or to any agent ings each mailing of less than 50,000 pieces; $50,000 thereof authorized by appointment or by law to ‘‘(a) DEFINITIONS.—In this section— for each mailing of 50,000 to 100,000 pieces; with receive service of process on behalf of such part- ‘‘(1) the term ‘promoter’ means any person an additional $5,000 for each additional 10,000 nership, corporation, association, or entity; who— pieces above 100,000, not to exceed $1,000,000. ‘‘(B) delivering a duly executed copy thereof ‘‘(A) originates and mails any skill contest or ‘‘(2) In any proceeding in which the Postal to the principal office or place of business of the sweepstakes, except for any matter described in Service assesses penalties under this subsection partnership, corporation, association, or entity; section 3001(k)(4); or the Postal Service shall determine the civil pen- or ‘‘(B) originates and causes to be mailed any alty taking into account the nature, cir- ‘‘(C) depositing such copy in the United States skill contest or sweepstakes, except for any mat- cumstances, extent, and gravity of the violation mails, by registered or certified mail, return re- ter described in section 3001(k)(4); or violations of section 3005(a), and with respect ceipt requested, duly addressed to such partner- ‘‘(2) the term ‘removal request’ means a re- to the violator, the ability to pay the penalty, ship, corporation, association, or entity at its quest stating that an individual elects to have the effect of the penalty on the ability of the vi- principal office or place of business. the name and address of such individual ex- olator to conduct lawful business, any history of ERVICE ON NATURAL PERSONS.—Service ‘‘(4) S cluded from any list used by a promoter for prior violations of such section, the degree of of any subpoena may be made upon any natural mailing skill contests or sweepstakes; culpability and other such matters as justice person by— ‘‘(3) the terms ‘skill contest’, ‘sweepstakes’, may require. ‘‘(A) delivering a duly executed copy to the and ‘clearly and conspicuously displayed’ have ‘‘(d) Any person who violates section 3001(l) person to be served; or the same meanings as given them in section shall be liable to the United States for a civil ‘‘(B) depositing such copy in the United 3001(k); and penalty not to exceed $10,000 for each mailing to States mails, by registered or certified mail, re- ‘‘(4) the term ‘duly authorized person’, as an individual.’’. turn receipt requested, duly addressed to such used in connection with an individual, means a SEC. 107. ADMINISTRATIVE SUBPOENAS. person at his residence or principal office or conservator or guardian of, or person granted (a) IN GENERAL.—Chapter 30 of title 39, place of business. power of attorney by, such individual. ‘‘(5) VERIFIED RETURN.—A verified return by United States Code, is amended by adding at the ‘‘(b) NONMAILABLE MATTER.— the individual serving any such subpoena set- end the following: ‘‘(1) IN GENERAL.—Matter otherwise legally ‘‘§ 3016. Administrative subpoenas ting forth the manner of such service shall be acceptable in the mails described in paragraph proof of such service. In the case of service by ‘‘(a) SUBPOENA AUTHORITY.— (2)— registered or certified mail, such return shall be ‘‘(1) INVESTIGATIONS.— ‘‘(A) is nonmailable matter; accompanied by the return post office receipt of ‘‘(A) IN GENERAL.—In any investigation con- ‘‘(B) shall not be carried or delivered by mail; delivery of such subpoena. ducted under section 3005(a), the Postmaster and ‘‘(c) ENFORCEMENT.— General may require by subpoena the produc- ‘‘(C) shall be disposed of as the Postal Service ‘‘(1) IN GENERAL.—Whenever any person, tion of any records (including books, papers, directs. partnership, corporation, association, or entity documents, and other tangible things which ‘‘(2) NONMAILABLE MATTER DESCRIBED.—Mat- fails to comply with any subpoena duly served constitute or contain evidence) which the Post- ter described in this paragraph is any matter upon him, the Postmaster General may request master General considers relevant or material to that— that the Attorney General seek enforcement of such investigation. ‘‘(A) is a skill contest or sweepstakes, except the subpoena in the district court of the United ‘‘(B) CONDITION.—No subpoena shall be issued for any matter described in section 3001(k)(4); States for any judicial district in which such under this paragraph except in accordance with and person resides, is found, or transacts business, procedures, established by the Postal Service, re- ‘‘(B)(i) is addressed to an individual who and serve upon such person a petition for an quiring that— made an election to be excluded from lists under order of such court for the enforcement of this ‘‘(i) a specific case, with an individual or enti- subsection (d); or section. ty identified as the subject, be opened before a ‘‘(ii) does not comply with subsection (c)(1). ‘‘(2) JURISDICTION.—Whenever any petition is subpoena is requested; ‘‘(c) REQUIREMENTS OF PROMOTERS.— ‘‘(ii) appropriate supervisory and legal review filed in any district court of the United States ‘‘(1) NOTICE TO INDIVIDUALS.—Any promoter of a subpoena request be performed; and under this section, such court shall have juris- who mails a skill contest or sweepstakes shall ‘‘(iii) delegation of subpoena approval author- diction to hear and determine the matter so pre- provide with each mailing a statement that— ity be limited to the Postal Service’s General sented, and to enter such order or orders as may ‘‘(A) is clearly and conspicuously displayed; Counsel or a Deputy General Counsel. be required to carry into effect the provisions of ‘‘(B) includes the address or toll-free tele- this section. Any final order entered shall be ‘‘(2) STATUTORY PROCEEDINGS.—In any statu- phone number of the notification system estab- tory proceeding conducted under section subject to appeal under section 1291 of title 28, lished under paragraph (2); and 3005(a), the Judicial Officer may require by sub- United States Code. Any disobedience of any ‘‘(C) states that the notification system may poena the attendance and testimony of wit- final order entered under this section by any be used to prohibit the mailing of all skill con- nesses and the production of any records (in- court may be punished as contempt. tests or sweepstakes by that promoter to such including books, papers, documents, and other ‘‘(d) DISCLOSURE.—Any documentary material dividual. tangible things which constitute or contain evi- provided pursuant to any subpoena issued ‘‘(2) NOTIFICATION SYSTEM.—Any promoter dence) which the Judicial Officer considers rel- under this section shall be exempt from disclo- that mails or causes to be mailed a skill contest evant or material to such proceeding. sure under section 552 of title 5, United States or sweepstakes shall establish and maintain a ‘‘(3) RULE OF CONSTRUCTION.—Nothing in Code.’’. notification system that provides for any indi- paragraph (2) shall be considered to apply in (b) REGULATIONS.—Not later than 120 days vidual (or other duly authorized person) to no- any circumstance to which paragraph (1) ap- after the date of the enactment of this section, tify the system of the individual’s election to plies. the Postal Service shall promulgate regulations have the name and address of the individual ex- ‘‘(b) SERVICE.— setting out the procedures the Postal Service cluded from all lists of names and addresses ‘‘(1) SERVICE WITHIN THE UNITED STATES.—A will use to implement the amendment made by used by that promoter to mail any skill contest subpoena issued under this section may be subsection (a). or sweepstakes. served by a person designated under section 3061 (c) SEMIANNUAL REPORTS.—Section 3013 of ‘‘(d) ELECTION TO BE EXCLUDED FROM of title 18 at any place within the territorial ju- title 39, United States Code, is amended by strik- LISTS.— risdiction of any court of the United States. ing ‘‘and’’ at the end of paragraph (4), by redes- ‘‘(1) IN GENERAL.—An individual (or other ‘‘(2) FOREIGN SERVICE.—Any such subpoena ignating paragraph (5) as paragraph (6), and by duly authorized person) may elect to exclude the may be served upon any person who is not to be inserting after paragraph (4) the following: name and address of that individual from all found within the territorial jurisdiction of any ‘‘(5) the number of cases in which the author- lists of names and addresses used by a promoter court of the United States, in such manner as ity described in section 3016 was used, and a of skill contests or sweepstakes by submitting a the Federal Rules of Civil Procedure prescribe comprehensive statement describing how that removal request to the notification system estab- for service in a foreign country. To the extent authority was used in each of those cases; and’’. lished under subsection (c). that the courts of the United States may assert (d) TECHNICAL AND CONFORMING AMEND- ‘‘(2) RESPONSE AFTER SUBMITTING REMOVAL jurisdiction over such person consistent with MENT.—The table of sections for chapter 30 of REQUEST TO THE NOTIFICATION SYSTEM.—Not due process, the United States District Court for title 39, United States Code, is amended by add- later than 60 calendar days after a promoter re- the District of Columbia shall have the same ju- ing at the end the following: ceives a removal request pursuant to an election risdiction to take any action respecting compli- ‘‘3016. Administrative subpoenas.’’. under paragraph (1), the promoter shall exclude ance with this section by such person that such SEC. 108. REQUIREMENTS OF PROMOTERS OF the individual’s name and address from all lists court would have if such person were personally SKILL CONTESTS OR SWEEPSTAKES of names and addresses used by that promoter to within the jurisdiction of such court. MAILINGS. select recipients for any skill contest or sweep- ‘‘(3) SERVICE ON BUSINESS PERSONS.—Service (a) IN GENERAL.—Chapter 30 of title 39, stakes. of any such subpoena may be made upon a United States Code (as amended by section 107) ‘‘(3) EFFECTIVENESS OF ELECTION.—An elec- partnership, corporation, association, or other is amended by adding after section 3016 the fol- tion under paragraph (1) shall remain in effect, legal entity by— lowing: unless an individual (or other duly authorized

VerDate 29-OCT-99 03:39 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00020 Fmt 0624 Sfmt 6333 E:\CR\FM\A19NO6.003 pfrm01 PsN: S19PT1 November 19, 1999 CONGRESSIONAL RECORD — SENATE S14859 person) notifies the promoter in writing that SEC. 109. STATE LAW NOT PREEMPTED. section, any military service, and any service such individual— (a) IN GENERAL.—Nothing in the provisions of performed in the employ of a Federal Reserve ‘‘(A) has changed the election; and this title (including the amendments made by Bank) that was creditable under the Bank Plan ‘‘(B) elects to receive skill contest or sweep- this title) or in the regulations promulgated (as defined in subsection (i)), if the employee stakes mailings from that promoter. under such provisions shall be construed to pre- waives credit for such service under the Bank ‘‘(e) PRIVATE RIGHT OF ACTION.— empt any provision of State or local law that im- Plan and makes a payment to the Fund equal to ‘‘(1) IN GENERAL.—An individual who receives poses more restrictive requirements, regulations, the amount that would have been deducted from one or more mailings in violation of subsection damages, costs, or penalties. No determination pay under section 8422(a) had the employee been (d) may, if otherwise permitted by the laws or by the Postal Service that any particular piece subject to this chapter during such period of rules of court of a State, bring in an appropriate of mail or class of mail is in compliance with service (together with interest on such amount court of that State— such provisions of this title shall be construed to computed under paragraphs (2) and (3) of sec- ‘‘(A) an action to enjoin such violation; preempt any provision of State or local law. tion 8334(e)). ‘‘(B) an action to recover for actual monetary (b) EFFECT ON STATE COURT PROCEEDINGS.— Paragraph (5) shall not apply in the case of any loss from such a violation, or to receive $500 in Nothing contained in this section shall be con- employee as to whom subsection (g) (or, to the damages for each such violation, whichever is strued to prohibit an authorized State official extent subchapter III of chapter 83 is involved, greater; or from proceeding in State court on the basis of section 8332(n)) otherwise applies.’’. ‘‘(C) both such actions. (2) BANK PLAN DEFINED.—Section 8411 of title It shall be an affirmative defense in any action an alleged violation of any general civil or 5, United States Code, is amended by adding at brought under this subsection that the defend- criminal statute of such State or any specific the end the following: ant has established and implemented, with due civil or criminal statute of such State. ‘‘(i) For purposes of subsection (b)(5), the term care, reasonable practices and procedures to ef- SEC. 110. TECHNICAL AND CONFORMING AMEND- ‘Bank Plan’ means the benefit structure in fectively prevent mailings in violation of sub- MENTS. which employees of the Board of Governors of section (d). If the court finds that the defendant (a) REFERENCES TO REPEALED PROVISIONS.— the Federal Reserve System appointed on or willfully or knowingly violated subsection (d), Section 3001(a) of title 39, United States Code, is after January 1, 1984, participate, which benefit the court may, in its discretion, increase the amended by striking ‘‘1714,’’ and ‘‘1718,’’. structure is a component of the Retirement Plan amount of the award to an amount equal to not (b) CONFORMANCE WITH INSPECTOR GENERAL for Employees of the Federal Reserve System, es- more than 3 times the amount available under ACT OF 1978.— tablished under section 10 of the Federal Re- subparagraph (B). (1) IN GENERAL.—Section 3013 of title 39, serve Act (and any redesignated or successor ‘‘(2) ACTION ALLOWABLE BASED ON OTHER SUF- United States Code, is amended— version of such benefit structure, if so identified FICIENT NOTICE.—A mailing sent in violation of (A) by striking ‘‘Board’’ each place it appears section 3001(l) shall be actionable under this and inserting ‘‘Inspector General’’; in writing by the Board of Governors of the Fed- subsection, but only if such an action would not (B) in the third sentence by striking ‘‘Each eral Reserve System for purposes of this chap- also be available under paragraph (1) (as a vio- such report shall be submitted within sixty days ter).’’. (b) EXCLUSION FROM CHAPTER 84.— lation of subsection (d)) based on the same mail- after the close of the reporting period involved’’ (1) IN GENERAL.—Paragraph (2) of section ing. and inserting ‘‘Each such report shall be sub- 8402(b) of title 5, United States Code, is amended ‘‘(f) PROMOTER NONLIABILITY.—A promoter mitted within 1 month (or such shorter length of shall not be subject to civil liability for the ex- time as the Inspector General may specify) after by striking the matter before subparagraph (B) clusion of an individual’s name or address from the close of the reporting period involved’’; and and inserting the following: ‘‘(2)(A) any employee or Member who has sep- any list maintained by that promoter for mailing (C) by striking the last sentence and inserting arated from the service after— skill contests or sweepstakes, if— the following: ‘‘(1) a removal request is received by the pro- ‘‘The information in a report submitted under ‘‘(i) having been subject to— ‘‘(I) subchapter III of chapter 83 of this title; moter’s notification system; and this section to the Inspector General with re- ‘‘(II) subchapter I of chapter 8 of title I of the ‘‘(2) the promoter has a good faith belief that spect to a reporting period shall be included as Foreign Service Act of 1980; or the request is from— part of the semiannual report prepared by the ‘‘(III) the benefit structure for employees of ‘‘(A) the individual whose name and address Inspector General under section 5 of the Inspec- the Board of Governors of the Federal Reserve is to be excluded; or tor General Act of 1978 for the same reporting System appointed before January 1, 1984, that is ‘‘(B) another duly authorized person. period. Nothing in this section shall be consid- a component of the Retirement Plan for Employ- ‘‘(g) PROHIBITION ON COMMERCIAL USE OF ered to permit or require that any report by the ees of the Federal Reserve System, established LISTS.— Postmaster General under this section include under section 10 of the Federal Reserve Act; and ‘‘(1) IN GENERAL.— any information relating to activities of the In- ‘‘(ii) having completed— ‘‘(A) PROHIBITION.—No person may provide spector General.’’. any information (including the sale or rental of ‘‘(I) at least 5 years of civilian service cred- (2) EFFECTIVE DATE.—This subsection shall itable under subchapter III of chapter 83 of this any name or address) derived from a list de- take effect on the date of the enactment of this scribed in subparagraph (B) to another person title; Act, and the amendments made by this sub- ‘‘(II) at least 5 years of civilian service cred- for commercial use. section shall apply with respect to semiannual ‘‘(B) LISTS.—A list referred to under subpara- itable under subchapter I of chapter 8 of title I reporting periods beginning on or after such graph (A) is any list of names and addresses (or of the Foreign Service Act of 1980; or date of enactment. other related information) compiled from indi- ‘‘(III) at least 5 years of civilian service (other (3) SAVINGS PROVISION.—For purposes of any viduals who exercise an election under sub- than any service performed in the employ of a semiannual reporting period preceding the first section (d). Federal Reserve Bank) creditable under the ben- semiannual reporting period referred to in para- ‘‘(2) CIVIL PENALTY.—Any person who violates efit structure for employees of the Board of Gov- graph (2), the provisions of title 39, United paragraph (1) shall be assessed a civil penalty ernors of the Federal Reserve System appointed States Code, shall continue to apply as if the by the Postal Service not to exceed $2,000,000 per before January 1, 1984, that is a component of amendments made by this subsection had not violation. the Retirement Plan for Employees of the Fed- been enacted. ‘‘(h) CIVIL PENALTIES.— eral Reserve System, established under section ‘‘(1) IN GENERAL.—Any promoter— SEC. 111. EFFECTIVE DATE. 10 of the Federal Reserve Act, ‘‘(A) who recklessly mails nonmailable matter Except as provided in section 108 or 110(b), determined without regard to any deposit or re- in violation of subsection (b) shall be liable to this title shall take effect 120 days after the date deposit requirement under either such sub- the United States in an amount of $10,000 per of the enactment of this Act. chapter or under such benefit structure, or any violation for each mailing to an individual of TITLE II—FEDERAL RESERVE BOARD requirement that the individual become subject nonmailable matter; or RETIREMENT PORTABILITY to either such subchapter or to such benefit ‘‘(B) who fails to comply with the require- structure after performing the service involved; SEC. 201. SHORT TITLE. ments of subsection (c)(2) shall be liable to the or’’. This title may be cited as the ‘‘Federal Reserve United States. (2) EXCEPTION.—Subsection (d) of section 8402 ‘‘(2) ENFORCEMENT.—The Postal Service shall, Board Retirement Portability Act’’. of title 5, United States Code, is amended to in accordance with the same procedures as set SEC. 202. PORTABILITY OF SERVICE CREDIT. read as follows: forth in section 3012(b), provide for the assess- (a) CREDITABLE SERVICE.— ‘‘(d) Paragraph (2) of subsection (b) shall not ment of civil penalties under this section.’’. (1) IN GENERAL.—Section 8411(b) of title 5, apply to an individual who— (b) TECHNICAL AND CONFORMING AMEND- United States Code, is amended— ‘‘(1) becomes subject to— MENTS.—The table of sections for chapter 30 of (A) by striking ‘‘and’’ at the end of paragraph ‘‘(A) subchapter II of chapter 8 of title I of the title 39, United States Code, is amended by add- (3); Foreign Service Act of 1980 (relating to the For- ing after the item relating to section 3016 the fol- (B) in paragraph (4)— eign Service Pension System) pursuant to an lowing: (i) by striking ‘‘of the preceding provisions’’ election; or ‘‘3017. Nonmailable skill contests or sweepstakes and inserting ‘‘other paragraph’’; and ‘‘(B) the benefit structure in which employees matter; notification to prohibit (ii) by striking the period at the end and in- of the Board of Governors of the Federal Re- mailings.’’. serting ‘‘; and’’; and serve System appointed on or after January 1, (c) EFFECTIVE DATE.—This section shall take (C) by adding at the end the following: 1984, participate, which benefit structure is a effect 1 year after the date of the enactment of ‘‘(5) a period of service (other than any serv- component of the Retirement Plan for Employ- this Act. ice under any other paragraph of this sub- ees of the Federal Reserve System, established

VerDate 29-OCT-99 03:39 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00021 Fmt 0624 Sfmt 6333 E:\CR\FM\A19NO6.003 pfrm01 PsN: S19PT1 S14860 CONGRESSIONAL RECORD — SENATE November 19, 1999 under section 10 of the Federal Reserve Act (and ‘‘(2) the retirement system under subchapter sible. I particularly want to acknowl- any redesignated or successor version of such III of chapter 83; and edge the contributions of Senator ‘‘(3) any other retirement system under which benefit structure, if so identified in writing by LEVIN of Michigan, the ranking minor- individuals may contribute to the Thrift Savings the Board of Governors of the Federal Reserve ity member of the permanent Sub- System for purposes of this chapter); and Fund through withholdings from pay.’’. ‘‘(2) subsequently enters a position in which, (2) CLERICAL AMENDMENT.—The table of sec- committee on Investigations, and the but for paragraph (2) of subsection (b), such in- tions for chapter 84 of title 5, United States chief cosponsor of this important legis- dividual would be subject to this chapter.’’. Code, is amended by inserting before the item relation. In addition, Senator COCHRAN (c) PROVISIONS RELATING TO CERTAIN FORMER lating to section 8432 the following: and Senator EDWARDS were real leaders EMPLOYEES.—A former employee of the Board of ‘‘8431. Certain transfers to be treated as a sepa- in this effort and contributed greatly Governors of the Federal Reserve System who— ration.’’. to the legislation. (1) has at least 5 years of civilian service (b) CONFORMING AMENDMENTS.—Subsection There were many other Senators, as (other than any service performed in the employ (b) of section 8351 of title 5, United States Code, well, who cosponsored this measure. In of a Federal Reserve Bank) creditable under the is amended by redesignating paragraph (11) as benefit structure for employees of the Board of particular, I want to recognize the con- paragraph (8), and by adding at the end the fol- tributions of several members of the Governors of the Federal Reserve System ap- lowing: pointed before January 1, 1984, that is a compo- ‘‘(9) For the purpose of this section, separa- Committee on Governmental Affairs, nent of the Retirement Plan for Employees of tion from Government employment includes a including Chairman THOMPSON, Sen- the Federal Reserve System, established under transfer described in section 8431.’’. ators LIEBERMAN, STEVENS, DURBIN, section 10 of the Federal Reserve Act; (c) EFFECTIVE DATE.—The amendments made DOMENICI, AKAKA, and SPECTER. They (2) was subsequently employed subject to the by this section shall apply with respect to trans- were early cosponsors of this legisla- benefit structure in which employees of the fers occurring before, on, or after the date of the tion. Board of Governors of the Federal Reserve Sys- enactment of this Act, except that, for purposes tem appointed on or after January 1, 1984, par- Senator CAMPBELL has also played an of applying such amendments with respect to important role. He first introduced leg- ticipate, which benefit structure is a component any transfer occurring before such date of en- of the Retirement Plan for Employees of the actment, the date of such transfer shall be con- islation to curb some of the deceptive Federal Reserve System, established under sec- sidered to be the date of the enactment of this practices of sweepstakes companies. tion 10 of the Federal Reserve Act (and any re- Act. The Executive Director (within the mean- In addition, there are several Mem- designated or successor version of such benefit ing of section 8401(13) of title 5, United States bers of the House of Representatives structure, if so identified in writing by the Code) may prescribe any regulations necessary who have also worked very hard to Board of Governors of the Federal Reserve Sys- to carry out this subsection. bring to about passage today. They in- tem for purposes of chapter 84 of title 5, United SEC. 204. CLARIFYING AMENDMENTS. clude Congressman JOHN MCHUGH, who States Code); and (a) IN GENERAL.—Subsection (f) of section 3304 (3) after service described in paragraph (2), is chairman of the Subcommittee on of title 5, United States Code, as added by sec- the Postal Service; Congressman becomes subject to and thereafter entitled to tion 2 of Public Law 105–339, is amended— FATTAH, who is the ranking minority benefits under chapter 84 of title 5, United (1) by striking paragraph (4); States Code, (2) by redesignating paragraphs (2) and (3) as member of the subcommittee; Con- shall, for purposes of section 302 of the Federal paragraphs (3) and (4), respectively; and gressman LOBIONDO, Congressman Employees’ Retirement System Act of 1986 (100 (3) by inserting after paragraph (1) the fol- ROGAN, Congressman MCCOLLUM, Con- Stat. 601; 5 U.S.C. 8331 note) be considered to lowing: gressman and Chairman DAN BURTON, have become subject to chapter 84 of title 5, ‘‘(2) If selected, a preference eligible or vet- and Congressman HENRY WAXMAN. All United States Code, pursuant to an election eran described in paragraph (1) shall acquire under section 301 of such Act. of them worked very hard to forge competitive status and shall receive a career or workable legislation that is going to (d) EFFECTIVE DATE.— career-conditional appointment, as appro- (1) IN GENERAL.—Subject to succeeding provi- priate.’’. make a real difference. sions of this subsection, this section and the (b) EFFECTIVE DATE.—The amendments made I also want to express my thanks to amendments made by this section shall take ef- by subsection (a) shall take effect as if enacted the members of my staff who worked fect on the date of the enactment of this Act. on October 31, 1998. very hard on this. On the sub- (2) PROVISIONS RELATING TO CREDITABILITY TITLE III—AMENDMENT TO THE FEDERAL committee staff, Lee Blalack and Kirk AND CERTAIN FORMER EMPLOYEES.—The amend- PROPERTY AND ADMINISTRATIVE SERV- Walder were instrumental, and on my ments made by subsection (a) and the provisions ICES ACT OF 1949 of subsection (c) shall apply only to individuals personal staff, Michael Bopp, my legis- who separate from service subject to chapter 84 SEC. 301. TRANSFER OF CERTAIN PROPERTY TO lative director—all of them worked of title 5, United States Code, on or after the STATE AND LOCAL GOVERNMENTS. very hard. date of the enactment of this Act. Section 203(p)(1)(B)(ii) of the Federal Prop- The requirements in this legislation (3) PROVISIONS RELATING TO EXCLUSION FROM erty and Administrative Services Act of 1949 (40 will reduce the deceptive techniques U.S.C. 484(p)(1)(B)(ii)) is amended by striking CHAPTER.—The amendments made by subsection that have caused countless Americans, (b) shall not apply to any former employee of ‘‘December 31, 1999.’’ and inserting ‘‘July 31, 2000. During the period beginning January 1, hundreds of thousands of Americans, the Board of Governors of the Federal Reserve many of them elderly, to purchase System who, subsequent to his or her last period 2000, and ending July 31, 2000, the Adminis- of service as an employee of the Board of Gov- trator may not convey any property under sub- products they do not need nor do they ernors of the Federal Reserve System and prior paragraph (A), but may accept, consider, and want. Once this legislation takes ef- to the date of the enactment of this Act, became approve applications for transfer of property fect, mailings will be required to make subject to subchapter III of chapter 83 or chap- under that subparagraph.’’. crystal clear to consumers that no pur- ter 84 of title 5, United States Code, under the Ms. COLLINS. Mr. President, I ask chase is necessary to enter a sweep- law in effect at the time of the individual’s ap- unanimous consent that the Senate stakes and that making a purchase will pointment. agree to the amendment of the House. not improve your chances of winning. SEC. 203. CERTAIN TRANSFERS TO BE TREATED The PRESIDING OFFICER. Without That is the primary misconception AS A SEPARATION FROM SERVICE objection, it is so ordered. our investigation identified. Too many FOR PURPOSES OF THE THRIFT SAV- INGS PLAN. Ms. COLLINS. Mr. President, I am consumers believe if they make a pur- (a) AMENDMENTS TO CHAPTER 84 OF TITLE 5, delighted the Senate has now sent S. chase, somehow they will improve UNITED STATES CODE.— 335, the Deceptive Mail Prevention and their chances of winning, but nothing (1) IN GENERAL.—Subchapter III of chapter 84 Enforcement Act that I introduced to could be further from the truth. It is of title 5, United States Code, is amended by in- curb deceptive mailings, to the Presi- easy to see why they have that mis- serting before section 8432 the following: dent for his signature. conception because that is exactly the ‘‘§ 8431. Certain transfers to be treated as a The Senate originally passed this leg- impression these deceptive mailings separation islation by a vote of 93–0 on August 2. are intended to leave. ‘‘(a) For purposes of this subchapter, separa- It will impose new disclosure require- In addition, the legislation will pro- tion from Government employment includes a ments on sweepstakes mailings to prohibit sweepstakes companies from tell- transfer from a position that is subject to one of tect consumers. It will also provide ing people they are a winner unless the retirement systems described in subsection new authority to the Postal Service to (b) to a position that is not subject to any of they really have won a prize. them. take enforcement action against those Enactment of this legislation con- ‘‘(b) The retirement systems described in this companies sending deceptive mailings. cludes a year-long investigation by the subsection are— I want to thank several people whose Permanent Subcommittee on Inves- ‘‘(1) the retirement system under this chapter; hard work has made passage today pos- tigations, which I chair. Prompted by

VerDate 29-OCT-99 03:39 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00022 Fmt 0624 Sfmt 0634 E:\CR\FM\A19NO6.003 pfrm01 PsN: S19PT1 November 19, 1999 CONGRESSIONAL RECORD — SENATE S14861 complaints from my constituents in bold print, it proclaims: ‘‘Our sweep- fine print that declared, ‘‘If you have Maine, I began an investigation to ex- stakes results are now final.’’ ‘‘Ms. the winning number.’’ Unless the con- amine deceptive mailings. Hearings be- Susan M. Collins has won a cash prize testant reads and understands this fine fore the subcommittee demonstrated of $833,337.’’ ‘‘A bank check for $833,337 print, the mailing leaves the unmistak- that the deceptive techniques of major is on its way to’’—my address—‘‘in able impression that the recipient and sweepstakes companies were mis- Bangor.’’ It further warns that I will one other person have the winning leading thousands of Americans into forfeit the entire amount if I refuse to number for the $11 million prize. making purchases of products. Further respond to this notice. On the back it Mr. President, the bill adopted by the investigation into the activities of the says, again, ‘‘A bank check for $833,337 Senate would curb these problems by, smaller sweepstakes companies, the in cash will be sent to you by certified for the first time, establishing federal ones that I call the ‘‘stealth compa- mail if you respond now.’’ standards for a variety of promotional nies,’’ showed that their practices were I have a feeling you will not be sur- mailings, including sweepstakes mail- even more deceptive. In some cases, prised to learn that I am not the big ings. Such mailings must clearly and they bordered on outright fraud. winner. But if I relied on the informa- conspicuously display several impor- The subcommittee heard heart- tion in this mailing, it would be easy tant disclosures, including statements breaking testimony that deceptive to see why many people would be de- that no purchase is necessary to enter sweepstakes can induce trusting con- ceived into thinking they have, indeed, the contest and that a purchase will sumers to buy thousands of dollars of won the grand prize. not improve your chances of winning; unnecessary and unwanted merchan- Now, in the small print—not in the the odds of winning; the value and na- dise. One example was a magazine sub- bold type—but in the small print it ex- ture of each prize; and the name and address of the sponsor. Sweepstakes scription extending to the year 2018 plains that I have to have the winning mailings would also be required to in- that one witness testified that her 82- number to really win the prize. clude all the rules and entry proce- year-old father-in-law purchased be- That message is overwhelmed by the bold proclamations telling me I am a dures for the sweepstakes. cause of sweepstakes promotions. This legislation also addresses an- We found that our senior citizens are winner. Of course, in case I am tempted other problem consumers experience in particularly vulnerable to these kinds not to enter, there is what appears to be a personal note that says, ‘‘Please dealing with sweepstakes companies. of deceptive mailings. They are a trust- The Subcommittee heard from many don’t say no now,’’ and implores me to ing generation. Many seniors tend to individuals who found it difficult to enter and to buy the product offered. believe what they read, particularly if have their name or a parent’s name re- This is not unusual. This is typical of it is endorsed by a trusted spokesman, moved from the mailing lists of sweep- the kinds of deceptive mailings that comes from a well-known company, or stakes companies, or who were told are all too common and that flood the involves a mailing that has been de- that the name removal process might mailboxes of American consumers with signed to appear as if it is from the take as long as six months. To address more than a billion pieces of mail a Federal Government. this problem, this legislation includes Family members told us of loved year. a section developed by Senator ED- ones who were so convinced that they You shouldn’t have to be a lawyer, WARDS that would require companies you shouldn’t have to have a magni- had won a sweepstakes that they re- sending sweepstakes or skill contests fying glass, to figure out the rules of fused to leave their home for fear they to establish a system allowing con- the game and the odds of winning. Our would miss the Prize Patrol. One consumers to call or write to have their legislation will make a real difference stituent of mine actually canceled names removed from the companies’ by requiring honest disclosures, by pre- needed surgery because she did not mailing lists. want to miss Ed McMahon’s visit. venting sweepstakes companies from The House made several modifica- Sadly, of course, Ed McMahon never telling people they have won when they tions to this section of the bill, includ- showed up. have not, and, most importantly, by ing extending the time from 35 days to We found cases of seniors enticed by making crystal clear to consumers 60 days by which companies must re- the bold promises of sweepstakes who that you don’t have to make a pur- move names of consumers who do not spent their Social Security checks, chase to win and that making a pur- wish to receive future sweepstakes or squandered their life’s savings, and chase will not increase your chances of skill contest mailings. Non-profit mail- even borrowed money to buy unwanted winning. ers who use sweepstakes contests re- magazines and other merchandise. Mr. President, as I said, I am pleased quested a time limit of longer than 35 I will never forget the testimony of that the Senate is now poised to send days, arguing that their limited re- one man who broke down in tears as he my legislation to curb deceptive mail- sources might not allow the establish- recounted how the sweepstakes compa- ings to the President for his signature. ment of a system to quickly remove nies had deceived him into purchasing As I have described to my colleagues names. The 60-day limit in the bill, $15,000 worth of products in an effort to previously, you only have to look at however, should not be used by any win the big prize. some of these sweepstakes mailings to company to continue to inundate with The loss suffered by consumers can- understand why. For example, one more mailings those consumers who not be measured in dollars alone. As mailing by Publisher’s Clearing House, have asked to be removed from sweep- one elderly gentleman put it: which is famous for its Prize Patrol, stakes mailing lists. Accordingly, com- My wife has finally come to realize that tells the consumer to ‘‘Open Your Door panies should make every effort to re- she has been duped by the sweepstakes so- To $31 Million on January 31.’’ This move names as quickly as possible. licitations for all these years. Although the mailing suggests to the reader that his The House also added provisions to financial train is now halted, the loss of her or her past purchases are paying off. allow consumers to bring a private dignity is incalculable. Specifically, the mailing states: ‘‘You right of action in state court if they re- Unfortunately, these are not isolated see, your recent order and entry has ceive a mailing after previously re- examples. According to a survey com- proven to us that you’re indeed one of questing to be removed from the mail- missioned by the AARP, 40 percent of our loyal friends and a savvy sweeping list of a skill contest or sweep- seniors surveyed believe there is a con- stakes player. And now I’m pleased to stakes promoter. Sweepstakes pro- nection between purchasing and win- tell you that you’ve passed our selec- moters will have an affirmative defense ning. It is easy to see why consumers tion criteria to receive this special in- if they have established and imple- believe they have already won or that vitation.’’ mented, with due care, reasonable they will win if they just purchase Another mailing from American practices and procedures to effectively something as a result of these mail- Family Publishers stated, ‘‘It’s Down prevent mailings that would violate ings. to a 2 person race for $11,000,000—You the section on name removal. I would like to show you, Mr. Presi- And One Other Person In Georgia Were The notification system in the bill dent, and read from a sweepstakes Issued the Winning Number . . . Who- passed by the Senate, and modified by mailing that I received last week at my ever Returns It First Wins It All!’’ the House, requires companies to in- home in Bangor, ME. As you can see, in Most people probably didn’t see the clude in every mailing the address or a

VerDate 29-OCT-99 03:39 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00023 Fmt 0624 Sfmt 0634 E:\CR\FM\G19NO6.042 pfrm01 PsN: S19PT1 S14862 CONGRESSIONAL RECORD — SENATE November 19, 1999 toll-free telephone number of the noti- tive practices to suck into their net unreadable print that says but only ‘‘if fication system, but does not require people who will be lured into believing you have the winning number;’’ the that consumers submit their name in that if they buy something or subscribe headline which says ‘‘a million dollars writing to comply with the removal to something, somehow or other that is yours’’ or ‘‘just submit this number’’ system. Companies are encouraged to will increase their chances of winning a and you will have this big prize. The adopt a consumer friendly system for prize. fine print says ‘‘no,’’ you haven’t. We the removal of names from their mail- The bill we are passing today is simi- have all seen those kinds of examples ing lists, which may include the ability lar to one I had introduced in the 105th and the way people are taken in. to have names removed by calling a Congress to curb abuse of sweepstakes Fortunately, most people aren’t toll-free number. Under this legisla- solicitations and provide for additional taken in, but enough people are, so tion, companies using a toll-free num- enforcement tools against deceptive that a billion pieces of this kind of ber to permit the removal of names mailings by the Postal Service. There mail, sweepstakes mail, is sent out would not need to require a consumer were hearings held in September of 1998 each year, including by some compa- to also provide their name in writing. in the Governmental Affairs Com- nies that are otherwise companies that Any appropriate method of estab- mittee Federal Services Subcommittee have good reputations. We have had lishing a record of removal requests by that was then chaired by Senator COCH- these kinds of deceptive mailings sent consumers would comply with the re- RAN. out by Time Warner, by Reader’s Di- quirements of Section 8(d) of the legis- We learned from witnesses at that gest, by other companies whose names lation. For example, companies may hearing, including the Florida attorney have generally prompted positive re- wish to electronically verify the con- general, the Michigan assistant attor- sponses in people because their prod- sumer’s election to be removed from ney general, and the Postal Inspection ucts have been good products. Yet they their mailing list. Service, that senior citizens in par- have stooped, in the case of sweep- The legislation would strengthen the ticular are vulnerable to these decep- stakes, to deceptive practices in order ability of the Postal Service to inves- tive solicitations and that the financial to lull the people who receive these tigate, penalize, and stop deceptive cost to seniors for deceptive and fraud- sweepstakes mailings into believing mailings. It grants the Postal Inspec- ulent sweepstakes is a serious problem. that if they will just buy that maga- tion Service subpoena authority, na- Deceptive sweepstakes solicitations zine or just buy that product, they will tionwide stop mail authority, and the not only cause significant financial really seal the deal and the truck will ability to impose tougher civil pen- losses but frequently carry heavy emo- really show up with the check. We have alties. The House made several changes tional losses as well. seen these ads on television, the come- in the subpoena authority, including We have constituents in Michigan, ons. Thank God, 90 or 95 percent of the requiring the Postal Service to develop seniors, who have lost tens of thou- people look at them and can see them procedures for the issuance of sub- sands of dollars to deceptive sweep- for what they are. It is that 5 or 10 per- poenas and their approval by the Gen- stakes. Their houses are frequently cent, frequently seniors, who are taken eral Counsel or a Deputy General Coun- filled with hundreds of items they in. We are trying to stop these prac- sel of the Postal Service. The new sub- don’t need that they bought because tices. This bill, hopefully, will do ex- poena authority will give the Postal they thought somehow or other it actly that. might help them win the promised Inspection Service better ability to in- We are going to require that the prize. vestigate and stop deceptive mailings, statement that a purchase will not in- The Postal Service has inadequate and I encourage the General Counsel of crease an individual’s chances of win- tools to effectively shut down these de- the Postal Service to recognize that ef- ning and that no purchase is necessary ceptive marketing people, so we have fective enforcement of this legislation to win be clearly and conspicuously added some tough enforcement tools in requires the timely issuance of sub- displayed in the mailing—in fact more poenas. this bill. Until this bill becomes law, the Post- conspicuously displayed than the other Mr. President, S. 335 will provide im- information in the mailing. portant new consumer protections al Service, for instance, cannot impose The House changed the term ‘‘promi- against the many deceptive techniques a fine against a promoter who uses de- nently’’ in our Senate bill, which was currently used in promotional mail- ceptive practices until the Postal Serv- used to describe how these two key re- ings. I thank my colleagues for their ice first issues a stop order. Now, if you quired statements must be displayed support of this measure. wait for a stop order to be violated be- I yield to the subcommittee’s rank- fore you can impose an administrative and substituted ‘‘more conspicuously’’ for ‘‘prominently’’ to better match pre- ing minority member, Senator LEVIN. fine, what the deceptive sweepstakes As I explained earlier in my remarks, promoter does is slightly modify in vious uses of the term. The intent of he has been the chief cosponsor of this some way the deceptive mailing that is both houses on this subject is the legislation and a true leader in the ef- the subject of the stop order so they same, however, and we have empha- fort to crack down on deceptive mail- can avoid being caught by a violation sized that point in the committee re- ings. of the Postal Service stop order. The port. There should be no misunder- The PRESIDING OFFICER. The Sen- Postal Service currently is too often standing by the Postal Service and by ator from Michigan. powerless to stop these kinds of decep- the direct mail industry on what we in- Mr. LEVIN. Mr. President, I thank tive practices and the slight changes tend by this. the good Senator from Maine for her which are made in them which allow S. 335 is also going to provide the leadership in this and so many other the companies that are using these Postal Service with authority to issue consumer issues. This bill would not be practices to continue and ignore what a civil penalty for the first-time viola- here on the floor of the Senate without appears to be a stop order. tion of the statute, and we are going to her leadership on the Permanent Sub- In March and July of this year, Sen- give the Postal Service subpoena au- committee on Investigations, which ator COLLINS chaired hearings in the thority. Those are some of the things has taken responsibility for getting Permanent Subcommittee on Inves- we have done. this bill passed. tigations, where I serve as ranking Again, I thank the good Senator from S. 335, the bill we have just passed member. The bill we are taking up Maine, Ms. COLLINS, her staff, my staff, and sent to the President is going to today, S. 335, reflects what we learned Linda Gustitus and her good crew, who crack down on deceptive sweepstakes at those hearings as well. Senator COL- have made it possible for this bill to practices that have affected people in LINS has set forth for us some of the happen. Senator EDWARDS has been ex- all of our States. Most of us have per- egregious examples. I will not take the tremely helpful with his provision re- sonal knowledge of the kind of egre- time of this body to go through some of quiring a delisting of persons not want- gious deceptive practices which have these additional examples we have. We ing to receive sweepstakes mailings. been perpetrated by too many compa- have seen them all. We have seen the Senator COCHRAN has been very much nies, including some otherwise rep- big print that says, ‘‘you have just won in the forefront of this effort. Again, utable companies that are using decep- a big prize;’’ we have seen the fine, the majority and minority staffs of the

VerDate 29-OCT-99 03:39 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00024 Fmt 0624 Sfmt 0634 E:\CR\FM\G19NO6.044 pfrm01 PsN: S19PT1 November 19, 1999 CONGRESSIONAL RECORD — SENATE S14863 Permanent Subcommittee on Inves- ‘‘(iii) a contract of indemnity or guarantee; or ‘‘(iv) any news reporting or analysis of wager- tigations have done an absolutely su- ‘‘(iv) a contract for life, health, or accident ing activity, including odds, racing or event re- perb job of putting together these hear- insurance. sults, race and event schedules, or categories of ‘‘(2) CLOSED-LOOP SUBSCRIBER-BASED SERV- ings and developing this legislation. wagering; or ICE.—The term ‘closed-loop subscriber-based ‘‘(v) any posting or reporting of any edu- I am confident that with the Senate’s service’ means any information service or system cational information on how to make a bet or passage today, the President will sign that uses— wager or the nature of betting or wagering. the bill into law. It is a bill that will ‘‘(A) a device or combination of devices— ‘‘(6) INTERACTIVE COMPUTER SERVICE.—The help end the abuses which too often ‘‘(i) expressly authorized and operated in ac- term ‘interactive computer service’ means any occur in this area and which take ad- cordance with the laws of a State, exclusively information service, system, or access software for placing, receiving, or otherwise making a bet provider that operates in, or uses a channel or vantage of people who are too often or wager described in subsection (f)(1)(B); and vulnerable to the power of suggestion. instrumentality of, interstate or foreign com- ‘‘(ii) by which a person located within any merce to provide or enable access by multiple f State must subscribe and be registered with the users to a computer server, including specifi- provider of the wagering service by name, ad- PRIVILEGE OF THE FLOOR cally a service or system that provides access to dress, and appropriate billing information to be the Internet. Ms. COLLINS. Mr. President, I ask authorized to place, receive, or otherwise make ‘‘(7) INTERACTIVE COMPUTER SERVICE PRO- unanimous consent that Benjamin a bet or wager, and must be physically located VIDER.—The term ‘interactive computer service Brown, a legislative assistant in Sen- within that State in order to be authorized to do provider’ means any person that provides an so; ator TED STEVENS’ office, be granted interactive computer service, to the extent that ‘‘(B) an effective customer verification and such person offers or provides such service. floor privileges for the 19th and 20th of age verification system, expressly authorized November. ‘‘(8) INTERNET.—The term ‘Internet’ means the and operated in accordance with the laws of the international computer network of both Federal The PRESIDING OFFICER. Without State in which it is located, to ensure that all and non-Federal interoperable packet switched objection, it is so ordered. applicable Federal and State legal and regu- data networks. f latory requirements for lawful gambling are met; ‘‘(9) PERSON.—The term ‘person’ means any and individual, association, partnership, joint ven- INTERNET GAMBLING ‘‘(C) appropriate data security standards to ture, corporation (or any affiliate of a corpora- PROHIBITION ACT OF 1999 prevent unauthorized access by any person who tion), State or political subdivision thereof, de- has not subscribed or who is a minor. partment, agency, or instrumentality of a State Ms. COLLINS. Mr. President, I ask ‘‘(3) FOREIGN JURISDICTION.—The term ‘for- or political subdivision thereof, or any other unanimous consent that the Senate eign jurisdiction’ means a jurisdiction of a for- government, organization, or entity (including proceed to the consideration of Cal- eign country or political subdivision thereof. any governmental entity (as defined in section endar No. 158, S. 692. ‘‘(4) GAMBLING BUSINESS.—The term ‘gambling business’ means— 3701(2) of title 28)). The PRESIDING OFFICER. Without ‘‘(10) PRIVATE NETWORK.—The term ‘private objection, it is so ordered. ‘‘(A) a business that is conducted at a gambling establishment, or that— network’ means a communications channel or The clerk will report the bill by title. ‘‘(i) involves— channels, including voice or computer data The legislative clerk read as follows: ‘‘(I) the placing, receiving, or otherwise mak- transmission facilities, that use either— A bill (S. 692) to prohibit Internet gaming of bets or wagers; or ‘‘(A) private dedicated lines; or bling, and for other purposes. ‘‘(II) the offering to engage in the placing, re- ‘‘(B) the public communications infrastructure, if the infrastructure is secured by means of The Senate proceeded to consider the ceiving, or otherwise making of bets or wagers; ‘‘(ii) involves 1 or more persons who conduct, the appropriate private communications tech- bill, which had been reported from the finance, manage, supervise, direct, or own all or nology to prevent unauthorized access. Committee on the Judiciary with an part of such business; and ‘‘(11) STATE.—The term ‘State’ means a State amendment to strike all after the en- ‘‘(iii) has been or remains in substantially of the United States, the District of Columbia, acting clause and inserting in lieu continuous operation for a period in excess of 10 the Commonwealth of Puerto Rico, or a com- thereof the following: days or has a gross revenue of $2,000 or more monwealth, territory, or possession of the United States. S. 692 from such business during any 24-hour period; and ‘‘(12) SUBSCRIBER.—The term ‘subscriber’— Be it enacted by the Senate and House of Rep- ‘‘(B) any soliciting agent of a business de- ‘‘(A) means any person with a business rela- resentatives of the United States of America in scribed in subparagraph (A). tionship with the interactive computer service Congress assembled, ‘‘(5) INFORMATION ASSISTING IN THE PLACING provider through which such person receives ac- SECTION 1. SHORT TITLE. OF A BET OR WAGER.—The term ‘information as- cess to the system, service, or network of that This Act may be cited as the ‘‘Internet Gam- sisting in the placing of a bet or wager’— provider, even if no formal subscription agree- bling Prohibition Act of 1999’’. ‘‘(A) means information that is intended by ment exists; and SEC. 2. PROHIBITION ON INTERNET GAMBLING. the sender or recipient to be used by a person ‘‘(B) includes registrants, students who are (a) IN GENERAL.—Chapter 50 of title 18, engaged in the business of betting or wagering granted access to a university system or net- United States Code, is amended by adding at the to place, receive, or otherwise make a bet or work, and employees or contractors who are end the following: wager; and granted access to the system or network of their ‘‘(B) does not include— employer. ‘‘§ 1085. Internet gambling ‘‘(i) information concerning parimutuel pools ‘‘(b) INTERNET GAMBLING.— ‘‘(a) DEFINITIONS.—In this section: that is exchanged exclusively between or among ‘‘(1) PROHIBITION.—Subject to subsection (f), ‘‘(1) BETS OR WAGERS.—The term ‘bets or 1 or more racetracks or other parimutuel wager- it shall be unlawful for a person engaged in a wagers’— ing facilities licensed by the State or approved gambling business knowingly to use the Internet ‘‘(A) means the staking or risking by any per- by the foreign jurisdiction in which the facility or any other interactive computer service— son of something of value upon the outcome of is located, and 1 or more parimutuel wagering ‘‘(A) to place, receive, or otherwise make a bet a contest of others, a sporting event, or a game facilities licensed by the State or approved by or wager; or of chance, upon an agreement or understanding the foreign jurisdiction in which the facility is ‘‘(B) to send, receive, or invite information as- that the person or another person will receive located, if that information is used only to con- sisting in the placing of a bet or wager. something of value based on that outcome; duct common pool parimutuel pooling under ap- ‘‘(2) PENALTIES.—A person engaged in a gam- ‘‘(B) includes the purchase of a chance or op- plicable law; bling business who violates this section shall portunity to win a lottery or other prize (which ‘‘(ii) information exchanged exclusively be- be— opportunity to win is predominantly subject to tween or among 1 or more racetracks or other ‘‘(A) fined in an amount equal to not more chance); parimutuel wagering facilities licensed by the than the greater of— ‘‘(C) includes any scheme of a type described State or approved by the foreign jurisdiction in ‘‘(i) the total amount that such person bet or in section 3702 of title 28; and which the facility is located, and a support serv- wagered, or placed, received, or accepted in bets ‘‘(D) does not include— ice located in another State or foreign jurisdic- or wagers, as a result of engaging in that busi- ‘‘(i) a bona fide business transaction governed tion, if the information is used only for proc- ness in violation of this section; or by the securities laws (as that term is defined in essing bets or wagers made with that facility ‘‘(ii) $20,000; section 3(a)(47) of the Securities Exchange Act under applicable law; ‘‘(B) imprisoned not more than 4 years; or of 1934 (15 U.S.C. 78c(a)(47))) for the purchase ‘‘(iii) information exchanged exclusively be- ‘‘(C) both. or sale at a future date of securities (as that tween or among 1 or more wagering facilities ‘‘(3) PERMANENT INJUNCTIONS.—Upon convic- term is defined in section 3(a)(10) of the Securi- that are located within a single State and are li- tion of a person under this section, the court ties Exchange Act of 1934 (15 U.S.C. 78c(a)(10))); censed and regulated by that State, and any may enter a permanent injunction enjoining ‘‘(ii) a transaction on or subject to the rules of support service, wherever located, if the infor- such person from placing, receiving, or other- a contract market designated pursuant to sec- mation is used only for the pooling or processing wise making bets or wagers or sending, receiv- tion 5 of the Commodity Exchange Act (7 U.S.C. of bets or wagers made by or with the facility or ing, or inviting information assisting in the 7); facilities under applicable State law; placing of bets or wagers.

VerDate 29-OCT-99 05:32 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00025 Fmt 0624 Sfmt 6333 E:\CR\FM\G19NO6.046 pfrm01 PsN: S19PT1 S14864 CONGRESSIONAL RECORD — SENATE November 19, 1999

‘‘(c) CIVIL REMEDIES.— shall not be liable, under this section or any ‘‘(ii) provides information reasonably suffi- ‘‘(1) JURISDICTION.—The district courts of the other provision of Federal or State law prohib- cient to permit the provider to locate (and, as United States shall have original and exclusive iting or regulating gambling or gambling-related appropriate, in a notice issued pursuant to jurisdiction to prevent and restrain violations of activities, for the use of its facilities or services paragraph (3)(A) to block access to) the material this section by issuing appropriate orders in ac- by another person to engage in Internet gam- or activity; cordance with this section, regardless of wheth- bling activity that violates such law— ‘‘(iii) is supplied to any agent of a provider er a prosecution has been initiated under this ‘‘(i) arising out of any transmitting, routing, designated in accordance with section 512(c)(2) section. or providing of connections for gambling-related of title 17, if information regarding such des- ‘‘(2) PROCEEDINGS.— material or activity (including intermediate and ignation is readily available to the public; ‘‘(A) INSTITUTION BY FEDERAL GOVERNMENT.— temporary storage in the course of such trans- ‘‘(iv) provides information that is reasonably ‘‘(i) IN GENERAL.—The United States may in- mitting, routing, or providing connections) by sufficient to permit the provider to contact the stitute proceedings under this subsection to pre- the provider, if— vent or restrain a violation of this section. law enforcement agency that issued the notice, ‘‘(I) the material or activity was initiated by including the name of the law enforcement ‘‘(ii) RELIEF.—Upon application of the United or at the direction of a person other than the States under this subparagraph, the district agency, and the name and telephone number of provider; an individual to contact at the law enforcement court may enter a temporary restraining order ‘‘(II) the transmitting, routing, or providing of or an injunction against any person to prevent agency (and, if available, the electronic mail ad- connections is carried out through an automatic dress of that individual); and or restrain a violation of this section if the court process without selection of the material or ac- determines, after notice and an opportunity for ‘‘(v) declares under penalties of perjury that tivity by the provider; the person submitting the notice is an official of a hearing, that there is a substantial probability ‘‘(III) the provider does not select the recipi- the law enforcement agency described in clause that such violation has occurred or will occur. ents of the material or activity, except as an (iv). ‘‘(B) INSTITUTION BY STATE ATTORNEY GEN- automatic response to the request of another ‘‘(3) INJUNCTIVE RELIEF.— ERAL.— person; and ‘‘(i) IN GENERAL.—The attorney general of a ‘‘(IV) the material or activity is transmitted ‘‘(A) IN GENERAL.—The United States, or a State (or other appropriate State official) in through the system or network of the provider State law enforcement agency acting within its which a violation of this section allegedly has without modification of its content; or authority and jurisdiction, may, not less than 24 occurred or will occur, after providing written ‘‘(ii) arising out of any gambling-related mate- hours following the issuance to an interactive notice to the United States, may institute pro- rial or activity at an online site residing on a computer service provider of a notice described ceedings under this subsection to prevent or re- computer server owned, controlled, or operated in paragraph (2)(B), in a civil action, obtain a strain the violation. by or for the provider, or arising out of referring temporary restraining order, or an injunction to ‘‘(ii) RELIEF.—Upon application of the attor- or linking users to an online location containing prevent the use of the interactive computer serv- ney general (or other appropriate State official) such material or activity, if the material or ac- ice by another person in violation of this sec- of an affected State under this subparagraph, tivity was initiated by or at the direction of a tion. the district court may enter a temporary re- person other than the provider, unless the pro- ‘‘(B) LIMITATIONS.—Notwithstanding any straining order or an injunction against any vider fails to take expeditiously, with respect to other provision of this section, in the case of person to prevent or restrain a violation of this the particular material or activity at issue, the any application for a temporary restraining section if the court determines, after notice and actions described in paragraph (2)(A) following order or an injunction against an interactive an opportunity for a hearing, that there is a the receipt by the provider of a notice described computer service provider described in para- substantial probability that such violation has in paragraph (2)(B). graph (1)(B) to prevent a violation of this occurred or will occur. ‘‘(B) ELIGIBILITY.—An interactive computer section— ‘‘(C) INDIAN LANDS.—Notwithstanding sub- service provider is described in this subpara- ‘‘(i) arising out of activity described in para- paragraphs (A) and (B), for a violation that is graph only if the provider— graph (1)(A)(i), the injunctive relief is limited alleged to have occurred, or may occur, on In- ‘‘(i) maintains and implements a written or to— dian lands (as that term is defined in section 4 electronic policy that requires the provider to of the Indian Gaming Regulatory Act (25 U.S.C. ‘‘(I) an order restraining the provider from terminate the account of a subscriber of its sys- 2703))— providing access to an identified subscriber of ‘‘(i) the United States shall have the enforce- tem or network expeditiously following the re- the system or network of the interactive comment authority provided under subparagraph ceipt by the provider of a notice described in puter service provider, if the court determines (A); and paragraph (2)(B) alleging that such subscriber that there is probable cause to believe that such ‘‘(ii) the enforcement authorities specified in has violated or is violating this section; and subscriber is using that access to violate this an applicable Tribal-State compact negotiated ‘‘(ii) with respect to the particular material or section (or to engage with another person in a under section 11 of the Indian Gaming Regu- activity at issue, has not knowingly permitted communication that violates this section), by latory Act (25 U.S.C. 2710) shall be carried out its computer server to be used to engage in activ- terminating the specified account of that sub- in accordance with that compact. ity that the provider knows is prohibited by this scriber; and ‘‘(D) EXPIRATION.—Any temporary restraining section, with the specific intent that such server ‘‘(II) an order restraining the provider from order or preliminary injunction entered pursu- be used for such purpose. providing access, by taking reasonable steps ant to subparagraph (A) or (B) shall expire if, ‘‘(2) NOTICE TO INTERACTIVE COMPUTER SERV- specified in the order to block access, to a spe- and as soon as, the United States, or the attor- ICE PROVIDERS.— cific, identified, foreign online location; ney general (or other appropriate State official) ‘‘(A) IN GENERAL.—If an interactive computer ‘‘(ii) arising out of activity described in para- of the State, as applicable, notifies the court service provider receives from a Federal or State graph (1)(A)(ii), the injunctive relief is limited that issued the order or injunction that the law enforcement agency, acting within its au- to— thority and jurisdiction, a written or electronic United States or the State, as applicable, will ‘‘(I) the orders described in clause (i)(I); notice described in subparagraph (B), that a not seek a permanent injunction. ‘‘(II) an order restraining the provider from particular online site residing on a computer ‘‘(3) EXPEDITED PROCEEDINGS.— providing access to the material or activity that server owned, controlled, or operated by or for ‘‘(A) IN GENERAL.—In addition to any pro- violates this section at a particular online site the provider is being used by another person to ceeding under paragraph (2), a district court residing on a computer server operated or con- violate this section, the provider shall may, in exigent circumstances, enter a tem- trolled by the provider; and porary restraining order against a person al- expeditiously— ‘‘(III) such other injunctive remedies as the leged to be in violation of this section upon ap- ‘‘(i) remove or disable access to the material or court considers necessary to prevent or restrain plication of the United States under paragraph activity residing at that online site that alleg- access to specified material or activity that is (2)(A), or the attorney general (or other appro- edly violates this section; or prohibited by this section at a particular online priate State official) of an affected State under ‘‘(ii) in any case in which the provider does location residing on a computer server operated paragraph (2)(B), without notice and the oppor- not control the site at which the subject mate- or controlled by the provider, that are the least tunity for a hearing as provided in rule 65(b) of rial or activity resides, the provider, through burdensome to the provider among the forms of the Federal Rules of Civil Procedure (except as any agent of the provider designated in accord- relief that are comparably effective for that pur- provided in subsection (d)(3)), if the United ance with section 512(c)(2) of title 17, or other pose. States or the State, as applicable, demonstrates responsible identified employee or contractor— that there is probable cause to believe that the ‘‘(I) notify the Federal or State law enforce- ‘‘(C) CONSIDERATIONS.—The court, in deter- use of the Internet or other interactive computer ment agency that the provider is not the proper mining appropriate injunctive relief under this service at issue violates this section. recipient of such notice; and paragraph, shall consider— ‘‘(B) HEARINGS.—A hearing requested con- ‘‘(II) upon receipt of a subpoena, cooperate ‘‘(i) whether such an injunction, either alone cerning an order entered under this paragraph with the Federal or State law enforcement agen- or in combination with other such injunctions shall be held at the earliest practicable time. cy in identifying the person or persons who con- issued, and currently operative, against the ‘‘(d) INTERACTIVE COMPUTER SERVICE PRO- trol the site. same provider would significantly (and, in the VIDERS.— ‘‘(B) NOTICE.—A notice is described in this case of relief under subparagraph (B)(ii), taking ‘‘(1) IMMUNITY FROM LIABILITY FOR USE BY subparagraph only if it— into account, among other factors, the conduct ANOTHER.— ‘‘(i) identifies the material or activity that al- of the provider, unreasonably) burden either the ‘‘(A) IN GENERAL.—An interactive computer legedly violates this section, and alleges that provider or the operation of the system or net- service provider described in subparagraph (B) such material or activity violates this section; work of the provider;

VerDate 29-OCT-99 05:32 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00026 Fmt 0624 Sfmt 6333 E:\CR\FM\A19NO6.006 pfrm01 PsN: S19PT1 November 19, 1999 CONGRESSIONAL RECORD — SENATE S14865 ‘‘(ii) whether implementation of such an in- ‘‘(iii) initiated from a State in which betting Ms. COLLINS. Mr. President, I ask junction would be technically feasible and effec- or wagering on that same type of live horse or unanimous consent that reading of the tive, and would not materially interfere with ac- live dog racing is lawful and received in a State amendment be dispensed with. cess to lawful material at other online locations; in which such betting or wagering is lawful; The PRESIDING OFFICER. Without ‘‘(iii) whether other less burdensome and com- ‘‘(iv) subject to the regulatory oversight of the parably effective means of preventing or re- State in which the bet or wager is received and objection, it is so ordered. straining access to the illegal material or activ- subject by such State to minimum control stand- (The text of the amendment is print- ity are available; and ards for the accounting, regulatory inspection, ed in today’s RECORD under ‘‘Amend- ‘‘(iv) the magnitude of the harm likely to be and auditing of all such bets or wagers trans- ments Submitted.’’) suffered by the community if the injunction is mitted from 1 State to another; and AMENDMENT NO. 2783 TO AMENDMENT NO. 2782 not granted. ‘‘(v) in the case of— Ms. COLLINS. Mr. President, I send ‘‘(D) NOTICE AND EX PARTE ORDERS.—Injunc- ‘‘(I) live horse racing, made in accordance tive relief under this paragraph shall not be with the Interstate Horse Racing Act of 1978 (15 an amendment to the desk and ask for available without notice to the service provider U.S.C. 3001 et seq.); or its immediate consideration. and an opportunity for such provider to appear ‘‘(II) live dog racing, subject to consent agree- The PRESIDING OFFICER. The before the court, except for orders ensuring the ments that are comparable to those required by clerk will report. preservation of evidence or other orders having the Interstate Horse Racing Act of 1978, ap- The legislative clerk read as follows: no material adverse effect on the operation of proved by the appropriate State regulatory The Senator from Maine [Ms. COLLINS], for the communications network of the service pro- agencies, in the State receiving the signal, and Mr. CAMPBELL, proposes an amendment num- vider. in the State in which the bet or wager origi- bered 2783 to amendment No. 2782. ‘‘(4) EFFECT ON OTHER LAW.— nates; or ‘‘(A) IMMUNITY FROM LIABILITY FOR COMPLI- ‘‘(C) any otherwise lawful bet or wager that is Ms. COLLINS. Mr. President, I ask ANCE.—An interactive computer service provider placed, received, or otherwise made for a fan- unanimous consent that reading of the shall not be liable for any damages, penalty, or tasy sports league game or contest. amendment be dispensed with. forfeiture, civil or criminal, under Federal or ‘‘(2) BETS OR WAGERS MADE BY AGENTS OR The PRESIDING OFFICER. Without State law for taking in good faith any action PROXIES.— objection, it is so ordered. described in paragraph (2)(A) to comply with a ‘‘(A) IN GENERAL.—Paragraph (1) does not The amendment is as follows: notice described in paragraph (2)(B), or com- apply in any case in which a bet or wager is On page 35 of the Kyl-Bryan substitute, plying with any court order issued under para- placed, received, or otherwise made by the use of after line 18, insert the following: graph (3). an agent or proxy using the Internet or an (4) INDIAN GAMING.— ‘‘(B) DISCLAIMER OF OBLIGATIONS.—Nothing interactive computer service. (A) IN GENERAL.—Subject to paragraph (2), in this section may be construed to impose or ‘‘(B) QUALIFICATION.—Nothing in this para- the prohibition in this section does not apply authorize an obligation on an interactive com- graph may be construed to prohibit the owner to any otherwise lawful bet or wager that is puter service provider described in paragraph operator of a parimutuel wagering facility that placed, received, or otherwise made on any (1)(B)— is licensed by a State from employing an agent game that constitutes class II gaming or ‘‘(i) to monitor material or use of its service; or in the operation of the account wagering system class III gaming (as those terms are defined ‘‘(ii) except as required by a notice or an order owned or operated by the parimutuel facility. in section 4 of the Indian Gaming Regulatory of a court under this subsection, to gain access ‘‘(3) ADVERTISING AND PROMOTION.—The pro- Act, 25 U.S.C. 2703), or the sending, receiving, to, to remove, or to disable access to material. hibition of subsection (b)(1)(B) does not apply to or inviting of information assisting in the ‘‘(C) RIGHTS OF SUBSCRIBERS.—Nothing in this advertising or promotion of any activity that is placing of any such bet or wager, as applica- section may be construed to prejudice the right not prohibited by subsection (b)(1)(A). ble, if— of a subscriber to secure an appropriate deter- ‘‘(g) RULE OF CONSTRUCTION.—Nothing in this (i) the game is permitted under and con- mination, as otherwise provided by law, in a section may be construed to affect any prohibi- ducted in accordance with the Indian Gam- Federal court or in a State or local tribunal or tion or remedy applicable to a person engaged in ing Regulatory Act (25 U.S.C. 2701 et seq.); agency, that the account of such subscriber a gambling business under any other provision (ii) each person placing, receiving, or oth- should not be terminated pursuant to this sub- of Federal or State law.’’. erwise making such bet or wager, or trans- section, or should be restored. (b) TECHNICAL AMENDMENT.—The analysis for mitting such information, is physically lo- ‘‘(e) AVAILABILITY OF RELIEF.—The avail- chapter 50 of title 18, United States Code, is cated on Indian lands (as that term is de- ability of relief under subsections (c) and (d) amended by adding at the end the following: fined in section 4 of Indian Gaming Regu- shall not depend on, or be affected by, the initi- ‘‘1085. Internet gambling.’’. ation or resolution of any action under sub- latory Act, 25 U.S.C. 2703) when such person section (b), or under any other provision of Fed- SEC. 3. REPORT ON ENFORCEMENT. places, receives, or otherwise makes the bet eral or State law. Not later than 3 years after the date of enact- or wager, or transmits such information; ‘‘(f) APPLICABILITY.— ment of this Act, the Attorney General shall (iii) the game is conducted on a closed-loop ‘‘(1) IN GENERAL.—Subject to paragraph (2), submit to Congress a report, which shall subscriber-based system or a private net- the prohibition in this section does not apply include— work; and to— (1) an analysis of the problems, if any, associ- (iv) in the case of a game that constitutes ‘‘(A) any otherwise lawful bet or wager that is ated with enforcing section 1085 of title 18, class III gaming— placed, received, or otherwise made wholly United States Code, as added by section 2 of this (I) the game is authorized under, and is intrastate for a State lottery, or for a multi- Act; conducted in accordance with, the respective State lottery operated jointly between 2 or more (2) recommendations for the best use of the re- Tribal-State compacts (entered into and ap- States in conjunction with State lotteries if— sources of the Department of Justice to enforce proved pursuant to section 11(d) of the In- ‘‘(i) each such lottery is expressly authorized, that section; and dian Gaming Regulatory Act, 25 U.S.C. 2710) and licensed or regulated, under applicable (3) an estimate of the amount of activity and governing gaming activity on the Indian State law; money being used to gamble on the Internet. lands, in each respective State, on which ‘‘(ii) the bet or wager is placed on an inter- SEC. 4. SEVERABILITY. each person placing, receiving, or otherwise active computer service that uses a private net- If any provision of this Act, an amendment making such bet or wager, or transmitting work; made by this Act, or the application of such pro- such information, is physically located when ‘‘(iii) each person placing or otherwise making vision or amendment to any person or cir- such person places, receives, or otherwise that bet or wager is physically located when cumstance is held to be unconstitutional, the re- makes the bet or wager, or transmits such such bet or wager is placed at a facility that is mainder of this Act, the amendments made by information; and open to the general public; and this Act, and the application of this Act and the (II) each such Tribal-State compact ex- ‘‘(iv) each such lottery complies with sections provisions of such amendments to any other per- pressly provides that the game may be con- 1301 through 1304, and other applicable provi- son or circumstance shall not be affected there- ducted using the Internet or other inter- sions of Federal law; by. active computer service only on a closed- loop subscriber-based system or a private ‘‘(B) any otherwise lawful bet or wager that is AMENDMENT NO. 2782 placed, received, or otherwise made on an inter- network. state or intrastate basis on a live horse or a live (Purpose: To provide a complete substitute) (B) ACTIVITIES UNDER EXISTING COMPACTS.— dog race, or the sending, receiving, or inviting Ms. COLLINS. Mr. President, I send The requirement of subparagraph (A)(iv)(II) of information assisting in the placing of such a an amendment to the desk and ask for shall not apply in the case of gaming activ- bet or wager, if such bet or wager, or the trans- its immediate consideration. ity, otherwise subject to this section, that mission of such information, as applicable, is— The PRESIDING OFFICER. The was being conducted on Indian lands on Sep- ‘‘(i) expressly authorized, and licensed or reg- tember 1, 1999, with the approval of the state ulated by the State in which such bet or wager clerk will report. gaming commission or like regulatory au- is received, under applicable Federal and such The legislative clerk read as follows: thority of the State in which such Indian State’s laws; The Senator from Maine [Ms. COLLINS], for lands are located, but without such required ‘‘(ii) placed on a closed-loop subscriber-based Mr. KYL, for himself and Mr. BRYAN, pro- compact approval, until the date on which service; poses an amendment numbered 2782. the compact governing gaming activity on

VerDate 29-OCT-99 05:32 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00027 Fmt 0624 Sfmt 0634 E:\CR\FM\A19NO6.006 pfrm01 PsN: S19PT1 S14866 CONGRESSIONAL RECORD — SENATE November 19, 1999 such Indian lands expires (exclusive of any ings on an Internet gambling bill in tailored to this new medium—for en- automatic or discretionary renewal or exten- that the last Congress (H.R. 2380) and forcing that prohibition. In estab- sion of such compact), so long as such gam- approved a revised version of the bill lishing such a mechanism, however, it ing activity is conducted using the Internet (H.R. 4427), but the House did not com- is also important to avoid impeding or or other interactive computer service only on a closed-loop subscriber-based system or a plete action on the legislation due to disrupting the use of the Internet as an private network. For purposes of this sub- the lateness of the session, and the instrument of lawful activity. I am paragraph, the phrase ‘‘conducted on Indian Senate language was not included in confident that S. 602 meets these objec- lands’’ shall refer to all Indian lands on the final version of the appropriations tives. Moreover, the fact that the legis- which any person placing, receiving, or oth- measure. New legislation, similar to S. lation is strongly supported by the erwise making a bet or wager, or sending, re- 692, has been introduced in the House chief law enforcement officers of the ceiving, or inviting information assisting in in this Congress, and I am quite hope- States is compelling evidence that it the placing of a bet or wager, is physically ful that Internet gambling legislation strikes the right balance between Fed- located when such person places, receives, or will be enacted into law early next eral and State authority in this area. otherwise makes the bet or wager, or sends, S. 692 creates a new section 1085 of receives, or invites such information. year. title 18. It prohibits any person en- Mr. KYL. Mr. President, I rise in Mr. President, as documented in the Judiciary Committee’s report, both the gaged in a gambling business from strong support of S. 692, the Internet using the Internet to place, receive, or Gambling Prohibition Act of 1999. As number of Internet gambling sites, and Internet gambling revenues, have otherwise make a bet or wager, or to we move toward passage of this land- send, receive, or invite information as- mark legislation, I want to thank espe- grown rapidly since Internet gambling first appeared in the summer of 1995. sisting in the placing of a bet or wager, cially Senator BRYAN, the original co- Two studies cited by the National and it establishes mechanisms tailored sponsor of S. 692, Senator FEINSTEIN, Gambling Impact Study Commission in to the Internet to enforce this prohibi- the ranking member of the Sub- tion. The new section provides criminal committee on Technology, Terrorism, its ‘‘Final Report’’ to Congress this summer indicate that Internet gam- penalties for violations, authorizes and Government Information, and Sen- civil enforcement proceedings by Fed- ator HATCH, the Chairman of the Judi- bling revenues have doubled every year for the past three years. One study re- eral and State authorities, and estab- ciary Committee. I also want to ac- lishes mechanisms for requiring Inter- knowledge the role of Senator CAMP- ported growth from $300 million in 1998 to $651 million in 1999, and projected net service providers to terminate or BELL in helping ensure that the legisla- block access to material or activity tion addressed issues of concern to In- revenues of $2.3 billion by 2001. Another study reported growth from $445.4 mil- that violates the prohibition. dian tribes, and Senator LEAHY, the Because section 1085, as reported by lion in 1997 to $919.1 million in 1998. ranking member of the Judiciary Com- the Judiciary Committee, is committee, who helped advance S. 692 not- The Commission noted estimates by prehensively analyzed in the Judiciary withstanding his differences with some the Financial Times and Smith Barney Committee’s report, I will only de- of its features. Finally, I want to thank that Internet gambling will reach an- scribe its structure here. Section all of my colleagues who joined the leg- nual revenues of $10 billion early in the 1085(a) contains definitions. Section islation as cosponsors following its in- new millennium. A third study cited by 1085(b) contains the prohibitions and troduction. the Commission found that the number criminal penalties. Section 1085(c) pro- S. 692 enjoys extraordinarily broad of online gamblers had increased from vides for civil actions by the United public support. Those supporting it— 6.9 million to 14.5 million between 1997 States and the States to prevent and ranging from Federal and State law-en- and 1998. According to the Commission, restrain violations, applicable to per- forcement authorities to religious, con- ‘‘virtually all observers assume the sons other than Internet service pro- sumer, and family groups, from the rapid growth of Internet gambling will viders. Section 1085(d) establishes re- professional and amateur sports continue.’’ sponsibilities for Internet service pro- leagues to the thoroughbred racing in- It is no exaggeration to say that the viders, enforceable through civil industry—are fully identified in the Judi- Internet has brought gambling into junction actions by Federal and State ciary Committee report accompanying every home that has purchased a com- authorities, and grants providers speci- the bill. I want to acknowledge, in par- puter and chosen to go online. Accord- fied immunities from liability. Section ticular, the support of the National As- ing to the Department of Commerce, 1085(e) specifies that the availability of sociation of Attorneys General, the Na- 26.2 percent of U.S. households had relief under subsections (c) and (d), tional Football League, and the Na- Internet access at the end of 1998, rep- which is civil in nature, is independent tional Collegiate Athletic Association, resenting 27 million households. That of any criminal action under sub- and the constructive role played by the percentage will undoubtedly continue section (b) or any other Federal or American Horse Council, the Major to grow (millions of other U.S. house- State law. Section 1085(f) specifies cat- League Baseball Players Association, holds have computers but simply have egories of activities that, if otherwise and America Online, which spear- not yet chosen to go online) until, not lawful, are not subject to the prohibi- headed a coalition of Internet service long from now, online home computers tion of subsection (b). This subsection providers and others interested in this will be as commonplace as the humble addresses State lotteries, pari-mutuel legislation. I would particularly like to telephone—which, like the telegraph animal wagering, Indian gaming, and thank David Remes, Gerry Waldron, before it, seemed as revolutionary and fantasy sports league games and con- Marty Gold, Daniel Nestel, and Ste- wondrous, in its day, as the Internet tests. Section 1085(f) specifically pre- phen Higgins, whose hard work and seems today. serves the regulatory authority of the diplomatic skills played an important As a new technology, the Internet States with respect to gambling and role in securing the passage of the bill presents new problems that current gambling-related activities not subject by unanimous consent. law must be updated to address. These to the prohibition of subsection (b), but The bill we are voting on today, problems, which S. 692 is designed to nothing in section 1085 authorizes dis- which the Judiciary Committee ap- remedy, are extensively documented in criminatory or other action by a State proved in June by a recorded vote of the Judiciary Committee’s report. that would otherwise violate the Com- 16–1, is the culmination of efforts They include, among others, serious merce Clause. Section 1085(g) specifies begun in the last Congress, when Sen- harms to our young people, who are the that section 1085 does not create immu- ator BRYAN and I first introduced legis- most adept users of Internet; harms nity from any criminal prosecution lation to prohibit Internet gambling. from gambling on professional and under any provision of Federal or State That legislation, S. 474, was approved amateur sports events and athletic per- law, except as provided in subsection by the Judiciary Committee in August formances; and harms relating to path- (d), and does not affect any prohibition 1997 and passed by a 90–10 vote as an ological gambling and criminal activ- or remedy applicable to a person en- amendment to the Commerce-Justice- ity. It is vital that we legislate to pre- gaged in a gambling business under any State appropriations bill in July 1998. vent the Internet from being used as an other provision of Federal or State law. The Subcommittee on Crime of the instrument of gambling and establish Mr. President, the bill we are voting House Judiciary Committee held hear- an effective mechanism—specifically on today has been modified in several

VerDate 29-OCT-99 04:51 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00028 Fmt 0624 Sfmt 0634 E:\CR\FM\A19NO6.008 pfrm01 PsN: S19PT1 November 19, 1999 CONGRESSIONAL RECORD — SENATE S14867 respects from the version reported by section (f)(1)(B)(v)(I) to recognize, ex- the Indian lands in Idaho on which Per- the Judiciary Committee. All but one pressly, the authority of the State in son B is physically located when the of those modifications affect section which the bet or wager originates to bet is placed, received, or otherwise 1085. The other affects section 3 of the prohibit or regulate the activity relat- made. In addition, both compacts must bill, which calls for a report to Con- ing to live horse races described in sub- expressly provide such gaming activity gress by the Department of Justice two paragraph (B). this authority was im- may be conducted using the Internet or years after enactment. plicit; the amendment makes it ex- other interactive computer service Proceedings by Sports Organizations. plicit. only on a closed-loop subscriber-based The bill has been amended by adding a Indian Gaming. The bill has been system or a private network. new subparagraph (C) to section amended to address Indian gaming by 1085(c)(2) to authorize a professional or adding a new paragraph (4) to section Paragraph (4) further provides that amateur sports organization whose 1085(f). The new paragraph specifies the requirement of compact language games, or the performances of whose that the prohibitions of section 1085 re- expressly allowing the game to be con- athletes in such games, are alleged to garding the use of the Internet or other ducted using the Internet or other be the basis of a violation of section interactive computer service do not interactive computer service, if a 1085 to institute civil proceedings in an apply to any otherwise lawful bet or closed-loop subscriber-based system or appropriate district court of the United wager that is placed, received, or oth- a private network is used, as set forth States to prevent or restrain the viola- erwise made on any game that con- in paragraph (4)(A)(iv)(II), shall not tion. The right of action provided by stitutes class II gaming or class III apply in the case of gaming activity, this subparagraph is similar to the gaming (as those terms are defined in otherwise subject to section 1085, that right of action for sports organizations the Indian Gaming Regulatory Act), or was being conducted on Indian lands provided in the Professional and Ama- the sending, receiving, or inviting of using the Internet or other interactive teur Sports Protection Act, 28 U.S.C. information assisting in the placing of computer service on September 1, 1999, 3701 et seq., which Congress passed in any such bet or wager, as applicable, if with the approval of the State gaming 1992 to halt the spread of legalized four conditions are met. commission or like regulatory author- sports betting and S. 692 is intended to First, the game must be one that is ity of the State in which such Indian reinforce. The new subparagraph limits permitted under and conducted in ac- lands are located, but without the com- proceedings, by sports organizations cordance with the Indian Gaming Reg- pact language required by paragraph against interactive computer service ulatory Act. (4)(A)(iv)(II). The exemption applies providers. Second, each person placing, receiv- only until the date on which the com- Advertising and promotion of Non- ing, or otherwise making such bet or pact governing gaming activity on Internet Gambling. The bill has been wager, or transmitting (i.e., sending, such Indian lands expires (exclusive of amended by adding a new paragraph (4) receiving, or inviting) such informa- any automatic or discretionary re- to section 1085(d) to address the respon- tion, must be physically located in a newal or extension of such compact), sibilities and immunities of an Inter- gaming facility on Indian lands when and only to the extent that the gaming net service provider relating to the use such person places, receives, or other- activity is conducted using the In- of its facilities by another person to wise makes the bet or wager, or trans- terned or other interactive computer advertise or promote non-online gam- mits such information. service on a closed-loop subscriber- bling. Paragraph (4) generally mirrors Third, the game must be conducted based system or a private network. the approach of paragraph (1), which on a closed-loop subscriber-based sys- This exemption avoids the need to re- addresses the responsibilities and im- tem or a private network. negotiate compacts currently in effect munities of an Internet service pro- Fourth, in the case of a game that if the specified conditions are satisfied. vider relating to the use of its facilities constitutes class III gaming, the game The exemption waives only the require- by another person to engage in online must be authorized under, and be con- ment of subparagraph (A)(iv)(II). It gambling activity. Paragraph (4) pro- ducted in accordance with, the respec- does not in any manner waive the com- vides that, if specified conditions are tive Tribal-State compacts that govern pact authorization requirement of sub- met, a provider shall not be liable, gaming activity on the Indian lands on paragraph (A)(iv)(I), the physical loca- under any provision of Federal or State which each person placing, receiving, tion requirement of subparagraph law prohibiting or regulating gambling or otherwise making such bet or wager, (A)(ii), the closed-loop or private net- or gambling-related activities, or or transmitting such information, is work requirement of subparagraph under any State law prohibiting or reg- physically located when such person (A)(iii), or any other requirement of ulating advertising and promotional places, receives, or otherwise makes subparagraph (A). activities, either (1) for content, pro- the bet or wager, or transmits such in- vided by another person, that adver- formation. In addition, each such Trib- To use the previous illustration, if tises or promotes non-Internet gam- al-State compact must expressly pro- the compact that currently governs bling activity that is unlawful under vide that the game may be conducted gaming on the Indian lands in Florida such Federal or State law, arising out using the Internet or other interactive on which Person A is physically lo- of any of the activities described in computer service only on a closed-loop cated when Person A places or makes section 1085(d)(1)(A)(i) or (ii); or (2) for subscriber-based system or a private the bet or wager does not expressly content, provided by another person, network. specify that the game may be con- that advertises or promotes non-Inter- To illustrate one application of the ducted using the Internet or other net gambling activity that is lawful fourth condition, suppose that Person interactive computer service (if a under both Federal law and the law of A, a player who is physically located closed-loop subscriber-based system or the State where the gambling activity on Indian lands in Florida, by using the a private network is used), the game is being conducted. To be eligible for Internet or other interactive computer may nevertheless be conducted on immunity under paragraph (4), a pro- service, places or makes a bet or wager those Indian lands using the Internet vider must, among other things, offer with Person B, a person operating or or other interactive computer service residential customers at reasonable employed by a casino who is physically (if a closed-loop subscriber-based sys- cost computer software, or another fil- located on Indian lands in Idaho. To be tem or a private network is used), not- tering or blocking system, that in- lawful under section 1085 in this illus- withstanding section 1085, until that cludes the capability of filtering or tration, the game, among other things, compact expires, if the game was one blocking access by minors to Internet must be one that is expressly author- that was conducted on those Indian gambling sites that violate section ized (1) by the compact that governs lands in Florida using the Internet or 1085. Paragraph (4) provides for injunc- gaming activity on the Indian lands in other interactive computer service on tive relief under specified cir- Florida on which Person A is phys- September 1, 1999, with the approval of cumstances. ically located when he places or makes the gaming commission or like regu- Horse Racing. The bill has been the bet or wager, and (2) by the com- latory authority of Florida. After the amended by adding language to sub- pact that governs gaming activity on compact expires, however, any gaming

VerDate 29-OCT-99 05:25 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00029 Fmt 0624 Sfmt 0634 E:\CR\FM\A19NO6.010 pfrm01 PsN: S19PT1 S14868 CONGRESSIONAL RECORD — SENATE November 19, 1999 on those Indian lands using the Inter- Internet gambling ban for certain for addressing my third concern in net or other interactive computer serv- forms of gambling activities without a their substitute amendment. I was con- ice is subject to the requirement of ex- clear public policy justification. For cerned that the bill might unneces- press approval (limited to use of a example, the bill exempts parimutuel sarily create immunity from criminal closed-loop subscriber-based system or wagering on horse and dog racing from prosecution under State law for Inter- a private network) in subsequent com- its ban on Internet gambling. The net gambling. Any new immunity pacts governing gaming activity on sponsors of S. 692 have offered no com- would have been in sharp contrast to those Indian lands. pelling reason for this special treat- existing Federal law, which specifically Rule of Construction. The bill has ment of one form of gambling. Indeed, does not grant immunity from State been amended by adding a new para- the Department of Justice is ‘‘espe- prosecution for illegal gambling over graph to section 1085(g) to make even cially troubled by the broad exemp- wire communications. more explicit that, except as provided tions given to parimutuel wagering, To address this concern, the sub- in subsection (d), section 1085 does not which essentially would make legal on stitute amendment adds a new Rules of create immunity from any criminal the Internet types of parimutuel wa- Construction section, section 2 (g)(1), prosecution under any provision of gering that are not legal in the phys- which I authored. This section makes Federal or State law. This amendment ical world,’’ according to its June 9, it clear that, except for the liability responds to a concern expressed by 1999 views letter on S. 692. limits provided to Interactive Com- Senator LEAHY. Broad exemptions from the Internet puter Service Providers in section 2 (d) Report on Enforcement. Section 3 of gambling ban also contradict the re- of the bill, S. 692 does not provide any S. 692 has been amended to require the cent recommendations to Congress of other immunity from Federal or State Justice Department to include in the the National Gambling Impact Study prosecution for illegal Internet gam- required report to Congress further in- Commission. After 2 years of taking bling. formation specified by the Gambling testimony at hearings across the coun- Indeed, the New York Attorney Gen- Impact Study Commission in its ‘‘Final try, the Commission has endorsed the eral recently prosecuted an offshore Report’’. need for Federal legislation to prohibit Internet gambling company, World Mr. President, S. 692 is urgently Internet gambling. But the Commis- Interactive Gaming Corporation, for needed to address a serious social prob- sion clearly rejected adding new ex- targeting New York citizens in viola- lem. It reflects the very best thinking emptions to the law in such a ban. tion of State and Federal anti-gam- on how to update existing law to meet Indeed, in a letter to me dated June bling statutes. This past July, the New the challenges of a new technology. I 15, 1999, Kay C. James, Chair, and Wil- York State Supreme Court upheld that respectfully urge its passage. liam Bible, Commissioner, of the Na- prosecution. Mr. LEAHY. Mr. President, I have tional Gambling Impact Study Com- As a former State prosecutor in long been an advocate for legislation mission, wrote: Vermont, I strongly believe that Con- that ensures that existing laws keep The Commission recommends to the Presi- gress should not tie the hands of our pace with developing technology. It is dent, Congress, and the Department of Jus- State crime-fighting partners in the for this reason that I have sponsored tice (DOJ) that the Federal government battle against Internet gambling when and supported over the past few years a should prohibit, without allowing new exemp- we do not mandate Federal preemption tions or the expansion of existing federal exemp- host of bills to bring us into the 21st tions to other jurisdictions, Internet gambling of state criminal laws for other forms Century. not already authorized within the United of illegal gambling. Instead, we need to This same impetus underlies my sup- States or among parties in the United States foster effective Federal-State partner- port of legislation to ensure our na- and any foreign jurisdiction. (emphasis in ships to combat illegal Internet gam- tion’s gambling laws keep pace with the original) bling. developing technology, particularly My second concern is that the bill During our consideration of the the Internet. The Department of Jus- unnecessarily creates a new section in Internet Gambling Prohibition Act in tice has noted that ‘‘the Internet has our Federal gambling statutes, which this Congress and the last, the sponsors allowed for new types of electronic may prove inconsistent with existing of the bill and members of the Senate gambling, including interactive games law and established legal precedent. In- Judiciary Committee have improved such as poker or blackjack, that may stead of updating section 1084 of title and refined the bill on a bipartisan not clearly be included within the 18, which has prohibited interstate basis. The bill now applies only to gam- types of gambling currently made ille- gambling through wire communica- bling businesses, instead of individual gal. . . .’’ This new technology clearly tions since 1961, S. 692 creates a new betters. This will permit Federal au- has the potential to diminish the effec- section 1085 to title 18 to cover Internet thorities to target the prosecution of tiveness of current gambling statutes. gambling only. Creating a new section interstate gambling businesses, while Vermonters have spoken clearly that out of whole cloth with different defini- rightly leaving the prosecution of indi- they do not want certain types of gam- tions and other provisions from exist- vidual bettors to the discretion of state bling permitted in our state, and they ing Federal gambling statutes creates authorities acting under state law. do not want current laws to be ren- overlapping and inconsistent Federal As Senators continue to work to- dered obsolete by the Internet. gambling laws for no good reason. gether to enact a ban on Internet gam- Vermont Attorney General William According to its views letter on S. bling, we should keep these words from Sorrell strongly supports federal legis- 692, the Department of Justice believes the Department of Justice foremost in lation to address Internet gambling, as overlapping and inconsistent Federal our minds: ‘‘[A]ny prohibitions that do other law enforcement officials in gambling laws can be easily avoided by are designed to prohibit criminal activ- Vermont. amending section 1084 of title 18 to ity on the Internet must be carefully I believe, therefore, that there is con- cover Internet gambling: drafted to accomplish the legislation’s siderable value in updating our federal We therefore strongly recommend that objectives without stifling the growth gambling statutes, which is why I Congress address the objective of this legis- of the Internet or chilling its use as a voted for S. 692, the ‘‘Internet Gam- lation through amending existing gambling communication medium.’’ bling Prohibition Act,’’ during Senate laws, rather than creating new laws that spe- I look forward to working with my Judiciary Committee consideration. I cifically govern the Internet. Indeed, the De- colleagues on both sides of the aisle support the bill as a step forward in partment of Justice believes that an amend- and the administration to enact into ment to section 1084 of title 18 could satisfy our bipartisan efforts to make sure our many of the concerns addressed in S. 692, as law carefully drafted legislation to up- federal laws continue to keep pace with well as ensure that the same laws apply to date our Federal gambling statutes to emerging technologies. gambling businesses, whether they operate ensure that new types of gambling ac- I do, however, have concerns that S. over the Internet, the telephone, or some tivities made possible by emerging 692 might unnecessarily weaken exist- other instrumentality of interstate com- technologies are prohibited. ing federal and state gambling laws. merce. Mr. TORRICELLI. Mr. President, I My first concern is that the bill pro- I want to thank the sponsors of the express my deep appreciation and vides unnecessary exemptions from its legislation, Senators KYL and BRYAN, thanks to Senator KYL for his diligent

VerDate 29-OCT-99 04:51 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00030 Fmt 0624 Sfmt 0634 E:\CR\FM\A19NO6.012 pfrm01 PsN: S19PT1 November 19, 1999 CONGRESSIONAL RECORD — SENATE S14869 work to help resolve my concerns. This with drafting any language dealing the specific authorization required in compromise is reflected in section 1085. with Indian gaming and the IGRA cen- S. 692, the amendment allows them to This language is very important to per- tered on the following requirements: continue the operations of those games mitting parimutuel wagering on horse 1. All gaming must be legal under until the expiration of their current racing to be exempted from the prohi- current federal law; compact. The current language ad- bition on Internet gambling that we 2. All class III gaming (casino style) dressing technology that is included in are enacting. must be conducted pursuant to a tribal most compacts does not contain the The new language makes explicit state compact; and exact terminology as defined in S. 692. which was implicit and assures that 3. All aspects of the game must take Additionally, there are other states every State has the right to establish place on Indian Lands (game, player, where language that addresses the use requirements for Internet and phone facility, server, etc.). of technology is not contained in the wagering that will best serve the public It is critical to note that there is no compact, but the state has consented and governmental interests of the tribe in the U.S. that is currently offer- to the use of technology. My amend- State and to do so, if it wishes, before ing online/Internet betting. Instead, ment contains a ‘‘grandfather clause’’ such wagering takes place. I believe several tribes currently use widely- for those operations, which will run this is so important because it ensures available technology to broadcast until their compacts expire by their that a State will have its traditional bingo to numerous operations located own terms. Once a tribe’s compact ex- authority to safeguard the interests of on Indian lands or to link class III pires, the compact must be renegoti- its consumers and racing industry games for the purpose of determining ated and will be required to contain through the regulatory and approval an aggregate betting pool for the pur- language which conforms to the re- process of proposed phone or Internet pose of offering bigger prizes. quirements of S. 692. wagering. It is my understanding in supporting Contrary to the views of some, Indian Mr. CAMPBELL. Mr. President, the substitute along with my amend- tribes are not generally interested in today the Senate considers S. 692, enti- ment, that S. 692 allows tribes to con- operating games which are broadcast tled the ‘‘Internet Gaming Prohibition tinue their current practices regarding on the ‘‘world wide web’’ or the Inter- Act.’’ As my colleagues know, I sup- the use of technology to enhance the net, and in which a person sitting in port this measure but from the day effectiveness and profitability of their their home may ‘‘log on’’ to a com- this bill was introduced I have had con- operations, but does not authorize any puter and begin placing bets. cerns about its scope. As Chairman of tribe to operate betting on the Internet Indian tribes are, however, interested the Committee on Indian Affairs I have as it currently perceived by the general in continuing the operation of the been concerned that existing law, public. games they currently have, and which namely the Indian Gaming Regulatory The specific provisions of my amend- they have agreed with their states are Act, would be irreparably harmed un- ment address all currently legal class legal. This amendment allows them to less we made certain changes to the II and class III gaming, as defined in do just that. bill. the Indian Gaming Regulatory Act, 25 Mr. FEINGOLD. Mr. President, I rise This is an important bill and I sup- U.S.C. § 2701 et seq. today to express my opposition to the port the intent of the bill’s sponsors to Accordingly, for Indian gaming ac- Internet Gambling Prohibition Act of make it more difficult for this kind of tivities to not run afoul of the provi- 1999. I voted against this bill when it gaming to be conducted, particularly sions of S. 692 was brought to the floor last year as an by underage players. 1. The game must be conducted ac- amendment to an appropriations bill If enacted, this bill would prohibit cording to the requirements of IGRA. and again this year when it came Internet gambling, but make excep- 2. All persons making or receiving a through the Judiciary Committee. tions for certain segments of the gam- bet, or transmitting information re- I am pleased to see that Senator KYL ing industry which currently use a va- garding a bet must be on Indian lands. was able to reach an agreement with riety of technologies to enhance tradi- That means all aspects of the game Senator CAMPBELL and others to ad- tional gaming. must be located on tribal land, includ- dress Indian gaming issues. The bill’s It is important for my colleagues to ing the person playing the game, the special treatment of certain forms of realize that the bill does not prohibit actual machine which is the game, and gambling was one of the reasons I all forms of gaming using available any computer server which may be voted against this bill when it was be- high-technology. When I reviewed S. used to keep track of information re- fore the Judiciary Committee. It al- 692 for the first time, I realized that lating to the play of the game. In the lowed state lotteries, fantasy sports certain gaming activities currently case of a satellite (which cannot be lo- leagues, and horse and dog track racing being conducted by Indian tribes would cated on Indian land), all machinery to continue to operate over the Inter- be prohibited by this bill. used to receive the signal must be lo- net, but prohibited use of the Internet My concerns centered on the fact cated on Indian land. for Indian gaming, which is expressly that the same or similar activities 3. The game must be conducted on an authorized by federal law. Under Sen- were allowed to other entities—such as interactive computer service which ator CAMPBELL’s amendment to S. 692, the states, the horse-racing industry uses a closed-loop subscriber based Indian gaming can continue to operate and others—that were disallowed to service or a private network. over the Internet under certain cir- tribes. This fundamental inequity is 4. Where class III games are con- cumstances. what led me to propose fair treatment ducted, each tribe participating in a While I am glad to see the Indian for tribal governmental gaming. network must have a compact which gaming issue addressed, I nevertheless In addition to issues of equity, the authorizes games to be conducted using remain concerned with the fact that economic impacts of Indian gaming are the technology described, that is, an this bill singles out one emerging tech- substantial and should be acknowl- interactive computer service which nology, the Internet, to try to attack edged. These revenues provide an im- uses a closed-loop subscriber-based the broad, complex social problems as- portant source of development capital service or a private network. It is crit- sociated with gambling. The Internet is and jobs for many tribes across the ical to understand that this means that an evolving technology, and its full po- country. Contrary to the views many a tribe must have a compact only in tential as a medium of expression has here hold, Indian gaming is very highly the state in which they are located, not not been reached. While I share some of regulated by federal, state and tribal that they compact with every state in the concerns about the dangers of gam- officials, and has been subject to fed- which the network is located. bling that have inspired the sponsors of eral law for eleven years. 5. In jurisdictions where class III this legislation, I am reluctant to start I addressed my concerns to the Sen- gaming is currently using technology down the path of restricting the use of ate Judiciary Committee in June of to link games, but either have com- the Internet for any particular lawful this year and began discussions on how pacts which do not specifically author- purpose. Once we have prohibited gam- best to address currently-legal Indian ize networked games, or that do au- bling on the Internet, what will be the gaming in S. 692. My main concerns thorize these games, but do not contain next on-line activity that we will try

VerDate 29-OCT-99 04:51 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00031 Fmt 0624 Sfmt 0634 E:\CR\FM\A19NO6.007 pfrm01 PsN: S19PT1 S14870 CONGRESSIONAL RECORD — SENATE November 19, 1999 to ban? We need to be very careful not Bodily Harm, Georgia Home Boy, Scoop) has in a drug product for which an application to create a precedent that might stifle become a significant and growing problem in has been approved under section 505 of the the commercial and educational devel- law enforcement. At least 20 States have Federal Food, Drug, and Cosmetic Act.’’; and scheduled such drug in their drug laws and ø(4) by inserting after (4) (as so redesig- opment of this very exciting techno- law enforcement officials have been experi- nated) the following: logical tool with unhealthy implica- encing an increased presence of the drug in ø‘‘(5) Ketamine and its salts, isomers, and tions for the First Amendment. I fear driving under the influence, sexual assault, salts of isomers.’’. that this bill starts us down a road in and overdose cases especially at night clubs ø(c) ADDITIONAL LIST I CHEMICAL.—Section that direction. and parties. 102(34) of the Controlled Substances Act (21 Mr. President, in light of the ex- (2) A behavioral depressant and a hypnotic, U.S.C. 802(34)) is amended— pressed sentiment of this body last gamma hydroxybutyric acid (‘‘GHB’’) is ø(1) by redesignating subparagraph (X) as subparagraph (Y); and year, I did not object to the unanimous being used in conjunction with alcohol and other drugs with detrimental effects in an ø(2) by inserting after subparagraph (W) consent request to pass this bill in the increasing number of cases. It is difficult to the following subparagraph: closing days of this session, but I would isolate the impact of such drug’s ingestion ø‘‘(X) Gamma butyrolactone.’’. like the record to reflect my con- since it is so typically taken with an ever- ø(d) RULE OF CONSTRUCTION REGARDING tinuing opposition to this bill. changing array of other drugs and especially CONTROLLED SUBSTANCE ANALOGUES.—Sec- Thank you. I yield the floor. alcohol which potentiates its impact. tion 102(32) of the Controlled Substances Act Ms. COLLINS. Mr. President, I ask (3) GHB takes the same path as alcohol, (21 U.S.C. 802(32)) is amended— processes via alcohol dehydrogenase, and its ø(1) in subparagraph (A), by striking ‘‘sub- unanimous consent that the amend- paragraph (B)’’ and inserting ‘‘subparagraph ments be agreed to, the substitute symptoms at high levels of intake and as impact builds are comparable to alcohol inges- (C)’’; amendment be agreed to, as amended, tion/intoxication. Thus, aggression and vio- ø(2) by redesignating subparagraph (B) as the bill be read the third time and lence can be expected in some individuals subparagraph (C); and passed, the motion to reconsider be who use such drug. ø(3) by inserting after subparagraph (A) the laid upon the table, and that any state- (4) If taken for human consumption, com- following new subparagraph (B): ments relating to the bill be printed in mon industrial chemicals such as gamma bu- ø‘‘(B) The designation of gamma butyro- tyrolactone and 1.4-butanediol are swiftly lactone or any other chemical as a listed the RECORD. chemical pursuant to paragraph (34) or (35) The PRESIDING OFFICER. Without converted by the body into GHB. Illicit use of these and other GHB analogues and pre- does not preclude a finding pursuant to sub- objection, it is so ordered. cursor chemicals is a significant and growing paragraph (A) that the chemical is a con- The amendment (No. 2783) was agreed law enforcement problem. trolled substance analogue.’’. (e) PENALTIES REGARDING SCHEDULE I.— to. (5) A human pharmaceutical formulation ø (1) IN GENERAL.—Section 401(b)(1)(C) of the The amendment (No. 2782) was agreed of gamma hydroxybutyric acid is being de- ø Controlled Substances Act (21 U.S.C. veloped as a treatment for cataplexy, a seri- to. 841(b)(1)(C)) is amended in the first sentence ous and debilitating disease. Cataplexy, The committee amendment in the by inserting after ‘‘schedule I or II,’’ the fol- which causes sudden and total loss of muscle nature of a substitute, as amended, was lowing: ‘‘gamma hydroxybutyric acid in control, affects about 65 percent of the esti- agreed to. schedule III,’’. mated 180,000 Americans with narcolepsy, a (2) CONFORMING AMENDMENT.—Section The bill (S. 692), as amended, was sleep disorder. People with cataplexy often ø 401(b)(1)(D) of the Controlled Substances Act read the third time and passed, as fol- are unable to work, drive a car, hold their (21 U.S.C. 841(b)(1)(D)) is amended by insert- lows: children or live a normal life. [The bill was not available for print- (6) Abuse of illicit GHB is an imminent hazard ing ‘‘(other than gamma hydroxybutyric to public safety that requires immediate regu- acid)’’ after ‘‘schedule III’’. ing. It will appear in a future edition of (f) DISTRIBUTION WITH INTENT TO COMMIT latory action under the Controlled Substances ø the RECORD.] CRIME OF VIOLENCE.—Section 401(b)(7)(A) of Act (21 U.S.C. 801 et seq.). f the Controlled Substances Act (21 U.S.C. øSEC. 3. ADDITION OF GAMMA HYDROXYBUTYRIC 841(b)(7)(A)) is amended by inserting ‘‘or con- DATE-RAPE DRUG CONTROL ACT ACID AND KETAMINE TO SCHED- ULES OF CONTROLLED SUB- trolled substance analogue’’ after ‘‘distrib- OF 1999 STANCES; GAMMA BUTYROLACTONE uting a controlled substance’’.¿ Ms. COLLINS. Mr. President, I ask AS ADDITIONAL LIST I CHEMICAL. SEC. 3. EMERGENCY SCHEDULING OF GAMMA HY- ø(a) ADDITION TO SCHEDULE I.— DROXYBUTYRIC ACID AND LISTING unanimous consent that the Senate OF GAMMA BUTYROLACTONE AS proceed to the consideration of Cal- ø(1) IN GENERAL.—Section 202(c) of the Con- trolled Substances Act (21 U.S.C. 812(c)) is LIST I CHEMICAL. endar No. 416, S. 1561. amended by adding at the end of schedule I (a) EMERGENCY SCHEDULING OF GHB.— (1) IN GENERAL.—The Congress finds that the The PRESIDING OFFICER. The the following: clerk will report the bill by title. ø‘‘(d) Unless specifically excepted or unless abuse of illicit gamma hydroxybutyric acid is an The legislative clerk read as follows: listed in another schedule, any material, imminent hazard to the public safety. Accord- compound, mixture, or preparation, which ingly, the Attorney General, notwithstanding A bill to amend the Controlled Substance sections 201(a), 201(b), 201(c), and 202 of the Act to add gamma hydroxybutyric acid and contains any quantity of the following substance having a depressant effect on the cen- Controlled Substances Act, shall issue, not later ketamine to the schedules of control sub- than 60 days after the date of the enactment of stances, to provide for a national awareness tral nervous system, or which contains any of their salts, isomers, and salts of isomers this Act, a final order that schedules such drug campaign, and for other purposes. whenever the existence of such salts, iso- (together with its salts, isomers, and salts of iso- There being no objection, the Senate mers, and salts of isomers is possible within mers) in the same schedule under section 202(c) proceeded to consider the bill which the specific chemical designation: of the Controlled Substances Act as would apply had been reported from the Committee ø‘‘(1) Gamma hydroxybutyric acid.’’. to a scheduling of a substance by the Attorney on the Judiciary, with amendments as ø(2) SECURITY OF FACILITIES.—For purposes General under section 201(h)(1) of such Act (re- follows: of any requirements that relate to the phys- lating to imminent hazards to the public safety), except as follows: [Matter proposed to be deleted is en- ical security of registered manufacturers and registered distributors, gamma hydroxy- (A) For purposes of any requirements that re- closed in black brackets; new matter is butyric acid and its salts, isomers, and salts late to the physical security of registered manu- printed in italic.] of isomers manufactured, distributed, or pos- facturers and registered distributors, the final S. 1516 sessed in accordance with an exemption ap- order shall treat such drug, when the drug is Be it enacted by the Senate and House of Rep- proved under section 505(i) of the Federal manufactured, distributed, or possessed in ac- resentatives of the United States of America in Food, Drug, and Cosmetic Act shall be treat- cordance with an exemption under section 505(i) Congress assembled, ed as a controlled substance in schedule III of the Federal Food, Drug, and Cosmetic Act (whether the exemption involved is authorized øSECTION 1. SHORT TITLE. under section 202(c) of the Controlled Sub- stances Act. before, on, or after the date of the enactment of øThis Act may be cited as the ‘‘Date-Rape ø(b) ADDITION TO SCHEDULE III.—Schedule this Act), as being in the same schedule as that Drug Control Act of 1999’’. ¿ III under section 202(c) of the Controlled recommended by the Secretary of Health and SECTION 1. SHORT TITLE. Substances Act (21 U.S.C. 812(c)) is amended Human Services for the drug when the drug is This Act may be cited as the ‘‘Hillory J. in (b)— the subject of an authorized investigational new Farias and Samantha Reid Date-Rape Drug ø(1) by redesignating (4) through (10) as (6) drug application (relating to such section Prohibition Act of 1999’’. through (12), respectively; and 505(i)). The recommendation referred to in the SEC. 2. FINDINGS. ø(2) by redesignating (3) as (4); preceding sentence is contained in the first Congress finds as follows: ø(3) by inserting after (2) the following: paragraph of the letter transmitted on May 19, (1) Gamma hydroxybutyric acid (also ø‘‘(3) Gamma hydroxybutyric acid and its 1999, by such Secretary (acting through the As- called G, Liquid X, Liquid Ecstasy, Grievous salts, isomers, and salts of isomers contained sistant Secretary for Health) to the Attorney

VerDate 29-OCT-99 04:51 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00032 Fmt 0624 Sfmt 6333 E:\CR\FM\G19NO6.114 pfrm01 PsN: S19PT1 November 19, 1999 CONGRESSIONAL RECORD — SENATE S14871 General (acting through the Deputy Adminis- may, in addition to any other requirements clude a finding pursuant to subparagraph (A) of trator of the Drug Enforcement Administration), that apply under this section with respect to this paragraph that the chemical is a controlled which letter was in response to the letter trans- such a drug product, establish any of the fol- substance analogue.’’. mitted by the Attorney General (acting through lowing as reporting requirements: (b) DISTRIBUTION WITH INTENT TO COMMIT such Deputy Administrator) on September 16, ‘‘(1) That every person who is registered as CRIME OF VIOLENCE.—Section 401(b)(7)(A) of the 1997. In publishing the final order in the Fed- a manufacturer of bulk or dosage form, as a Controlled Substances Act (21 U.S.C. eral Register, the Attorney General shall publish packager, repackager, labeler, relabeler, or 841(b)(7)(A)) is amended by inserting ‘‘or con- a copy of the letter that was transmitted by the distributor shall report acquisition and dis- trolled substance analogue’’ after ‘‘distributing Secretary of Health and Human Services. tribution transactions quarterly, not later a controlled substance’’. (B) In the case of gamma hydroxybutyric acid than the 15th day of the month succeeding SEC. 6. DEVELOPMENT OF MODEL PROTOCOLS, that is contained in a drug product for which the quarter for which the report is sub- TRAINING MATERIALS, FORENSIC an application is approved under section 505 of mitted, and annually report end-of-year in- FIELD TESTS, AND COORDINATION the Federal Food, Drug, and Cosmetic Act ventories. MECHANISM FOR INVESTIGATIONS (whether the application involved is approved AND PROSECUTIONS RELATING TO ‘‘(2) That all annual inventory reports GAMMA HYDROXYBUTYRIC ACID, before, on, or after the date of the enactment of shall be filed no later than January 15 of the OTHER CONTROLLED SUBSTANCES, this Act), the final order shall schedule such year following that for which the report is AND DESIGNER DRUGS. drug in the same schedule as that recommended submitted and include data on the stocks of (a) IN GENERAL.— The Attorney General, in by the Secretary of Health and Human Services the drug product, drug substance, bulk drug, consultation with the Administrator of the Drug for authorized formulations of the drug. The and dosage forms on hand as of the close of Enforcement Administration and the Director of recommendation referred to in the preceding business December 31, indicating whether the Federal Bureau of Investigation, shall— sentence is contained in the last sentence of the materials reported are in storage or in proc- (1) develop— fourth paragraph of the letter referred to in sub- ess of manufacturing. (A) model protocols for the collection of toxi- paragraph (A) with respect to May 19, 1999. ‘‘(3) That every person who is registered as cology specimens and the taking of victim state- (2) FAILURE TO ISSUE ORDER.—If the final a manufacturer of bulk or dosage form shall ments in connection with investigations into order is not issued within the period specified in report all manufacturing transactions both and prosecutions related to possible violations of paragraph (1), gamma hydroxybutyric acid (to- inventory increases, including purchases, the Controlled Substances Act or other Federal gether with its salts, isomers, and salts of iso- transfers, and returns, and reductions from or State laws that result in or contribute to mers) is deemed to be scheduled under section inventory, including sales, transfers, theft, rape, other crimes of violence, or other crimes 202(c) of the Controlled Substances Act in ac- destruction, and seizure, and shall provide involving abuse of gamma hydroxybutyric acid, cordance with the policies described in para- data on material manufactured, manufac- other controlled substances, or so-called ‘‘de- graph (1), as if the Attorney General had issued tured from other material, use in manufac- signer drugs’’; and a final order in accordance with such para- turing other material, and use in manufac- (B) model training materials for law enforce- graph. turing dosage forms. ment personnel involved in such investigations; (b) ADDITIONAL PENALTIES RELATING TO ‘‘(4) That all reports under this section and GHB.— must include the registered person’s reg- (2) make such protocols and training materials (1) CONTROLLED SUBSTANCES ACT.— istration number as well as the registration available to Federal, State, and local personnel (A) IN GENERAL.—Section 401(b)(1)(C) of the numbers, names, and other identifying infor- responsible for such investigations. Controlled Substances Act (21 U.S.C. mation of vendors, suppliers, and customers, (b) GRANT.— 841(b)(1)(C)) is amended in the first sentence by sufficient to allow the Attorney General to (1) IN GENERAL.—The Attorney General shall inserting after ‘‘schedule I or II,’’ the following: track the receipt and distribution of the make a grant, in such amount and to such pub- ‘‘gamma hydroxybutyric acid (including when drug. lic or private person or entity as the Attorney scheduled as an approved drug product for pur- ‘‘(5) That each dispensing practitioner General considers appropriate, for the develop- poses of section 3(a)(1)(B) of the Hillory J. shall maintain for each prescription the ment of forensic field tests to assist law enforce- Farias and Samantha Reid Date-Rape Drug name of the prescribing practitioner, the ment officials in detecting the presence of Prohibition Act of 1999),’’. prescribing practitioner’s Federal and State gamma hydroxybutyric acid and related sub- (B) CONFORMING AMENDMENT.—Section registration numbers, with the expiration stances. 401(b)(1)(D) of the Controlled Substances Act (21 dates of these registrations, verification that (2) AUTHORIZATION OF APPROPRIATIONS.— U.S.C. 841(b)(1)(D)) is amended by striking ‘‘, or the prescribing practitioner possesses the ap- There are authorized to be appropriated such 30’’ and inserting ‘‘(other than gamma hydroxy- propriate registration to prescribe this con- sums as may be necessary to carry out this sub- butyric acid), or 30’’. trolled substance, the patient’s name and ad- section. (2) CONTROLLED SUBSTANCES IMPORT AND EX- dress, the name of the patient’s insurance (c) REPORT.—Not later than 180 days after the PORT ACT.— provider and documentation by a medical date of the enactment of this Act, the Attorney (A) IN GENERAL.—Section 1010(b)(3) of the practitioner licensed and registered to pre- General shall submit to the Committees on the Controlled Substances Import and Export Act scribe the drug of the patient’s medical need Judiciary of the Senate and House of Represent- (21 U.S.C. 960(b)(3)) is amended in the first sen- for the drug. Such information shall be atives a report on current mechanisms for co- tence by inserting after ‘‘I or II,’’ the following: available for inspection and copying by the ordinating Federal, State, and local investiga- ‘‘gamma hydroxybutyric acid (including when Attorney General. tions into and prosecutions related to possible scheduled as an approved drug product for pur- ‘‘(6) That section 310(b)(3) (relating to mail violations of the Controlled Substances Act or poses of section 3(a)(1)(B) of the Hillory J. order reporting) applies with respect to other Federal or State laws that result in or Farias and Samantha Reid Date-Rape Drug gamma hydroxybutyric acid to the same ex- contribute to rape, other crimes of violence, or Prohibition Act of 1999),’’. tent and in the same manner as such section other crimes involving the abuse of gamma hy- (B) CONFORMING AMENDMENT.—Section applies with respect to the chemicals and droxybutyric acid, other controlled substances, 1010(b)(4) of the Controlled Substances Import drug products specified in subparagraph or so-called ‘‘designer drugs’’. The report shall and Export Act (21 U.S.C. 960(b)(4)) is amended (A)(i) of such section.’’. also include recommendations for the improve- by striking ‘‘flunitrazepam)’’ and inserting the ment of such mechanisms. following: ‘‘flunitrazepam and except a viola- øSEC. 5. DEVELOPMENT OF FORENSIC FIELD TESTS FOR GAMMA HYDROXY- øSEC. 6. ANNUAL REPORT REGARDING DATE- tion involving gamma hydroxybutyric acid)’’. BUTYRIC ACID. RAPE DRUGS; NATIONAL AWARE- (c) GAMMA BUTYROLACTONE AS ADDITIONAL NESS CAMPAIGN.¿ øThe Attorney General shall make a grant LIST I CHEMICAL.—Section 102(34) of the Con- for the development of forensic field tests to SEC. 7. ANNUAL REPORT REGARDING DATE-RAPE trolled Substances Act (21 U.S.C. 802(34)) is DRUGS; NATIONAL AWARENESS CAM- assist law enforcement officials in detecting PAIGN. amended— the presence of gamma hydroxybutyric acid (1) by redesignating subparagraph (X) as sub- (a) ANNUAL REPORT.—The Secretary of and related substances.¿ paragraph (Y); and Health and Human Services (in this section (2) by inserting after subparagraph (W) the SEC. 5. CONTROLLED SUBSTANCES ANALOGUES. referred to as the ‘‘Secretary’’) shall periodi- following subparagraph: (a) RULE OF CONSTRUCTION REGARDING CON- cally submit to Congress reports each of ‘‘(X) Gamma butyrolactone.’’. TROLLED SUBSTANCE ANALOGUES.—Section which provides an estimate of the number of SEC. 4. AUTHORITY FOR ADDITIONAL REPORT- 102(32) of the Controlled Substances Act (21 incidents of the abuse of date-rape drugs (as ING REQUIREMENTS FOR GAMMA U.S.C. 802(32)) is amended— defined in subsection (c)) that occurred dur- HYDROXYBUTYRIC PRODUCTS IN (1) in subparagraph (A), by striking ‘‘sub- ing the most recent one-year period for SCHEDULE III. paragraph (B)’’ and inserting ‘‘subparagraph which data are available. The first such re- Section 307 of the Controlled Substances (C)’’; port shall be submitted not later than Janu- Act (21 U.S.C. 827) is amended by adding at (2) by redesignating subparagraph (B) as sub- ary 15, 2000, and subsequent reports shall be the end the following: paragraph (C); and submitted annually thereafter. ‘‘(h) In the case of a drug product con- (3) by inserting after subparagraph (A) the (b) NATIONAL AWARENESS CAMPAIGN.— taining gamma hydroxybutyric acid for following new subparagraph (B): (1) DEVELOPMENT OF PLAN; RECOMMENDA- which an application has been approved ‘‘(B) The designation of gamma butyrolactone TIONS OF ADVISORY COMMITTEE.— under section 505 of the Federal Food, Drug, or any other chemical as a listed chemical pur- (A) IN GENERAL.—The Secretary, in con- and Cosmetic Act, the Attorney General suant to paragraph (34) or (35) does not pre- sultation with the Attorney General, shall

VerDate 29-OCT-99 04:51 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00033 Fmt 0624 Sfmt 0634 E:\CR\FM\A19NO6.013 pfrm01 PsN: S19PT1 S14872 CONGRESSIONAL RECORD — SENATE November 19, 1999

develop a plan for carrying out a national (2) TREATMENT OF REPORT.—Nothing in para- Michigan, Mr. ABRAHAM, who has been campaign to educate individuals described in graph (1) may be construed to prohibit the At- a real leader on this bill, for any com- subparagraph (B) on the following: torney General or the Administrator of the Drug ments he might have. (i) The dangers of date-rape drugs. Enforcement Administration from making any The PRESIDING OFFICER. The Sen- (ii) The applicability of the Controlled reallocation of existing resources that the Attor- Substances Act to such drugs, including pen- ator from Michigan is recognized. ney General or the Administrator, as the case Mr. ABRAHAM. Mr. President, I alties under such Act. may be, considers appropriate. wanted to make a few comments about (iii) Recognizing the symptoms that indi- SEC. 9. TECHNICAL AMENDMENT. cate an individual may be a victim of such Section 401 of the Controlled Substances Act the legislation we are about to pass. drugs, including symptoms with respect to (21 U.S.C. 841) is amended by redesignating sub- Before I do so, I would like to thank a sexual assault. sections (d), (e), (f), and (g) as subsections (c), number of people for their help in this (iv) Appropriately responding when an in- (d), (e), and (f), respectively. effort. dividual has such symptoms. Amend the title so as to read: ‘‘An Act to First, I would like to thank my col- (B) INTENDED POPULATION.—The individuals amend the Controlled Substances Act to di- leagues who cosponsored this legisla- referred to in subparagraph (A) are young rect the emergency scheduling of gamma hy- tion: Senators FEINSTEIN, LIEBERMAN, adults, youths, law enforcement personnel, droxybutyric acid, to provide for a national DEWINE, GRASSLEY, COVERDELL, and educators, school nurses, counselors of rape awareness campaign, and for other pur- victims, and emergency room personnel in poses.’’. GRAHAM. Their support was crucial to hospitals. moving forward with this bill and AMENDMENT NO. 2784 (C) ADVISORY COMMITTEE.—Not later than doing so in a timely fashion. Second, I (Purpose: To modify the short title) 180 days after the date of the enactment of would like to thank Senator HATCH, his Ms. COLLINS. Mr. President, I send this Act, the Secretary shall establish an ad- Judiciary Chief Counsel Manus Cooney, an amendment to the desk and ask for visory committee to make recommendations his Deputy Chief Counsel Sharon Prost, to the Secretary regarding the plan under its immediate consideration. his Chief of Staff Patricia Knight, and subparagraph (A). The committee shall be The PRESIDING OFFICER. The Bruce Artim and Pattie DeLoatche, all composed of individuals who collectively clerk will report. possess expertise on the effects of date-rape The legislative clerk read as follows: of whose commitment to seeing this ef- drugs and on detecting and controlling the fort through to fruition I appreciate The Senator from Maine [Ms. COLLINS], for drugs. Mrs. HUTCHISON, proposes an amendment both for the advice and guidance they (2) IMPLEMENTATION OF PLAN.—Not later numbered 2784. provided and as the act of friendship I than 180 days after the date on which the ad- recognize it to be. Third, I would like visory committee under paragraph (1) is es- Ms. COLLINS. Mr. President, I ask tablished, the Secretary, in consultation unanimous consent that reading of the to thank Senator BIDEN and his staff, with the Attorney General, shall commence amendment be dispensed with. especially Marcia Lee, whose assist- carrying out the national campaign under The PRESIDING OFFICER. Without ance and cooperation in working out a such paragraph in accordance with the plan objection, it is so ordered. final version of this bill acceptable to developed under such paragraph. The cam- The amendment is as follows: all involved, including the Administra- paign may be carried out directly by the Sec- On page 1, beginning on line 4, strike tion, was indispensable. I would also retary and through grants and contracts. ‘‘Samantha Reid and Hillory J. Farias’’ and like to thank my good friend Fred (3) EVALUATION BY GENERAL ACCOUNTING OF- insert ‘‘Hillory J. Farias and Samantha Upton, who first brought the serious FICE.—Not later than two years after the Reid’’. problem that is the focus of this legis- date on which the national campaign under On page 6, line 21, strike ‘‘Samantha Reid paragraph (1) is commenced, the Comptroller lation to my attention, and Congress- and Hillory J. Farias’’ and insert ‘‘Hillory J. man BLILEY and his able staff, espe- General of the United States shall submit to Farias and Samantha Reid’’. Congress an evaluation of the effects with re- On page 7, line 12, strike ‘‘Samantha Reid cially John Manthei, who patiently tol- spect to date-rape drugs of the national cam- and Hillory J. Farias’’ and insert ‘‘Hillory J. erated and assisted with the vagaries of paign. Farias and Samantha Reid’’. bicameral legislative drafting. Finally, (c) DEFINITION.—For purposes of this sec- I would like to thank my own staff, es- tion, the term ‘‘date-rape drugs’’ means Ms. COLLINS. Mr. President, I ask gamma hydroxybutyric acid and its salts, unanimous consent that the amend- pecially my Subcommittee General isomers, and salts of isomers and such other ment be agreed to, the committee Counsel Chase Hutto, who worked tire- drugs or substances as the Secretary, after amendment, as amended, be agreed to, lessly and creatively on this effort, and consultation with the Attorney General, de- and the bill be read the third time. I Lee Otis, my Subcommittee Chief termines to be appropriate. further ask unanimous consent that Counsel. SEC. 8. SPECIAL UNIT IN DRUG ENFORCEMENT the Senate proceed to the consider- S. 1561, and its counterpart, H.R. 2130, ADMINISTRATION FOR ASSESSMENT are named for a young woman by the OF ABUSE AND TRAFFICKING OF ation of the House companion bill, H.R. GHB AND OTHER CONTROLLED SUB- 2130, all after the enacting clause be name of Samantha Reid. Samantha STANCES AND DRUGS. stricken and the text of S. 1561, as was born in the Henry Ford Hospital in (a) ESTABLISHMENT.—Not later than 60 days Detroit on January 2, 1984. She grew up after the date of the enactment of this Act, the amended, be inserted in lieu thereof. I further ask that the bill be read the in Lincoln Park. She played trumpet in Attorney General shall establish within the Op- her elementary school band. She was a erations Division of the Drug Enforcement Ad- third time and passed, the motion to ministration a special unit which shall assess reconsider be laid upon the table, the girl scout for eight years, with the help the abuse of and trafficking in gamma hydroxy- amendment to the title be agreed to, of her mother, Judi Clark, who was a butyric acid, flunitrazepam, ketamine, other and that any statements relating to troop leader. She was an ‘‘all star’’ 6th grade baseball player. She went on to controlled substances, and other so-called ‘‘de- the bill be printed in the RECORD. Fi- signer drugs’’ whose use has been associated nally, I ask that S. 1561 be placed back attend Carlson High School in Gibral- with sexual assault. tar, where she played freshman basket- (b) PARTICULAR DUTIES.—In carrying out the on the calendar. The PRESIDING OFFICER. Without ball. Her favorite restaurant was assessment under subsection (a), the special unit McDonald’s, and her favorite meal shall— objection, it is so ordered. (1) examine the threat posed by the substances The amendment (No. 2784) was agreed there was a Big Mac. She loved to go to and drugs referred to in that subsection on a to. Cedar Point Amusement Park, and got national basis and regional basis; and The committee amendments, as mad if she couldn’t go at least twice a (2) make recommendations to the Attorney amended, were agreed to. year. She earned her spending money General regarding allocations and reallocations The bill (H.R. 2130), as amended, was by helping around the house with of resources in order to address the threat. chores and babysitting, and indeed, on (c) REPORT ON RECOMMENDATIONS.— read the third time and passed. (1) REQUIREMENT.—Not later than 180 days The title was amended so as to read: February 11, 1995, she earned an award after the date of the enactment of this Act, the ‘‘An Act to amend the Controlled for outstanding performance in com- Attorney General shall submit to the Committees Substances Act to direct the emer- pleting babysitting training from the on the Judiciary of the Senate and House of gency scheduling of gamma hydroxy- City of Lincoln Park. Her mother Representatives a report which shall— butyric acid, to provide for a national called her ‘‘Hammy Sammy’’ because (A) set forth the recommendations of the spe- of the way she always smiled in pic- cial unit under subsection (b)(2): and awareness campaign, and for other pur- (B) specify the allocations and reallocations poses.’’ tures. Her older brother Charles Reid, of resources that the Attorney General proposes Ms. COLLINS. Mr. President, I yield who is 18, remembers and misses her to make in response to the recommendations. to the distinguished Senator from loud voice.

VerDate 29-OCT-99 04:51 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00034 Fmt 0624 Sfmt 0634 E:\CR\FM\A19NO6.013 pfrm01 PsN: S19PT1 November 19, 1999 CONGRESSIONAL RECORD — SENATE S14873 On January 17, 1999, Samantha died a Schedule I or II, which would carry the This legislation also addresses three few weeks after turning 15. She and most serious penalties for illicit sale, other major problems society has had two friends, none of them yet 16, were because the security requirements that in responding to the threat posed by at a party given by a 25 year-old man would accompany such scheduling this drug. First, it would require the in Woodhaven, Michigan. Samantha would interfere with this medical re- Attorney General to develop, and make Reid drank a Mountain Dew—a soft search. On the other hand, the DEA has available to Federal, State, and local drink—and passed out within minutes. been understandably reluctant to agree authorities, model protocols for taking She vomited in her sleep, and she died. to any lesser scheduling, because the toxicology specimens and victim state- Her friend, Melanie Sindone, also 15, result would be lower penalties for the ments in connection with suspected passed out as well. Melanie lapsed into unauthorized sale and distribution of crimes involving GHB and other con- a coma, but she has survived. this drug. Moreover, under the Con- trolled substances or so-called designer These two girls had no reason to be- trolled Substances Act, the fact that drugs. The Attorney General also lieve that they were drinking anything GHB is under investigation for possible would be required to provide training dangerous. But they were wrong. Their medical use precludes the Attorney materials for law enforcement officials drinks had been laced with the drug General from using her emergency au- responsible for investigating these of- GHB, commonly known as a ‘‘date rape thority to schedule it as an ‘‘imminent fenses. And finally, she would be di- drug.’’ Samantha was undoubtedly hazard to the public safety.’’ rected to make a grant for the develop- slipped it for the purpose that this The result has been an administra- name suggests, although she died be- tive deadlock that has resulted in a ment of standardized tests that could fore that purpose was accomplished. complete failure to schedule GHB at be used in the field to test for the pres- Mr. President, GHB and its analogues all. Hence legislative intervention is ence of these drugs. are becoming increasingly common in needed. The reason for these requirements is our nation. They are finding their way This legislation has been drafted as a that even many in law enforcement are into nightclubs, onto campuses and specific response to these various com- unfamiliar with the operation of GHB. into homes. They are being used by peting considerations, which the cur- As a result, they may defer testing for sexual predators against young—some- rent scheduling categories are not all it or taking victim statements on the times very young—women. Their un- that well suited to handle in any event. mistaken assumption that the victim witting victims may be raped, become Notwithstanding the current investiga- is drunk and will be more coherent violently ill, and even die. tional medical use, the legislation de- later, whereas in fact this drug can be GHB is especially dangerous because termines that GHB is an imminent haz- processed very quickly by the body and it is relatively easy to produce. Accord- ard to public safety. It therefore dino longer be detectable at that time. ing to the DEA, the clandestine syn- rects the Attorney General to place it Moreover, the victim’s memory may be thesis involves the use of two common, on the schedule on which imminent impaired by the substance and she may non-regulated chemicals: gamma-bu- hazards are ordinarily placed, which is forget events that she would have re- tyrolactone (GBL), the primary pre- Schedule I. It relaxes the physical se- membered had her statement been cursor chemical, and sodium hydroxide curity requirements that would ordi- taken more quickly. Hence the need for (lye). GBL is a solvent with a wide narily apply to Schedule I substances model protocols, training, and tests. range of industrial uses. Tens of thou- for the investigational medical uses of sands of metric tons are produced an- the drug, however, following the rec- Second, the legislation directs the nually and it is readily available from ommendation of the Secretary of HHS Secretary of HHS to conduct a Na- chemical supply companies. The syn- on what is appropriate in that area and tional Awareness Campaign about the thesis is a simple one-pot method re- thereby avoiding interfering with the dangers of GHB. Consciousness of the quiring no special chemical expertise. ongoing research. It also makes clear dangers of this drug is lagging far be- In addition, kits for making GHB con- that should this research pay off with a hind the threat the drug presents, and taining GBL and sodium hydroxide are drug that the FDA approves because it it is critical that we make it a national being sold on the Internet. GBL, once concludes that it can responsibly be priority to remedy that problem. absorbed from the gastrointestinal prescribed to treat narcolepsy, Finally, the legislation would direct tract after oral administration, is read- cataplexy, or other diseases, the FDA the Attorney General to examine and ily converted to GHB in the body and approved drug will be classified as a recommend improvements to current produces the same profile of physio- Schedule III drug, although the Attor- mechanisms for coordinating federal, logical and behavioral effects as GHB. ney General can impose additional state and local investigations and pros- The combination of the ease with record keeping requirements to help ecutions in this area. And it would es- which GHB can be produced and wide- assure that it is not diverted to im- tablish a special unit within the DEA spread ignorance about GHB’s dangers proper uses. Finally, anyone involved to assess the federal response to the especially among our nation’s youth in selling or distributing the diverted abuse and trafficking of GHB, other has led the law enforcement commu- product will be subject to the same controlled substances, and other de- nity to view GHB as a serious and tough ‘‘Schedule I’’ penalties that signer drugs associated with sexual as- growing threat. apply to the sale or distribution of the sault, recommended any reallocations The Controlled Substances Act pro- illicit or unapproved drug. of enforcement resources necessary to vides an administrative mechanism for In practice, this means that while improve that response, and direct the the Attorney General, in consultation medical research will continue unham- Attorney General to make any such re- with the Secretary of HHS, to place pered by the most cumbersome con- allocations she believes are appro- dangerous substances susceptible of sequences of placing this drug in priate. abuse on a ‘‘schedule’’ of controlled Schedule I, the harsh penalties pro- substances, thereby restricting access vided for the sale, manufacture, and It is time to act, Mr. President, to to them and imposing criminal pen- distribution of all Schedule I sub- save young people, and young women alties for their illicit sale and manu- stances will apply to any and all illicit in particular, from these deadly drugs facture. The Attorney General and the trafficking in GHB, whether the drug and the predators who use them. Secretary are in agreement that GHB originated in a bathtub or a medical fa- I ask my colleagues to give their full should in fact be scheduled, but they cility. This means that traffickers will support to this amendment. are in disagreement over which sched- be subject to a 20 year statutory max- ule it should be placed on. This is be- imum for distributing this drug, and I also ask unanimous consent that a cause GHB is currently under inves- that if, as in the case of Samantha number of letters from families and tigational use as a means of treating Reid, the drug is slipped to someone victims of date-rape drugs be printed in narcolepsy and cataplexy, afflictions who dies, or if it is slipped to someone the RECORD. affecting about 70,000 Americans, and who is raped or suffers serious bodily There being no objection, the letters HHS has been understandably reluc- injury, that 20 year maximum become were ordered to be printed in the tant to agree that GHB belongs on a 20 year minimum. RECORD, as follows:

VerDate 29-OCT-99 05:07 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00035 Fmt 0624 Sfmt 0634 E:\CR\FM\A19NO6.025 pfrm01 PsN: S19PT1 S14874 CONGRESSIONAL RECORD — SENATE November 19, 1999

TRINKA D. PORRATA, DESIGNER hadn’t known to report it to anyone. Dr. Jim will only skyrocket as doctors blatantly DRUGS—TEACHING & CONSULTING, Tolliver, who was at that time tracking GHB abuse the controversial, dangerous ‘‘off label Pasadena, CA, October 3, 1999. information for the DEA, began to make in- use’’ policy that would enable them to pre- Senator SPENCER ABRAHAM, quiries around the country, and the death scribe it for anything, not just the combina- 329 Dirksen Senate Office Building, count rapidly jumped to 26. The death toll tion of narcolepsy and cataplexy of which it Washington, DC. continued to slowly increase, based on word is being researched. There is simply no DEAR SENATOR ABRAHAM: I’m writing in of mouth, followed by the DEA obtaining a mechanism in place that will prevent such support of Senate Bill 1561. For four years, copy of the autopsy to review before includ- abuse (there is plenty of evidence of abuse of my life has revolved around a world of drug ing each death in the tally. Still, there was other drugs because of this policy). And, I abuse little known by law enforcement, med- no reporting mechanism, no blanket means cannot imagine in my wildest dreams a com- ical personnel, politicians and parents. I’ve of obtaining information. Despite DEA poll- pany saying, ‘‘Oh excuse me, we are making watched MDMA explode worldwide in the ing its offices, where knowledge of this drug too much money!!!!’’ If the Legislature is de- rave, college and club scenes. I’ve seen was limited by DEA agents and local au- termined to deal with future issues, then I flunitrazepam (Rohypnol, aka roofies) make thorities, it was obvious that not all cases adamantly urge that this drug be specifically its mark on sexual assaults. I’ve seen LSD were being spotted. I have personally worked excluded from the ‘‘off label use’’ policy. Any resurface. And, I’ve watched in horror as the closely with Dr. Chris Sannerud, who is now use of GHB beyond narcolepsy/cataplexy drug gamma hydroxy butyrate (GHB) has tracking GHB data for the DEA, and have re- would require its own proper research and marched coast to coast, plucking out young ferred numerous leads about deaths to her development. If, as the drug company claims, lives in its path, picking up momentum as it for investigation. their only interest is for narcolepsy/ goes. I consider it simply the most dangerous The count recently jumped to 49. I would cataplexy patients, then there is simply no drug I’ve encountered in 25 years as a police like to point out to you that of the 49, ten reason they would protest such a clause officer. This is because of the overwhelming have been in 1999. Furthermore, 25 additional being included. amount of misinformation spread about cases have come to light, all but one of them There is much work to be done on this drug GHB, the dramatic lack of real scientific in 1999. These cases are now being reviewed. in all arenas. The dangers of GHB need to knowledge of it,the difficulty in testing for That would mean more than 30 in 1999 to made crystal clear to America’s youth and it and recognizing it in the street, and how date. The victims get younger. More of them parents. Law enforcement, prosecutors and easily and unpredictably it kills. GHB is in- involve GHB and its analogs only (no alcohol medical personnel are not uniformly pre- deed the Bad Child of the Internet. And, it or other drugs). I receive leads on GHB re- pared to handle cases involving GHB. GHB has forever change the face of sexual assault lated death and rape cases virtually daily. has brought to the sexual assault investiga- investigations. And, we have only scratched the surface at tion a unbelievably challenge to overcome Despite a world brimming with technology this point. Law enforcement, legislators, and an added horror for rape victims that I and communication devices, knowledge of doctors and parents are still largely unfa- cannot even begin to address in this docu- this drug has been based primarily on infor- miliar with GHB. Remember too, these fig- ment. As a start, we need to standardize all mation via the Internet that runs the gamut ures do not reflect the victims of impaired sexual assault medical kits nationwide to in- from outdated to totally false. Any drug drivers under the influence of GHB. clude urine samples from victims and up- Meanwhile, the drug company and the pro- abuser or drug pusher can go on the Internet grade investigative and testing procedures. drug abuse element want to divert attention and pump out volumes of lies and half truths Changes need to be made in the impaired saying that it is the homebrew aspect of driving world as well. Aggressive federal/ unabated. There are thousands of websites GHB that is the problem and that it is only state prosecution is needed against manufac- claiming GHB to be the wonder drug that dangerous with alcohol and other drugs. The turers and distributors of GHB and analogs. will cure anything you can think of and in- homebrew aspect occasionally adds an extra The GHB death toll speaks for itself. Legis- structing everyone NOT to call 911 for the element of burns from high pH levels. But lation and strong federal backing for edu- victim of a GHB overdose. Deadly advice in- that isn’t the problem. It is GHB that im- cation and enforcement is clearly overdue deed. Meanwhile, government, law enforce- pairs, resulting in dangerous users behind and urgently needed. ment and the medical world have failed to the wheel causing accidents and deaths and Sincerely, make significant gain in countering the resulting in victims unable to protect them- TRINKA D. PORRATA, flood of bad information, identifying and selves from sexual assault. Look beyond the Drug Consultant. making available accurate testing methods smoke and mirrors. The fact remains: 25- for it and providing even the most basic edu- year-olds don’t die from a .17 blood alcohol; To the members of the judiciary committee: cation about GHB. The ‘‘system’’ has truly Jeffery Fraga died that night BECAUSE he On Jan. 17, 1999 I lost my only daughter, failed the American public on this drug. As a took GHB. Samantha Reid was drinking a Samantha Reid, when GHB and/or GBL was friend of Samantha Reid, the 15-year-old Mountain Dew the night she died. And 20- slipped into her Mountain Dew soft drink. I Michigan victim of GHB, so aptly put it, year olds don’t die from sleeping face down knew nothing about GHB before this tragic ‘‘You tell us every day about marijuana and on a pillow . . . unless in coma from GHB in- event. I took six months off of work and other drugs. Why didn’t you tell us about gestion. Kyle Hagmann took it as a sleep aid began educating myself on GHB. The more I GHB?’’ Daily, I am asked by the families who (after reading on the Internet that it is ‘‘to- learn about this invisible predator the more have lost loved ones to GHB—‘‘I’ve never tally safe’’), not a recreational drug. It is concerned for our nations safety I become. heard of this drug. Why, why didn’t we know GHB that kills. I have joined Spencer Abraham on cam- about this drug?’’ Not nearly enough is known about this paigning to pass S. 1561. This bill is long Each day that GHB is not a federally con- drug from a medical and scientific view- overdue in our country and contains many trolled substance is another day of failure by point. The literature is old and outdated. positive programs for awareness and will the ‘‘system.’’ No, controlling a drug does New information is being learned daily and give law enforcement the much needed tools not solve the problem, but it allows addi- still not nearly enough is known. The old lit- necessary to prosecute GHB cases. S. 1561 tional resources to be plugged into the tasks erature says GHB is not addictive. We know will allow for education targeting teens who of educating the public, providing more this to be untrue. In fact, withdrawal from are now receiving false information on GHB. standardized information to law enforce- GHB addiction is life threatening. This is A nation wide awareness campaign will give ment, and developing testing procedures. It simply not a market-ready product—any many young ladies the information nec- would be a giant step toward stopping the drug that is leaving 13-year olds suffering essary to protect and ultimately save them- lies about GHB as a totally safe, wonder pulmonary edema in our nation’s hospitals selves from GHB. Parents can be reached drug. and alleys is not ready for market. One doc- through public service announcements giv- There isn’t a meaningful data collection tor with nine years of GHB research walked ing them the opportunity to communicate mechanism to capture drug trends like this. away from it, saying a much safer, longer the dangers of GHB to their children. Existing systems are cumbersome, far behind acting product is needed. One doctor cur- Samantha and I were not given the oppor- in reporting statistics, and non-responsive to rently researching GHB for narcolepsy first tunity that S. 1561 has to offer. Lets not wait for one more senseless death changing trends. In early 1997, the tally of told me personally that it was eight to ten before passing this legislation. Not one more GHB-related deaths kept by the Drug En- years away for being ready and changed his mother should have to water the grass of a forcement Administration was seven. We story only after claims were publicized that fresh grave, or place wind chimes on a ten- knew that there was no way to put a figure the supply would cease for research if it be- der, young tree planted to shade the site of on the possible number of deaths related to came a Schedule I drug. There is simply no their daughter. Pumpkins for Halloween GHB where neither law enforcement nor the reason to give concessions to future issues re should be carved at the kitchen table to- coroners knew to test for it. During our this drug. Let the research take its course gether, not placed by a headstone. hearings before the California Legislature, and determine the future. Other drugs have Our country is in desperate need of all the Dennis Fraga showed up on the witness list. been developed in Schedule I. I personally do good this bill has to offer. He arrived with autopsy report in hand, not believe it will be GHB, but a safer, longer Respectfully, showing that his 25-year-old son, Jeffery, had acting cousin that is yet to be developed. JUDI CLARK, died from alcohol and GHB ingestion. We re- Don’t let them bypass proper research and Rockwood, Michigan. alized that if we hadn’t known about this development!!!!! death, there were undoubtedly more where I have no doubt that if GHB is ever ap- Mr. ABRAHAM. Mr. President, I the coroner knew that GHB was involved but proved for narcolepsy, the horror of abuse would like to close by reading one of

VerDate 29-OCT-99 05:43 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00036 Fmt 0624 Sfmt 0634 E:\CR\FM\A19NO6.027 pfrm01 PsN: S19PT1 November 19, 1999 CONGRESSIONAL RECORD — SENATE S14875 those letters, the letter I received from Mr. HATCH. Mr. President, Today, from low-prevalence conditions. We Judi Clark, Samantha Reid’s mother, the Senate adopted a significant meas- need to do everything we can to get that, better than anything I can say, ure against date rape and other hei- academic researchers and the pharma- makes the case as to why this legisla- nous crimes associated with abusing ceutical industry to find cures for the tion is needed now. She wrote this let- certain types of drugs. I want to make hundreds of currently untreatable rare ter to the members of the Senate Judi- a few comments on this bill, S. 1561, diseases. ciary Committee. which addresses the abuse of the dan- The problem for policymakers, both It is as follows: gerous drug GHB which has been used in the Congress and at the DEA, is how To the Members of the Senate Judiciary Com- to commit date rape and other crimes. to encourage the use of the medically mittee: As Chairman of the Senate Judiciary promising uses of GHB while discour- On January 17, 1999, I lost my only daugh- Committee, I am proud that it was a aging and outlawing the illicit uses ter, Samantha Reid, when GHB and/or GBL member of our Committee, Senator such as date rape. was slipped into her Mountain Dew soft drink. I knew nothing about GHB before this SPENCER ABRAHAM, who introduced and While there are no known cases of di- tragic event. I took six months off of work has played the key leadership role in version of this drug from the on-going and began educating myself on GHB. The Senate passage of S. 1561, The and highly promising clinical trials of more I learned about this invisible predator Samantha Reid and Hillory J. Farias GHB as a treatment for cataplexy and the more concerned for our nations safety I Date Rape Prohibition Act of 1999.’’ I narcolepsy, the problem of GHB abuse become. am also proud that other members of demands our attention. I have joined Spencer Abraham on cam- the Judiciary Committee, Senators According to DEA, hospital and law paigning to pass S. 1561. This bill is long overdue in our country and contains many DEWINE, FEINSTEIN, and GRASSLEY have enforcement officials have reported positive programs for awareness, and will joined Senator ABRAHAM in co-spon- about 5,500 cases of GHB abuse, includ- give law enforcement the much needed tools soring this legislation. ing 49 deaths. Aggregate statistics, as necessary to prosecute GHB cases. S. 1561 It is only through the hard work and alarming as they may be, cannot con- will allow for education targeting teens who insistence of Senator ABRAHAM that vey the absolute upheaval that GHB are now receiving false information on GHB. this bill will pass the Senate today. I abuse can cause for an individual and a A nationwide awareness campaign will give also want to commend his able staff, family. many young ladies the information nec- Senator ABRAHAM has told me the essary to protect and ultimately save them- especially Lee Otis and Chase Hutto, selves from GHB. Parents can be reached who have spent considerable time and story about the untimely death of a through public service announcements giv- effort in improving this legislation. bright and vivacious 15-year-old young ing them the opportunity to communicate Their efforts were in the best tradition woman from Michigan, Samantha Reid. the dangers of GHB to their children. of staff of the United States Senate. She went to a small gathering of Samantha and I were not given the oppor- I also want to thank my friend on the friends, was given a drink from a soft tunity that S. 1561 has to offer. Lets not wait other side of the aisle, Senator BIDEN, drink bottle laced with GHB, and died. for one more senseless death before passing who has long been in the forefront of Samantha did nothing wrong. Her this legislation. Not one more mother should have to water the grass of a fresh grave, or controlled substances and other drug mother, Judi Clark, did nothing wrong. place wind chimes on a tender young tree abuse issues. I must also recognize the Unfortunately, this tragedy has struck planted to shade the site of their daughter. efforts of Ms. Marcia Lee of his staff this family. Pumpkins for Halloween should be carved at for her diligence and creativity in de- Four young men have been charged the kitchen table together, not placed by a veloping this language. under Michigan law for involuntary headstone. I must also recognize the efforts of manslaughter and poisoning. But, Our country is in desperate need of all the Chairmen THOMAS BLILEY and FRED given the prevalence and, as the Reid good this bill has to offer. Respectfully, UPTON for their work in developing and case highlights, the potential severity JUDI CLARK, sheparding the House companion to S. of GHB abuse, it seems clear—and both Rockwood, Michigan. 1561, H.R. 2310, through that body. In public health and law enforcement offi- Mr. President, I would say in closing this regard, I must mention the efforts cials agree on this—that this chemical that I am happy we have finally taken of John Manthei of the House Com- warrants regulation under the Con- the action which Judi Clark and other merce Committee as well as Ms. Jane trolled Substances Act. That’s exactly parents across this country have been Williams of Rep. UPTON’s staff. Both of what S. 1561 and its House companion asking us to take, to make sure that them deserve recognition for their accomplish. other children will be made aware of dedication to passing this bill. Some may raise a question about the dangers of GHB. Hopefully the S. 1561 is concerned with the proper whether the federal Controlled Sub- predators who use drugs such as this regulation of gamma hydrobutyric stances Act failed to operate in a fash- will be treated in the fashion they de- acid, the chemical known on the street ion that could have prevented deaths serve, which is to be prosecuted effec- as GHB which has both hateful and or sexual assaults through abuse of tively and put behind bars where they hopeful uses. On one hand, many fami- GHB. belong. lies across America have suffered due Although there have been reports of No one else should have to go to abuse of this agent which has been substantial GHB abuse for several through what this family has suffered. used to lull unsuspecting women into a years now, I do not know why the At- I am very determined to not only see date-rape situation and has even re- torney General and Secretary of Health this legislation pass, but also to work sulted in death through overdose. On and Human Services have been unable closely with the Department of Jus- the other hand, GHB holds unprece- to resolve the matters that have pre- tice, the Drug Enforcement Agency, dented promise to those one-quarter cluded this drug from being scheduled and State and local law enforcement million Americans suffering from ex- through the normal procedures under agencies, to make sure this is just the treme sleep disorders such as cataplexy the Controlled Substances Act. I don’t first step in what will ultimately be a and narcolepsy. know why it took until September of successful campaign to rid this Nation Cataplexy is a debilitating condition 1997 for the DEA to request FDA to of the illicit use of this drug, and to suffered by some 70,000 Americans that analyze the medical and scientific mat- make sure the children of our country results in an inability of the muscles to ters relating to GHB. I don’t know why are no longer the victims of predators function. Narcolepsy, which attacks it took until May 19, 1999 to get a re- who use it for criminal purposes. 170,000 Americans, causes a person sud- sponse to this request. I don’t know I yield the floor. denly and unpredictably to fall asleep. why DEA has not acted in the last six The PRESIDING OFFICER. The Neither of these terrible diseases have months to bring this matter to a con- Chair recognizes the Senator from an effective treatment today. As au- clusion through administrative means. Maine. thor of the 1984 Orphan Drug Act which It should not take an act of Congress Ms. COLLINS. Mr. President, I com- creates incentives for private sector to schedule a dangerous drug under the mend the Senator from Michigan for drug firms to investigate treatments Controlled Substances Act. his leadership and his eloquent state- for rare diseases, I am particularly sen- I do know that part of the unjustifi- ment. sitive to the needs of families suffering able delay in the scheduling of GHB

VerDate 29-OCT-99 05:43 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00037 Fmt 0624 Sfmt 0634 E:\CR\FM\G19NO6.069 pfrm01 PsN: S19PT1 S14876 CONGRESSIONAL RECORD — SENATE November 19, 1999 stemmed from the fact that there is a Subsections (b) and (c) of section 201 the control of GHB in Schedule I of the difference of opinion between DEA and of the Controlled Substances Act iden- CSA’’ and then asserts: ‘‘The data col- FDA about how to schedule this drug. tify eight criteria that must be taken lected to date would support control of But that answer is not good enough. It into account in scheduling a drug. With the GHB product in Schedule II.’’ is simply inadequate to tell a mother respect to scheduling a drug, these fac- Second, in addition to giving no ap- of a child like Samantha Reid, a prom- tors are: parent deference to HHS on matters ising young woman with her whole life (1) Its actual or relative potential for supposedly binding on DOJ under sec- ahead of her, that the system ‘‘just abuse. tion 201(b) of the CSA, DOJ almost takes time’’ because two bureaucracies (2) Scientific evidence of its pharma- seems to be interpreting the statute as disagreed about how something so seri- cological effect, if known. requiring full FDA approval before the (3) The state of current scientific knowl- ‘‘currently accepted medical use’’ lan- ous should be handled. edge regarding the drug or other substance. This situation points out that a sig- (4) Its history and current pattern of abuse. guage of the CSA can be satisfied. Such nificant breakdown in the system has (5) The scope, duration, and significance of an outcome is neither compelled by the occurred with respect to the scheduling abuse. statute, nor does it reflect sound public of GHB. It behooves the Congress to de- (6) What, if any, risk there is to the public health policy as it acts to discourage liberate more over ways to make the health. drug development and patient access to key agencies, DEA and FDA, be more (7) Its psychic or physiological dependence promising drugs in clinical trials. liability. responsive in the future, rather than be (8) Whether the substance is an immediate I hasten to point out that I have ad- forced to do their jobs for them. The precursor of a substance already controlled vocated stiffening the penalties for lesson of GHB should not be to teach under this title. abuse of date-rape drugs such as GHB. the agencies to wait for Congressional The statute proscribes that. In 1997 I successfully led the charge to action whenever the bureaucracy can- The recommendations of the Secretary (of enact a law that imposed schedule I- not act. Health and Human Services) to the Attorney level penalties for another date rape Let me just say that as a general General shall be binding on the Attorney drug, flunitrazepam. This product was matter I do not favor legislative sched- General as to such scientific and medical marketed for legitimate medical pur- uling or rescheduling. By statute, the matters, and if the Secretary recommends poses overseas and did not meet the responsibility for scheduling is dele- that a drug or other substance not be con- Schedule I requirement that ‘‘there is gated to the experts at DOJ and HHS. trolled, the Attorney General shall not con- lack of accepted safety for use of the The world is turned upside down when trol the drug or other substances. drug or other substance under medical DOJ informs Congress, as if did on May This is the section of the law which supervision.’’ Therefore, the Congress 3, 1999, that: ‘‘DOJ believes that it is appears not to have functioned opti- passed, and the President signed, my appropriate for Congress to schedule mally in the case of GHB. We can, and legislation to increase the penalties for GHB at this time.’’ should, do better in anticipating and this drug. But we stopped short of By any measure, a fair reading of the combating the next GHB. scheduling the pharmaceutical into Controlled Substances Act places the To a large degree, the legislation we Schedule I, recognizing that the prod- primary responsibility for regulating adopt today implements the May 19, uct does have accepted medical uses. It dangerous drugs upon law enforcement 1999 HHS recommendations and the ac- was my hope that this could be the and public health experts at the appro- companying ‘‘Eight Factor Analysis model for GHB legislation as well. priate federal agencies. I do have a con- Report’’ that take into account both I want to work constructively with cern about Congress legislating on the the illicit abuse of GHB as well as the my colleagues in Congress to achieve safety and efficacy of individual drug highly promising legitimate uses of our common goals of taking immediate products, especially before clinical this substance. While I believe that the action against GHB, preserving the in- testing or introduction into commerce language worked out by Senators tegrity of the CSA, and sending a commences. Nor should we allow the ABRAHAM and BIDEN, Chairman BLILEY, strong message to those agencies Congress to be placed in the position of Chairman MCCOLLUM, and the DEA, is charged with implementing the CSA making technical, scientific and law preferable to the earlier versions of the that they must work together in a co- enforcement judgment whenever an in- bill, I remain troubled by some aspects operative and expeditious way to pro- dividual drug product with an actual or of how the current statute has worked tect the American public. potential legitimate medicinal use is and may work in the future. While I think the bill we adopt today determined by experts to warrant the First, I am troubled that if we place might have been written differently, I application of the CSA. promising pharmaceutical candidates agree with my colleagues that our fore- I am firmly behind efforts to stop so- such as GHB into Schedule I of the most goal must be to take quick and called ‘‘date rapes,’’; this is a des- Controlled Substance Act we under- decisive action with respect to the picable crime and the Federal Govern- mine its integrity of the CSA and will criminalization of GHB used for non- ment should take action to make sure discourage the legitimate, potential medical purposes. Senator Abraham’s it does not occur. While I whole- life-saving uses of such compounds. Ac- bill is a good bill and he deserves a lot heartedly applaud the efforts of the cording to the statute, one of the three of credit for putting this improved leg- House to strike a blow against abuse of requirements of schedule I is that there islative package together. GHB, I am concerned about Congress is ‘‘no accepted medical use’’ in the Let me also note that the bill we getting directly involved in the sched- United States. But the May 19, 1999 have just passed includes language I uling process as the House mandated in HHS recommendation has already drafted requiring DEA to create a Spe- adopting H.R. 2130. In this regard, it found that the cataplexy product has cial Unit to assess the abuse and traf- was my strong sense that rather than cleared this hurdle: ficking of GHB and other date rape for Congress to legislatively schedule .. . the abuse potential of GHB, when used drugs, and will identify the threat GHB, it would have more impact to under an authorized research protocol, is posed by date rape drugs on a national amend the statute and direct DEA to consistent with substances typically con- and regional basis. I am pleased to be implement the Surgeon General’s rec- trolled under Schedule IV . . . An authorized the sponsor of S. 1947, the bill that cre- formulation of GHB is far enough along in ates this Special Unit. S. 1947 has been ommendations that were issued back the development process to meet the stand- on May 19, 1999. ard under Schedule II of a drug or substance incorporated in the final language that I will not take the time today to con- having a ‘‘currently accepted medical use we adopt today. I can assure all my sider the full implications of a policy with severe restrictions.’’ Under these cir- colleagues that this is one Senator of legislative rescheduling. I do plan in cumstances, HHS recommends placing au- that will closely review the Attorney the future to re-examine the sched- thorized formulations of GHB in Schedule General’s report on the allocation and uling provisions of the Controlled Sub- III. reallocation of resources to combat stances Act. On October 12, 1999 DOJ sent a letter date rape and other crimes related to At this point, let me elaborate fur- that disregards the May 19th HHS designer drugs. ther on some of the issues I have schedule III recommendation. DOJ first We can and should look further into raised. states ‘‘. . . the DEA strongly supports the problems associated with the

VerDate 29-OCT-99 05:47 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00038 Fmt 0624 Sfmt 0634 E:\CR\FM\A19NO6.100 pfrm01 PsN: S19PT1 November 19, 1999 CONGRESSIONAL RECORD — SENATE S14877 scheduling of drugs under CSA and contract’ means a contract that provides for October 1, 2002, the interoperability and whether we need to change the rel- the issuance, use, or redemption of coupons portability required under paragraph (2); evant laws. But today we honor the in the form of electronic benefit transfer ‘‘(ii) demonstrates that the best interest of memory of Hillory Farias and cards. the food stamp program would be served by ‘‘(C) INTEROPERABILTY.—The term ‘inter- granting the waiver with respect to the elec- Samantha Reid by taking an act that operability’ means a system that enables a tronic benefit transfer system used by the will hopefully reduce the risk of GHB coupon issued in the form of an electronic State agency to administer the food stamp abuse being visited upon unsuspecting benefit transfer card to be redeemed in any program; and women. State. ‘‘(iii) specifies a date by which the State f ‘‘(D) INTERSTATE TRANSACTION.—The term agency will achieve the interoperability and ‘interstate transaction’ means a transaction portability required under paragraph (2). ELECTRONIC BENEFIT TRANSFER that is initiated in 1 State by the use of an ‘‘(C) SMART CARD SYSTEMS.—The Secretary INTEROPERABILITY AND PORT- electronic benefit transfer card that is issued shall allow a State agency that is using ABILITY ACT OF 1999 in another State. smart cards for the delivery of food stamp ‘‘(E) PORTABILITY.—The term ‘portability’ program benefits to comply with the require- Ms. COLLINS. Mr. President, I ask ments of paragraph (2) at such time after Oc- unanimous consent that the Agri- means a system that enables a coupon issued in the form of an electronic benefit transfer tober 1, 2002, as the Secretary determines culture Committee be discharged from card to be used in any State by a household that a practicable technological method is further consideration of S. 1733, and to purchase food at a retail food store or available for interoperability with electronic that the Senate then proceed to its im- wholesale food concern approved under this benefit transfer cards. mediate consideration. Act. ‘‘(6) FUNDING.— The PRESIDING OFFICER. Without ‘‘(F) SETTLING.—The term ‘settling’ means ‘‘(A) IN GENERAL.—In accordance with reg- objection, it is so ordered. movement, and reporting such movement, of ulations promulgated by the Secretary, the The clerk will report the bill by title. funds from an electronic benefit transfer Secretary shall pay 100 percent of the costs incurred by a State agency under this Act The legislative clerk read as follows: card issuer that is located in 1 State to a retail food store, or wholesale food concern, for switching and settling interstate A bill (S. 1733) to amend the Food Stamp that is located in another State, to accom- transactions— Act of 1977 to provide for a national standard plish an interstate transaction. ‘‘(i) incurred after the date of enactment of of interoperability and portability applicable ‘‘(G) SMART CARD.—The term ‘smart card’ this subsection and before October 1, 2002, if to electronic food stamp benefit trans- means an intelligent benefit card described the State agency uses the standard of inter- actions. in section 17(f). operability and portability adopted by a ma- There being no objection, the Senate ‘‘(H) SWITCHING.—The term ‘switching’ jority of State agencies; and proceeded to consider the bill. means the routing of an interstate trans- ‘‘(ii) incurred after September 30, 2002, if the State agency uses the uniform national AMENDMENT NO. 2785 action that consists of transmitting the de- standard of interoperability and portability Ms. COLLINS. Mr. President, there is tails of a transaction electronically recorded through the use of an electronic benefit adopted under paragraph (4)(A). a substitute amendment at the desk transfer card in 1 State to the issuer of the ‘‘(B) LIMITATION.—The total amount paid submitted by Senator FITZGERALD, and card that is in another State. to State agencies for each fiscal year under I ask for its consideration. ‘‘(2) REQUIREMENT.—Not later than October subparagraph (A) shall not exceed $500,000.’’. The PRESIDING OFFICER. The 1, 2002, the Secretary shall ensure that sys- SEC. 4. STUDY OF ALTERNATIVES FOR HANDLING clerk will report. tems that provide for the electronic ELECTRONIC BENEFIT TRANS- issuance, use, and redemption of coupons in ACTIONS INVOLVING FOOD STAMP The legislative clerk read as follows: BENEFITS. the form of electronic benefit transfer cards The Senator from Maine (Ms. COLLINS), for Not later than 1 year after the date of en- are interoperable, and food stamp benefits Mr. FITZGERALD, proposes an amendment actment of this Act, the Secretary of Agri- are portable, among all States. numbered 2785. culture shall study and report to the Com- ‘‘(3) COST.—The cost of achieving the inter- Strike all after the enacting clause and in- mittee on Agriculture of the House of Rep- operability and portability required under sert the following: resentatives and the Committee on Agri- paragraph (2) shall not be imposed on any culture, Nutrition, and Forestry of the Sen- SECTION 1. SHORT TITLE. food stamp retail store, or any wholesale ate on alternatives for handling interstate This Act may be cited as the ‘‘Electronic food concern, approved to participate in the electronic benefit transactions involving Benefit Transfer Interoperabilty and Port- food stamp program. food stamp benefits provided under the Food ability Act of 1999’’. ‘‘(4) STANDARDS.—Not later than 210 days Stamp Act of 1977 (7 U.S.C. 2011 et seq.), in- SEC. 2. PURPOSES. after the date of enactment of this sub- cluding the feasibility and desirability of a The purposes of this Act are— section, the Secretary shall promulgate reg- single hub for switching (as defined in sec- (1) to protect the integrity of the food ulations that— tion 7(k)(1) of that Act (as added by section stamp program; ‘‘(A) adopt a uniform national standard of 3)). (2) to ensure cost-effective portability of interoperability and portability required food stamp benefits across State borders under paragraph (2) that is based on the Mr. FITZGERALD. Mr. President, I without imposing additional administrative standard of interoperability and portability rise today to recognize the passage of expenses for special equipment to address used by a majority of State agencies; and the Electronic Benefit Transfer Inter- problems relating to the portability; ‘‘(B) require that any electronic benefit operability and Portability Act of 1999. (3) to enhance the flow of interstate com- transfer contract that is entered into 30 days This legislation addreses the problem merce involving electronic transactions in- or more after the regulations are promul- of food stamp beneficiaries being un- volving food stamp benefits under a uniform gated, by or on behalf of a State agency, pro- national standard of interoperability and vide for the interoperability and portability able to redeem their benefits in author- portability; and required under paragraph (2) in accordance ized stores that may be located outside (4) to eliminate the inefficiencies resulting with the national standard. their state of residence. from a patchwork of State-administered sys- ‘‘(5) EXEMPTIONS— As you may know, Congress passed tems and regulations established to carry ‘‘(A) CONTRACTS.—The requirements of legislation in 1996 that required the out the food stamp program paragraph (2) shall not apply to the transfer federal government to deliver food SEC. 3. INTEROPERABILTY AND PORTABILITY OF of benefits under an electronic benefit trans- stamp benefits electronically, rather FOOD STAMP TRANSACTIONS. fer contract before the expiration of the than using paper coupons. Most states Section 7 of the Food Stamp Act of 1977 (7 term of the contract if the contract— U.S.C. 2016) is amended by adding at the end ‘‘(i) is entered into before the date that is have started the process of issuing the following: 30 days after the regulations are promul- plastic cards, very similar to ATM ‘‘(k) INTEROPERABILTY AND PORTABILITY OF gated under paragraph (4); and cards, to access these benefits. The fed- ELECTRONIC BENEFIT TRANSFER TRANS- ‘‘(ii) expires after October 1, 2002. eral government termed this new proc- ACTIONS.— ‘‘(B) WAIVER.—At the request of a State ess, electronic benefits transfer (EBT). ‘‘(1) DEFINITIONS.—In this subsection: agency, the Secretary may provide 1 waiver You may have noticed a separate ‘‘(A) ELECTRONIC BENEFIT TRANSFER CARD.— to temporarily exempt, for a period ending button on the payment terminal in The term ‘electronic benefit transfer card’ on or before the date specified under clause your local supermarket with the des- means a card that provides benefits under (iii), the State agency from complying with ignation ‘‘EBT’’ or a separate stand- this Act through an electronic benefit trans- the requirements of paragraph (2), if the fer service (as defined in subsection State agency— along payment terminal to handle (i)(11)(A)). ‘‘(i) establishes to the satisfaction of the these new transactions. ‘‘(B) ELECTRONIC BENEFIT TRANSFER CON- Secretary that the State agency faces un- More than half of the country has al- TRACT.—The term ‘electronic benefit transfer usual technological barriers to achieving by ready switched from the paper coupons

VerDate 29-OCT-99 05:07 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00039 Fmt 0624 Sfmt 0634 E:\CR\FM\A19NO6.101 pfrm01 PsN: S19PT1 S14878 CONGRESSIONAL RECORD — SENATE November 19, 1999 to this new EBT card. However, one stamps. Since 1996, the transition from for the government of the District of Colum- significant issue is causing problems in paper coupons to electronic benefit bia and other activities chargeable in whole the program for retailers, states, and transfers has saved the federal govern- or in part against revenues of said District for the fiscal year ending September 30, 2000, recipients. That issue is the inability ment a significant amount of money. and for other purposes, shall make the fol- of recipients to use their state-issued For example, while the food stamp lowing correction: cards across state lines. This is espe- caseload decreased 24 percent from fis- At the appropriate place of the bill insert cially true in communities that are cal year 1995 to 1998, food stamp pro- the following: near a state border. duction and redemption costs dropped COMMODITY CREDIT CORPORATION Under the old paper system, recipi- by an impressive 39 percent. While it is PRODUCER-OWNED MARKETING ASSOCIATIONS ents could use the coupons in any state estimated that the bill’s implementa- FORGIVENESS in the country. Under the new election will cost the federal government SEC. 1. The Secretary of Agriculture shall tronic system, that is the case Cus- no more than $500,000 annually, it will reduce the amount of any principal due on a tomers go into a food store expecting save at least $20 million per year when loan made to marketing association incor- to use their federal benefits to pur- paper coupons are a thing of the past. porated in the State of North Carolina for the 1999 crop of an agricultural commodity chase food. When they cannot use their This legislation is sound public pol- by at least 75 percent if the marketing asso- EBT cards, they become frustrated and icy that enjoys strong bipartisan sup- ciation suffered losses of the agricultural dissatisfied with the food stamp pro- port. I thank my colleagues, Senators commodity in a county with respect to gram. LEAHY, LUGAR, HARKIN, CRAIG, COCH- which—(1) a natural disaster was declared by For example, under the old system, a RAN, CRAPO, KOHL, and KERREY for join- the Secretary for losses due to Hurricane food stamp recipient living in Palmyra, ing me as co-sponsors of this bill. This Dennis, Floyd, or Irene; or (2) a major dis- Missouri could use his food stamp cou- legislation is vitally important to aster or emergency was declared by the pons in his favorite grocery store in President for losses due to Hurricane Dennis, every food stamp recipient, every state Floyd, or Irene under the Robert T. Stafford Quincy, Illinois, just over the border. food stamp program administrator, and Disaster Relief and Emergency Assistance Similarly, a recipient living in Illinois every grocery store in the country. Act (42 U.S.C. 5121 et seq.) could visit family in Tennessee and I thank the presiding officer, and I If the Secretary assigns a grade quality for still purchase food for his children. yield the floor. the 1999 crop of an agricultural commodity Food stamp beneficiaries are not un- Ms. COLLINS. Mr. President, I ask marketed by an association described in this like the average shopper. Cross-border unanimous consent that the amend- section that is below the base quality of the agricultural commodity, the Secretary shall shopping occurs for a variety of rea- ment be agreed to, the bill be read a compensate the association for losses in- sons. One reason is convenience; an- third time and passed, as amended, the curred by the association as a result of the other equally important reason is the motion to reconsider be laid upon the reduction in grade quality. cost of groceries. The supermarket in- table, and that any statements relating Up to $81,000,000 of the resources of the dustry is very competitive. Customers to the bill be printed in the RECORD. Commodity Credit Corporation shall be used paying with every type of tender ex- The PRESIDING OFFICER. Without for the cost of this section: Provided, That cept EBT have the ability to shop objection, it is so ordered. the entire amount necessary to carry out this section shall be available only to the ex- around for the best prices. Shouldn’t The amendment (No. 2785) was agreed tent that an official budget request for the recipients of our nation’s federal food to. entire amount, that includes designation of assistance benefits be able to stretch The bill (S. 1733), as amended, was the entire amount of the request as an emer- their dollars without regard to state read the third time and passed, as fol- gency requirement as defined in the Bal- borders? lows: anced Budget and Emergency Deficit Control Another reason for cross-border shop- [The bill was not available for print- Act of 1985, as amended, is transmitted by ping is convenience. While one of my ing. It will appear in a future edition of the President to the Congress: Provided fur- constituents may live in the metro ther, That the entire amount is designated the RECORD.] by the Congress as an emergency require- east area of Illinois, he or she may f ment pursuant to section 251(b)(2)(A) and work in St. Louis. Under the current MAKING TECHNICAL CORRECTIONS Section 252(e) of such Act. situation, if the only grocery store be- SEC. 2. In administering $50,000,000 in emer- tween work and home is in Missouri, TO THE ENROLLMENT OF H.R. 3194 gency supplemental funding for the Emer- the recipient cannot purchase food Ms. COLLINS. Mr. President, I ask gency Conservation Program, the Secretary without traveling miles out of the way. unanimous consent that the Senate shall give priority to the repair of structures The legislation would once again pro- turn to the consideration of Senate essential to the operation of the farm. vide for the portability of food assist- Concurrent Resolution 77 now at the f ance benefits and allow food stamp re- desk introduced earlier by Senators EXEMPTIONS PURSUANT TO THE cipients the flexibility of shopping at LOTT and DASCHLE, and that the resolu- FEDERAL REPORTS ELIMI- locations that they choose. tion be considered read a third time NATION AND SUNSET ACT OF Interoperability works well today and passed, and the motion to recon- 1995 with ATM/Debit cards, the type of sider be laid upon the table. Ms. COLLINS. Mr. President, I ask cards that EBT was modeled after. The PRESIDING OFFICER. The unanimous consent that the Govern- Consumers and merchants are con- clerk will report the concurrent resolu- mental Affairs Committee be dis- fident that when a MAC card issued by tion by title. charged from further consideration of a bank in Pittsburgh is presented, au- The legislative clerk read as follows: H.R. 3111, and that the Senate proceed thorization and settlement of that A concurrent resolution (S. Con. Res. 77) to its immediate consideration. transaction will work the same as making technical corrections to the enroll- The PRESIDING OFFICER. Without ment of H.R. 3194. when a Star card, issued by Bank of objection, it is so ordered. America in California is presented. There being no objection, the Senate The clerk will report the bill by title. This occurs regardless of where the proceeded to consider the concurrent The legislative clerk read as follows: merchant is located. resolution. A bill (H.R. 3111) to exempt certain reports Unfortunately, this is currently not The PRESIDING OFFICER. Without from automatic elimination and sunset pur- the case with EBT cards. If every state objection, the concurrent resolution is suant to the Federal Reports Elimination operated their EBT program under a agreed to. and Sunset Act. standard set of operating rules, as this The concurrent resolution (S. Con. There being no objection, the Senate legislation requires, companies oper- Res. 77) was agreed to. proceeded to consider the bill. ating in multiple states could be more The concurrent resolution (S. Con. AMENDMENT NO. 2786 efficient, resolve any discrepancies in Res. 77) is as follows: (Purpose: To provide continued reporting of customer accounts more quickly, and S. CON. RES. 77 intercepted wire, oral, and electronic com- ultimately hold down the price of gro- Resolved by the Senate (the House of Rep- munications) ceries for all consumers. resentatives concurring), That the Clerk of the Ms. COLLINS. Mr. President, Sen- This legislation is more about good House of Representatives, in the enrollment ator LEAHY has an amendment at the government than it is about food of the bill (H.R. 3194), making appropriations desk.

VerDate 29-OCT-99 05:47 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00040 Fmt 0624 Sfmt 0634 E:\CR\FM\A19NO6.090 pfrm01 PsN: S19PT1 November 19, 1999 CONGRESSIONAL RECORD — SENATE S14879 The PRESIDING OFFICER. The Mr. LEAHY. Mr. President, I am sitivities by changing the reporting clerk will report. pleased that the Senate is today con- agency and methodology on little to no The legislative clerk read as follows: sidering for final passage S. 1769, as notice. I appreciate, however, the AO’s The Senator from Maine (Ms. COLLINS), for amended by the House. I introduced S. interest in transferring the wiretap re- Mr. LEAHY, proposes an amendment num- 1769 with Chairman HATCH on October porting requirement to another entity. bered 2786. 22, 1999 and it passed the Senate on No- Any such transfer must be accom- Add at the end the following: vember 5, 1999. This bill will continue plished with a minimum of disruption SEC. 2. (a) SHORT TITLE.—This Act may be and enhance the current reporting re- to the collection and reporting of infor- cited as the ‘‘Continued Reporting of Inter- quirements for the Administrative Of- mation and with complete assurances cepted Wire, Oral, and Electronic Commu- that any new entity is able to fulfill nications Act’’. fice of the Courts and the Attorney (b) FINDINGS.—Congress makes the fol- General on the eavesdropping and sur- this important job as capably as the lowing findings: veillance activities of our federal and AO has done. (1) Section 2519(3) of title 18, United States state law enforcement agencies. The S. 1769 would update the reporting re- Code, requires the Director of the Adminis- House amendment is the text of H.R. quirements currently in place with one trative Office of the United States Courts to 3111, a bill to exempt from automatic additional reporting requirement. Spe- transmit to Congress a full and complete an- elimination and sunset certain reports cifically, the bill would require the nual report concerning the number of appli- submitted to Congress that are useful wiretap reports prepared beginning in cations for orders authorizing or approving calendar year 2000 to include informa- the interception of wire, oral, or electronic and helpful in informing the Congress and the public about the activities of tion on the number of orders in which communications. This report is required to encryption was encountered and include information specified in section federal agencies in the enforcement of whether such encryption prevented law 2519(3). federal law. I am also glad to support enforcement from obtaining the plain (2) The Federal Reports Elimination and this amendment. Sunset Act of 1995 provides for the termi- For many years, the Administrative text of communications intercepted nation of certain laws requiring submittal to Office (AO) of the Courts has complied pursuant to such order. Encryption technology is critical to Congress of annual, semiannual, and regular with the statutory requirement, in 18 periodic reports as of December 21, 1999, 4 protect sensitive computer and online U.S.C. § 2519(3), to report to Congress years from the effective date of that Act. information. Yet, the same technology (3) Due to the Federal Reports Elimination annually the number and nature of fed- poses challenges to law enforcement Act and Sunset Act of 1995, the Administra- eral and state applications for orders when it is exploited by criminals to tive Office of United States Courts is not re- authorizing or approving the intercep- hide evidence or the fruits of criminal quired to submit that annual report de- tion of wire, oral or electronic commu- activities. A report by the U.S. Work- scribed in section 219(3) of title 18, United nications. By letter dated September 3, States Code, as of December 21, 1999. ing Group on Organized Crime titled, 1999, the AO advised that it would no ‘‘Encryption and Evolving Tech- (c) CONTINUED REPORTING REQUIREMENTS.— longer submit this report because ‘‘as (1) CONTINUED REPORTING REQUIREMENTS.— nologies: Tools of Organized Crime and Section 2519 of title 18, United States Code, of December 21, 1999, the report will no Terrorism,’’ released in 1997, collected is amended by adding at the end the fol- longer be required pursuant to the Fed- anecdotal case studies on the use of lowing: eral Reports Elimination and Sunset encryption in furtherance of criminal ‘‘(4) The reports required to be filed by sub- Act of 1995.’’ I commend the AO for activities in order to estimate the fu- section (3) are exempted from the termi- alerting Congress that their responsi- ture impact of encryption on law en- nation provisions of section 3003(a) of the bility for the wiretap reports would forcement. The report noted the need Federal Reports Elimination and Sunset Act lapse at the end of this year, and for for ‘‘an ongoing study of the effect of of 1995 (Public Law 104–66).’’. doing so in time for Congress to take (2) EXEMPTION.—Section 3003(d) of the Fed- encryption and other information tech- eral Reports Elimination and Sunset Act of action. nologies on investigations, prosecu- 1995 (Public Law 104–66) is amended— The AO has done an excellent job of tions, and intelligence operations’’. As (a) in paragraph (31), by striking ‘‘or’’ at preparing the wiretap reports. We need part of this study, ‘‘a database of case the end; to continue the AO’s objective work in information from federal and local law (b) in paragraph (32), by striking the period a consistent manner. If another agency enforcement and intelligence agencies and inserting ‘‘; or’’; and took over this important task at this should be established and maintained.’’ (c) by adding at the end the following: juncture and the numbers came out in Adding a requirement that reports be ‘‘(33) section 2519(3) of title 18, United a different format, it would imme- States Code.’’. furnished on the number of occasions diately generate questions and con- (d) ENCRYPTION REPORTING REQUIRE- when encryption is encountered by law MENTS.— cerns over the legitimacy and accuracy enforcement is a far more reliable basis (1) Section 2519(2)(b) of title 18, United of the contents of that report. than anecdotal evidence on which to States Code, is amended by striking ‘‘and In addition, it would create difficul- assess law enforcement needs and make (iv)’’ and inserting ‘‘(iv) the number of orders ties in comparing statistics from prior sensible policy in this area. in which encryption was encountered and years going back to 1969 and com- The final section of S. 1769 would cod- whether such encryption prevented law en- plicate the job of congressional over- ify the information that the Attorney forcement from obtaining the plain text of sight. Furthermore, transferring this General already provides on pen reg- communications intercepted pursuant to reporting duty to another agency such order, and (v)’’. ister and trap and trace device orders, (2) The encryption reporting requirement might create delays in issuance of the and would require further information in subsection (a) shall be effective for the re- report since no other agency has the on where such orders are issued and the port transmitted by the Director of the Ad- methodology in place. Finally, federal, types of facilities—telephone, com- ministrative Office of the Courts for cal- state and local agencies are well accus- puter, pager or other device—to which endar year 2000 and in subsequent reports. tomed to the reporting methodology the order relates. Under the Electronic (e) REPORTS CONCERNING PEN REGISTERS developed by the AO. Notifying all Communications Privacy Act AND TRAP AND TRACE DEVICES.—Section 3126 these agencies that the reporting (‘‘ECPA’’) of 1986, P.L. 99–508, codified of title 18, United States Code, is amended by standards and agency have changed striking the period and inserting ‘‘, which re- at 18 U.S.C. § 3126, the Attorney Gen- port shall include information concerning— would inevitably create more confusion eral of the United States is required to ‘‘(1) the period of interceptions authorized and more expense as law enforcement report annually to the Congress on the by the order, and the number and duration of agencies across the country are forced number of pen register orders and or- any extensions of the order; to learn a new system and develop a li- ders for trap and trace devices applied ‘‘(2) the offense specified in the order or ap- aison with a new agency. for by law enforcement agencies of the plication, or extension of an order; The system in place now has worked Department of Justice. As the original ‘‘(3) the number of investigations involved; well and we should avoid any disrup- sponsor of ECPA, I believed that ade- ‘‘(4) the number and nature of the facilities tions. We know how quickly law en- quate oversight of the surveillance ac- affected; and ‘‘(5) the identity, including district, of the forcement may be subjected to criti- tivities of federal law enforcement applying investigative or law enforcement cism over their use of these surrep- could only be accomplished with re- agency making the application and the per- titious surveillance tools and we porting requirements such as the one son authorizing the order.’’. should avoid aggravating these sen- included in this law.

VerDate 29-OCT-99 05:07 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00041 Fmt 0624 Sfmt 0634 E:\CR\FM\G19NO6.074 pfrm01 PsN: S19PT1 S14880 CONGRESSIONAL RECORD — SENATE November 19, 1999 The reports furnished by the Attor- eral Reports Elimination and Sunset information from federal and local law ney General on an annual basis compile Act of 1995.’’ I commend the AO for enforcement and intelligence agencies information from five components of alerting Congress that their responsi- should be established and maintained.’’ the Department of Justice: the Federal bility for the wiretap reports would Adding a requirement that reports be Bureau of Investigation, the Drug En- lapse at the end of this year, and for furnished on the number of occasions forcement Administration, the Immi- doing so in time for Congress to take when encryption is encountered by law gration and Naturalization Service, the action. enforcement is a far more reliable basis United States Marshals Service and the The AO has done an excellent job of than anecdotal evidence on which to Office of the Inspector General. The re- preparing the wiretap reports. We need assess law enforcement needs and make port contains information on the num- to continue the AO’s objective work in sensible policy in this area. ber of original and extension orders a consistent manner. If another agency The final section of this amendment made to the courts for authorization to took over this important task at this would codify the information that the use both pen register and trap and juncture and the numbers came out in Attorney General already provides on trace devices, information concerning a different format, it would imme- pen register and trap and trace device the number of investigations involved, diately generate questions and con- orders, and require further information the offenses on which the applications cerns over the legitimacy and accuracy on where such orders are issued and the were predicted and the number of peo- of the contents of that report. types of facilities—telephone, com- ple whose telephone facilities were af- In addition, it would create difficul- puter, pager or other device—to which fected. ties in comparing statistics from prior the order relates. Under the Electronic These specific categories of informa- years going back to 1969 and com- Communications Privacy Act, ‘‘ECPA’’ tion are useful, and S. 1769 would direct plicate the job of congressional over- of 1986, P.L. 99–508, codified at 18 U.S.C. the Attorney General to continue pro- sight. Furthermore, transferring this § 3126, the Attorney General of the viding these specific categories of in- reporting duty to another agency United States is required to report an- formation. In addition, the bill would might create delays in issuance of the nually to the Congress on the number direct the Attorney General to include report since no other agency has the of pen register orders and orders for trap and trace devices applied for by information on the identity, including methodology in place. Finally, federal, law enforcement agencies of the De- the district, of the agency making the state and local agencies are well accus- partment of Justice. As the original application and the person authorizing tomed to the reporting methodology sponsor of ECPA, I believed that ade- the order. In this way, the Congress developed by the AO. Notifying all quate oversight of the surveillance ac- and the public will be informed of those these agencies that the reporting tivities of federal law enforcement jurisdictions using this surveillance standards and agency have changed could only be accomplished with re- technique—information which is cur- would inevitably create more confusion porting requirements such as the one rently not included in the Attorney and more expense as law enforcement included in this law. General’s annual reports. agencies across the country are forced The reports furnished by the Attor- The requirement for preparation of to learn a new system and develop a li- ney General on an annual basis compile the wiretap reports will soon lapse so I aison with a new agency. information from five components of am delighted to see the Congress take The system in place now has worked the Department of Justice: the Federal prompt action on this legislation to well and should be continued. We know Bureau of Investigation, the Drug En- continue the requirement for submis- how quickly law enforcement may be forcement Administration, the Immi- sion of the wiretap reports and to up- subjected to criticism over their use of gration and Naturalization Service, the date the reporting requirements for these surreptitious surveillance tools United States Marshals Office and the both the wiretap reports submitted by and we should avoid aggravating these Office of the Inspector General. The re- the AO and the pen register and trap sensitivities by changing the reporting port contains information on the num- and trace reports submitted by the At- agency. ber of original and extension orders torney General. The amendment would update the re- made to the courts for authorization to Mr. President, I am also pleased that porting requirements currently in use both pen register and trap and the Senate is today considering H.R. place with one additional reporting re- trace devices, information concerning 3111 to exempt from automatic elimi- quirement. Specifically, the amend- the number of investigations involved, nation and sunset certain reports sub- ment would require the wiretap reports the offenses on which the applications mitted to Congress that are useful and prepared beginning in calendar year were predicted and the number of peo- helpful in informing the Congress and 2000 to include information on the ple whose telephone facilities were af- the public about the activities of fed- number of orders in which encryption fected. eral agencies in the enforcement of fed- was encountered and whether such These specific categories of informa- eral law. Senator HATCH and I offer as encryption prevented law enforcement tion are useful, and the amendment an amendment to H.R. 3111 the text of from obtaining the plain text of com- would direct the Attorney General to a bill S. 1769, which I introduced with munications intercepted pursuant to continue providing these specific cat- Chairman Hatch on October 22, 1999 and such order. egories of information. In addition, the which passed the Senate on November Encryption technology is critical to amendment would direct the Attorney 5, 1999. This amendment will continue protect sensitive computer and online General to include information on the and enhance the current reporting re- information. Yet, the same technology identity, including the district, of the quirements for the Administrative Of- poses challenges to law enforcement agency making the application and the fice of the Courts and the Attorney when it is exploited by criminals to person authorizing the order. In this General on the eavesdropping and sur- hide evidence or the fruits of criminal way, the Congress and the public will veillance activities of our federal and activities. A report by the U.S. Work- be informed of those jurisdictions using state law enforcement agencies. ing Group on Organized Crime titled, this surveillance technique-informa- For many years, the Administrative ‘‘Encryption and Evolving Tech- tion which is currently not included in Office (AO) of the Courts has complied nologies: Tools of Organized Crime and the Attorney General’s annual reports. with the statutory requirement, in 18 Terrorism,’’ released in 1997, collected The requirement for preparation of U.S.C. § 2519(3), to report to Congress anecdotal case studies on the use of the wiretap reports will soon lapse so I annually the number and nature of fed- encryption in furtherance of criminal am delighted to see the Senate take eral and state applications for orders activities in order to estimate the fu- prompt action on this legislation to authorizing or approving the intercep- ture impact of encryption on law en- continue the requirement for submis- tion of wire, oral or electronic commu- forcement. The report noted the need sion of the wiretap reports and to up- nications. By letter dated September 3, for ‘‘an ongoing study of the effect of date the reporting requirements for 1999, the AO advised that it would no encryption and other information tech- both the wiretap reports submitted by longer submit this report because ‘‘as nologies on investigations, prosecu- the AO and the pen register and trap of December 21, 1999, the report will no tions, and intelligence operations’’. As and trace reports submitted by the At- longer be required pursuant to the Fed- part of this study, ‘‘a database of case torney General.

VerDate 29-OCT-99 05:07 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00042 Fmt 0624 Sfmt 0634 E:\CR\FM\G19NO6.075 pfrm01 PsN: S19PT1 November 19, 1999 CONGRESSIONAL RECORD — SENATE S14881 Ms. COLLINS. Mr. President, I ask tion that enacts such laws should have the right Uniform State Law in the form or any variation unanimous consent that the amend- to determine the need for any exceptions to pro- thereof that is authorized or provided for in ment be agreed to, the bill, as amend- tect consumers and maintain consistency with such report. ed, be read a third time and passed, the existing related bodies of law within a par- SEC. 5. PRINCIPLES GOVERNING THE USE OF ticular jurisdiction. ELECTRONIC SIGNATURES IN INTER- motion to reconsider be laid upon the (7) Industry has developed several electronic NATIONAL TRANSACTIONS. table, and that any statements relating signature technologies for use in electronic To the extent practicable, the Federal Govern- to the bill be printed in the RECORD. transactions, and the public policies of the ment shall observe the following principles in an The PRESIDING OFFICER. Without United States should serve to promote a dy- international context to enable commercial elec- objection, it is so ordered. namic marketplace within which these tech- tronic transaction: The amendment (No. 2786) was agreed nologies can compete. Consistent with this Act, (1) Remove paper-based obstacles to electronic to. States should permit the use and development of transactions by adopting relevant principles The bill (H. R. 3111), as amended, was any authentication technologies that are appro- from the Model Law on Electronic Commerce read the third time and passed. priate as practicable as between private parties adopted in 1996 by the United Nations Commis- and in use with State agencies. sion on International Trade Law (UNCITRAL). f SEC. 3. PURPOSES. (2) Permit parties to a transaction to deter- THIRD MILLENNIUM ELECTRONIC The purposes of this Act are— mine the appropriate authentication technologies and implementation models for their COMMERCE ACT (1) to permit and encourage the continued expansion of electronic commerce through the op- transactions, with assurance that those tech- Ms. COLLINS. Mr. President, I now eration of free market forces rather than pro- nologies and implementation models will be rec- ask unanimous consent that the Sen- scriptive governmental mandates and regula- ognized and enforced. (3) Permit parties to a transaction to have the ate proceed to the consideration of Cal- tions; endar No. 243, S. 761. (2) to promote public confidence in the valid- opportunity to prove in court or other pro- The PRESIDING OFFICER. The ity, integrity and reliability of electronic com- ceedings that their authentication approaches merce and online government under Federal and their transactions are valid. clerk will report the bill by title. (4) Take a non-discriminatory approach to law; The legislative clerk read as follows: electronic signatures and authentication meth- (3) to facilitate and promote electronic com- A bill (S. 761) to regulate interstate com- ods from other jurisdictions. merce by clarifying the legal status of electronic merce by electronic means by permitting SEC. 6. INTERSTATE CONTRACT CERTAINTY. and encouraging the continued expansion of records and electronic signatures in the context of writing and signing requirements imposed by (a) IN GENERAL.—The following rules apply to electronic commerce through the operation any commercial transaction affecting interstate of free market forces, and other purposes. law; (4) to facilitate the ability of private parties commerce: There being no objection, the Senate engaged in interstate transactions to agree (1) A record or signature may not be denied proceeded to consider the bill which among themselves on the terms and conditions legal effect or enforceability solely because it is had been reported from the Committee on which they use and accept electronic signa- in electronic form. on Commerce, Science, and Transpor- tures and electronic records; and (2) A contract may not be denied legal effect or enforceability solely because an electronic tation, with an amendment to strike (5) to promote the development of a consistent national legal infrastructure necessary to sup- record was used in its formation. all after the enacting clause and insert- (3) If a law requires a record to be in writing, port of electronic commerce at the Federal and ing in lieu thereof the following: or provides consequences if it is not, an elec- State levels within existing areas of jurisdiction. SECTION 1. SHORT TITLE. tronic record satisfies the law. This Act may be cited as the ‘‘Third Millen- SEC. 4. DEFINITIONS. (4) If a law requires a signature, or provides nium Digital Commerce Act’’. In this Act: consequences in the absence of a signature, the SEC. 2. FINDINGS. (1) ELECTRONIC.—The term ‘‘electronic’’ law is satisfied with respect to an electronic The Congress makes the following findings: means relating to technology having electrical, record if the electronic record includes an elec- (1) The growth of electronic commerce and digital, magnetic, wireless, optical, electro- tronic signature. electronic government transactions represent a magnetic, or similar capabilities. (b) METHODS.—The parties to a contract may powerful force for economic growth, consumer (2) ELECTRONIC AGENT.—The term ‘‘electronic agree on the terms and conditions on which choice, improved civic participation and wealth agent’’ means a computer program or an elec- they will use and accept electronic signatures creation. tronic or other automated means used to initiate and electronic records, including the methods (2) The promotion of growth in private sector an action or respond to electronic records or therefor, in commercial transactions affecting electronic commerce through Federal legislation performances in whole or in part without review interstate commerce. Nothing in this subsection is in the national interest because that market is by an individual at the time of the action or re- requires that any party enter into such a con- globally important to the United States. sponse. tract. (3) A consistent legal foundation, across mul- (3) ELECTRONIC RECORD.—The term ‘‘elec- (c) INTENT.—The following rules apply to any tiple jurisdictions, for electronic commerce will tronic record’’ means a record created, gen- commercial transaction affecting interstate com- promote the growth of such transactions, and erated, sent, communicated, received, or stored merce: that such a foundation should be based upon a by electronic means. (1) An electronic record or electronic signature simple, technology neutral, non-regulatory, and (4) ELECTRONIC SIGNATURE.—The term ‘‘elec- is attributable to a person if it was the act of the market-based approach. tronic signature’’ means an electronic sound, person. The act of the person may be established (4) The Nation and the world stand at the be- symbol, or process attached to or logically asso- in any manner, including a showing of the effi- ginning of a large scale transition to an infor- ciated with an electronic record and executed or cacy of any security procedures applied to de- mation society which will require innovative adopted by a person with the intent to sign the termine the person to which the electronic legal and policy approaches, and therefore, electronic record. record or electronic signature was attributable. States can serve the national interest by con- (5) GOVERNMENTAL AGENCY.—The term ‘‘gov- (2) The effect of an electronic record or elec- tinuing their proven role as laboratories of inno- ernmental agency’’ means an executive, legisla- tronic signature attributed to a person under vation for quickly evolving areas of public pol- tive, or judicial agency, department, board, com- paragraph (1) is determined from the context icy, provided that States also adopt a consistent, mission, authority, institution, or instrumen- and surrounding circumstances at the time of its reasonable national baseline to eliminate obso- tality of the Federal Government or of a State or creation, execution, or adoption, including the lete barriers to electronic commerce such as of any county, municipality, or other political parties’ agreement, if any, and otherwise as pro- undue paper and pen requirements, and further, subdivision of a State. vided by law. that any such innovation should not unduly (6) RECORD.—The term ‘‘record’’ means infor- (d) FORMATION OF CONTRACT.—A contract re- burden inter-jurisdictional commerce. mation that is inscribed on a tangible medium or lating to a commercial transaction affecting (5) To the extent State laws or regulations do that is stored in an electronic or other medium interstate commerce may not be denied legal ef- not provide a consistent, reasonable national and is retrievable in perceivable form. fect solely because its formation involved— baseline or in fact create an undue burden to (7) TRANSACTION.—The term ‘‘transaction’’ (1) the interaction of electronic agents of the interstate commerce in the important burgeoning means an action or set of actions relating to the parties; or area of electronic commerce, the national inter- conduct of commerce between 2 or more persons, (2) the interaction of an electronic agent of a est is best served by Federal preemption to the neither of which is the United States Govern- party and an individual who acts on that indi- extent necessary to provide such consistent, rea- ment, a State, or an agency, department, board, vidual’s own behalf or for another person. sonable national baseline eliminate said burden, commission, authority, institution, or instru- (e) APPLICATION IN UETA STATES.—This sec- but that absent such lack of consistent, reason- mentality of the United States Government or of tion does not apply in any State in which the able national baseline or such undue burdens, a State. Uniform Electronic Transactions Act is in effect. the best legal system for electronic commerce (8) UNIFORM ELECTRONIC TRANSACTIONS ACT.— SEC. 7. STUDY OF LEGAL AND REGULATORY BAR- will result from continuing experimentation by The term ‘‘Uniform Electronic Transactions RIERS TO ELECTRONIC COMMERCE. individual jurisdictions. Act’’ means the Uniform Electronic Trans- (a) BARRIERS.—Each Federal agency shall, (6) With due regard to the fundamental need actions Act as reported to State legislatures by not later than 6 months after the date of enact- for a consistent national baseline, each jurisdic- the National Conference of Commissioners on ment of this Act, provide a report to the Director

VerDate 29-OCT-99 05:21 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00043 Fmt 0624 Sfmt 6333 E:\CR\FM\A19NO6.017 pfrm01 PsN: S19PT1 S14882 CONGRESSIONAL RECORD — SENATE November 19, 1999 of the Office of Management and Budget and Commerce Act, and Senator WYDEN, merce Act. This measure is important the Secretary of Commerce identifying any pro- the lead cosponsor of the legislation, because it would ensure the legal cer- vision of law administered by such agency, or and Senators MCCAIN, BURNS, and tainty of electronic signatures in inter- any regulations issued by such agency and in LOTT, who joined as cosponsors. I also state commerce. effect on the date of enactment of this Act, that Mr. President, right now, there are may impose a barrier to electronic transactions, thank Senator LEAHY, Senator SAR- or otherwise to the conduct of commerce online BANES, Senator HOLLINGS, Senator over forty different state electronic au- or be electronic means. Such barriers include, MCCAIN and others who have worked thentication regimes in play. This but are not limited to, barriers imposed by a law with Senator WYDEN and me in moving patchwork of inconsistent and often or regulation directly or indirectly requiring this through the legislative process. I conflicting state laws makes it dif- that signatures, or records of transactions, be express my appreciation to all my col- ficult to conduct business-to-business accomplished or retained in other than elec- leagues. and business-to-consumer transactions tronic form. In its report, each agency shall As we move into the era of e-com- over the Internet. Those involved in identify the barriers among those identified merce it is important that people who electronic transactions want assurance whose removal would require legislative action, and shall indicate agency plans to undertake wish to engage in commercial trans- that their contractual arrangements regulatory action to remove such barriers among actions online over the Internet be able are legally binding. those identified as are caused by regulations to do so as effectively and efficiently Senator ABRAHAM took the lead on issued by the agency. as possible. Part of the challenge we this issue and crafted a bill to ensure (b) REPORT TO CONGRESS.—The Secretary of confront is when people are entering that a national framework would gov- Commerce, in consultation with the Director of into contracts in this nonwritten con- ern the use of electronic signatures. It the Office of Management and Budget, shall, text, the potential exists for questions is a rational, coherent, and minimalist within 18 months after the date of enactment of approach. An approach supported by this Act, and after the consultation required by to be raised as to the validity of the subsection (c) of this section, report to the Con- contractual arrangements. Without America Online, American Bankers As- gress concerning— getting into all the details, the goal of sociation, American Council of Life In- (1) legislation needed to remove barriers to the Millennium Digital Commerce Act surance, the American Electronics As- electronic transactions or otherwise to the con- is to address this issue. Approximately sociation, American Financial Services duct of commerce online or by electronic means; 42 States have already passed what in Association, American Insurance Asso- and effect are digital signature authentica- ciation, Apple, Business Software Alli- (2) actions being taken by the Executive ance, Charles Schwab, the Coalition for Branch and individual Federal agencies to re- tion laws which address contracts en- move such barriers as are caused by agency reg- tered into online or which address the Electronic Authentication, Consumer ulations or policies. validity of contracts entered into Mortgage Coalition, DLJ Direct, the (c) CONSULTATION.—In preparing the report through the web. The problem is those Electronic Industry Alliance, FORD, required by this section, the Secretary of Com- 42 bills are all different. It is possible Gateway2000, General Electric Com- merce shall consult with the General Services for people to argue that a contract is pany, GTE, Hewlett-Packard, IBM, Administration, the National Archives and valid in one State and not valid in the Intel, Intuit, the Information Tech- Records Administration, and the Attorney Gen- State of the other contracting party nology Association of America, the In- eral concerning matters involving the authen- formation Technology Industry Coun- ticity of records, their storage and retention, and, thus, is an invalid document. and their usability for law enforcement pur- The purpose of our legislation is to cil, Microsoft, NCR, the National Asso- poses. try to make all such agreements valid ciation of Manufacturers, National Re- (d) INCLUDE FINDINGS IF NO RECOMMENDA- if they fit or meet some parameters, tail Federation, and the U.S. Chamber TIONS.—If the report required by this section identical to the ones the States are of Commerce, among others. omits recommendations for actions needed to moving toward; a uniform system. In Mr. President, in drafting his legisla- fully remove identified barriers to electronic short, we believe this will be an in- tion, Senator ABRAHAM included key transactions or to online or electronic commerce, terim approach until the States have concepts and provisions developed by it shall include a finding or findings, including the National Conference of Commis- substantial reasons therefor, that such removal passed a model uniform act. If we don’t is impracticable or would be inconsistent with do this, impediments will exist be- sioners on Uniform State Law the implementation or enforcement of applicable tween parties who wish to contract via (NCCUSL). A NCCUSL working group, laws. the Internet and through electronic which included legal scholars, experts AMENDMENT NO. 2787 commerce. We believe the passage of on electronic commerce, state officials Ms. COLLINS. Mr. President, Sen- this bill will relieve those impediments and other interested stakeholders, ators ABRAHAM, WYDEN, and LEAHY and allow for e-commerce to continue spent the better part of two years have an amendment at the desk, and I to expand and grow and strengthen our drafting the Uniform Electronic Trans- ask for its consideration. economy. actions Act (UETA). This model legis- The PRESIDING OFFICER. The I am very pleased at the passage of lation was formally approved in August clerk will report. the bill today, and look forward to and is expected to be enacted on a The legislative clerk read as follows: working with our counterparts in the state-by-state basis, much like the The Senator from Maine [Ms. COLLINS] for House, they have passed a slightly dif- process followed in approving the Uni- Mr. ABRAHAM, for himself, Mr. WYDEN, and ferent bill, to pound out a final conform Commercial Code, over the next Mr. LEAHY, proposes an amendment num- sensus through the conferencing proc- three to five years. bered 2787. ess and bring back to the Senate the Senator ABRAHAM’s electronic signa- The amendment is as follows: output of that process. I hope to do this tures measure is timely in that it The amendment is printed in today’s very early in the next session, so we serves as an interim solution needed to RECORD under ‘‘Amendments Sub- can enact this legislation and move it fill the void until states approve the mitted.’’ to the President for his signature, and, model UETA package. Ms. COLLINS. I ask unanimous con- as I said at the outset, improve the ef- I applaud the junior Senator from sent that the amendment be agreed to. ficiency with which we engage in an ex- Michigan for his continuing leadership The PRESIDING OFFICER. Without panded e-commerce universe. on technology issues and commend the objection, it is so ordered. I yield the floor. Senate’s action today. This is defi- The amendment (No. 2787) was agreed Mr. LOTT. Mr. President, I want to nitely a significant step in the right di- to. acknowledge the significant efforts of rection. Ms. COLLINS. It is my under- Senator ABRAHAM to author and pass Mr. President, Senator ABRAHAM, my standing the Senator from Michigan, legislation aimed at facilitating the colleagues on this side of the aisle, and Senator ABRAHAM, has a statement to growth of electronic commerce. Com- I agree that the measure passed today, make on this important legislation. merce that everyone agrees is a signifi- while a significant accomplishment, I yield to the Senator from Michigan. cant driving force behind our nation’s only gets consumers to the 50-yard line Mr. ABRAHAM. Mr. President, I will robust and expanding economy. when it comes to e-commerce. In order briefly comment on this legislation. Today, the Senate passed by unani- to get to the end-zone, Congress still First, I thank the cosponsors of this mous consent an Abraham substitute needs to address the issue of electronic legislation, the Millennium Digital for S. 761, the Millennium Digital Com- records.

VerDate 29-OCT-99 05:21 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00044 Fmt 0624 Sfmt 0634 E:\CR\FM\A19NO6.018 pfrm01 PsN: S19PT1 November 19, 1999 CONGRESSIONAL RECORD — SENATE S14883 The Millennium Digital Commerce Consumers want and need electronic use their superior bargaining power to Act that was unanimously approved by records, not only because digitized compel or confuse consumers into the Senate Commerce Committee in records are the equivalent of paper-no- waiving their rights to insist on paper July would have also provided legal tices, records, and disclosures, but also disclosures and communications, even certainty to electronic records. How- because such information is often easi- when they do not have the techno- ever, eleventh hour objections from the er to access, read, store and maintain. logical capacity to receive, retain, and minority, some of which were com- Electronic records will save consumers print electronic records. Could a bor- pletely unrelated to this bill, thwarted time, money, and the hassle of waiting rower be compelled to receive delin- repeated efforts to bring this crucial for paper notices and disclosures. Used quency or foreclosure notices by elec- measure to the floor. in conjunction with an electronic sig- tronic mail, even if she did not have a Mr. President, I would point out that nature, electronic records, with appro- computer, or her computer could not the reported bill, with its electronic priate and effective electronic disclo- read the notices in the electronic for- records provisions, had bipartisan sup- sures, allow anyone, with a hook-up to mat in which they were sent? Would port and was strongly endorsed by the the borderless World Wide Web, to Administration, not once, but twice. In transact business at any time and at she be entitled to revert to paper com- fact the Office of Management and any place. munications if her computer broke or Budget’s Statement of Administration Mr. President, it is the seamless na- became obsolete? Could a company re- Policy noted ‘‘the Administration sup- ture of the Internet that makes it such quire customers to check its Web site ports the passage of S. 761 . . . [Its] a phenomenal communications and for important safety information re- provisions strike the appropriate bal- business medium. To ensure that no garding its products, or for recall no- ance between the needs of each State one is left out of this new millennium tices? to develop its own laws in relation to paradigm, the legal certainty of elec- Under S.761 as reported, the company commercial transactions and the needs tronic records must be codified in fed- would not have been required to proof the Federal government to ensure eral statute—at least until UETA is vide any information on paper, even if that electronic commerce will not be adopted nationally. It is my sincere a state consumer protection law so re- impeded by the lack of consistency in hope that Congress will address the le- quired. Crucial information about the the treatment of electronic authentica- gality of electronic records in the near consumer’s rights and obligations tion.’’ term so consumers will experience the The Commerce Committee reported would not be received. It was federal full benefits and to reap the rewards of preemption beyond need, to the det- measure did not, as some contend, the Internet. alter federal or state consumer protec- Again, I want to applaud the efforts riment of American consumers. tion laws. Instead, Senator ABRAHAM’s of the Senate in passing S. 761, Senator The problem did not stop there. When bill simply held that records could not ABRAHAM’s electronic signatures bill. information is provided electronically, be denied legal effect solely, and the This action is good for America’s con- for it to be useful at a later time to key word is ‘‘solely,’’ because such sumers, good for America’s businesses, prove its contents, the electronic file records were in electronic form. and good for our nation’s economy and must be tamperproof. Otherwise, a con- Mr. President, consumers stand the prosperity. sumer could inadvertently change a most to gain from electronic records Mr. President, Senator ABRAHAM has single byte on the file and thus make it and the most to lose if such records are once again proven that he is a cham- technically different from the original, not clearly granted legal effect, valid- pion of technology, a guardian of the and useless to prove its contents. The ity, and enforceability. In order to fur- consumer, and an extremely effective consumer would be left without any ther assuage concerns, Senator ABRA- legislator. means of proving critical terms of the HAM, in earnest, offered a substitute Mr. LEAHY. Mr. President, I am contract, including the terms of the version that largely incorporated key pleased that the Senate today is pass- warranty. provisions of UETA, verbatim. Even so, ing the Abraham-Leahy substitute and as perplexing as it would seem, his amendment to S.761, the Millennium I have been working with Senator UETA substitute was opposed by the Digital Commerce Act. This bill seeks ABRAHAM and others since August to minority. Remember, these are the to permit and encourage the continued address these and other concerns I had words developed and agreed to by an expansion of electronic commerce, and with the bill. We crafted a bipartisan esteemed panel of national and state to promote public confidence in its in- compromise several weeks ago, but it legal experts, and these are the same tegrity and reliability. These are wor- fell apart after certain industry rep- words that will go into effect as states thy goals—goals that I have long resentatives complained that it did not adopt UETA during the next few years. sought to advance. In the last Con- go far enough to relieve them of federal I would point out that the Depart- gress, many of us worked together to and state regulatory authority. Fortu- ment of Commerce, in its June 22, 1999 pass the Government Paperwork Elimi- nately, other industry representatives position letter supporting the Abraham nation Act, which established a frame- recognized that this was not the pri- substitute bill that passed the Com- work for the federal government’s use mary or even an intended purpose of merce Committee, noted that ‘‘In the of electronic forms and electronic sig- this legislation, and worked to get the view of the Administration, the cur- natures. Today’s legislation is part of legislative process back on track. I am rent UETA draft adheres to the our continuing efforts to ease the bur- pleased that we were able to do this minimalist ‘enabling’ framework advo- dens of conducting business electroni- and that we were able to reach agree- cated by the Administration, and we cally. ment, for the second time, on an Abra- believe that UETA will provide an ex- This is an important bill on an issue ham-Leahy substitute that encourages cellent domestic legal model for elec- of paramount concern to American the continued expansion of electronic tronic transactions, as well as a strong businesses that engage in electronic commerce, while leaving in place es- model for the rest of the world.’’ commerce. It has had a long journey sential safeguards protecting the na- With these glowing endorsements of since it was reported by the Commerce tion’s consumers. both the Commerce Committee re- Committee in June. As reported, the ported measure and UETA, both of bill took a sweeping approach, pre- In a letter dated November 5, 1999, which provide legal certainty to elec- empting untold numbers of federal, the National Conference of State Leg- tronic records, I was surprised and dis- state and local laws that require con- islatures identified what it believed mayed that the Administration flip- tracts, records and signatures to be in were four essential criteria for any fed- flopped on the records issue at the last traditional written form. I was con- eral legislation related to electronic moment. One has to wonder what moti- cerned that such a sweeping approach signatures: vated this 180-degree change in position would radically undermine legislation (1) Any preemption of state law and au- and why the Administration went to that is currently in place to protect thority must be limited in duration. The great lengths to stall and eventually consumers. idea should be to ensure the validity of most oppose electronic transactions legisla- For example, the Committee-passed electronic signatures for a period of time, tion that included digital records. bill would have enabled businesses to thus giving the states time to act. (2) States

VerDate 29-OCT-99 05:21 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00045 Fmt 0624 Sfmt 0634 E:\CR\FM\A19NO6.128 pfrm01 PsN: S19PT1 S14884 CONGRESSIONAL RECORD — SENATE November 19, 1999 must be allowed to adopt the Uniform Elec- making it easier for the proponent of late, nothing prevents companies from tronic Transactions Act or some similar leg- an electronic record or electronic sig- providing notices and disclosures to islation. (3) Essential state consumer protec- nature to prove its authenticity. By consumers electronically, so long as tions must be preserved, along with the ca- eliminating these rules, we have en- they also provide paper notices and dis- pacity of states to enact consumer protection measures in the future. (4) Any federal sured that current contract and evi- closures in the limited set of cir- legislation must be limited to the topic of dence laws remain in place. A person is cumstances in which a law so requires. electronic signatures. It must not embrace always entitled to assert that an elec- Requirements that certain information any preemption of state regulatory and tronic signature is a forgery, was used be provided in a particular format, or record keeping authority. without authority, or otherwise is in- by a particular method of delivery, are The Abraham-Leahy substitute valid for reasons that would invalidate often adopted to serve consumers’ in- meets these criteria. the effect of a signature in written terests by providing them with infor- Most importantly, the scope of the form. mation critical to making informed bill has been limited to address the Having just last year worked with choices in the marketplace, under- principal concern of industry. When Senator KYL on passage of the Kyl- standing their rights and obligations Senator ABRAHAM introduced S.761 ear- Leahy substitute to S.512, the Identity during commercial transactions, and lier this year, he said it was designed Theft and Assumption Deterrence Act, enforcing their rights when trans- to eliminate uncertainty about the le- to combat identity theft, we should be actions go sour. Such laws should not gality of electronic contracts signed careful to avoid taking actions that be swept away without adequate assur- with electronic signatures. Consistent could have the unintended consequence ance that consumers will be able to re- with this design, the Abraham-Leahy of making such crimes easier to com- ceive and retain the information elec- mit. substitute ensures that contracts will tronically. In his introductory floor statement, not be denied legal effect that they The AARP made this point in a letter Senator ABRAHAM stressed that S.761 otherwise have under state law solely to all Senators dated November 15, was an interim measure, which would because they are in electronic form or 1999, with respect to the more provide a national baseline for the use because they were signed electroni- sweepingly preemptive H.R. 1714: ‘‘The of electronic signatures only until the cally. However, as section 4(4) of the states enacted their own e-signature time to investigate the implications of bill makes clear, an electronic signa- legislation. To ensure the temporary such a pivotal change in established ture is valid only if executed by a per- nature of the federal preemption, the consumer protections . . . is before, son who intended to sign the contract. Abraham-Leahy substitute which not after, legislation is enacted. Meas- The purpose of this legislation is to passes the Senate today includes a sig- ures to take advantage of electronic facilitate electronic commerce over the nificant change from earlier versions of market efficiencies must be tempered Internet. It is not intended that this S.761, including the version reported by by a concern for legal and techno- legislation be the basis for unfair or de- the Commerce Committee. The Com- logical responsibilities that are being ceptive attempts by some to avoid pro- mittee bill preempted a state’s laws shifted to the consumer.’’ viding mandated information, disclo- until the state enacted the Uniform The benefits of electronic commerce sures, notices or content. For example, Electronic Transactions Act (‘‘UETA’’) should not, and need not, come at the when the parties have conducted a as reported by the National Conference expense of increased risk to consumers. transaction entirely in person, the fine of Commissioners on Uniform State I commend the Department of Com- print of a form contract cannot include Law, or any variation that was ‘‘au- merce for its help in crafting a sub- an agreement that the contract can be thorized or provided for in such re- stitute amendment that is more care- provided electronically rather than on port.’’ The full Senate votes today on fully tailored to protect the interests paper. The basic rules of good faith and language that gives states more leeway of America’s consumers. I also thank fair dealing apply to electronic com- on the version of the UETA that they Senators SARBANES, who shared many merce, and this legislation is not in- choose to pass—including more leeway of my concerns about the original bill’s tended to be a basis upon which con- to adopt strong consumer protections. impact on consumers, and Senators sumers can be asked to agree to terms The revised definition is meant to ABRAHAM and WYDEN, for agreeing to and conditions for using electronic sig- cover the electronic transactions legis- address our concerns. natures and electronic records which lation passed earlier this year by the This bill shows what can be achieved are unreasonable based on the cir- State of California, and will preserve by bipartisan cooperation and com- cumstances surrounding the trans- the capacity of states to perform their promise. It enjoys broad support from action. traditional role in protecting the the Administration, the states, con- Further, accurate copies of contracts health and safety of their citizens. sumer representatives, and responsible must be delivered to consumers. The Nothing in this bill would allow any companies and trade associations that Abraham-Leahy substitute amendment of the notices that may accompany an care about their customers. I urge its therefore provides that if a law re- electronic contract to be provided elec- speedy enactment into law. quires a contract to be in writing, an tronically. This is especially important I ask unanimous consent to include electronic record of the contract will to ensure that consumers are apprised in the RECORD a Statement of Adminis- not satisfy such law unless it is deliv- of all their rights under federal and tration Policy dated November 8, 1999, ered to all parties in a form that can be state laws. It was the records language in support of the Abraham-Leahy sub- retained for later reference and used to of S.761 that held the greatest poten- stitute amendment; a letter dated No- prove the terms of the agreement. This tial to harm consumers, with its vember 8, 1999, from the National Auto- important provision is intended to pro- across-the-board invalidation of hard- mobile Dealers Association, and a let- tect consumers who execute contracts won consumer protections embodied in ter dated November 5, 1999, from the online, by ensuring that contracts are such laws as the Truth in Lending Act, National Conference of State Legisla- provided in a tamperproof, or ‘‘read- the Fair Credit Reporting Act, the Real tures. only’’ format. The delivery of any Estate Settlement Procedures Act, and STATEMENT OF ADMINISTRATION POLICY, other type of electronic record would others. I am pleased that the sponsors NOVEMBER 8, 1999 (SENATE) make it useless to prove its terms in of this legislation agreed to remove the (This statement has been coordinated by court. electronic records language so that we OMB with the concerned agencies.) The new legislation also improves on can allow the critical provisions re- S. 761—MILLENNIUM DIGITAL COMMERCE ACT the Committee-passed version by garding contracts and signatures to (ABRAHAM (R) MICHIGAN AND 11 COSPONSORS) eliminating its ‘‘intent’’ section, which move forward. There will be time in Electronic commerce can provide con- established interpretive rules regard- the coming months to revisit the sumers and businesses with significant bene- ing the intent of the parties to an elec- fits in terms of costs, choice, and conven- broader issue of electronic records, and ience. The Administration strongly supports tronic transaction. These rules inap- to craft legislation that will not place the development of this marketplace and propriately allowed businesses to put consumers at risk. supports legislation that will advance that the risk of forgery, unauthorized use, In the meantime, contrary to some of development, while providing appropriate and identity theft on consumers, by the rhetoric that has been heard of consumer protection. Many businesses and

VerDate 29-OCT-99 05:21 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00046 Fmt 0624 Sfmt 0634 E:\CR\FM\G19NO6.104 pfrm01 PsN: S19PT1 November 19, 1999 CONGRESSIONAL RECORD — SENATE S14885 consumers are still wary of conducting ex- the federal rule. This exception would be By now, all of us have heard the pro- tensive business over the Internet because of necessary to ensure that the states could phetic pronouncements: ‘‘The Internet the lack of a predictable legal environment still perform their traditional role of estab- will change of all of our lives.’’ ‘‘The governing transactions. Both the Congress lishing the legal framework for major pur- Computer Age is reshaping the world.’’ and the Administration have been working chases. to address this important potential impedi- We appreciate the opportunity to bring our And so on. These words are true, and a ment to commerce. concerns to your attention, and we appre- review of the indicators which docu- S. 761 addresses important concerns associ- ciate all your efforts in addressing these ment the Internet’s extraordinary ated with electronic commerce and the rise matters before the legislation moves forward growth bear this out. In 1993 about of the Internet as a worldwide commercial in the Senate. 90,000 Americans had access to these forum and marketplace. The Administration Sincerely, on-line resources. By early 1999 that supports Senate passage of the amendment H. THOMAS GREENE, number had grown to about 81 million, in the nature of a substitute to S. 761 ex- Chief Operating Officer, Legislative Affairs. pected to be offered by Senator Abraham, an increase of about 900 percent. The based on an agreement with Senators Leahy NATIONAL CONFERENCE OF Computer Industry Almanac predicts and Wyden. The Administration supports STATE LEGISLATURES, 320 million Internet users world-wide this version of S. 761 because the bill, as pro- Washington, DC, November 5, 1999. by the end of the year 2000. posed to be amended, would: Ensure the legal Hon. PATRICK J. LEAHY And now the figures are coming in on validity of contracts between private parties Russell Senate Office Building, how electronic commerce is trans- that are made and signed electronically; pre- Washington, DC. forming the way we do business. They serve the ability of States to establish safe- DEAR SENATOR LEAHY: The National Con- ference of State Legislatures understands are equally impressive. E-commerce guards, such as consumer protection laws, to between businesses has grown to an es- promote the public interest in electronic the need to revise federal and state laws as commerce among private parties just as they a means of encouraging electronic com- timate $64.8 billion for 1999. 10 million can now establish safeguards for paper-based merce. In particular, NCSL understands that customers shopped for some product commerce; cover only commercial trans- legislation is needed to allow the more wide- using the Internet in 1998 alone. And 5.3 actions between private parties that affect spread use of electronic signatures as a million households had access to finan- interstate commerce; not affect Federal laws means of encouraging such commerce. cial transactions like electronic bank- or regulations, but instead would give Fed- Over 40 state legislatures have addressed various state law issues related to the valid- ing and stock trading by the end of eral agencies six months to conduct a careful 1999. study of barriers to electronic transactions ity of electronic signatures. Nevertheless, NCSL has in principle no objection to federal While the Internet has experienced under Federal laws or regulations and to de- legislation on this same topic, provided that almost exponential growth since its in- velop plans to remove such barriers, where it is tightly focused on removing barriers to appropriate; and sunset completely as to the ception, there is still room to expand. legitimate electronic commerce and does not law of any State that enacts the Uniform Today, new technologies enable the broadly preempt essential elements of state Electronic Transactions Act. Internet to serve as an efficient new consumer protection and contract law. NCSL believes that federal legislation re- tool for companies to transact business NATIONAL AUTOMOBILE DEALERS AS- lated to electronic signatures must meet as never before. This capability is pro- SOCIATION, OFFICE OF LEGISLATIVE four criteria: (1) Any preemption of state law vided by the development of secure AFFAIRS, and authority must be limited in duration. electronic authentication methods. Washington, DC, November 8, 1999. The idea should be to ensure the validity of These technologies permit an indi- Hon. PATRICK J. LEAHY, most electronic signatures for a period of Ranking Member, Committee on the Judiciary, vidual to positively identify the person time, thus giving the states time to act. (2) with whom they are transacting busi- Dirksen Senate Office Building, Wash- States must be allowed to adopt the Uniform ington, DC. Electronic Transactions Act or some similar ness and to ensure that information DEAR SENATOR LEAHY: On behalf of the Na- legislation. (3) Essential state consumer pro- being shared by the parties has not tional Automobile Dealers Association tections must be preserved, along with the been tampered with or modified with- (NADA), I am writing to express our views on capacity of states to enact consumer protec- out the knowledge of both parties. S. 761, the Millennium Digital Commerce tion measures in the future. (4) Any federal While such technologies are seeing lim- Act. legislation must be limited to the topic of Like many entrepreneurs throughout the ited use today, the growth of this ap- electronic signatures. It must not embrace country, America’s new car and truck deal- plication has out-paced government’s any preemption of state regulatory and ers are using today’s technological advances record keeping authority. ability to appropriately modify the to better serve customers, and at NADA we The version of S. 761 that is now being pre- legal framework governing the use of understand the desire to accelerate the role sented comes closer to meeting NCSL’s cri- electronic signatures and other authen- of electronic commerce. Even so, we share teria than earlier versions of the bill. In gen- tication methods. your desire to preserve the state’s role in eral, this ‘‘compromise’’ version is taking The growth of electronic signature this process. the right approach to the issue. NCSL looks technologies will increasingly allow or- The automobile is one of the single biggest forward to working with the sponsors and purchases that a consumer makes. As a re- ganizations to enter into contractual others to resolve any remaining issues of arrangements without ever having to sult, state legislatures throughout the coun- preemption and consumer protection. NCSL try have enacted various requirements and much prefers the new compromise to other drive across town or fly thousands of disclosures governing the purchase and sale earlier versions of electronic signatures leg- miles to personally meet with a client of motor vehicles. In light of this extensive islation which we vigorously opposed be- or potential business partner. The body of existing state law, an overly preemp- cause of its unnecessary preemption of state Internet is prepared to go far beyond tive federal statute would deny the states consumer protection and contract law. the ability to buy a book or order ap- the ability to protect their citizens in the For additional information about NCSL’s parel on-line. It is ready to lead a revo- manner they deem appropriate in these types position, please call Neal Osten (202–624–8660) of transactions. or Michael Bird (202–624–8686). lution in the execution of business NADA does not oppose a temporary federal Sincerely, transactions which may involve thou- rule to ensure that contracts can not be in- Joanne G. Emmons, Michigan State Sen- sands or millions of dollars in products validated solely because they are in elec- ate, Chair, NCSL Commerce and Commu- or services; transactions so important tronic form or because they are signed elec- nications Committee. they require that both parties enter tronically. We believe, however, that any Mr. ABRAHAM. Mr. President, the into a legally binding contract. federal legislation should only be an interim Mr. President, the Millennium Dig- measure to provide stability while the states Senate is soon expected to pass the consider the Uniform Electronic Trans- Millennium Digital Commerce Act—a ital Commerce Act is designed to pro- actions Act (UETA). Once a state adopts the bill introduced by Senators WYDEN, mote the use of electronic signatures UETA, the temporary federal rule should MCCAIN, BURNS, LOTT and myself which in business transactions and contracts. sunset. is designed to promote electronic com- At present, the greatest barrier to such We understand that some drafts of the leg- merce. I rise today to speak in support transactions is the lack of a consistent islation that have been put forward would of this legislation and to thank the co- and predictable national framework of allow the federal rule to preempt the UETA rules governing the use of electronic in effect in a state, thus denying the states sponsors for their tireless efforts to the opportunity to be more protective of pass this legislation. I believe it will signatures. Over forty States have en- consumers should they so desire. If that pro- have a profound impact on the way acted electronic authentication laws, vision is retained, we believe that motor ve- commerce is conducted on the Inter- and no two laws are the same. This in- hicle transactions should not be covered by net. consistency deters businesses from

VerDate 29-OCT-99 05:56 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00047 Fmt 0624 Sfmt 0634 E:\CR\FM\A19NO6.129 pfrm01 PsN: S19PT1 S14886 CONGRESSIONAL RECORD — SENATE November 19, 1999 fully utilizing electronic signature electronic signatures and authentica- this bill to address protection issues. In technologies for contracts and other tion technologies will be used in trans- particular, my colleagues were con- business transactions. The differences actions. cerned about the effects of this legisla- in our State laws create uncertainty Since the Internet is inherently an tion on the notification and disclosure about the effectiveness or legality of international medium, consideration requirements required by law. I under- an electronic contract signed with an must also be given to the manner in stand very well the concerns my col- electronic signature. This legal uncer- which the U.S. conducts business with leagues raised and I agree with many, tainty limits the potential of elec- overseas governments and businesses. but not all, of their conclusions. tronic commerce, and, thus, our na- This legislation therefore sets forth a I believe the use of electronic records tion’s economic growth. series of principles for the inter- in electronic transactions is crucial to Fortunately, the need for uniformity national use of electronic signatures. real growth in electronic commerce. in electronic authentication rules was In the last year, U.S. negotiators have And if e-commerce is to truly expand recognized early by the States. For the been meeting with the European Com- the opportunities for individuals, busi- past two years, the National Con- missioners to discuss electronic signa- nesses and consumers must have the ference of Commissioners on Uniform tures in international commerce. In freedom to agree to the types of docu- State Law, an organization comprised these negotiations, the U.S. Depart- ments and information they receive of e-commerce experts from the States, ment of Commerce and the State De- electronically. This right to choose to has been working to develop a uniform partment have worked in support of an receive records electronically must be system for the use of electronic signa- open system governing the use of au- provided by Congress. The best way to tures for all fifty States. Their prod- thentication technologies. Some Euro- do that is to pass laws which establish uct, the Uniform Electronic Trans- pean nations oppose this concept, how- legal certainties for the sending, re- actions Act, or UETA, was finished in ever. For example, Germany insists ceipt and storage for the broad range of July. As was expected, the UETA is an that electronic transactions involving electronic records, and in particular, excellent piece of work and I look for- a German company must utilize a Ger- for records associated with loans and ward to the day when this model legis- man electronic signature application. I mortgages. Today, a vacuum exists lation is enacted by each of the 50 applaud the Administration for their with respect to these records. Aggres- states. steadfast opposition to that approach. sive businesses and small banks are filling this vacuum by providing loans But agreement on the final language This bill will bolster and strengthen and mortgages electronically even of the UETA proposal is not the same the U.S. position in these international though there is question as to whether as enactment, and despite the hard negotiations by establishing the fol- such transactions are protected under work of the Commissioners, uniformity lowing principles as the will of the law. The increasing demand for such will not occur until all fifty States ac- Congress: services demonstrates the popularity tually enact the UETA. That will like- One, paper-based obstacles to elec- for electronic loans. By making appli- ly take some time. Because some State tronic transactions must be elimi- cations easier and reducing associated legislatures are not in session next nated. year and other States have more press- Two, parties to an electronic trans- consumer costs, these businesses are ing legislative items, it could take action should choose the electronic au- providing a service which is becoming increasingly popular with the Amer- three to four years for forty-five or thentication technology. ican public. Rather than ignore this fifty States to enact the UETA. When Third, parties to a transaction should new market, or worse, condemn it, you consider the changes that have have the opportunity to prove in court Congress should work with the indus- taken place in just the last two years, that their authentication approach and try and the proper regulatory agencies it is obvious that in the high-tech- transactions are valid. to ensure that these increased con- nology sector four years is an eternity. Fourth, the international approach The Digital Millennium Commerce to electronic signatures should take a sumer opportunities are maintained Act is therefore designed as an interim non-discriminatory approach to elec- and that relevant consumer protection measure to provide relief until the tronic signature. This will allow the provisions are modernized. I believe my proposal to permit individuals to opt-in States adopt the provisions of the fees market—not a government—to de- to the receipt of records and to opt-out UETA. It will provide companies the termine the type of authentication of receipt at any time represented rea- federal framework they need until a technologies used in international sonable middle ground on this issue, national baseline governing the use of commerce. and am disappointed that my col- electronic authentication exists at the Mr. President, it is my hope that leagues and I could not agree on a State level. Once States enact the adoption of these principles will in- framework for records based on this UETA, the Federal preemption is lift- crease the likelihood of an open, market-based international framework for model. ed. I intend to continue working toward To be specific, this legislation pro- electronic commerce. a resolution which will permit individ- motes electronic commerce in the fol- Finally, the bill directs the Depart- uals to have access to electronic ment of Commerce and Office of Man- lowing manner. First and foremost, the records. It is simply in the long-term agement and Budget to report on Fed- legislation provides that the electronic best interest of both consumers and the signatures used to agree to a contract eral laws and regulations that might economy. And I am sure I will not shall not be denied effect solely be- pose barriers to e-commerce and report labor on this effort alone. I am pleased cause they are electronic in nature. back to Congress on the impact of such to note that, among parties familiar This provision assures that a company provisions and provide suggestions for with this debate, there is growing sup- will be able to rely on an electronic reform. Such a report will serve as the port for legislation to quickly address contract and that another party will basis for Congressional action, or inac- this important issue. not be able to escape such certainty, tion, in the future. Mr. President, despite our philo- this bill will reduce the likelihood of Mr. President, Senator WYDEN, Sen- sophical differences, it was clear from dissatisfied parties attempting to es- ator MCCAIN, Senator BURNS, the Ma- the beginning that everyone involved cape electronic contractual agreements jority Leader and I worked very hard was interested in working coopera- and transactions. to address the multiple of issues and tively to enact good legislation. And To ensure a level playing field for all concerns raised by those most affected while I wish this bill could go further, types of authentication, the bill grants by this legislation, namely the high- I am nevertheless pleased with the parties to a transaction the freedom to tech industry, the states and the con- product that we have passed today. So determine the technologies to be used sumer. I also want to recognize the I want to thank Senator LEAHY and in the execution of an electronic con- considerable time and effort dedicated Senator SARBANES for their coopera- tract. In essence, this assures tech- to this legislation by Senator LEAHY, tion and hard work. I also want to rec- nology neutrality because businesses Senator HOLLINGS and Senator SAR- ognize the efforts of the Ranking Mem- and consumers, not government, will BANES. Senators LEAHY and SARBANES ber of the Commerce Committee, Sen- make the decisions as to what type of worked diligently with the sponsors of ator HOLLINGS. Senator HOLLINGS made

VerDate 29-OCT-99 05:21 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00048 Fmt 0624 Sfmt 0634 E:\CR\FM\A19NO6.132 pfrm01 PsN: S19PT1 November 19, 1999 CONGRESSIONAL RECORD — SENATE S14887 it clear very early that he had concerns now being handled by electronic The basic rules of good faith and fair surrounding the issue of preemption. means, cutting both costs and trans- dealing apply to electronic commerce, His staff and mine worked quickly and action times. These techniques will and this Act should not be the basis effectively to find common ground on make our overall economy more effi- upon which parties to a contract can be this legislation and his spirit of com- cient, and the benefits should eventu- asked to agree to terms and conditions promise allowed us to move forward on ally be passed on to consumers. for using electronic signatures and a bill that I do not doubt he would have The world of electronic commerce is electronic contracts which are unrea- written differently. I want to thank not without its problems, however. One sonable based on the circumstances him for his contribution. of the largest of these is the lack of co- surrounding the transaction. For ex- Finally, I wish to express my thanks herent legal framework for the conduct ample, when the parties have con- to the Technology Division of the of electronic transactions. The com- ducted a transaction entirely in per- State of Massachusetts. Governor Paul mercial world is governed by a patch- son, the fine print of a form contract Cellucci’s staff provided indispensable work of Federal, state, and local laws. should not include an agreement that counsel on existing State law gov- Because electronic commerce is such a the contract can be provided electroni- erning the use of electronic signatures recent phenomenon, it can be difficult cally rather than on paper. In addition, and the manner in which Federal law to apply existing commercial codes and companies must deliver to consumers can bolster or hamstring State con- statutes to these new kinds of trans- electronic records of the contract in a tract law. I value the Governor’s input actions. Often the laws are simply si- form they can receive, retain, and use and will continue to work with him to lent on electronic issues, leading to un- to prove the terms of an agreement. address the extent to which the States certainty for businesses and consumers Such an electronic record would have are impacted by this legislation as it alike. to be provided in a ‘‘locked,’’ or tamper One such area is electronic signa- advances. Of course, the business and proof, format. tures. Technology now exists that can technology sectors have also been cru- Regarding new laws on electronic cial in helping to craft this bill. Rep- replace written signatures on paper documents with computer code that transactions, the states have been en- resentatives from the Information performs the same functions. However, gaged for some time, through the Na- Technology Association of America, many states have not yet enacted laws tional Conference of Commissioners on Ford, the Coalition for Electronic Au- to ensure that digital signature tech- Uniform State Laws, in the formula- thentication, the Information Tech- nologies, when used in a reasonable and tion of a model Uniform Electronic nology Industry Council, Apple, the appropriate manner, will be considered Transactions Act (UETA). Versions of American Electronics Association, valid. According to business groups, the UETA will be enacted by the indi- NCR, America Online, the Electronic this uncertainty has had a dampening vidual states. The bill we are consid- Industry Alliance, Microsoft, Hewlett- effect on the growth of electronic com- ering today includes a revised defini- Packard, IBM and the National Asso- merce. tion of UETA, changed from the bill re- ciation of Manufacturers have each Many state legislatures are hard at ported by the Commerce Committee, lent their time and expertise to this ef- work to devise a workable, consistent that gives states more flexibility to fort. I appreciate their contributions legal framework for electronic records pass versions of UETA that best meet and look forward to continuing this ef- and signatures. Until their efforts are the needs of their citizens. It is in- fort to ensure that we develop the best complete, however, S. 761, the bill intended that California’s recently approach possible to promote use of troduced by Senator ABRAHAM, will passed version of UETA, for example, electronic signatures in business trans- serve as a stop-gap measure. It will meet this test. actions. provide a measure of legal certainty, I would like once again to thank my Mr. President, despite the great work while protecting the rights of con- colleagues, Senator ABRAHAM, Senator that has taken place here in the Sen- sumers under existing laws governing LEAHY, and Senator WYDEN for their ate, there is more work to do on this many types of transactions. hard work on this issue. I believe that legislation. The House is currently I am pleased to have worked closely we have reached an accommodation on working on a companion bill and I look with Senator ABRAHAM, Senator this legislation that provides industry forward to working with the Chairman LEAHY, Senator WYDEN, members of with the provisional legal certainty of the Commerce Committee and other the Commerce Committee, industry, they seek, while ensuring that existing Representatives to ensure that the leg- and consumer groups to craft a bill consumer laws are not diluted by the islation sent to the President for his that answers the legal need, yet pro- increasing use of electronic commerce. signature is the best and most effective vides for continued consumer protec- This is an important step toward mak- approach to expanding electronic com- tions. I would like briefly to describe ing our commercial laws ready for the merce possible. some of these critical consumer protec- twenty-first century. Mr. SARBANES. Mr. President, I rise tion aspects of the bill. Mr. LIEBERMAN. Mr. President, I today to discuss S. 761, the Third Mil- While electronic commerce can pro- rise today to express my support for lennium Digital Commerce Act. This is vide consumers with enormous bene- an important bill at a pivotal time in fits, a sad stream of news articles over the Millennium Digital Commerce Act our nation’s history. The rapid growth the past few years show clearly that of 1999. I thank Senators ABRAHAM, of the Internet, and its transformation there are unscrupulous operators on LEAHY, and WYDEN for their leadership from an academic research tool to a the Internet. The passage of this Act is on this important issue. As a cosponsor truly global communications network, intended to serve as a means of proof this legislation, I am proud of the is exerting its influence in more and tecting consumers from deceptive prac- steps it takes to support an important more areas of our daily lives. tices. and still emerging technology and in- One are of enormous change is the To provide businesses with greater dustry. The Millennium Digital Com- way in which Americans buy, sell, and legal certainty, the bill stipulates that merce Act will facilitate the continued trade products and services. Just as the contracts cannot be deemed unenforce- growth of the Internet and of elec- general store gave way to the shopping able solely because they involved the tronic commerce. With this legislation, mall and mail order catalogues, these use of an electronic signature. Under the Senate recognizes the significant now ‘‘traditional’’ forms of retailing this bill, companies and consumers transformations taking place in our are being supplanted by electronic should only be able to agree to reason- economy and how we do business today commerce over the Internet. Elec- able and appropriate electronic signa- and into the future. tronic retailers are providing con- ture technologies that provide ade- I think we all recognize that we are sumers with a broad range of new quate security to both parties. How- witnessing an electronic revolution. choices in goods and services. ever, as the definition of the electronic There is no shortage of statistics to Electronic transactions are also be- signature makes clear, the electronic prove what we are seeing all around us. coming an integral part of business-to- signature is only valid under this Act if According to a recent U.S. Department business relationships. Ordering, bill- the person intended to sign the con- of Commerce report, approximately ing, and a host of other activities are tract. one third of the U.S. economic growth

VerDate 29-OCT-99 05:21 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00049 Fmt 0624 Sfmt 0634 E:\CR\FM\A19NO6.134 pfrm01 PsN: S19PT1 S14888 CONGRESSIONAL RECORD — SENATE November 19, 1999 in the past few years has come from in- have to wait in line for things like a Choice of technology: It does not dic- formation technologies (over $1.1 tril- driver’s license or construction permit, tate the type of electronic signature lion). Just this year, venture capital- could see their business expedited by a technology to be used; it allows the ists have invested more than $8 billion few clicks of their mouse. parties to a transaction to choose their in Internet companies—twice the rate We live in an increasingly mobile so- own authentication technology. of last year. ciety, where young people get recruited Consumer protections: It protects According to a University of Texas for jobs clear across the country. They consumer rights under State laws; it report, e-commerce is growing at a may need to move in a hurry but don’t does not preempt State consumer pro- much faster rate than many had ex- have the time, for example, to pack up tection laws. It assures that consumers pected. The digital economy generated a home in Virginia and look for an- without a computer are not treated as more than $300 billion in revenue in other one in Portland, Oregon. With second class citizens. If a consumer 1998 and was responsible for 1.2 million the Internet, they can shop for a house buys a car online, the consumer cannot jobs. Many e-commerce companies in in another town. With this electronic be forced to use the computer to re- my State of Connecticut, like Micro- signatures bill, they can pretty much ceive important recall or safety notices Warehouse in Norwalk, Coastal Tool & conclude the whole transaction of pur- but retains the option to continue to Supply in West Hartford, and chasing the house online. get such notices through the mail. Sagemaker Inc. of Fairfield, are lead- The legislation puts electronic and No State preemption: Its provisions ing the way in the digital economy. paper contracts and agreements on sunset when a State enacts UETA. In the Senate, I have worked to sup- equal footing legally. Like the Internet Excludes matters of family law: It port the growth of e-commerce by co- Tax Freedom Act, the bill would estab- specifically excludes agreements relat- sponsoring the Internet Tax Freedom lish technological neutrality between ing to marriage, adoption, premarital Act which places a three year morato- electronic and paper contracts and agreements, divorce, residential land- rium on new state and local taxes on agreements. This means consumers lord-tenant matters because these are the Internet in order to give the digital will enjoy the same legal protections not commercial transactions. economy some breathing room to when purchasing a car or home online Report on Federal statutory barriers evolve. as when they walk into an auto dealer- to electronic transactions: It requires OMB to report to Congress 18 months This legislation takes further steps ship or real estate office and sign all after enactment identifying statutory to continue the growth of e-commerce the documents in person. We worked barriers to electronic transactions and and is a powerful follow-on to the long and hard to make sure that the recommending legislation to remove Internet Tax Freedom Act. With this system established here benefits con- legislation we will eliminate a major such barriers. sumers who wish to receive informa- In conclusion, M. President, I wish to barrier to e-commerce by providing for tion electronically without treating acknowledge the leadership of Sen. the legal recognition of electronic sig- those without computers as second ABRAHAM in moving this legislation natures in contracting and by creating class citizens. forward. He and I have teamed up suc- a consistent, but temporary, national This legislation does not address the cessfully on other legislation, and it electronic signatures law to preempt a issue of electronic records because this was a pleasure to work with him and multitude of sometimes inconsistent matter deserves more thorough study his tireless staff on this bill. I also state laws. This bill is technology neu- and discussion. I intend to work with want to recognize the contribution of tral, allowing contracting parties to all interested parties on this—from Senator LEAHY, particularly with re- determine the appropriate electronic consumer groups to financial services gard to the consumer protection provi- signature technology for their trans- firms—over the course of the coming sions, as well as the effort of Senator action. Importantly, this legislation is months to craft legislation that will HOLLINGS. It took a bipartisan team to the result of thoughtful compromise. It extend the benefits of this measure to get this bill through the Senate today, gives electronic signatures more legal electronic records in a way that con- and I look forward to continuing to certainty but also provides for continues consumer protections. work with this team as we go to consumer protection. It deals with elec- Commercial transactions have tradi- ference with the House on S. 761. tronic signatures only in creating con- tionally been governed by State laws I ask unanimous consent that my tracts. It preempts state law only until which are modeled on the Uniform statement be printed in the record fol- the states enact their own statutes and Commercial Code. Forty-two states lowing Senator ABRAHAM’s statement standards as provided for by the Uni- have some law in place relating to dig- on the passage of S. 761. form Electronic Transactions Act ital authentication. But differences be- Mr. LIEBERMAN. Mr. President, I (UETA). tween and among these laws can create rise today to express my support for Mr. President, I would like to thank confusion for e-entrepreneurs. The the Millennium Digital Commerce Act those who have worked so diligently to unstoppable growth of electronic com- of 1999. I thank Senators ABRAHAM, create this Act. Through the consid- merce has led the States recently to LEAHY, and WYDEN for their leadership erate and collaborative approach of develop a Uniform Electronic Trans- on this important issue. As a cosponsor several of my colleagues, including actions Act, or UETA (as part of the of this legislation, I am proud of the Senators ABRAHAM, LEAHY, and WYDEN, Uniform Commercial Code), to serve as steps it takes to support an important we now have legislation with language a model for each State legislature in and still emerging technology and in- that achieves a broad public purpose. developing further its own electronic dustry. The Millennium Digital Com- We are now able to continue supporting signatures law. However, only one merce Act will facilitate the continued the growth and evolution of electronic State—California—has enacted a growth of the Internet and of elec- commerce and technologies that will UETA. The purpose of this legislation tronic commerce. With this legislation, effectively bring us into the next cen- is to provide interim Federal legal va- the Senate recognizes the significant tury. lidity for electronic contracts and transformations taking place in our Mr. WYDEN. Mr. President, for the agreements until each state enacts its economy and how we do business today past several years, Congress has been own UETA. This means e-commerce and into the future. working in a bipartisan way to write will not be hamstrung by the lack of I think we all recognize that we are the rules of the digital economy. We legal standing. witnessing an electronic revolution. have made significant progress on I would like to take a minute to run There is no shortage of statistics to Internet taxes, privacy, encryption and through the highlights of S. 761: prove what we are seeing all around us. the Y2K problem. Now is the time to Technological neutrality: It allows According to a recent U.S. Department move forward on rules for electronic electronic signatures to replace writ- of Commerce report, approximately signatures. ten signatures. In interstate commerce one third of the U.S. economic growth The bill before us today, S. 761, is a contract cannot be denied legal effect in the past few years has come from in- based on the premise that it’s better to solely because of an electronic signa- formation technologies (over $1.1 tril- be online than waiting in line. A grow- ture, electronic record or an electronic lion). Just this year, venture capital- ing number of Americans who now agent was used in its formation. ists have invested more than $8 billion

VerDate 29-OCT-99 05:21 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00050 Fmt 0624 Sfmt 0634 E:\CR\FM\G19NO6.103 pfrm01 PsN: S19PT1 November 19, 1999 CONGRESSIONAL RECORD — SENATE S14889 in Internet companies—twice the rate UNANIMOUS-CONSENT AGREEMENT from general church assets, or purchases insurance coverage with general church assets, of last year. Ms. COLLINS. Mr. President, I ask According to a University of Texas or both. unanimous consent at 4 p.m. the Sen- (b) STATE INSURANCE LAW.—A State insur- report, e-commerce is growing at a ate proceed to the Work Incentives ance law described in this subsection is a law much faster rate than many had ex- conference report, and that there be 120 that— pected. The digital economy generated minutes equally divided in the usual (1) requires a church plan, or an organiza- more than $300 billion in revenue in form, with an additional 10 minutes tion described in section 414(e)(3)(A) of the 1998 and was responsible for 1.2 million Internal Revenue Code of 1986 and section under the control of Senator LOTT. I 3(33)(C)(i) of the Employee Retirement In- jobs. Many e-commerce companies in further ask consent that following the my State of Connecticut, like Micro- come Security Act of 1974 (29 U.S.C. use or yielding back of time, the vote 1002(33)(C)(i)) to the extent that it is admin- Warehouse in Norwalk, Coastal Tool & on the adoption of the conference re- istering or funding such a plan, to be li- Supply in West Hartford, and port occur immediately following the censed; or Sagemaker Inc. of Fairfield, are lead- vote on adoption of the conference re- (2) relates solely to the solvency or insol- ing the way in the digital economy. port to accompany H.R. 3195. vency of a church plan (including participa- In the Senate, I have worked to sup- tion in State guaranty funds and associa- The PRESIDING OFFICER. Without tions). port the growth of e-commerce by co- objection, it is so ordered. sponsoring the Internet Tax Freedom (c) DEFINITIONS.—For purposes of this sec- Ms. COLLINS. I further ask consent tion: Act which places a three year morato- immediately following the vote on the (1) CHURCH PLAN.—The term ‘‘church plan’’ rium on new state and local taxes on adoption of the conference report, H. has the meaning given such term by section the Internet in order to give the digital Con. Res. 236 be agreed to, and the mo- 414(e) of the Internal Revenue Code of 1986 economy some breathing room to tion to reconsider be laid upon the and section 3(33) of the Employee Retirement Income Security Act of 1974 (29 U.S.C. evolve. table. This legislation takes further steps 1002(33)). The PRESIDING OFFICER. Without to continue the growth of e-commerce (2) REIMBURSES COSTS FROM GENERAL objection, it is so ordered. and is a powerful follow-on to the CHURCH ASSETS.—The term ‘‘reimburses costs f from general church assets’’ means engaging Internet Tax Freedom Act. With this in an activity that is not the spreading of legislation we will eliminate a major CHURCH PLAN PARITY AND EN- risk solely for the purposes of the provisions barrier to e-commerce by providing for TANGLEMENT PREVENTION ACT of State insurance laws described in sub- the legal recognition of electronic sig- OF 1999 section (b). natures in contracting and by creating Ms. COLLINS. Mr. President, I ask (3) WELFARE PLAN.—The term ‘‘welfare plan’’— a consistent, but temporary, national unanimous consent the health com- electronic signatures law to preempt a (A) means any church plan to the extent mittee be discharged from further con- that such plan provides medical, surgical, or multitude of sometimes inconsistent sideration of S. 1309 and that the Sen- hospital care or benefits, or benefits in the state laws. This bill is technology neu- ate proceed to its immediate consider- event of sickness, accident, disability, death tral, allowing contracting parties to ation. or unemployment, or vacation benefits, ap- determine the appropriate electronic The PRESIDING OFFICER. Without prenticeship or other training programs, or signature technology for their trans- objection, it is so ordered. day care centers, scholarship funds, or pre- action. Importantly, this legislation is The clerk will report the bill by title. paid legal services; and (B) does not include any entity, such as a the result of thoughtful compromise. It The legislative clerk read as follows: gives electronic signatures more legal health insurance issuer described in section A bill (S. 1309) to amend title I of the Em- 9832(b)(2) of the Internal Revenue Code of certainty but also provides for con- ployee Retirement Income Security Act of 1986 or a health maintenance organization sumer protection. It deals with elec- 1974 to provide for the preemption of State described in section 9832(b)(3) of such Code, tronic signatures only in creating con- law in certain cases relating to certain or any other organization that does business tracts. It preempts state law only until church plans. with the church plan or organization spon- the states enact their own statutes and There being no objection, the Senate soring or maintaining such a plan. standards as provided for by the Uni- proceeded to consider the bill. (d) ENFORCEMENT AUTHORITY.—Notwith- form Electronic Transactions Act standing any other provision of this section, AMENDMENT NO. 2788 for purposes of enforcing provisions of State (UETA). (Purpose: To provide for a complete insurance laws that apply to a church plan Mr. President, I thank those who substitute) that is a welfare plan, the church plan shall have worked so diligently to create Ms. COLLINS. Mr. President, there is be subject to State enforcement as if the this Act. Through the considerate and a substitute amendment at the desk church plan were an insurer licensed by the collaborative approach of several of my State. submitted by Senators SESSIONS and colleagues, including Senators ABRA- (e) APPLICATION OF SECTION.—Except as JEFFORDS. I ask for its consideration. provided in subsection (d), the application of HAM, LEAHY, and WYDEN, we now have The PRESIDING OFFICER. The this section is limited to determining the legislation with language that achieves clerk will report. status of a church plan that is a welfare plan a broad public purpose. We are now The legislative clerk read as follows: under the provisions of State insurance laws able to continue supporting the growth described in subsection (b). This section The Senator from Maine [Ms. COLLINS] for and evolution of electronic commerce shall not otherwise be construed to recharac- Mr. SESSIONS, for himself, and Mr. JEFFORDS, terize the status, or modify or affect the and technologies that will effectively proposes an amendment numbered 2788. bring us into the next century. rights, of any plan participant or bene- The amendment is as follows: ficiary, including participants or bene- Ms. COLLINS. Mr. President, I ask ficiaries who make plan contributions. unanimous consent the committee Strike all after the enacting clause and insert the following: Ms. COLLINS. I ask unanimous con- amendment in the nature of a sub- sent that the amendment be agreed to. stitute be agreed to as amended, the SECTION 1. PURPOSE. The purpose of this Act is only to clarify The PRESIDING OFFICER. Without bill be read the third time and passed, the application to a church plan that is a objection, it is so ordered. the motion to reconsider laid upon the welfare plan of State insurance laws that re- The amendment (No. 2788) was agreed table, and any statements be printed in quire or solely relate to licensing, solvency, to. the RECORD. insolvency, or the status of such plan as a Ms. COLLINS. Mr. President, I ask The PRESIDING OFFICER. Without single employer plan. unanimous consent the bill be read the objection, it is so ordered. SEC. 2. CLARIFICATION OF CHURCH WELFARE third time and passed, as amended, the The committee amendment in the PLAN STATUS UNDER STATE INSUR- motion to reconsider be laid upon the ANCE LAW. nature of a substitute was agreed to. table and any statements be printed in The bill (S. 761), as amended, was (a) IN GENERAL.—For purposes of determining the status of a church plan that is a the RECORD. read the third time and passed, as fol- welfare plan under provisions of a State in- The PRESIDING OFFICER. Without lows: surance law described in subsection (b), such objection, it is so ordered. [The bill was not available for print- a church plan (and any trust under such The bill (S. 1309), as amended, was ing. It will appear in a future edition of plan) shall be deemed to be a plan sponsored read the third time and passed, as fol- the RECORD.] by a single employer that reimburses costs lows:

VerDate 29-OCT-99 05:21 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00051 Fmt 0624 Sfmt 0634 E:\CR\FM\G19NO6.148 pfrm01 PsN: S19PT1 S14890 CONGRESSIONAL RECORD — SENATE November 19, 1999 S. 1309 terize the status, or modify or affect the that we need to do better to combat Be it enacted by the Senate and House of Rep- rights, of any plan participant or bene- this theft, both with enforcement of resentatives of the United States of America in ficiary, including participants or bene- our current copyright laws and with Congress assembled, ficiaries who make plan contributions. strengthened copyright laws to deter SECTION 1. PURPOSE. Mr. LEAHY. Mr. President, the Sen- potential infringes. The purpose of this Act is only to clarify ate is today passing an important bill, The Hatch-Leahy-Schumer ‘‘Digital the application to a church plan that is a S. 1257, the Hatch-Leahy-Schumer Theft Deterrence and Copyright Dam- welfare plan of State insurance laws that re- ‘‘Digital Theft Deterrence and Copy- ages Improvement Act’’ would help quire or solely relate to licensing, solvency, right Damages Improvement Act of provide additional deterrence by insolvency, or the status of such plan as a single employer plan. 1999.’’ This legislation should help our amending the Copyright Act, 17 U.S.C. copyright industries, which in turn SEC. 2. CLARIFICATION OF CHURCH WELFARE § 504(c), to increase the amounts of PLAN STATUS UNDER STATE INSUR- helps both those who are employed in statutory damages recoverable for ANCE LAW. those industries and those who enjoy copyright infringements. These (a) IN GENERAL.—For purposes of deter- the wealth of consumer products, in- amounts were last increased in 1988 mining the status of a church plan that is a cluding books, magazines, movies, and when the United States acceded to the welfare plan under provisions of a State in- computer software, that makes the vi- Berne Convention. Specifically, the bill surance law described in subsection (b), such brant culture of this country the envy a church plan (and any trust under such would increase the cap on statutory plan) shall be deemed to be a plan sponsored of the world. This legislation has al- damages by 50 percent, raising the min- by a single employer that reimburses costs ready traveled an unnecessarily bumpy imum from $500 to $750 and raising the from general church assets, or purchases in- road to get to this stage, and it is my maximum from $20,000 to $30,000. In ad- surance coverage with general church assets, hope that it will be sent promptly to dition, the bill would raise from or both. the President’s desk. $100,000 to $150,000 the amount of statu- (b) STATE INSURANCE LAW.—A State insur- On July 1, 1999, the Senate passed tory damages for willful infringements. ance law described in this subsection is a law four intellectual property bills which Courts determining the amount of that— Senator HATCH and I had joined in in- statutory damages in any given case (1) requires a church plan, or an organization described in section 414(e)(3)(A) of the troducing and which the Judiciary would have discretion to impose dam- Internal Revenue Code of 1986 and section Committee had unanimously reported. ages within these statutory ranges at 3(33)(C)(i) of the Employee Retirement In- Each of these bills (S. 1257, which we just and appropriate levels, depending come Security Act of 1974 (29 U.S.C. consider today; S. 1258, the Patent Fee on the harm caused, ill-gotten profits 1002(33)(C)(i)) to the extent that it is admin- Integrity and Innovation Protection obtained and the gravity of the offense. istering or funding such a plan, to be li- Act; S. 1259, the Trademark Amend- The bill preserves provisions of the cur- censed; or ments Act; and S. 1260, the Copyright rent law allowing the court to reduce (2) relates solely to the solvency or insol- Act Technical Corrections Act) make the award of statutory damages to as vency of a church plan (including participation in State guaranty funds and associa- important improvements to our intel- little as $200 in cases of innocent in- tions). lectual property laws, and I congratu- fringement and requiring the court to (c) DEFINITIONS.—For purposes of this sec- late Senator HATCH for his leadership remit damages in certain cases involv- tion: in moving these bills promptly through ing nonprofit educational institutions, (1) CHURCH PLAN.—The term ‘‘church plan’’ the Committee. libraries, archives, or public broad- has the meaning given such term by section Three of those four bills then passed casting entities. 414(e) of the Internal Revenue Code of 1986 the House without amendment and Finally, the bill provides authority and section 3(33) of the Employee Retirement were signed by the President on August for the Sentencing Commission expedi- Income Security Act of 1974 (29 U.S.C. 1002(33)). 5, 1999. The House sent back to the Sen- tiously to fulfill its responsibilities (2) REIMBURSES COSTS FROM GENERAL ate S. 1257, the Digital Theft Deter- under the No Electronic Theft Act, CHURCH ASSETS.—The term ‘‘reimburses costs rence and Copyright Damages Improve- which directed the Commission to en- from general church assets’’ means engaging ment Act, with two modifications sure that the guidelines provide for in an activity that is not the spreading of which I will describe below. consideration of the retail value and risk solely for the purposes of the provisions I have long been concerned about re- quantity of the items with respect to of State insurance laws described in sub- ducing the levels of software piracy in which the intellectual property offense section (b). this country and around the world. The was committed. Since the time that (3) WELFARE PLAN.—The term ‘‘welfare theft of digital copyrighted works and, plan’’— this law became effective, the Sen- (A) means any church plan to the extent in particular, of software, results in tencing Commission has not had a full that such plan provides medical, surgical, or lost jobs to American workers, lost slate of Commissioners serving. In fact, hospital care or benefits, or benefits in the taxes to Federal and State govern- we have had no Commissioners since event of sickness, accident, disability, death ments, and lost revenue to American October, 1998. This situation was cor- or unemployment, or vacation benefits, ap- companies. A recent report released by rected last week with the confirmation prenticeship or other training programs, or the Business Software Alliance esti- of seven new Commissioners. day care centers, scholarship funds, or pre- mates that worldwide theft of copy- As I noted, the House amended the paid legal services; and righted software in 1998 amounted to version of S. 1257 that the Senate (B) does not include any entity, such as a health insurance issuer described in section nearly $11 billion. According to the re- passed in July in two ways. First, the 9832(b)(2) of the Internal Revenue Code of port, if this ‘‘pirated software has in- original House version of this legisla- 1986 or a health maintenance organization stead been legally purchased, the in- tion, H.R. 1761, contained a new pro- described in section 9832(b)(3) of such Code, dustry would have been able to employ posed enhanced penalty for infringers or any other organization that does business 32,700 more people. In 2008, if software who engage in a repeated pattern of in- with the church plan or organization spon- piracy remains at its current rate, fringement, but without any scienter soring or maintaining such a plan. 52,700 jobs will be lost in the core soft- requirement. I shared the concerns (d) ENFORCEMENT AUTHORITY.—Notwith- ware industry.’’ This theft also reflects raised by the Copyright Office that this standing any other provision of this section, for purposes of enforcing provisions of State losses of $991 million in tax revenue in provision, absent a willfulness scienter insurance laws that apply to a church plan the United States. requirement, would permit imposition that is a welfare plan, the church plan shall These statistics about the harm done of the enhanced penalty even against be subject to State enforcement as if the to our economy by the theft of copy- person who negligently, albeit repeat- church plan were an insurer licensed by the righted software alone, prompted me to edly, engaged in acts of infringement. State. introduce the ‘‘Criminal Copyright Im- Consequently, the Hatch-Leahy-Schu- (e) APPLICATION OF SECTION.—Except as provement Act’’ in both the 104th and mer bill, S. 1257, that we sent to the provided in subsection (d), the application of 105th Congresses, and to work for pas- House in July avoided casting such a this section is limited to determining the status of a church plan that is a welfare plan sage of this legislation, which was fi- wide net, which could chill legitimate under the provisions of State insurance laws nally enacted as the ‘‘No Electronic fair uses of copyrighted works. Instead, described in subsection (b). This section Theft Act of 1997,’’ Pub. L. 105–147. The the bill we sent to the House would shall not otherwise be construed to recharac- current rates of software piracy show have created a new tier of statutory

VerDate 29-OCT-99 06:08 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00052 Fmt 0624 Sfmt 0634 E:\CR\FM\A19NO6.097 pfrm01 PsN: S19PT1 November 19, 1999 CONGRESSIONAL RECORD — SENATE S14891 damages allowing a court to award tions posed at their confirmation hear- ‘‘(C) allow the borrower to obtain a loan, in damages in the amount of $250,000 per ings, each of the nominated Sentencing addition to any other outstanding loans infringed work where the infringement Commissioners indicated that they under this title, to pay any amounts due on is part of a willful and repeated pattern would make this issue a priority. For a shared appreciation agreement, at a rate of interest that is not greater than the rate of or practice of infringement. The entire example, Judge William Sessions of the interest on outstanding marketable obliga- ‘‘pattern and practice’’ provision, District of Vermont specifically noted tions of the United States of a maturity which originated in the House, has that: comparable to that of the loan.’’. been removed from the version of S. If confirmed, our first task must be to ad- (b) APPLICATION.—The amendment made by 1257 sent back to the Senate. dress Congress’ longstanding directives, in- subsection (a) shall apply to a shared appre- Second, the original House version of cluding implementation of the guidelines ciation arrangement entered into under sec- this legislation provided a direction to pursuant to the NET Act. Congress directed tion 353(e) of the Consolidated Farm and the Sentencing Commission to amend the Sentencing Commission to fashion guide- Rural Development Act (7 U.S.C. 2001(e)) the guidelines to provide an enhance- lines under the NET Act that are sufficiently that matures on or after the date of enactment of this Act. ment based upon the retail price of the severe to deter such criminal activity. I personally favor addressing penalties under this Ms. COLLINS. Mr. President, I ask legitimate items that are infringed and statute expeditiously. the quantity of the infringing items. I unanimous consent the amendment be was concerned that this direction I fully concur in the judgment of agreed to, the bill be read the third would require the Commission and, ul- Chairman HATCH that the Sentencing time and passed as amended, the mo- timately, sentencing judges to treat Commission directive provision added tion to reconsider be laid upon the similarly a wide variety of infringe- by the House and to send, again, S. 1257 table, and that any statements be ment crimes, no matter the type and to the House for action. printed in the RECORD. magnitude of harm. This was a problem This bill represents an improvement The PRESIDING OFFICER. Without we avoided in the carefully crafted in current copyright law, and I hope objection, it is so ordered. The amendment (No. 2789) was agreed Sentencing Commission directive origi- that it will soon be sent to the Presi- to. nally passed as part of the No Elec- dent for enactment. The bill (S. 961), as amended, was tronic Theft Act. Consequently, the f read the third time and passed, as fol- version of S. 1257 passed by the Senate TO AMEND THE CONSOLIDATED lows: in July did not include the directive to FARM AND RURAL DEVELOP- [The bill was not available for print- the Sentencing Commission. The House MENT ACT ing. It will appear in a future edition of then returned S. 1257 with the same Ms. COLLINS. Mr. President, I ask the RECORD.] problematic directive to the Sen- unanimous consent the Agriculture f tencing Commission. Committee be discharged from further I appreciate that my House col- COPYRIGHT DAMAGES consideration of S. 961, and the Senate leagues and interested stakeholders IMPROVEMENT ACT OF 1999 proceed to its immediate consider- have worked over the past months to ation. Ms. COLLINS. I ask unanimous con- address my concerns over the breadth The PRESIDING OFFICER. Without sent the Chair lay before the Senate a of the proposed directive to the Sen- objection, it is so ordered. message from the House to accompany tencing Commission, and to find a bet- The clerk will report the bill by title. S. 1257. ter definition of the categories of cases The legislative clerk read as follows: The PRESIDING OFFICER laid be- in which it would be appropriate to fore the Senate the following message compute the applicable sentencing A bill (S. 961) to amend the Consolidated Farm and Rural Development Act to im- from the House of Representatives: guideline based upon the retail value of prove shared appreciation arrangements. Resolved, That the bill from the Senate (S. the infringed upon item. A better solu- There being no objection, the Senate 1257) entitled ‘‘An Act to amend statutory tion than the one contained in the No damages provisions of title 17, United States Electronic Theft Act remains elusive, proceeded to consider the bill. Code’’, do pass with the following amend- however. AMENDMENT NO. 2789 ment: For example, one recent proposal (Purpose: To provide a substitute Strike out all after the enacting clause and seeks to add to S. 1257 a direction to amendment) insert: the Sentencing Commission to enhance Ms. COLLINS. Mr. President, there is SECTION 1. SHORT TITLE. the guideline offense level for copy- a substitute amendment at the desk This Act may be cited as the ‘‘Copyright Dam- ages Improvement Act of 1999’’. right and trademark infringements submitted by Senator BURNS, and I ask for its consideration. SEC. 2. STATUTORY DAMAGES ENHANCEMENT. based upon the retail price of the le- Section 504(c) of title 17, United States Code, gitimate products multiplied by the The PRESIDING OFFICER. The is amended— quantity of the infringing products, ex- clerk will report. (1) in paragraph (1)— cept where ‘‘the infringing products are The legislative clerk read as follows: (A) by striking ‘‘$500’’ and inserting ‘‘$750’’; substantially inferior to the infringed The Senator from Maine [Ms. COLLINS] for and upon products and there is substantial Mr. BURNS, proposes an amendment num- (B) by striking ‘‘$20,000’’ and inserting bered 2789. ‘‘$30,000’’; and price disparity between the legitimate (2) in paragraph (2), by striking ‘‘$100,000’’ products and the infringing products.’’ The amendment is as follows: and inserting ‘‘$150,000’’. This proposed direction appears to be Strike all after the enacting clause and in- SEC. 3. SENTENCING COMMISSION GUIDELINES. under-inclusive since it would not sert the following: Section 2(g) of the No Electronic Theft (NET) allow a guideline enhancement in cases SECTION 1. SHARED APPRECIATION ARRANGE- Act (28 U.S.C. 994 note) is amended by striking where fake goods are passed off as the MENTS. paragraph (2) and inserting the following: real item to unsuspecting consumers, (a) IN GENERAL.—Section 353(e) of the Con- ‘‘(2) In implementing paragraph (1), the Sen- even though this is clearly a situation solidated Farm and Rural Development Act tencing Commission shall amend the guideline (7 U.S.C. 2001(e)) is amended by striking in which the Commission may decide applicable to criminal infringement of a copy- paragraph (2) and inserting the following: right or trademark to provide an enhancement to provide an enhancement. ‘‘(2) TERMS.—A shared appreciation agree- based upon the retail price of the legitimate In view of the fact that the full Sen- ment entered into by a borrower under this items that are infringed upon and the quantity tencing Commission has not had an op- subsection shall— of the infringing items. To the extent the con- portunity for the past two years to ‘‘(A) have a term not to exceed 10 years; duct involves a violation of section 2319A of title consider and implement the original ‘‘(B) provide for recapture based on the dif- 18, United States Code, the enhancement shall direction in the No Electronic Theft ference between— be based upon the retail price of the infringing Act, passing a new and flawed directive ‘‘(i) the appraised value of the real security items and the quantity of the infringing items. appears to be both unnecessary and un- property at the time of restructuring; and ‘‘(3) Paragraph (1) shall be implemented not ‘‘(ii) that value at the time of recapture, later than 3 months after the later of— wise. This is particularly the case since except that that value shall not include the ‘‘(A) the first day occurring after May 20, the new Commissioners have already value of any capital improvements made to 1999; or indicated a willingness to consider this the real security property by the borrower ‘‘(B) the first day after the date of the enact- issue promptly. In response to ques- after the time of restructuring; and ment of this paragraph,

VerDate 29-OCT-99 06:08 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00053 Fmt 0624 Sfmt 6333 E:\CR\FM\G19NO6.102 pfrm01 PsN: S19PT1 S14892 CONGRESSIONAL RECORD — SENATE November 19, 1999 on which sufficient members of the Sentencing waste, and abuse in the Federal Government; (B) if that council is eliminated, by a majority Commission have been confirmed to constitute a and vote of the inspector generals created under the quorum. (2) independence is vital for an Inspector Gen- Inspector General Act of 1978 (5 U.S.C. App.). ‘‘(4) The Commission shall promulgate the eral to function effectively. (c) SEPARATE APPROPRIATIONS ACCOUNT.— guidelines or amendments provided for under (b) ESTABLISHMENT OF INSPECTOR GENERAL.— Section 1105(a) of title 31, United States Code, is this section in accordance with the procedures The Inspector General Act of 1978 (5 U.S.C. amended by adding at the end the following: set forth in section 21(a) of the Sentencing Act App.) is amended— ‘‘(33) a separate appropriation account for ap- of 1987, as though the authority under that Act (1) in section 8G(a)(2) by striking ‘‘the Ten- propriations for the Inspectors General Criminal had not expired.’’. nessee Valley Authority,’’; and Investigator Academy and the Inspectors Gen- SEC. 4. EFFECTIVE DATE. (2) in section 11— eral Forensic Laboratory of the Department of The amendments made by section 2 shall (A) in paragraph (1) by striking ‘‘or the Com- the Treasury.’’. apply to any action brought on or after the date missioner of Social Security, Social Security Ad- (d) AUTHORIZATION OF APPROPRIATIONS.— of the enactment of this Act, regardless of the ministration;’’ and inserting ‘‘the Commissioner There are authorized to carry out this section date on which the alleged activity that is the of Social Security, Social Security Administra- such sums as may be necessary for fiscal year basis of the action occurred. tion; or the Board of Directors of the Tennessee 2001 and each fiscal year thereafter. Valley Authority;’’; and Ms. COLLINS. Mr. President, I ask AMENDMENT NO. 2790 (B) in paragraph (2) by striking ‘‘or the Social (Purpose: To provide for the promulgation of Security Administration;’’ and inserting ‘‘the unanimous consent that the committee emergency guidelines by the United States Social Security Administration, or the Tennessee substitute be agreed to, the bill be read Sentencing Commission relating to crimi- Valley Authority;’’. the third time and passed, the motion nal infringement of a copyright or trade- (c) EXECUTIVE SCHEDULE POSITION.—Section to reconsider be laid upon the table, mark, and for other purposes) 5315 of title 5, United States Code, is amended and any statements related to the bill Ms. COLLINS. Mr. President, I ask by inserting after the item relating to the In- be printed in the RECORD. unanimous consent that the Senate spector General of the Small Business Adminis- The PRESIDING OFFICER. Without concur in the House amendment with a tration the following: objection, it is so ordered. ‘‘Inspector General, Tennessee Valley Author- further amendment which is at the ity.’’. The committee amendment in the desk. (d) EFFECTIVE DATE AND APPLICATION.— nature of a substitute was agreed to. The PRESIDING OFFICER. The (1) IN GENERAL.—The amendments made by The bill (S. 1707), as amended, was clerk will report. this section shall take effect 30 days after the read the third time and passed, as fol- The legislative clerk read as follows: date of enactment of this Act. lows: (2) INSPECTOR GENERAL.—The person serving The Senator from Maine [Ms. COLLINS] for S. 1707 as Inspector General of the Tennessee Valley Mr. HATCH, for himself, and Mr. LEAHY, pro- Authority on the effective date of this section— Be it enacted by the Senate and House of Rep- poses an amendment numbered 2790. (A) may continue such service until the Presi- resentatives of the United States of America in The amendment is as follows: dent makes an appointment under section 3(a) Congress assembled, On page 1, line 2, insert ‘‘Digital Theft De- of the Inspector General Act of 1978 (5 U.S.C. SECTION 1. THE TENNESSEE VALLEY AUTHORITY terrence and’’ before ‘‘Copyright’’. App.) consistent with the amendments made by AS AN ESTABLISHMENT UNDER THE this section; and INSPECTOR GENERAL ACT OF 1978. On page 2, strike lines 2 through 26 and in- (a) FINDINGS.—Congress finds that— sert the following: (B) shall be subject to section 8G (c) and (d) of the Inspector General Act of 1978 (5 U.S.C. (1) Inspectors General serve an important Within 120 days after the date of the enact- function in preventing and eliminating ment of this Act, or within 120 days after the App.) as applicable to the Board of Directors of the Tennessee Valley Authority, unless that per- fraud, waste, and abuse in the Federal Gov- first date on which there is a sufficient num- ernment; and ber of voting members of the Sentencing son is appointed by the President, by and with the advice and consent of the Senate, to be In- (2) independence is vital for an Inspector Commission to constitute a quorum, which- General to function effectively. ever is later, the Commission shall promul- spector General of the Tennessee Valley Author- ity. (b) ESTABLISHMENT OF INSPECTOR GEN- gate emergency guideline amendments to ERAL.—The Inspector General Act of 1978 (5 SEC. 2. ESTABLISHMENT OF INSPECTORS GEN- implement section 2(g) of the No Electronic U.S.C. App.) is amended— Theft (NET) Act (28 U.S.C. 994 note) in ac- ERAL CRIMINAL INVESTIGATOR ACADEMY AND INSPECTORS GEN- (1) in section 8G(a)(2) by striking ‘‘the Ten- cordance with the procedures set forth in ERAL FORENSIC LABORATORY. nessee Valley Authority,’’; and section 21(a) of the Sentencing Act of 1987, as (a) INSPECTORS GENERAL CRIMINAL INVESTI- (2) in section 11— though the authority under that Act had not GATOR ACADEMY.— (A) in paragraph (1) by striking ‘‘or the expired. (1) ESTABLISHMENT.—There is established the Commissioner of Social Security, Social Se- The PRESIDING OFFICER. Without Criminal Investigator Academy within the De- curity Administration;’’ and inserting ‘‘the objection, it is so ordered. partment of the Treasury. The Criminal Investi- Commissioner of Social Security, Social Se- curity Administration; or the Board of Di- f gator Academy is established for the purpose of performing investigator training services for of- rectors of the Tennessee Valley Authority;’’; AMENDING THE INSPECTOR fices of inspectors general created under the In- and GENERAL ACT spector General Act of 1978 (5 U.S.C. App.). (B) in paragraph (2) by striking ‘‘or the So- (2) EXECUTIVE DIRECTOR.—The Criminal In- cial Security Administration;’’ and inserting Ms. COLLINS. Mr. President, I ask vestigator Academy shall be administered by an ‘‘the Social Security Administration, or the unanimous consent that the Senate Executive Director who shall report to an in- Tennessee Valley Authority;’’. now proceed to the consideration of spector general for an establishment as defined (c) EXECUTIVE SCHEDULE POSITION.—Sec- Calendar No. 408, S. 1707. in section 11 of the Inspector General Act of 1978 tion 5315 of title 5, United States Code, is The PRESIDING OFFICER. The (5 U.S.C. App.)— amended by inserting after the item relating clerk will report the bill by title. (A) designated by the President’s Council on to the Inspector General of the Small Busi- ness Administration the following: The legislative clerk read as follows: Integrity and Efficiency; or (B) if that council is eliminated, by a majority ‘‘Inspector General, Tennessee Valley Au- A bill (S. 1707) to amend the Inspector Gen- vote of the inspector generals created under the thority.’’. eral Act of 1978 (5 U.S.C. app,.) to provide Inspector General Act of 1978 (5 U.S.C. App.). (d) EFFECTIVE DATE AND APPLICATION.— that certain designated Federal entities (b) INSPECTORS GENERAL FORENSIC LABORA- (1) IN GENERAL.—The amendments made by shall be establishments under such Act, and TORY.— this section shall take effect 30 days after for other purposes. (1) ESTABLISHMENT.—There is established the the date of enactment of this Act. There being no objection, the Senate Inspectors General Forensic Laboratory within (2) INSPECTOR GENERAL.—The person serv- proceeded to consider the bill which the Department of the Treasury. The Inspector ing as Inspector General of the Tennessee had been reported from the Committee General Forensic Laboratory is established for Valley Authority on the effective date of the purpose of performing forensic services for this section— on Governmental Affairs, with an offices of inspectors general created under the (A) may continue such service until the amendment to strike all after the en- Inspector General Act of 1978 (5 U.S.C. App.). President makes an appointment under sec- acting clause and inserting in lieu (2) EXECUTIVE DIRECTOR.—The Inspectors tion 3(a) of the Inspector General Act of 1978 thereof the following: General Forensic Laboratory shall be adminis- (5 U.S.C. App.) consistent with the amend- SECTION 1. THE TENNESSEE VALLEY AUTHORITY tered by an Executive Director who shall report ments made by this section; and AS AN ESTABLISHMENT UNDER THE to an inspector general for an establishment as (B) shall be subject to section 8G (c) and (d) INSPECTOR GENERAL ACT OF 1978. defined in section 11 of the Inspector General of the Inspector General Act of 1978 (5 U.S.C. (a) FINDINGS.—Congress finds that— Act of 1978 (5 U.S.C. App.)— App.) as applicable to the Board of Directors (1) Inspectors General serve an important (A) designated by the President’s Council on of the Tennessee Valley Authority, unless function in preventing and eliminating fraud, Integrity and Efficiency; or that person is appointed by the President, by

VerDate 29-OCT-99 06:08 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00054 Fmt 0624 Sfmt 0634 E:\CR\FM\A19NO6.021 pfrm01 PsN: S19PT1 November 19, 1999 CONGRESSIONAL RECORD — SENATE S14893 and with the advice and consent of the Sen- fined in section 11 of the Inspector General lishment as defined in section 11 of the In- ate, to be Inspector General of the Tennessee Act of 1978 (5 U.S.C. App.)— spector General Act of 1978 (5 U.S.C. App.)— Valley Authority. (A) designated by the President’s Council (A) designated by the President’s Council on Integrity and Efficiency; or on Integrity and Efficiency; or SEC. 2. ESTABLISHMENT OF INSPECTORS GEN- (B) if that council is eliminated, by a ma- (B) if that council is eliminated, by a ma- ERAL CRIMINAL INVESTIGATOR ACADEMY AND INSPECTORS GEN- jority vote of the inspector generals created jority vote of the inspector generals created ERAL FORENSIC LABORATORY. under the Inspector General Act of 1978 (5 under the Inspector General Act of 1978 (5 U.S.C. App.). U.S.C. App.). (a) INSPECTORS GENERAL CRIMINAL INVESTI- (b) INSPECTORS GENERAL FORENSIC LABORA- (c) SEPARATE APPROPRIATIONS ACCOUNT.— GATOR ACADEMY.— TORY.— Section 1105(a) of title 31, United States (1) ESTABLISHMENT.—There is established (1) ESTABLISHMENT.—There is established the Criminal Investigator Academy within the Inspectors General Forensic Laboratory Code, is amended by adding at the end the the Department of the Treasury. The Crimi- within the Department of the Treasury. The following: nal Investigator Academy is established for Inspector General Forensic Laboratory is es- ‘‘(33) a separate appropriation account for the purpose of performing investigator train- tablished for the purpose of performing fo- appropriations for the Inspectors General ing services for offices of inspectors general rensic services for offices of inspectors gen- Criminal Investigator Academy and the In- created under the Inspector General Act of eral created under the Inspector General Act spectors General Forensic Laboratory of the 1978 (5 U.S.C. App.). of 1978 (5 U.S.C. App.). Department of the Treasury.’’. (2) EXECUTIVE DIRECTOR.—The Criminal In- (2) EXECUTIVE DIRECTOR.—The Inspectors (d) AUTHORIZATION OF APPROPRIATIONS.— vestigator Academy shall be administered by General Forensic Laboratory shall be admin- There are authorized to carry out this sec- an Executive Director who shall report to an istered by an Executive Director who shall tion such sums as may be necessary for fiscal inspector general for an establishment as de- report to an inspector general for an estab- year 2001 and each fiscal year thereafter.

N O T I C E Senate proceedings for today are incomplete. Today’s Senate proceedings will be continued in the next issue of the Record.

VerDate 29-OCT-99 06:08 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00055 Fmt 0624 Sfmt 8633 E:\CR\FM\A19NO6.103 pfrm01 PsN: S19PT1 November 19, 1999 CONGRESSIONAL RECORD — Extensions of Remarks E2457 EXTENSIONS OF REMARKS

REFORM OF THE COMMUNICA- to understand that you won't be around long only 32 students nationwide to earn the much TIONS SATELLITE COMPETITION in this business if you're only resting on your coveted scholarship named in honor of philan- AND PRIVATIZATION ACT laurels. thropist Cecil Rhodes. And just last year Mr. Speaker, I believe we can make this Manuel also earned the distinguished Truman HON. W.J. (BILLY) TAUZIN market even better for consumers. As the con- Scholarship. I want to recognize Manuel for OF LOUISIANA ference committee moves forward, we need to bringing honor to his family, his community IN THE HOUSE OF REPRESENTATIVES ensure that legislation intending to direct the and to New Mexico. future of the satellite industry is consistent with Manuel was born and raised in Rainsville, in Thursday, November 18, 1999 current economics, and that it recognizes the the County of Mora. He lost his father at an Mr. TAUZIN. Mr. Speaker, when I last ad- enormous strides toward full, free and private early age. Through his faith and his gifts, he dressed the House concerning H.R. 3261, at competition that are already underway. We has turned tragedy into inspiration and misfor- Chairman BLILEY's request, I read his state- need to ensure that a wide range of issues tune into strength, both for himself and for ment into the CONGRESSIONAL RECORD. Due to are addressed in a manner that fosters even those around him. The County of Mora is one my long legislative history in issues relating to more competition, and that Congress enacts of the most economically disadvantaged coun- the satellite industry, I believe it is necessary balanced legislation which offers all compa- ties in our country. The county confronts all of for me to provide some additional views as the nies in the satellite services industry a level the challenges that affect rural America today. House and Senate prepare to begin a con- playing field. Although stricken by poverty, Mora is one of ference aimed at reconciling differences be- I want to specifically commend Chairman the wealthiest counties in spirit in our country, tween their respective bills. BLILEY for working to improve upon H.R. 1872 rich in culture and history with its Hispanic The Communications Satellite Competition in several important areas. I am particularly Heritage, rich in beauty with its mountains, and Privatization Act of 1999 is an important gratified that the House legislation has effec- valleys and rivers, rich in people that place the step forward in Congress' efforts to update the tively ensured that private contracts negotiated highest value on family, honor and respect. Communications Satellite Act of 1962 (1962 between entities are safeguarded and not sub- And Mora is rich in faith and rich in hope. The Act). I wish to acknowledge the efforts of ject to manipulation as a result of new legisla- best of Mora is personified in Manuel Montoya Chairman BLILEY in reaching out to members tion. and he has made our State and his commu- of the Telecommunications Subcommittee to We also need to be sensitive to the fact that nity very proud. address important issues and advance the this bill is necessary to accommodate a com- On behalf of all New Mexicans I want him legislative process. mercial transaction between two companies to know that he is in our thoughts and we look Mr. Speaker, reform of the 1962 Act is vi- that have already received regulatory approval forward to his many successes. Manuel, La tally necessary, as technological innovation for their merger. In this regard we should work Gente de Mora y de Nuevo Mexico estan and marketplace competition has dramatically to ensure that any action of the Congress Contigo. changed the satellite industry over the past 30 should not diminish the value of current invest- Thank you Mr. Speaker, I ask that a copy of years. Indeed, the arrival and rapid advance of ments or ongoing business activities. the newspaper article recognizing Manuel's undersea and underground fiber-optic cable We should also ensure that no single com- accomplishments also be placed in the systems has forced the industry to move be- petitor in the satellite services industry is ad- RECORD. yond what many policymakers have thought to vantaged or disadvantaged by our actions. In [From the Santa Fe New Mexican, Dec. 8, be its only role: universally providing tele- our effort to create a more dynamic market- 1999] communications services to broad audiences. place, we should endeavor ourselves to pro- MORA NATIVE WINS RHODES SCHOLARSHIP While the industry will certainly continue to vide even more consumer choice. Any limita- (By Kim Baca) lead efforts to develop new markets, satellites tion on services that any one company would As a boy, Manuel-Julian Rudolfo Montoya are now highly sought after to provide the ca- offer should be seen as an outcome that re- of Mora wrote stories about his father—his pacity and redundancy necessary to continue duces consumer choice. As I said previously, favorite hero next to Batman. the explosion in telecommunications usage, In his stories, his father helped him and at a time when demand for Internet and other the family. Montoya was 7 when his father data transmission, and e-commerce. In other broadband services are driving growth across died, but the child never forgot the things words, we have now learned that not only are the telecommunications industry, it would be his father taught him—especially things cable systems unable and, in some cases, un- terribly ironic if an action of the Congress ac- about trust, honor and leadership. willing to reach everyone, they may not be tually limited choice in the satellite market. It may be those things that helped the 21- able to service everyone. I am optimistic that we will produce legisla- year-old University of New Mexico senior be- As the landscape of the marketplace con- tion in the conference committee that is genu- come one of 32 American students named a tinues to change more cable and satellite sys- inely pro-competitive and offers customers Rhodes scholar Saturday. ‘‘I am not proud of the accomplishment, tems find themselves in direct competition for around the world more choices. I look forward but what it means to all those people that customers, and we have been forced to recon- to working with Chairman BLILEY and Senator helped me get there,’’ Montoya said. ‘‘This is sider our assumptions regarding the average BURNS to produce legislation that meets these by no means my scholarship; it belongs to a satellite services user. No longer are these objectives. lot of people—to my family, to my friends, users simply interested in access to services; f my community. It belongs to UNM and ev- satellite customers want exactly what other erybody has the right to celebrate that.’’ telecommunications customers want. They TRIBUTE TO MANUEL MONTOYA The prestigious scholarship program was want choice in the marketplace. They want the created in 1902 by British philanthropist and colonial pioneer Cecil J. Rhodes to help stu- option of different transmission systems. They HON. TOM UDALL dents from English colonies and the United want broadband services over the Internet. OF NEW MEXICO States attend Oxford University in England They want high quality and highly dependable IN THE HOUSE OF REPRESENTATIVES for two or three years. services. And they want it now. The scholarship, which pays all college and This change in consumer demand, coupled Thursday, November 18, 1999 university fees, is one of the oldest inter- with the exponential increase in Internet Mr. UDALL of New Mexico. Mr. Speaker, it national study awards available to students. usage, interactive data and direct-to-home sat- makes me very proud to rise before the House Montoya, a 1995 Mora High School graduate, has a long list of achievements. After ellite services fuels much of the growth in the of Representatives to recognize Manuel Mon- graduating as valedictorian, he was awarded satellite services industry today. The result is toya from Mora, NM. Just a few weeks ago the Regents Scholarship, a four-year grant a dynamic and highly competitive marketplace. Manuel began his studies at Oxford, England given to New Mexico’s highest achievers. How competitive? One need look no further as a Rhodes Scholar. Manuel is a graduate of While in college, the English and economics than the chapter 11 filings of Iridium and ICO the University of New Mexico and is one of double major helped establish a rural honors

∑ This ‘‘bullet’’ symbol identifies statements or insertions which are not spoken by a Member of the Senate on the floor. Matter set in this typeface indicates words inserted or appended, rather than spoken, by a Member of the House on the floor.

VerDate 2999 05:51 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00001 Fmt 0626 Sfmt 0634 E:\CR\FM\A19NO8.000 pfrm03 PsN: E19PT1 E2458 CONGRESSIONAL RECORD — Extensions of Remarks November 19, 1999 program for high school students in honor of a distinction bestowed upon college juniors Montoya had numerous uncles to draw his father. who have extensive records of public service guidance from. He was nevertheless painfully Earlier this year, he was named a Truman and outstanding leadership potential. aware that his own father was, in his words, Scholar—a national scholarship project If Montoya represents the future of New ‘‘a guardian angel now.’’ named after President Harry S. Truman and Mexico, then he wants his home-town of He spoke of his struggles once to a group of given to college juniors who have extensive Mora to be celebrated for this gift. It is the peers at a student government conference. records of public service and outstanding place where he experienced unconditional He modeled his speech after the words of leadership potential. love, punctuated by deep pain, where he Martin Luther King Jr. ‘‘I speak of the trials After he was awarded the Truman scholar- gained the wisdom to know that his experi- in my life not to gain your sympathy, but to ship, his advisers in the honors program at ences, both good and bad, have shaped him gain your understanding.’’ UNM encouraged him to apply for the into a worthy man. Montoya says his father’s death and the Rhodes program. Montoya was born Dec. 9, 1976, but his struggles he went through as a result pushed Rebecca Vigil, Montoya’s English teacher story begins a generation before that. him to excel in ways that he felt would at Mora High School, said news of the schol- Mary Louise Martinez was born Feb. 12, honor his father’s memory. arship comes as no surprise to her. 1953, to Francisco and Dolores Martinez in ‘‘I love his memory more than anything in ‘‘He has always been dedicated and com- Mora. Rudy William Montoya was born Oct. this world,’’ he says. ‘‘It compels me every mitted. I always thought he would succeed.’’ 2, 1953, to Ambrosio and Celena Montoya in day.’’ she said. ‘‘It’s great that he has received this Rainsville, 10 minutes away. As a single parent, Mary Louise doesn’t de- honor, not just for him but the entire com- For the first 15 years of their lives, the two scribe her life with her three sons as one in munity.’’ never crossed paths. Then on a spring day, which she played dual roles as mother and Mary Lou Sanchez, a guidance counselor halfway through adolescence, Rudy William father. They leaned a lot on both the Mar- for Mora schools, also remembers Montoya Montoya and Mary Louise Martinez attended tinez and Montoya families—people whom as an exceptional student. the same eighth-grade picnic in the Tres she refers to as ‘‘very special.’’ ‘‘His written and verbal communication Ritos area, near the river. The dynamics of her own family was such was always outstanding,’’ she said. ‘‘He has Mary Louise didn’t know how to swim. And that every son—Montoya, Francisco, and always been a leader.’’ she knew what happened at these types of Rudy William—played an integral role in In addition to playing pool, guitar and functions. Someone always got flung in the keeping the family together. writing poetry, Montoya is also helping build river. This time it was her. Mary Louise says all four of them made de- a museum in Mora. The museum will contain Her classmates must have thought she was cisions on the finances and even discussed the history and genealogy of Mora residents. joking when she started to scream for help. emotional issues. When she decided to return Montoya’s mother Mary Louise Montoya, She panicked and went under water. Rudy to school to receive an associate’s degree, all said her son has always been a quick learner. William jumped in the river. He saved her four of the family members studied together. His first language was Spanish, but he life. ‘‘It took the four of us to do what we’ve learned English immediately. Both were freezing when they emerged done,’’ she says. ‘‘It took the four of us to ‘‘He was a lector at our church at the age from the frigid waters. Mary Louise had pull together.’’ of 7,’’ she said. ‘‘He taught a confirmation brought a beach towel to the picnic. They It’s been 15 years now. Sometimes it seems class when he was still in high school.’’ wrapped themselves in it and sat on a log, like yesterday. Montoya is one of a dozen Rhodes scholars beneath a tree. ‘‘I remember somebody asked me one time residing in New Mexico. The last person to ‘‘Really shyly, he got my hand and he held how I felt,’’ she says. ‘‘I always wondered, receive a Rhodes scholarship at UNM was in it,’’ she remembers. ‘‘That was the start.’’ how are you supposed to answer that? But I the 1970s. Mary Louise and Rudy William went to did real truthfully saying, ‘I feel like I’m cut In September, Montoya will leave for Eng- every basketball game, every dance together in half. I’m missing half of me. And it’s not land and study law. After his term at Oxford, from their freshman through senior years. crosswise, it’s lengthwise.’ Montoya plans to go to Stanford University They graduated from Mora High School in ‘‘We truly were one, and that’s how it’s al- law school. 1972. They were married the following Au- ways going to be.’’ gust. ‘‘It’s my dream to become a litigator and A PROMISING YOUTH provide legal services for the underprivi- Manuel was the first born. Francisco followed four years later on April 12, 1981. Rudy Montoya always had shown promise. He leged,’’ he said. Montoya would also like to learned both English and Spanish at an early create a think tank to study public policy. William Louis, the baby, was born Dec. 22, 1984. age but preferred to speak Spanish before he The elder Rudy William was a hard-work- began school. Neighbors would traipse into [From the Santa Fe New Mexican] ing man with a gentle soul, a man who had his grandmother’s house to watch him stand on the coffee table, with his little guitar, and THE BEST AND THE BRIGHTEST grand dreams for his family. The heavy- equipment operator planned to build a split- sing Spanish church hymns. (By Monica Soto) level house in Rainsville on property he and ‘‘I can remember he was a voracious read- MORA—The Mora River rises in the Rincon Mary Louise inherited from the Montoya er,’’ says Quirinita Martinez, his third-grade Range, east of the Sangre de Cristo Moun- family. teacher. ‘‘He could read and read and read.’’ tains, and flows to the west and to the south Rudy William already had begun digging By the time Montoya was in high school, until it fuses with the Canadian River north the trenches to lay the foundation of the he understood clearly the educational oppor- of Sabinoso. house when on April 17, 1984, he responded to tunities he missed growing up in a rural Generations of families have lived and died a call for help and was shot. He died a day community. His high school did not offer cal- near the river. This is where Manuel-Julian later. culus or an honors English program because Rudolpho Montoya, the Rhodes Scholar, was Mary Louise says the events surrounding of the lack of demand. His school library did born. her husband’s death are things that are still not carry Machiavelli’s The Prince or His story, his journey, is simple really. It too painful to discuss, only to say that he Aristotle’s Ethicos as standard texts. begins and it ends in Mora, a place too beau- was ‘‘an innocent victim to a violent crime. The more people held Montoya up as an tiful for words, where the most brilliant He had no idea what he was walking into.’’ anomaly, the more he believed that he was flowers bloom in the muddiest of waters. She can still remember how Montoya, just no different than his peers. Montoya, 22, stands in a field and stares at this little boy, walked around the house and ‘‘I saw them struggling through a system his birth home. The gray A-frame house is prayed fervently in every room the day his where they said, ‘If you don’t do this or that, empty; it has been for a long time. father died. And the moment at which Mon- you’re a loser,’ ’’ he says. ‘‘That’s unaccept- The wind rushes past him, and he sees im- toya became a man. able to me.’’ ages of his father, Rudy William Montoya, The family held the funeral in Rainsville. In college, Montoya spent a summer writ- washing the family’s 1972 Plymouth Duster When the casket opened, when Montoya first ing a proposal to the Mora School Board that and of his mother, Mary Louise, cooking din- laid eyes upon his father, he didn’t cry. would implement a general honors program ner. He sees the forbidden cookie jar atop the Rather he clasped his hands together and at the high school. The program would set up highest kitchen shelf. He closes his eyes and incanted The Lord’s Prayer, very clearly, independent studies for students who had ex- smiles. very loudly. hausted the school district’s traditional op- ‘‘I’ve come realize this as the turning point After her husband’s death, Mary Louise tions. in my life because it meant a harder life for says she did everything she could so Mon- Montoya wrote in his proposal that an in- me,’’ he says, then pauses. ‘‘Why live life if toya didn’t have to feel like he was the man structor would craft semester-long lesson it’s not hard? I seek the virtues.’’ of the house, but that ‘‘he took on a lot of re- plans for each student. A student who en- Montoya, who graduated last month from sponsibility within himself.’’ rolled in a class on contemporary, moral and The University of New Mexico with degrees Montoya’s patriarchal role was, in ways, ethical issues, for instance, would read books in English and economics, leaves Sept. 25 for inevitable. Montoya’s younger brothers went such as Mary Shelley’s Frankenstein to gain Oxford University, the first UNM student to to him for guidance and advice. He fixed insight into such issues as ‘‘euthanasia, ge- be named a Rhodes Scholar since 1978. Mon- their problems the way he imagined his fa- netic cloning, chemical testing on animals toya last year was named a Truman Scholar, ther would. and humans, freedom-of-speech issues and

VerDate 2999 05:51 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00002 Fmt 0626 Sfmt 0634 E:\CR\FM\A18NO8.004 pfrm03 PsN: E19PT1 November 19, 1999 CONGRESSIONAL RECORD — Extensions of Remarks E2459 hate crime.’’ He included a 40-page economic ADDRESSING A GENERATION pany that has millions of customers, was analysis. Manuel-Julian Rudolpho Montoya’s speech caught charging its customers late fees re- The school board signed the proposal in for The University of New Mexico’s general gardless of when they sent their payment in. August 1997. The board later rescinded the commencement ceremony in May: (ABC News, Nightline: ``Let the Borrower program because it could not fund an in- What then, I ask myself, shall we do this Beware.'' August 31st, 1999). structor to oversee it, Montoya says. fine morning? How will we give praise to our Montoya says he was disappointed by the In addition, many companies are shortening education and our light? grace periods and imposing early morning outcome, but that he has not given up on his I say we shout. project. Shout in honor of the gathering. Give deadlines for when a payment is due. One of ‘‘Next time I’m going to have everything praise to your talents and those who lay the worst things they are doing is sending bills ready to go,’’ he says. ‘‘No questions, no hands on that talent. Form a song, without out just a few days before they're due, which doubts.’’ words and without beat save the rhythm of makes it very difficult to get the payment in on Montoya also has worked diligently on an- the many standing alongside you. Hear the time. other long-term project—to build an archive rhyme of one language in unison as we shout Obviously, these practices do not help credit and museum that would house the town’s in shades of Black, Yellow, Brown, White and card customers maintain good credit ratings. family and cultural histories. He envisions a Red. Shout in colors, shout in creeds. Shout Plaza where the community could gather; Additionally, these practices can cost cus- in praise of the legacies that brought you tomers hundreds of dollars in charges each Mora no longer has one. here. Shout difference! Shout unity! And re- Montoya, who has been accepted to Stan- member that they do not betray each other, year. In order to address some of the prob- ford Law School, says he also dreams of the they simply approach your soul from one end lems that people are encountering with late day when each person is appreciated for his to the other. fees, today I am introducing the ``Credit Card or her potential, when his brothers are held Dance. Customers Proteciton Act of 1999.'' This legis- up for their talents, just as he has been cele- Dance in honor of your celebration. Give lation would require credit card companies brated for his. substances to the presence of our smiles and charging late fees to clearly disclose a date by ‘‘One time, my grandfather made a china our laughter. In our dancing, let us love the which if your payment is postmarked, it cannot cabinet with no nails, structurally sound,’’ greatness of this day, for it is a day that we he says. ‘‘My brother (Francisco) can do recognize the trials of wisdom and knowl- be considered late. Right now, most compa- that. It’s something that I envy in him. The edge brought to bear upon our very souls. nies charge you based on when your payment time hasn’t come where they say that this is Cry. arrives. But with passage of this legislation, if just as beautiful as being a Rhodes Scholar, Cry in honor of your suffering. Give it a you mail your credit card payment in before and that bothers me.’’ voice so that it may surrender to the echoes the postmark date, you'll be okay. Toby Duran, director for the Center for Re- of healing among our communities. Give it This is similar to what the IRS does with gional Studies and the Center for Southwest to the ignorant, so they may have heard that your tax return. Regardless of when your re- Research at UNM, worked with Montoya on pain of their brothers and sisters. the museum proposal. Duran says that one of turn arrives at the IRS, if it is postmarked by Fight. April 15, it is not late. To me, this makes per- the first things they discussed was Mon- Fight with your minds. Gather your fac- toya’s dream of becoming a United States ulties in honor of the shouting, the dancing fect sense, since we do not control the internal Supreme Court Justice. and the crying. Give them reason for exist- bill collecting processes of the credit card ‘‘I was impressed by his boldness,’’ says ing. Validate them. Look to your minds and companies, nor do we want to. And we do not Duran, who gave Montoya a fellowship that recognize the great unifier within you. Rec- control the time it takes for a letter to be deliv- enabled him to spend time preparing his oncile your pain with the promise of a better ered. Rhodes Scholar application. ‘‘He has a way day because you fought with your mind. This bill will put the balance of power back of feeling for things and for people, but in ad- Know that you have learned all you can so into the hands of credit card customers. I ask dition to that, he uses reason. He’s able to that one day learning can take its place in my colleagues for their support for this impor- balance that very well.’’ the symphony of change. Friends and family, those who have influ- Fight with your heart. Fight with kindness tant legislation. enced Montoya, say that despite his rigorous and do not relent when the wits of the many f intellect, he is stripped of pretension. Mon- sway against the singular revolt of your JOHN G. SHEDD AQUARIUM CELE- toya’s dream is to return to Mora and prac- heart. Cherish your passion and let it bleed tice law with his closest confidant, Cyrus for your neighbor. In this lies the hand that BRATES THE BIRTH OF A Martinez, also a Mora High School graduate. picks up our enemies and cares for them. BELUGA WHALE The Rev. Tim Martinez, who was once a Let us now be called forth and have our pastor in Mora, explains it this way: names announced to the community. Call HON. DANNY K. DAVIS ‘‘For a lot of people that grow up in rural my name, for in it you evoke the legacy of OF ILLINOIS communities, they have to leave before they my grandmothers and grandfathers. My be- IN THE HOUSE OF REPRESENTATIVES realize the value of their upbringing,’’ he loved father and mother. My brothers. My says. ‘‘He realized the value long before he friends. My family. My happiness and Thursday, November 18, 1999 left his community. He carries that with strength. Let it be called because our name Mr. DAVIS of Illinois. Mr. Speaker, I am him, always.’’ shall ring the truth of my veneration for my pleased to recognize the John G. Shedd A DATE AT THE WHITE HOUSE community. Mora, New Mexico. Mi tierra y Aquarium in Chicago as they celebrate the Montoya will participate in a White House my vida. Let us call the names of our graduates. Let birth of a beluga whale. On August 3rd, a 4- ceremony before he leaves to study jurispru- foot-6-inch female calf was born weighing ap- dence philosophy in England. He will meet their names ring forever in the past. So President Clinton and members of the U.S. today, as we call names and hand diplomas, proximately 115 pounds. This is the first calf Supreme Court. let us celebrate the world that lives alive for Immiayuk, a 13-year-old beluga whale who Even then, Montoya says he will be ‘‘the and well within us. has been in Shedd Aquarium's care since farm boy from Mora making messes in my Bless you all. 1989. mother’s kitchen.’’ And for that, he is im- f Immiayuk is a first-time mother, and less mensely proud. than half of the calves born to those mothers, ‘I don’t learn things without them being CREDIT CARD CONSUMER either in captivity or in the wild, are able to fixed in human experience,’’ he says. ‘‘The PROTECTION ACT survive their first year. The new beluga has facts can exist without human experience, cleared many of the first hurdles, by swim- but the truth cannot.’’ The truth, Montoya says, is that he is a HON. DARLENE HOOLEY ming, diving and nursing with her mother. culmination of many lives and many lessons, OF OREGON Shedd visitors will be able to see the calf in the embodiment of a town. He is his uncle, IN THE HOUSE OF REPRESENTATIVES an underwater viewing area in late September. the Vietnam veteran and his Godmother, a A contest to name the calf will be held for chil- Thursday, November 18, 1999 shy and humble woman; he is his father, dren ages 8 to 13. hardworking and unapologetic, and the viejo Ms. HOOLEY of Oregon. Mr. Speaker, cred- The belugas reside in the Shedd's Ocea- who plants a tree at the chapel each year. it card late fees are becoming an increasing narium, a re-creation of the Pacific Northwest. He is also a man, now—one who has made burden on consumers. More and more of my Throughout the Oceanarium, large underwater it his life’s mission not to allow his people to lose hope. constitutents are telling me that credit card viewing windows give Shedd visitors the op- ‘‘If you don’t surrender to your commu- companies are charging them $30 late fees portunity to see the animals from the vantage nity, you will never unify what you have in- when they shouldn't be. I believe some com- point of their environment. Whales, dolphins, side of you,’’ he says. ‘‘It’s indescribable. It’s panies are abusing their ability to charge late sea otters, harbor seals and penguins are a healing that I have yet to comprehend.’’ fees. In fact, just recently, First USA, a com- some of the marine life on display.

VerDate 2999 05:51 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00003 Fmt 0626 Sfmt 9920 E:\CR\FM\A18NO8.007 pfrm03 PsN: E19PT1 E2460 CONGRESSIONAL RECORD — Extensions of Remarks November 19, 1999 The birth of the beluga is a milestone for the tion's small business owners to also reap the ing its potentially discriminatory effect on a Shedd because the Oceanarium was built for benefits of these technological strides. limited group of students. In the end though, the purpose of breeding marine mammals. f I could not vote to validate legislation that The knowledge gained from the birth will pro- would result in isolating LEP students for dif- vide Shedd staff with a better understanding of H.R. 2, THE STUDENTS RESULTS ferent treatment than is applied to any other belugas and in turn that information will be ACT group of students, while denying access for used to help educate the public and contribute millions to important Title I educational serv- to the conservation of wild populations. HON. CHARLES A. GONZALEZ ices. The birth of the beluga also is significant to OF TEXAS f the general beluga population as the National IN THE HOUSE OF REPRESENTATIVES HONORING MEGAN CHARLOP Marine Fisheries Service plans to list the Thursday, November 18, 1999 beluga whales in Alaska's Cook Inlet as a de- pleted population. The 1998 Cook Inlet beluga Mr. GONZALEZ. Mr. Speaker, on October HON. ELIOT L. ENGEL census, counted 347. In 1994, about 675 21, 1999, the U.S. House of Representatives OF NEW YORK belugas were counted; it is believed that 1,000 overwhelmingly passed H.R. 2, the Students IN THE HOUSE OF REPRESENTATIVES whales were in the inlet in 1980. Results Act, which reauthorized funding for Thursday, November 18, 1999 Mr. Speaker, please join me in congratu- Title I of the Elementary and Secondary Edu- cation Act. Title I provides funding to local Mr. ENGEL. Mr. Speaker, today I rise to lating the John G. Shedd Aquarium on the honor Megan Charlop, who has been chosen successful birth and continued health of education agencies to help educationally disadvantaged children learn the core subjects, as a Robert Wood Johnson Community Health Immiayuk's beluga calf. Leader for 1999. Each year, the Community f like math and reading, and authorizes other programs to assist low-achieving students. Health Leadership Program honors ten individ- INTRODUCTION OF THE SMALL Last revised by the Improving America's uals who overcome tremendous odds to ex- BUSINESS TELECOMMUTING ACT Schools Act of 1994, Title I is the largest fed- pand access to health care and social serv- eral elementary and secondary education ices to underserved populations in their com- HON. MARK UDALL grant program. munities. This year, the program has selected In general terms, H.R. 2 was a good bill. It Ms. Charlop for her work as the Director of the OF COLORADO Montefiore Medical Center Lead Poisoning IN THE HOUSE OF REPRESENTATIVES provided a billion dollar increase in Title I funding, focused on holding Title I students to Prevention Project in the Bronx. Thursday, November 18, 1999 the same high academic standards as all stu- While working as a housing organizer in the Mr. UDALL of Colorado. Mr. Speaker, today, dents, targeted funds to the poorest commu- 1970's Megan unwittingly exposed herself and I am introducing the Small Business Telecom- nities, and it improved accountability meas- her fetus to lead dust and became poisoned. muting Act, a bill designed to raise awareness ures. In addition H.R. 2 addressed the quality In the early 1980's, she organized a building about telecommuting among small business of instruction in Title I classrooms by requiring in deteriorating condition where the children employers and to encourage employers to certification for all teachers and strengthening had become lead poisoned. As a result of offer telecommuting options to their employ- professional development opportunities. these experiences Megan founded the Lead ees. Unfortunately, H.R. 2 also included the ``Pa- Poisoning Prevention Project in 1983. In many areas of this country urban sprawl rental Notification and Consent for English As Director of the Project, Megan has dili- and traffic congestion are growing at alarming Language Learners'' provision. In my opinion, gently advocated for resources to create the rates. Telecommuting surely is part of the an- the ``Parental Notification and Consent'' lan- Lead Safe House, which provides transitional swer to reducing traffic congestion and air pol- guage in H.R. 2 was unfair at best and dis- housing for lead poisoned children and their lution. criminatory at worst. The provision would at families while their homes are undergoing Mr. Speaker, telecommuting has many posi- minimum have an unjust and disproportionate abatement. Megan also co-founded the New tive bi-products to which I would like to draw impact on limited English proficient (LEP) stu- York City Coalition to End Childhood Lead my colleagues' attention. dents, of which over 70% are Hispanic. Poisoning, bringing together environmentalists, Traffic congestion: telecommuting could re- Schools provide LEP children the necessary labor groups, social service and health produce peak commuter traffic, thereby reducing language support services to ensure high aca- viders, and parents to tackle the issues related traffic congestion and air pollution. demic standards in addition to developing their to lead poisoning prevention. Her work with Family wellness: telecommuting benefits the ability to speak, read and write English. How- lead poisoning prevention in New York City health of our communities by giving workers ever, the proposed ``Parental Notification and has become a model for the nation. more time to spend with their families. Consent'' requirements would unjustly prohibit And her work does not stop there. Recently, Employee productivity: studies have shown schools from providing services until parents Megan has launched community health initia- that telecommuting increases both employee provide consent or until the school meets the tives for other environmentally triggered dis- productivity and morale, which in turn helps mandatory requirement to build a written eases such as asthma and mercury using the the business bottom line. record of attempting to obtain parental con- model she developed for lead prevention. Mr. Speaker, I am thrilled to recognize This legislation will direct the Administrator sent. Megan Charlop as a 1999 Community Health of the Small Business Administration to con- While I do not presume to know why each Leader and I commend her for tremendous ef- duct a pilot program to raise awareness about of those who voted against H.R. 2 did so, I forts to improve the health of her community telecommuting among small business employ- believe that in the case of the Democrats, that and for her true leadership in the fight against ers. Telecommuting is quickly becoming a decision was based, at least in part, on con- lead poisoning. standard business practice. High-tech indus- cerns regarding the ``Parental Notification and tries have employed telecommuting with great Consent'' provision. It was apparent to me, f success for many years. In addition, the Fed- and likely to others, that this provision poten- TRIBUTE TO CHRIS WEAVER eral Government has embraced telecom- tially violates Title VI of the Civil Rights Act of muting as well. This legislation will encourage 1964, which guarantees access to equal edu- HON. SCOTT McINNIS and aid our nation's small business owners to cational opportunities for LEP students. OF COLORADO embrace telecommuting. As a parent, I must stress that I fully support IN THE HOUSE OF REPRESENTATIVES Telecommuting in the small business com- and encourage enhanced parental involve- munity is a critically important tool, because it ment in schools and increased parental partici- Thursday, November 18, 1999 would allow small employers to retain valued pation in their children's education. Neverthe- Mr. MCINNIS. Mr. Speaker, it is with pro- employees with irreplaceable skills and institu- less, I am convinced that this legislation, in its found sadness that I now rise to pay tribute to tional memory when their lives no longer allow ill-advised attempt to include parental consent the life of a friend and great civic leader, Chris them to be in the office daily. as part of Title I, will instead result in discrimi- Weaver. Sadly, the world lost Chris earlier this Mr. Speaker, all around us we see remark- natory practices and in limited resources being month when he died of an apparent heart at- able strides being made in the use of tech- focused on bureaucratic requirements rather tack. While mourning the passing of this great nology to improve our quality of life and allow than on educational programs. American, I would like to take this opportunity us to work more efficiently. I believe the Small I did not easily arrive at my decision to op- to honor the esteemed life of this great Amer- Business Telecommuting Act will allow our na- pose H.R. 2 and to make a statement regard- ican.

VerDate 2999 05:51 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00004 Fmt 0626 Sfmt 9920 E:\CR\FM\A18NO8.011 pfrm03 PsN: E19PT1 November 19, 1999 CONGRESSIONAL RECORD — Extensions of Remarks E2461 A dyed-in-the-wool Republican his whole and Training Program aimed at those able erans, John had a very distinguished career, life, Chris left an indelible mark on the Pueblo bodied adults without dependents (ABAWD) having retired from both the U.S. Army and community as a city councilman. As an at- whose eligility for the Food Stamp Program the Central Intelligence Agency. He loved our large council member, Weaver was widely ac- was restricted by a work requirement in the country and was very proud to have dedicated claimed for his leadership and vision on a Welfare Reform Act of 1996. The money is his life to serving it. wide range of issues, including HARP, the dedicated to training programs that keep any During his military service, John served with Pueblo Convention Center, and increased ABAWD on the food stamp rolls if they partici- distinction in WWII and in the Korean conflict. benefits for retired firemen. In his time on the pate. Several hearings and reports have said In recalling his own military career, he was council, Chris served with great distinction that the money is going unspent because very very proud of his service during WWII where leaving a lasting legacy that will long benefit few are taking advantage of the programs. At he served with the infamous 9th Reconnais- Pueblo. the same time, food banks are reporting an in- sance troop of the 9th Infantry Division. A unit At age 6, Chris moved to Pueblo with his crease in demand from the same demographic that fought courageously in virtually every parents, the late Dr. John Weaver and his wife group. major campaign of the European theater. Frances, from Concordia, Kansas. Following Why not put the money where the need is? What made John so special was his open his graduation from Centennial High School in Annually the Secretary reviews the States em- hearted and generous nature. After his retire- 1966, Chris studied briefly at the Colorado ployment and training programs and allocates ment from the CIA, he dedicated himself to in- School of Mines and later transferred to the the money he considers appropriate and equi- forming his fellow veterans about the issues University of Southern Colorado where he table. If a State doesn't use the money allo- important to them. Specifically, he was the au- graduated in 1982. cated to them, the Secretary can reallocate thor of a monthly column in a local newspaper A certified public accountant, Chris was an the money to another State. My bill does noth- dedicated to helping veterans. active member in the Kiwanis Club, the Pri- ing to change or restrict that authority. My bill Mr. Speaker, John Kay was a true gen- vate Industry Council, and the National Asso- simply allows the Secretary of Agriculture to tleman who constantly searched for new pro- ciation of Accountants. spend up to $25 million of unobligated em- posals and reforms in an attempt to help his I am hopeful that Chris' familyÐincluding his ployment and training money on TEFAP com- community. He was always open minded and wife Mary, his children Andrew, Donald, and modity purchases. he was always generous in his assistance to Jennifer, his mother Frances, and his siblings Mr. Speaker, I am hopeful that the Emer- others. He will be sorely missed by myself and Ross, Matthew and Allison SwiftÐwill all find gency Food Assistance Enhancement Act will by his community. solace in the remarkable life that he led. In- enjoy resounding and rapid support from the f deed, like myself and the many others that full House of Representatives. It is important counted him a friend, Chris' family should find that we increase commodity purchases for this ADLER PLANETARIUM AND THE peace in the knowledge each is a better per- important program. MARS MILLENNIUM PROJECT son for having known him. f f HON. DANNY K. DAVIS TRIBUTE TO MS. JILL COCHRAN THE EMERGENCY FOOD ASSIST- OF ILLINOIS ANCE ENHANCEMENT ACT OF IN THE HOUSE OF REPRESENTATIVES 1999 HON. JACK QUINN Thursday, November 18, 1999 OF NEW YORK Mr. DAVIS of Illinois. Mr. Speaker, I am very IN THE HOUSE OF REPRESENTATIVES HON. BOB GOODLATTE pleased to recognize one of Chicago's premier OF VIRGINIA Thursday, November 18, 1999 institutions, the Adler Planetarium and Astron- IN THE HOUSE OF REPRESENTATIVES Mr. QUINN. Mr. Speaker, I want to join omy Museum, as they kick-off their contribu- Thursday, November 18, 1999 Chairman STUMP and Ranking Member EVANS tion to the Mars Millennium Project and cele- Mr. GOODLATLE. Mr. Speaker, I rise today in acknowledging and saying thank you to Ms. brate the grand reopening of their landmark to introduce the Emergency Food Assistance Jill Cochran, long-time Democratic staff direc- building on October 1st. Enhancement Act of 1999. My bill increases tor for the Subcommittee on Benefits, who will Located on Chicago's beautiful lakefront, the TEFAP commodity purchases from $100 mil- retire next month following 25 years of dedi- Adler was founded in 1930 by Max Adler ``to lion to $125 million in an attempt to help food cated service to the Committee on Veterans' be the foremost institution for the interpretation banks meet the needs of their communities. Affairs. of the exploration of the Universe to the It is unfortunate, Mr. Speaker, that there is Jill's contributions to the enactment of legis- broadest possible audience.'' To help fulfill this a need for food banks. Even though our farm- lation such as the Montgomery GI bill, on mission, the Adler has become actively in- ers and ranchers are the most productive and which she worked with our distinguished volved in the Mars Millennium Project using its efficient in the world, the need for food banks former chairman for 7 years, vocational reha- StarRiderTM Theater Mars Millennium Show continues. Food banks often meet the needs bilitation, veterans employment and training, as the centerpiece of their contribution. of their communities by managing donations homeless veterans, and transition assistance The Mars Millennium Project is an official from the Government and the private sector. issuesÐjust to name a fewÐI believe, are un- White House Millennium Council Youth Initia- Most Government donations are the product of surpassed. tive, challenging students across the nation to the Emergency Food Assistance Program. It is Jill personifies unselfish public service in her design a community yet-to-be-imaginedÐfor a unique program that has the ability to pro- commitment to America's sons and Daughters the planet Mars. This national arts, sciences vide nutritious domestic agriculture products to who have served our Nation. We'll miss her and technology education initiative is guided needy Americans while at the same time pro- compassion, her great spirit of cooperation, by the U.S. Department of Education, the Na- viding support to the agriculture community. In her expertise, and most of allÐher exceptional tional Aeronautics and Space Administration the welfare reform bill. Congress made TEFAP leadership. and its Jet Propulsion Lab, the National En- commodity purchases mandatory because of Jill, our kindest wishes and godspeed. dowment for the Arts, the J. Paul Getty and the integral role this program has in the provi- f others. sions of food assistance to needy families. The world's first StarRiderTM Theater is a This program is a quick fix, something to get IN HONOR OF JOHN A. KAY 3D interactive virtual reality experience, which families through tough times. It gives them the will transport visitors on a voyage to Mars and support they need, but it doesn't ensnare them HON. TOM UDALL allows the audience to participate in devel- into a cycle of dependency for which other OF NEW MEXICO oping a viable Martian colony. The audience Federal assistance programs are infamous. IN THE HOUSE OF REPRESENTATIVES flys over Mars, picks a place for their colony TEFAP purchases also provide much needed and then designs the architecture, cultural Thursday, November 18, 1999 support to the agriculture community. While icons and symbols that will make the colony other food assistance programs are much Mr. UDALL of New Mexico. Mr. Speaker, unique. larger, TEFAP has a more direct impact for today I rise to honor the life and memory of a The Adler is working with the Illinois State agriculture producers, while at the same time great American, Mr. John Kay. John was a Board of Education and the Chicago Public providing food for those in need. constituent of mine from Rio Rancho, NM, Schools Teachers Academy for Professional The Balanced Budget Act of 1997 included who passed away in October. He was a per- Development to involve classrooms from hundreds of millions of dollars for Employment sonal friend and a strong advocate for vet- across Illinois in the Mars Millennium Project.

VerDate 2999 05:51 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00005 Fmt 0626 Sfmt 9920 E:\CR\FM\K18NO8.002 pfrm03 PsN: E19PT1 E2462 CONGRESSIONAL RECORD — Extensions of Remarks November 19, 1999 Throughout the project year, teachers will en- Russia now regularly report to UCSJ and turned to Western governments and non-gov- gage their students in project-based learning CHRA on this growing phenomenon. ernmental human rights organizations for The persistent pattern of anti-Semitism opportunities that will result in the develop- help. Increasingly more Jews are also leav- and the pernicious practice of persecution of ing Russia and the FSU permanently for ment of student-created Mars colonies and Jews in Russia was identified and summa- Israel, the United States and other countries Web pages. rized by CHRA in March of 1996: where they will be free from persecution be- Mr. Speaker, as we move into the Millen- ‘‘This phenomenon [i.e., steadily growing cause of their Jewish religion and nation- nium it is important to engage the public in anti-Semitism is an atmosphere of economic ality. science and technology. The Adler's work with hardship following the breakup of the FSU] Absent a dramatic change in the economic, the Mars Millennium Program through the is exploited by politicians and elected offi- social and political climate in Russia, it is cials for political gain. It is manifested by TM highly unlikely that the current atmosphere StarRider Theater and the reopening of acts of discrimination, insults, threats, and their historic dome marks the advent of new of openly and violently expressed anti-Semi- violence against Jews, Jewish property, and tism will diminish any time soon. To the era for the Adler Planetarium and Astronomy Jewish institutions. It is aimed, in substan- Museum. contrary, the escalating incidents combined tial part, at driving Jews out of Russia to with government silence and ineffective law f make room for Russians in a time of scar- enforcement, indicate that Jews are at great city, economic distress, and political insta- risk in Russia today and for the foreseeable CENTER FOR HUMAN RIGHTS bility arising out of the destruction of the future. ADVOCACY Soviet Empire. Moreover, it is clear that there now exists no Russian governmental This Report will first document the chro- agency able or willing to protect Jews from nology of recent anti-Semitic events which HON. MARK UDALL persecution because of their nationality or demonstrate both the increased frequency and level of danger which accompanies them OF COLORADO religion. The absence of any meaningful de- as well as the Russian Jewish Community’s IN THE HOUSE OF REPRESENTATIVES terrent to such conduct plus the permission given to anti-Semites by leading politicians reaction. Next it catalogues the Western Thursday, November 18, 1999 and elected officials to engage in such con- governmental and non-governmental organi- duct encourages those who would persecute zations (NGO)’s response to this growing Mr. UDALL of Colorado. Mr. Speaker, for problem. Finally, it outlines the less than the past decade, the Center for Human Rights Jews to do so with impunity. Since the economic crisis and the collapse adequate, largely rhetorical response by the Advocacy (CHRA), a public interest law firm of the ruble which struck Russian in August Russian Government to this problem. based in my congressional district, has been 1998, anti-Semitic expressions by leading monitoring and analyzing social, economic, politicians and elected officials, aimed at de- f political, and ethnic problems and anti-Semitic monizing and scapegoating Jews, and, ulti- activities in Russia and the former Soviet mately, at driving them out of Russia, have HONORING PEGGY BRAVERMAN Union. The organization's President and Chief dramatically accelerated. This increase in Counsel, Mr. William Cohen, is frequently anti-Semitic rhetoric has been accompanied called upon in the United States, Canada, and by a concurrent increase in the number of HON. ELIOT L. ENGEL violent acts targeting Jews, Jewish property, OF NEW YORK the United Kingdom to provide expert informa- and Jewish institutions. Such violence is tion and testimony pertaining to human rights now frequent and widespread throughout the IN THE HOUSE OF REPRESENTATIVES and anti-Semitism in Russia and the former vast number of Russia’s regions as well as in Soviet Union. Mr. Cohen also serves on the the major city centers of Moscow, St. Peters- Thursday, November 18, 1999 board of the executive committee of the Union burg, and Nizhny Novgorod, the location of Mr. ENGEL. Mr. Speaker, the Bronx is los- of Councils for Soviet Jews. the three largest population of Jews in Rus- ing one of its most distinguished public serv- The primary focus of Mr. Cohen's advocacy sia. The frequency and ferocity of the various ants and a woman who has done more for her ``is to make sure the doors remain open for anti-Semitic violent acts appears to be ac- borough and her community than we can ever Jews and all persecuted minorities.'' His re- celerating. At the same time, the govern- thank her for. Peggy Braverman is retiring cent report, ``The Escalation of Anti-Semitic Vi- mental institutions upon which Jews and after more than 15 years as Deputy County olence in Russia,'' demonstrates the level of other targeted minorities must rely for pro- Clerk for the Bronx where she oversaw a staff danger facing Russian Jews in light of the in- tection against extremist violence are either or more than 80 people as they helped resi- creased frequency of anti-Semitic activity. unable or unwilling to effectively provide dents secure business certificates, passports, The report documents the chronology of the that protection. In addition, during the political and eco- and other significant documents while answer- latest anti-Semitic events in Russia and the nomic crises which continue today in Russia ing questions about jury duty and other mat- former Soviet Union. Much of this information following the August 1998 collapse, mili- ters. has never been reported in the media. Mr. tantly anti-Semitic groups, such as Russian She was always active in her community Cohen has gleaned most of this information National Unity (RNU), have grown in size and the political arena. She was an adminis- from clients seeking asylum or refugee status. and popularity. Sensing both the impotence trative assistant in the Bronx Borough Presi- Following is the summary of Mr. Cohen's re- and indifference of law enforcement agen- dent's office from 1979 to 1985 and before cies, these groups have increased the open- port. I urge my colleagues to contact my office that she served as an administrative assistant or the Center for Human Rights Advocacy in ness of their anti-Semitic expressions with little or no effective action by government for then Councilman, now Assemblyman Ste- Boulder, Colorado, for a copy of the full report. authorities to deter them. Under these cir- phen Kaufman. She was also Democratic Dis- THE ESCALATION OF ANTI-SEMITIC cumstances, Jews in Russia continue to be trict Leader for the 81st Assembly District. VIOLENCE IN RUSSIA vulnerable to anti-Semitic discrimination, At least as extensive was her work in the (By William M. Cohen) violence, and persecution without any effec- voluntary area. She was an active member of tive recourse to the Russian government at I. SUMMARY: ANTI-SEMITISM AND PERSECUTION any level for protection against such preju- the Educational Jewish Center, the Morris OF JEWS IN RUSSIA HAS DRAMATICALLY AC- dicial treatment. Park Community Association, the Allerton Ave- CELERATED. Indeed, the risk to Jews in Russia today is nue Homeowners Association and the 49th The Center for Human Rights Advocacy greater than at any time since the breakup Precinct Community Council. She also served (CHRA) has been monitoring and analyzing of the Soviet Union. The Russian govern- as President of the PTA of Christopher Colum- social, economic, political, ethnic and anti- ment has so far demonstrated that it is both bus High School and Vice President of JHS Semitism developments in Russia and the unwilling and unable to deter growing anti- 135. She was also a scout leader. former Soviet Union (FSU) since its incep- Semitic violence against its steadily dimin- tion in early 1991. In addition, because of the ishing Jewish population. Hence, those Peggy Braverman is that rare person who persistent evidence and reports of anti-Semi- aimed at driving Jews out of Russia, pun- serves her neighborhood and her fellow citi- tism in Russia, the Union of Councils for So- ishing them because of hatred of Jews, and zens in so many capacities, someone, who by viet Jews (UCSJ), on which the author serves scapegoating Jews for a variety of political their service, does so much to make govern- as a member of the Executive Committee of ends can generally do so with impunity. ment work and the community prosper. The the Board of Directors, has steadily in- Faced with escalating anti-Semitic vio- people of the Bronx will miss her in govern- creased its monitoring and reporting on lence combined with indifference to these at- human rights and anti-Semitism in Russia. tacks by the general Russian populace, polit- ment; let us hope we can keep her helping in In cooperation with the Moscow Helsinki ical exploitation of the phenomenon and gov- the community. I want to join her legion of Group, and aided by a grant from the United ernment impotence to protect them, the friends and admirers in wishing her in retire- States Agency for International Develop- Jewish community has resorted to funding ment what she has learnedÐthe very best ment, trained monitors located throughout its own security for Jewish institutions and from life.

VerDate 2999 06:27 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00006 Fmt 0626 Sfmt 0634 E:\CR\FM\A18NO8.018 pfrm03 PsN: E19PT1 November 19, 1999 CONGRESSIONAL RECORD — Extensions of Remarks E2463 TRIBUTE TO DR. KENNETH MAU- fessionalism, the Congressional Veterans' As a result of Governor Salazar's invitation, RICE MATCHETT, JR.—A GREAT Claims and Adjudication Commission selected on April 26, 1998, the Governors of New Mexi- AMERICAN AND FRIEND Mr. Kwatra to be an analyst and project man- co's 19 Pueblos, led by this remarkable young ager. In my role as chairman of the Sub- man, Governor Salazar, met with Vice Presi- HON. SCOTT McINNIS committee on Benefits, Committee on Vet- dent Alvarez-Cascos and Antonio OyarzaÂbal, OF COLORADO erans' Affairs, I have read his insightful anal- Spanish Ambassador to the United States. IN THE HOUSE OF REPRESENTATIVES ysis in the commission's report. The meeting was also attended by many of Mr. Speaker, Suresh Kwatra came to Amer- New Mexico's state and local government dig- Thursday, November 18, 1999 ica, served proudly and honorably in our mili- nitaries. At that meeting, Governor Salazar re- Mr. MCINNIS. Mr. Speaker, I would like to tary, and then committed his life to serving fel- flected: ``Today is a historical day for all of us take this opportunity to ask that we pause for low veterans for a quarter of a century. To because for the first time since that contact at a moment in honor of one of the finest people Suresh's former co-workers, members of his Oke Oweingeh four hundred years ago, we, that I have ever had the pleasure of knowing. church and community, his wife of 25 years the descendants of our respective peoples Dr. Kenneth Matchett, Jr. was a dedicated Shoba, and sons Sameer and Naveen, I say and nations, are meeting to reflect upon the family man, a hard working physician and a that Suresh Kwatra was more than an inspir- past and present, and together chart a new model American. He gave selflessly to provide ing individual, indeed he was an American course of the relationship of our children and for his family and to help his community. Trag- hero. their future.'' Speaking for the Spanish delega- ically, Ken died in a horse riding accident f tion, Vice President Alvarez-Cascos stated ``It is in the future history, the one we need and while competing in Phoenix, Arizona. HISTORIC ENCOUNTER BETWEEN want to write together, that we will find rec- After graduating from Stanford with a de- SAN JUAN PUEBLO AND SPAIN gree in Biochemistry in 1963, he attended onciliation, fruit of a new will for two cultures Cornell Medical College. There he was elected who have learned to overcome the pain and to Alpha Omega Alpha, the medical honorary HON. TOM UDALL suffering of the past, two people who want to society. It was not long until he realized his OF NEW MEXICO know each other better, who want to build a IN THE HOUSE OF REPRESENTATIVES true passion, Internal Medicine. During 1967± new friendship.'' 1972, he completed his residency in Internal Thursday, November 18, 1999 Subsequently, Governor Salazar, his wife Medicine and a fellowship in Hematology/On- Mr. UDALL of New Mexico. Mr. Speaker, on Rebecca, Governor Gary Johnson of New cology at Duke University. Soon after that he October 31, 1999, the headline of the Sunday Mexico and First Lady Dee Johnson were ex- returned to his hometown of Grand Junction, Journal North edition of the Albuquerque Jour- tended an official invitation to visit Spain. The Colorado, where he set up his own practice. nal read: ``Pueblos, Spain Forging Ties.'' That objective of the visit was to build on the foun- In addition to working tirelessly in his prac- headline and the accompanying article recog- dation established during the April 26, 1998 tice, he also maintained an active role in Saint nized ground-breaking events whose impor- meeting hosted by Governor Salazar and the Mary's Hospital. There Ken served as Presi- tance extends beyond the Third Congressional nineteen New Mexican Indian Pueblos. The dent of the Medical Staff and as a member of District of New Mexico. Events that are living official visit to Spain, which became known as the Board of Directors. As if these accolades proof that centuries-old wounds to the dignity ``Re-encuentro de Tres Culturas'' or the ``Re- are not enough, he also went on to found the of our Native American communities, particu- encounter of Three Cultures''Ðreferring to the Oncology Unit for the care of cancer patients larly our New Mexico Indian Pueblos, can be Indian, Spanish and American culturesÐtook at Saint Mary's Hospital. The fine Doctor had healed through good will on the parts of the place on November 18 through 23, 1998. The a special reassuring warmth with his patients. leaders of those Pueblos and the government United States Ambassador to Spain, Ed Ro- Ken is survived by his wife Sally, their three involved. In this case, that government is the mero, a descendant of those first Spanish daughters, Nancy Jean, Sarah Mary and Emily government of Spain. colonists in New Mexico, also took part in the Ruth, three sons±in±law and two grand- Students of American history know that four meetings and events. At the official reception, children. His family was precious to him. and a half centuries ago our American South- Governor Salazar, whose mother Maria Ana It is with this, Mr. Speaker, that I pay tribute west was explored by the government of Salazar is full blooded San Juan Tewa Indian to the life of Ken Matchett. I wish that every- Spain, which eventually led to Spanish settle- and whose father is State Representative Nick one could have had the pleasure of knowing ment there four centuries ago. Those 1598 L. Salazar, a Hispanic elected official in New this man. He was a great American and a Spanish colonists led by Don Juan de OnÄate Mexico, delivered a blessing in Tewa. The es- friend of many. did not find themselves alone: they settled in sence of that blessing was ``Now it is time for f the midst of Indian Pueblos that had been all of us to sit down and establish a framework thriving, vital established communities since for how we will work with each other to estab- TRIBUTE TO THE LATE SURESH time immemorial. lish an enduring relationship based on honor, KWATRA The relationship between the Spanish set- trust, mutual respect, love and compassion.'' tlers and the original Pueblo Indian inhabitants During the Re-encuentro de Tres Culturas, HON. JACK QUINN were filled with conflict and occasional vio- the Prince of the Asturias, His Royal Majesty, OF NEW YORK lence. Through it all, the Pueblo Indian com- Felipe Bourbon, made a special visit to meet IN THE HOUSE OF REPRESENTATIVES munities, including the Pueblo of San Juan Governor Salazar, Governor Johnson and the where Juan de OnÄate established the first rest of the New Mexico delegation which in- Thursday, November 18, 1999 Spanish capitol of New Mexico, struggled en- cluded State Representative Nick L. Salazar, Mr. QUINN. Mr. Speaker, before the first dured and held on to their culture, their tradi- EspanÄola Mayor Richard Lucero and Rio session of he 106th Congress adjourns, I want tions and even their internal government. Arriba County Commissioner Alfredo Montoya. to pay tribute to Mr. Suresh Kwatra, a dedi- On April 3, 1998, acting on behalf of the 19 The King, along with other high-ranking Span- cated 25-year career employee of the United Indian Pueblos that comprise the All Indian ish Officials, witnessed the performance of the States Department of Veterans' Affairs, who Pueblo Council of New Mexico, San Juan Sacred Buffalo Dance performed my Pueblo died unexpectedly on June 21, 1999. Pueblo Governor Earl N. Salazar became the Indian members of the delegation from New Mr. Kwatra was indeed an inspiring indi- first tribal official in the history of New Mexico Mexico. In appreciation for his courageous vidual. He was an accounting graduate of and the United States to invite an official rep- leadership, His Majesty presented Governor Delhi University. He immigrated to the United resentative of the Government of Spain, its Salazar with a medal making him a member of States from his native India in 1969 and Vice President Francisco Alvarez-Cascos, to the Order of Isabel De la Catolica, grade of served in the United States Army during the visit San Juan Pueblo in commemoration of encomienda. The medal is awarded to individ- Vietnam conflict, shortly after gaining his the four-hundredth anniversary of the perma- uals whose ``Pure Loyalty'' by deeds and ac- American citizenship. nent meeting of the two cultures. That invita- tions have helped to foster better relations be- Mr. Kwatra began his career with the former tion was made because in the view of the San tween Spain and America. Governor Salazar Veterans Administration in 1974. He served as Juan Tribal Council after four hundred years, is the first Indian Governor upon who this a veterans benefits counselor, strategic plan- reconciliation and healing were important. In honor has bestowed. ner with VA's national cemetery system, and the words of one San Juan Pueblo spiritual As noted in the October 31, 1999 Albu- statistician and analyst in the Office of VA's leader, ``It was not right to teach our children querque Journal article, the courage of Gov- Assistant Secretary for Policy and Planning. to hate.'' What an incredible and brave state- ernor Salazar and the rest of the New Mexi- Because of his exceptional initiative and pro- ment that was! co's Pueblo Indian leaders is beginning to

VerDate 2999 05:51 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00007 Fmt 0626 Sfmt 9920 E:\CR\FM\A18NO8.023 pfrm03 PsN: E19PT1 E2464 CONGRESSIONAL RECORD — Extensions of Remarks November 19, 1999 bear fruit beyond the reconciliation of these the single overriding imperative of the entire Our overall goal is to move our nation to- traditional peoples of the United States and enterprise was to find a navigable water route ward a performance-based system of environ- Spain. The New Mexican Pueblos and Span- to the Pacific Ocean. mental protectionÐa system that will do a bet- ish government representatives have now en- Mr. Speaker, I am proud to say that the ter job of protecting the environment, while tered into an agreement creating an exchange Corps of Discovery accomplished that objec- providing greater flexibility to companies and program for teachers and students. The tive on November 15, 1805Ðand they did so states to determine how to meet tough, clear agreement, in the form of a Memorandum of in one of the most scenic places on earth, Pa- environmental standards. Our watchword in Understanding, was signed by the Indian cific County, Washington. writing this bill has been to provide greater Pueblo governors, the Spanish Ministry of Cul- Theirs was not an easy journey; it took flexibility in return for greater accountability. ture, Spanish Vice President Alvarez-Cascos, great skill, tremendous perseverance and im- In moving in this direction, we are following the New Mexico Office of Indian Affairs and mense dedication. There are hundreds of the recommendations of a variety of recent re- the Santa Fe Indian School. As Governor events that took place along the way that test- ports, including the Enterprise for the Environ- Salazar indicated, Pueblo Indian history is tied ed each of these attributes. One of the most ment, headed up by former EPA Administrator to Spain. As a consequence, the Pueblos ``de- important of these watershed events took Bill Ruckelshaus; the President's Council on cided to renew * * * and develop a relation- place on the Washington State side of the Co- Sustainable Development, the Aspen Institute ship that has long-term interests for both lumbia River, on November 24, 1805. and the National Academy of Public Adminis- sides.'' He also noted that the Memorandum With little food, rotting clothes, and winter tration. We need to allow and encourage more of Understanding is a first step toward forming soon approaching, the group huddled to de- experimentation to see if innovative ap- more agreements with Spain in the future, cide where to camp for the winter. The press- proaches to regulation will produce the desired such as trade and commerce pacts. ing question: should they stay on the north results. Our incremental bill will do just that. Governor Salazar's efforts deserve recogni- side of the river in what would later become Mr. Speaker, we are introducing this bill tion because they have now become an im- my home state of Washington, or should they today to spark discussion on this approach to portant part of the history of New Mexico and risk a tricky river crossing to find a more shel- environmental policy, which we think should our country. And because they demonstrate tered spot on the south side of the river? Be- be at the heart of moderate environmental re- that, as Elizabeth Kubler-Ross once said, cause there were these two differing ideas form. But we still have much work to do. The ``there is nothing that cannot be healed.'' All it about where to spend the winter, Captain bill still needs both technical and substantive takes is people with courage and a commit- Lewis and Captain Clark allowed the entire work, and we do not intend to move it forward ment to justice and reconciliation. Governor party to vote on where to camp. What is im- in its current form. Rather, we plan to intro- Salazar never planned for all of this to hap- portant to remember is that among those who duce a refined version early in the next ses- pen. He simply followed the path of his spirit were allowed to vote was York, a African- sion after more meetings with experts on all in an effort to work for the people of his Indian American slave, and Sacajawea, a young Na- sides of the environmental debate. But we Pueblo and for his Hispanic citizens in the sur- tive-American woman. think the bill in its current form does indicate This exercise of democracy took place more rounding EspanÄola Valley. As someone else the basic shape and principles of the bill that than 50 years before the abolition of slavery has said, ``there is no holier place than that we will move forward. and the passage of the Thirteenth Amend- where an ancient hatred has yielded to for- This bill should be of interest to anyone who ment, more than 100 years before the ratifica- giveness.'' For creating such a place in the wants to ensure that we will continue to work tion of the Nineteenth Amendment which gave heart of our American Southwest, he deserves to make our environmental protection system women the right to vote, and nearly 160 years our thanks and deepest appreciation. as effective and efficient as possible. We en- before the passage of the Voting Rights Act f courage anyone interested to comment on this which extended these liberties to even more version of the bill, so that we can take those LEWIS AND CLARK HISTORIC Americans concerns into consideration as we work on the Mr. Speaker, as I am sure you are aware, TRAIL TECHNICAL CORRECTNESS version we will introduce next session. the bicentennial Lewis and Clark's famous ACT OF 1999 f journey is rapidly approaching. The bicenten- HON. BRIAN BAIRD nial is going to be of great importance both TRIBUTE TO THE FOX CHAPEL culturally and economically to my home state, OF WASHINGTON HIGH SCHOOL HONORING THEIR and those impacts will be felt in many small RECOGNITION AS A 1999 NEW IN THE HOUSE OF REPRESENTATIVES towns and big cities all along the Lewis and AMERICAN HIGH SCHOOL NA- Thursday, November 18, 1999 Clark trail. TIONAL SHOWCASE SITE Mr. BAIRD. Mr. Speaker, today I rise to in- Knowing the important part that Southwest troduce legislation that will correct a long- Washington played almost 200 years ago in HON. MICHAEL F. DOYLE standing historical inaccuracy dealing with the this journey, I want to make sure that the Na- tional Park Service documents are historically OF PENNSYLVANIA Lewis and Clark National Trail System. Cur- IN THE HOUSE OF REPRESENTATIVES rently, the Lewis and Clark National Trail des- accurate and complete. My legislation will help ignation reads that the expedition traveled ensure that outcome. Therefore, Mr. Speaker, Thursday, November 18, 1999 ``from Wood River, Illinois to the mouth of the I urge my colleagues to join me in supporting Mr. DOYLE. Mr. Speaker, I rise today to Columbia River in Oregon.'' My colleagues, this simple legislation, the Lewis and Clark honor the Fox Chapel Area High School as unfortunately, this does not tell the whole Historic Trail Technical Corrections Act of they have been selected by U.S. Department story. My legislation would amend the des- 1999. of Education and The National Association of ignation to include Washington State along f Secondary School Principals (NASSP) as a with Oregon as the end point of this important SECOND GENERATION OF ENVI- 1999 New American High School (NAHS) na- journey in American history. RONMENTAL IMPROVEMENT ACT tional showcase site. The journey of Lewis and Clark is one of the Fox Chapel Area High School is one of only most important events in American history. HON. JAMES C. GREENWOOD 13 schools across the country that were rec- That is why it is imperative not only that the ognized for setting a new standard of excel- OF PENNSYLVANIA story of Lewis and Clark be told, but that their lence for all students. They have earned this IN THE HOUSE OF REPRESENTATIVES story be told with accuracy and historical cor- national recognition through the success of rectness. Unfortunately, the current Lewis and Thursday, November 18, 1999 their school improvement efforts and the com- Clark Historic Trail designation fails to recog- Mr. GREENWOOD. Mr. Speaker, today I mitment of the school staff and community to nize the important events that took place in am introducing, along with my colleagues, Mr. high levels of student achievement. Washington State during the expedition. DOOLEY, Mr. BOEHLERT and Ms. TAUSCHER, Specifically, Fox Chapel Area High School When President Thomas Jefferson sent the ``Second Generation of Environmental Im- has been recognized for the following: an at- Meriwether Lewis, and William Clark on their provement Act of 1999.'' This bipartisan bill tendance rate of 96 percent; an average now famous expedition, he sent them with has two related purposesÐto improve the in- Scholastic Aptitude Test score of 1091, which many goals in mind. Over the next four years, formation practices of the Environmental Pro- exceeds state and national averages; an en- the Corps of Discovery would travel thousands tection Agency (EPA) and to encourage the rollment of 47 percent of juniors and seniors in of miles, experiencing lands, rivers and peo- EPA to experiment with more innovative ap- Advanced Placement classes; and an eligibility ples that no Americans ever had before. But proaches to protect the environment. rate of 86 percent of those students who took

VerDate 2999 05:51 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00008 Fmt 0626 Sfmt 9920 E:\CR\FM\A18NO8.024 pfrm03 PsN: E19PT1 November 19, 1999 CONGRESSIONAL RECORD — Extensions of Remarks E2465 the Advanced Placement exams and scored the demands for adequate maintenance and TRIBUTE TO COLONEL CARL J. high enough to obtain college credit. sound management of these lands. LEININGER In the school year 1992±93, Fox Chapel We think it's in the national interest to prop- Area High School received the honorable des- erly recognize their contributions, and our bill HON. PETER J. VISCLOSKY ignation as a Blue Ribbon Secondary School is intended to do that. It's also intended to pro- OF INDIANA of Excellence for displaying outstanding effec- IN THE HOUSE OF REPRESENTATIVES tiveness in meeting local, state, and national vide greater authority for the land-managing Thursday, November 18, 1999 educational goals. Receiving the honor of agencies to cooperate with volunteers, and to being named a 1999 New American High encourage those agencies to reach out to Mr. VISCLOSKY. Mr. Speaker, I would like Schools national showcase site further dem- young people to help them learn about the re- to pay tribute to an outstanding American, an onstrates the overall commitment by the staff, sources and values of the federal lands as outstanding soldier, and an outstanding officer parents and community to ensure that all stu- well as about the importance of proper stew- who has contributed immeasurably to the dents meet challenging academic standards ardship of those resources and values and the good relations between the Army and the and are well prepared for college, careers, opportunities for careers with agencies con- House of Representatives. On December 31, and life. cerned with the management of natural or cul- 1999, Colonel Carl J. Leininger retires after Congratulations Fox Chapel Area High tural resources. over 28 years of dedicated service to America School. I wish you the best of luck in your fu- and our great Army. Throughout his career, There were some efforts along these lines ture endeavors to continually improve upon Carl Leininger has provided forward-looking in the past. Some of the land-managing agen- the quality of the education of our youth. leadership characterized by a unique intellect f cies have been given authority to recruit and and strategic vision. He has served with dis- recognize individuals who donated their en- tinction in positions of increasing responsibility INTRODUCTION OF STEWARDSHIP ergy, time and expertise to enhance our fed- from platoon to the Office of the Secretary of EDUCATION, RECREATION, AND eral and public lands for all Americans to Defense, always demonstrating the highest VOLUNTEERS FOR THE ENVIRON- enjoy. However, there is more that can and degree of leadership and professionalism, MENT (‘‘SERVE’’) ACT OF 1999 should be done. while making lasting contributions to Army Our bill would direct the Secretary of Agri- readiness and mission accomplishment. As we honor his retirement, we note that HON. MARK UDALL culture and the Secretary of the Interior to es- Colonel Leininger's distinguished career has OF COLORADO tablish a national stewardship award program IN THE HOUSE OF REPRESENTATIVES stretched nearly three decades, culminating in to recognize and honor individuals, organiza- his service as Chief of the Army's Congres- Thursday, November 18, 1999 tions and communities who have distinguished sional Activities Division. In this position, Colo- Mr. UDALL of Colorado. Mr. Speaker, to- themselves by volunteering their time, energy nel Leininger has served as principal advisor gether with my colleague and cousin, Mr. and commitment to enhancing the Nation's to the Army's senior leaders for their personal UDALL of New Mexico, I am introducing a bill parks, forest refuges and other public lands. meetings with Members of Congress, and for to encourage greater cooperation between the As a minimum, the program would include a their testimony before committees of this publicÐespecially young peopleÐand the fed- system of special passes for free admission to House. He has ensured that the Army's senior eral government to enhance the stewardship and use of federal lands that would be award- leaders provide a coherent, cohesive and of the natural and cultural resources of the ed to recognize volunteers for their contribu- meaningful message to the Congress. Colonel federal lands and the recreational, edu- tions. Leininger has also contributed to the increas- cational, and other experiences they provide ingly effective relations between the Army and for so many people. The bill would also encourage an attitude of the House with his active sponsorship of an The bill is called the Stewardship Education, stewardship and responsibility towards public annual Congressional Briefing Conference for Recreation, and Volunteers for the Environ- lands by promoting the participation of individ- the Army's Congressional Actions Contact Of- ment ActÐthe ``SERVE Act'' for short. uals, organizations and communities in devel- ficers, allowing Members to connect with those Mr. Speaker, this bill reflects the joint effort oping and fostering a conservation ethic to- managing the planning and programming of of my office and that of my cousin and col- wards the lands, facilities and the natural and Army resources. league, Mr. UDALL of New Mexico. It is truly a cultural resources. Specifically, it calls on the Colonel Carl Leininger was born in Pennsyl- Udall-Udall bill, and it's only at my cousin's Federal land managing agencies to enter into vania, but grew up Indiana. Carl and I grad- suggestion that my name is listed firstÐfor cooperative agreement with academic institu- uated together from Andrean High School in once, I decided to accept one of his ideas. tions, State or local government agencies or 1967. There our paths diverged, I staying Mr. Speaker, the lands that belong to the any partnership organization. In addition, the home to attend Indiana University, and Carl American peopleÐthe National Parks, national Secretaries would be enabled to provide heading to the banks of the Hudson to attend forests, wildlife refuges, recreation areas, and matching funds to match non-Federal funds, the United States Military Academy. While the lands managed by the Bureau of Land services or materials donated under the coop- there, he played basketball for someone who ManagementÐare enjoyed by literally millions erative agreement. has since become an Indiana institution, upon million of visitors each year. People visit Coach Bob Knight. Graduating from West them for sightseeing, wildlife watching, hunt- Further, the bill encourages each Federal Point in 1971, Carl was commissioned a sec- ing, fishing, hiking, and camping opportunities. land management agency to cooperate with ond lieutenant of infantry. After receiving his In Colorado alone visitors can experience a States, local school districts and other entities Airborne wings and Ranger tab, Carl's first as- wide range of outdoor recreation and edu- to (1) promote participation by students and signment was as an infantry platoon leader in cation opportunities. From the isolated tundra other young people in volunteer programs of the 4th Infantry Division at Fort Carson, Colo- and towering peaks of Rocky Mountain Na- the Federal land management agencies, (2) rado. tional Park to the city-surrounded greenery of promote a greater understanding of our Na- Colonel Leininger then transferred to Military the Two Ponds National Wildlife Refuge, to tion's natural and cultural resources, and (3) to Intelligence, serving in intelligence assign- the sparkling mesas and sandstone arches of provide information and assistance to other ments at battalion, division, the Army's Intel- BLM lands on the western slope and all the agencies and organizations concerned with ligence Threat and Analysis Center, and Su- wonderful areas in between, we are blessed the wise use and management of our Nation's preme Headquarters, Allied Powers Europe. with an incomparable heritage that we gladly natural and cultural resources. Carl also received a masters in political share with people from across the country and science from Yale, taught social science at around the world. Mr. Speaker, I am proud to have this oppor- West Point, and served as an Army congres- But the visitors often don't realize how much tunity to extend my own appreciation to the sional fellow to another Indiana legend, Rep- they owe to the efforts of the many volunteers federal land managing agencies and the many resentative Lee Hamilton. who have selflessly given their time and ex- volunteers who assist them. The point of this For the last decade, Carl Leininger has pertise to help the professional personnel of bill is to extend that recognition on a formal served at the highest levels of the North Atlan- the land-managing agencies. Without the hard and national basis, and to build on the sound tic Treaty Organization, the Army, and the De- work, dedication and enthusiasm of these vol- foundation that they have laid. I hope we can fense Department. He served as a speech unteers, it would be impossible for the Federal send it to the President for signing into law writer to the SACEUR, the Army Chief of Staff, agencies to come as close as they do to meet soon after we reconvene next year. and the Secretary of Defense. He also served

VerDate 2999 05:51 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00009 Fmt 0626 Sfmt 9920 E:\CR\FM\A18NO8.027 pfrm03 PsN: E19PT1 E2466 CONGRESSIONAL RECORD — Extensions of Remarks November 19, 1999 as Chief of the Army's Congressional Activities I join the community and family and friends main unmatched and I wish them luck in their Division. In these positions, Carl has exhibited in mourning Doris' passing and celebrating her future endeavors. that rare combination of Midwestern-bred com- life and I extend my heartfelt condolences to f mon sense, Ivy League-honed scholarship, all whose lives were touched by her. and West Point-forged sense of Duty, Honor f TRIBUTE TO MIKE PERRY and Country in making extremely complicated issues readily understandable for senior De- IN HONOR OF JEAN AND FRANK HON. SCOTT McINNIS PERRUCCI, RECIPIENTS OF THE fense and Army officials, Members of Con- OF COLORADO ‘‘LIFETIME ACHIEVEMENT COU- gress, and the public at large. IN THE HOUSE OF REPRESENTATIVES Mr. Speaker, I ask that you and all of my PLE’’ AWARD FROM THE BA- colleagues join me in congratulating Colonel YONNE HISTORICAL SOCIETY, Thursday, November 18, 1999 Leininger on a productive and happy retire- INC. Mr. MCINNIS. Mr. Speaker, I would like to ment. I offer my personal thanks to my long- take this brief moment to congratulate and time friend, a soldier whose selfless service HON. ROBERT MENENDEZ thank Mike Perry for his service and leader- has truly made a difference, Colonel Carl OF NEW JERSEY ship on behalf of the Grand Valley over the Leininger. IN THE HOUSE OF REPRESENTATIVES last 15 years. In that time, Mike has overseen f the opening of the now widely renowned Dino- Thursday, November 18, 1999 saur Valley, served as the Director of the Mu- CELEBRATING THE LIFE OF DORIS Mr. MENENDEZ. Mr. Speaker, I rise today seum of Western Colorado, and, for the last RENICK to recognize Jean and Frank Perrucci for re- nine years, worked as the Executive Director ceiving the ``Lifetime Achievement Couple'' of the Dinamation International Society. In that HON. MIKE THOMPSON award from the Bayonne Historical Society, time, Mike has distinguished himself greatly. OF CALIFORNIA Inc., and for their extraordinary accomplish- What's more, he has made our community a IN THE HOUSE OF REPRESENTATIVES ments in community service. better place in which to live. Thursday, November 18, 1999 The Perrucci's, who have dedicated their Unfortunately for western Colorado, Mike Mr. THOMPSON of California. Mr. Speaker, time and service to the City of Bayonne for will be leaving the Grand Valley next month to last week the Coyote Valley Band of Pomo In- more than fifty years, are the first couple to be pursue an outstanding professional opportunity dians lost a very dear friend, spiritual symbol jointly recognized by the organization. From in The Dalles, Oregon. Mike has taken the job and elderÐDoris Renick. veterans organizations, to school charities and of Director at the Columbia Gorge Discovery Doris was an active and visionary leader church functions, the Perrucci's willingness to Center and Wasco County Historical Museum and the Tribe's many successes can be attrib- get involved and work toward the improvement in The Dalles area. uted to her tenure as tribal administrator and of the City of Bayonne has been exceptional. While saddened that Mike will no longer be chairperson. A World War II veteran of the United States a part of our community, I know that western In fact, while serving as chairperson and Army and the Maritime Service, Mr. Perrucci Colorado is a better, more culturally vibrant with the help of other family members, Doris has continued to play an integral role in a vari- place because of his service. Our loss, is was instrumental in getting the land base in ety of veterans groups. Of the many organiza- clearly The Dalles' gain. Redwood Valley redesignated from a tions he is involved with, Mr. Perrucci serves As Mike moves on to this new challenge, rancheria to what is now known as the Coyote as chairman of the World War II Welfare Fund Mr. Speaker, I wish him only the best of luck Valley Reservation. This accomplishment and as commander of the Hudson County in all of his personal and professional endeav- opened the door for obtaining housing for trib- Catholic War Veterans. In addition, he is presi- ors. We are thankful for his service over the al members and to have a recreation building dent of Bayonne for the Battleship of New Jer- past 15 years and wish him all the best in the constructed on the reservation. sey, Inc. future. But key to the community's future was find- Mr. Perrucci's efforts on behalf of war vet- f ing new economic opportunities. As such, erans have not gone unnoticed. He has been many say that Doris' most important accom- recognized by the Catholic War Veterans, re- HONORING SYLVIA STAHL plishment was the opening in 1993 of the ceiving the Hudson County Home Award and Shodakai Coyote Valley Casino, which now Hudson County Commanders Award, and was HON. ELIOT L. ENGEL provides more than 200 jobs for tribal mem- honored again by the National Catholic War OF NEW YORK bers and neighbors. Veterans, receiving the National Award and IN THE HOUSE OF REPRESENTATIVES the Lifetime Member Award. As a State senator, I had a number of occa- Thursday, November 18, 1999 sions to work with Doris and I can attest to her Jean Perrucci, a life-long resident of Ba- enthusiasm and caring attitude. In fact, her ac- yonne, has been a community activist for Mr. ENGEL. Mr. Speaker, Sylvia ``Sally'' tive involvement in a number of local, State, more than three decades. Never turning away Stahl, a dedicated wife, mother, and grand- and national organizations attests to her inter- from a challenge or the chance to help some- mother is celebrating her 80th birthday and I est in serving all citizens and her ability in one in need, Mrs. Perrucci is a wonderful role want to take this occasion to join her family bringing people together. Doris, for example model for civic and community involvement. and her many friends in wishing her a happy served on the Mendocino County Economic Mrs. Perrucci has been instrumental to so birthday. Development Commission and helped pro- many organizations, offering her knowledge, She has lived all of her 80 years in the mote county-wide projects that benefited all guidance, and experience. From serving as Bronx where her parents instilled in her the residents, not just her Tribe. Chair of the ``I Love Bayonne'' project, to col- virtues and ethics she has lived by and which Doris also chaired the California Council of lecting food for the Make A Difference Day she passed on to her children and grand- Tribal Governments, the California Elders Pro- program, to raising funds for the Bayonne children. Her parents, Max and Sarah, came gram, the Consolidated Indian Health Consor- Vietnam Memorial monument, Mrs. Perrucci's to America from Eastern Europe so they and tium, and the California Indian Health and Dis- work has greatly impacted the lives of the resi- their children could enjoy the America's free- ability Board. And she took particular interest dents of Bayonne. dom. in Indian education and bilingual/bicultural pro- Mr. and Mrs. Perrucci, the parents of four She and her twin sister, Miriam, and her grams. Interestingly, her advocacy for improv- children and seven grandchildren, spear- brother, Sydney, were raised in the Bronx. ing the delivery of health care came not only headed and founded a grassroots organization She and her husband, Harry, purchased their from her training and work as a registered called the Concerned Citizens of Bayonne home in the Allerton section of the borough, nurse, but also her longtime bout with severe twenty-nine years ago and instituted the Frank and she lives in that house still. She and rheumatoid arthritis. To be sure, the disability P. Perrucci Scholarship Award for students. Harry were both active in the community and never slowed her down. For more than fifty years of extraordinary Sally is still an active member of Hadassah. Mr. Speaker, the members of the Coyote service to the City of Bayonne, I ask my col- During World War II, when Harry served with Valley Band of Pomo Indians and residents of leagues to join me in congratulating this re- the SeaBees, she worked at the Brooklyn Mendocino County celebrate the life of Doris markable couple on receiving the Bayonne Navy Yard. Renick. She will be sorely missed, though all Historical Society, Inc.'s ``Lifetime Achieve- She also did volunteer work at Bronx Leb- around us there are continual reminders of her ment Couple'' award. Their contributions to the anon Hospital for more than 20 years. Sally loving and caring nature. City and to the 13th Congressional District re- has recovered from three bouts with cancer.

VerDate 2999 05:51 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00010 Fmt 0626 Sfmt 9920 E:\CR\FM\A18NO8.029 pfrm03 PsN: E19PT1 November 19, 1999 CONGRESSIONAL RECORD — Extensions of Remarks E2467 but not even that could slow this remarkable HONORING JOHN OLSEN AS HE RE- TRIBUTE TO MICHAEL TERRELL lady down. She is still active and drives CEIVES THE STATE OF ISRAEL throughout the Bronx and Westchester Coun- BONDS LABOR MEDAL HON. ANNE M. NORTHUP ty. OF KENTUCKY She is the mother of Robert and Paul, moth- HON. ROSA L. DeLAURO IN THE HOUSE OF REPRESENTATIVES er-in-law of Josephine and Helene, grand- OF CONNECTICUT Thursday, November 18, 1999 mother to Jarret, Lindsay, Dana and Eric. I am IN THE HOUSE OF REPRESENTATIVES Mrs. NORTHUP. Mr. Speaker, I rise today proud and honored to join Sally, her family Thursday, November 18, 1999 to congratulate and honor a Kentucky teacher and her friends on this wondrous occasion. from my district who has achieved national Ms. DELAURO. Mr. Speaker, I rise today to recognition for his exemplary role in educating f honor my good friend John W. Olsen as he re- young students. Michael Terrell of Louisville is ceives the State of Israel Bonds Labor Medal one of 29 teachers from across the country EARTH DAY INTRODUCTORY for his lifelong contributions to the labor move- selected for USA TODAY'S 1999 ALL-USA STATEMENT ment in the State of Connecticut. Teacher Team. He should be extremely proud Created in 1951, State of Israel Bonds to have been both nominated by a colleague serves as the cornerstone of Israel's economy. and to have received an award conferred on Committed to improving Israel's infrastructure HON. TOM UDALL the most impressive teachers in the nation. In as a whole, Israel Bonds provides financial OF NEW MEXICO light of constant stories about the crisis in our support for the construction of research facili- nation's schools, it is vital that we recognize IN THE HOUSE OF REPRESENTATIVES ties, transportation networks, communications the dedication and outstanding achievements links, and the expansion of port and airport fa- Thursday, November 18, 1999 of our teachers. It is my honor to pay tribute cilities. Its commitment to the betterment of to someone who has made such a difference Israel's people and its economy is unparal- Mr. UDALL of New Mexico. Mr. Speaker, to so many children. leledÐhelping transform the state of Israel into today I rise to introduce a resolution recog- Michael Terrell has had a distinguished ca- one of the world's leading industrial nations. nizing the growing observance of Earth Day. reer as a primary teacher for 27 years, includ- On April 22, 1970, 20 million Americans cele- In many ways, John's commitment to the ing 18 years at Cochran Elementary School brated the first Earth Day. Since Earth Day's labor movement is reflective on Israel Bonds' where he currently teaches first and second first observance, the number of Americans commitment to the state of Israel. Since he grades. Thanks to Michael Terrell's devotion celebrating Earth Day and the number of began his career as a member of the UA and selfless contributions, the Cochran Ele- countries observing Earth Day has steadily Local 133, Plumbers and Pipefitters, John has mentary School is filled with spirit and activ- risen. In fact, Earth Day is now observed in dedicated his life to working families. He has ism. His hard work and dedication to making fought for better wages, more comprehensive more than 140 countries. schools better and improving the lives of his health benefits for workers and their families, Every year on April 22, millions of Ameri- students, both encourages parents to get in- and safer work environment. As President of volved and sets an example for all teachers to cans and millions of people throughout the the Connecticut AFL±CIO, John has forced world participate in activities that call attention follow. He is one of the people who helps cre- the largest corporations in Connecticut to lis- ate the vitality of Cochran Elementary School to harmful human activities that impact our ten to their employees' and afford them these and his enthusiasm creates a can-do attitude. natural environment. These calls have not basic rights. He has been a true leader for our He is responsible for the many successes gone unanswered. Since the first observance working families, giving them a voice during there which, in turn, positively affect our entire of Earth Day, Congress has passed the Clean the hardest of economic times. community's well-being. Air Act, the Clean Water Act, and the Endan- John has also worked hard to make Con- Mr. Terrell is a teacher who knows how to gered Species Act in an effort to halt and roll necticut a better place to live and grow. He get the job done. He knows it takes hard work, back the harmful impacts of human activity. In has been active in state and national politics, it takes flexibility, and it takes a commitment to addition, we have seen the creation of the serving on the Democratic State Central Com- each child. I was proud to hear that Michael U.S. Environmental Protection Agency, and mittee and the Democratic National Com- Terrell supports what this Congress is trying to just recently, in the House Committee on Re- mittee. He also serves on a number of boards doÐgive schools and teachers the ability to sources, we witnessed a successful bipartisan and commissions with the purpose of making make the choices which best reflect their stu- effort to provide funding for an array of con- Connecticut's workers the most productive in dents needs. We are all in agreement that servation and wildlife programs. the nation. Over the years, John has become such changes will help improve educationÐfor an ambassador for the labor movement, Earth Day provides an opportunity to learn Michael Terrell and his students. Because of spreading its message of helping and pro- about the positive actions we can take to im- all he does, I salute Michael Terrell for work- tecting working families through lectures, prove energy efficiency; to develop safe, re- ing so hard to make our schools a flourishing newspaper columns, and on the radio. We in newable energy sources; to design goods that environment for our children to learn, grow Connecticut have much to thank John forÐhis and play. are durable, reusable, and recyclable; and to contributions have been truly invaluable. eliminate the production of harmful wastes f It is with great pride that I rise to join friends while protecting our environment and encour- and family in saluting my dear friend, John, as TRIBUTE TO RONALD L. BOOK aging sustainable development throughout the he receives the State of Israel Bonds Labor world. Medal. Congratulations. HON. CARRIE P. MEEK Mr. Speaker, this resolution recognizes the OF FLORIDA f importance of Earth Day and calls on the IN THE HOUSE OF REPRESENTATIVES House of Representatives to recognize that PERSONAL EXPLANATION Earth Day should be established to draw at- Thursday, November 18, 1999 tention to the impact of human activity on the Mrs. MEEK of Florida. Mr. Speaker, I rise to natural environment, to alert the world to envi- HON. VITO FOSSELLA honor Ronald L. Book, one of Florida's truly ronmental threats to human health and well- OF NEW YORK remarkable citizens. Without ever holding elec- being, and advocate personal actions and IN THE HOUSE OF REPRESENTATIVES tive public office, Ron Book has had a tremendous and positive influence on our state and public policies to promote and preserve a Thursday, November 18, 1999 healthy, diverse, resilient, and productive our community for over 25 years. world for our children and our children's chil- Mr. FOSSELLA. Mr. Speaker, I am not re- Ron's tireless efforts and knowledge of both dren. corded on rollcall numbers 587, 588, 589, 590, government and business has led to hundreds 591, 592, 593, 594, and 595. I was unavoid- of millions of dollars in private and public in- This is a companion measure to one al- ably detained and therefore could not vote for vestment in Miami-Dade County and through- ready introduced in the other chamber by Sen- this legislation. Had I been present, I would out the State of Florida, resulting in the cre- ator JEFF BINGAMAN of New Mexico. have voted ``aye'' for rollcall numbers 587, ation of thousands of new job opportunities, Mr. Speaker, I ask this body to support this 588, 589, 590, 591, 592, 593 and 594. I would improving the quality of life for our citizens and worthy resolution. have voted ``no'' for rollcall number 595. greatly enhancing our position as a destination

VerDate 2999 05:51 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00011 Fmt 0626 Sfmt 9920 E:\CR\FM\A18NO8.032 pfrm03 PsN: E19PT1 E2468 CONGRESSIONAL RECORD — Extensions of Remarks November 19, 1999 of choice for vacationers and sports enthu- of the Jewish community in many different RICHARD WILLIS. Good morning, I am Rich- siasts from around the nation and the world. ways. She has taught at several Jewish day ard Willis, the Regional Manager of ComDis His efforts on behalf of the homeless and schools throughout the United States, and has Co. Laboratory and Scientific Services. We are delighted to participate in this first ever dozens of charitable organizations ranging been involved in programming and consulting BIOCOM Satellite CEO Conference. I think it from the Special Olympics to the Epilepsy at Jewish resource centers as well. Her lead- is a compelling measure of the progress that Foundation to the Humane Society are not ership has shone through as chairperson on is being made by so many dedicated people well-publicized, but they point out that, when it the Principal's Council at the Bureau of Jewish here in this business in San Diego over the comes to community service, Ron Book is all Education. For the past 11 years, she has past few years. ComDis Co. has a strong pres- business. In the highest traditions of public passed on her wealth of experience and ence and a long presence in San Diego. The service, he is most generous with his time and knowledge as Director of Education at Temple short commercial is that we offer services ranging from venture finance for early stage attention in helping people who cannot them- Ner Marev in Encino, California. The Jewish entities through to life cycle management selves solve the problems that they face. community also enjoys her teaching through services for more advanced companies in this I have known Ron Book since he was just adult workshops and her conducting of a business. We have a local representative a youngster, making a name for himself work- women's Torah Study class at Temple Beth here, Gail Obley who is presently working ing on local campaigns. As is the case today, Haverim. with many of you. Again, we are delighted to everyone who met him then was impressed In addition to their devotion to the temple, participate as a sponsor and wish you well in with his intelligence, hard work, devotion to they have become a model of excellent family this activity. Thank you. principle and leadership capabilities. No one NARRATOR. Welcome to the Satellite CEO life and values. Rabbi Gershon teaches the Conference with the Commerce Committee was surprised that Ron served as Vice Presi- ``Making Marriage Work'' program at the Uni- of the U.S. House of Representatives. In San dent of his High School Class, or served in the versity of Judaism. Sharene leads several Diego, on today’s panel are: President and University of Florida's Student Senate, or that family workshops each year, and has spent COO, Alliance Pharmaceutical Company, he started working for a Florida legislator be- much of her time working with families and Ted D. Roth, President and CEO, IDUN Phar- fore he even graduated from college. children. They have been happily married for maceuticals, Inc. Steven J. Mento, Ph.D., Because of his interest in government and 27 years and have raised 3 wonderful chil- President and CEO, BIOCOM/San Diego, Joe desire to develop his own considerable capa- drenÐGavi, Rachel, and Aliza. Panetta, President and CEO, California bilities, law school was a natural next step for Mr. Speaker, distinguished colleagues, Healthcare Institute, David L. Gollaher, Ph.D., Chairman, President and CEO, IDEC Ron, as were his service as a Special Assist- please join me in paying tribute to Rabbi Pharmaceutical William H. Rastetter, Ph.D, ant to Governor Bob Graham; his employment Gershon and Sharene Johnson. They are both Founder and CEO, INNERCOOL Therapies, in two of Florida's preeminent law firms; and deserving of our utmost respect and praise. Inc., John Dobak, M.D., and your moderator the creation of his own law firm. f for today, Chairman and CEO, Alliance Phar- On December 14, 1999, Ron Book's maceutical Company, Duane Roth. achievements will be recognized at a testi- HONORING EDWARD WEISS DUANE ROTH. Let me start and just briefly monial dinner sponsored by the American As- introduce our panel members: First, Ted Roth who is President of Alliance Pharma- sociation of Bikur Cholim Hospital, Jerusa- HON. ELIOT L. ENGEL ceutical, Bill Rastetter, who is Chairman, lem's first hospital and one of Israel's pre- OF NEW YORK President and CEO of IDEC Pharmaceutical, eminent medical care facilities. Mr. Book will IN THE HOUSE OF REPRESENTATIVES Steven Mento who is President and CEO of be presented Bikur Cholim's International Thursday, November 18, 1999 IDUN Pharmaceuticals, David Gollaher who Brotherhood Award in recognition of this out- is President and CEO of the California standing contributions to both his profession Mr. ENGEL. Mr. Speaker, public service, Healthcare Institute, John Dobak who is the and our community. when performed wisely and well, is the most Founder and CEO of INNERCOOL Therapies, Mr. Speaker, I know that my colleagues join noble of callings. I speak today to honor a and Joe Panetta who is President and CEO of with me in congratulating Ronald L. Book on man who has been in public service and who San Diego’s BIOCOM. Let me suggest that performed in just those ways. Edward Weiss we go into the issues, if that’s OK with you, this great honor. that we would like to have a discussion or a f is retiring from the United States Department dialogue with you on. And for that we’ve got of Justice, Immigration and Naturalization a moderator for each topic. Congressman, did TRIBUTE TO RABBI GERSHON AND Service, after 30 years of service. you want to say anything? SHARENE JOHNSON In his many capacities with the Department, Congressman BILBRAY. I need to inform Ed has received outstanding performance rat- you, before we get started, that the transcipt HON. BRAD SHERMAN ings from every United States Attorney Gen- of this panel will be entered into the con- eral under whom he has served since 1981. gressional record. So don’t say anything that OF CALIFORNIA you don’t want your grandchildren to read. IN THE HOUSE OF REPRESENTATIVES He is well known for his ability to prepare and But, seriously, we want for this dialogue to litigate cases. He also coordinated the Crimi- Thursday, November 18, 1999 reflect the fact that these are issues that the nal Alien Program for the New Jersey District. biotech industry needs to have addressed and Mr. SHERMAN. Mr. Speaker, I rise today to Ed received his BA degree from Syracuse wants to have addressed. So you have been pay tribute to Rabbi Gershon and Sharene University and graduated from Brooklyn Law duly warned. Johnson in honor of their ``Silver Celebration'' School. He and his wife Susan have two DUANE ROTH. We have been warned, and I at Temple Beth Haverim in Agoura Hills, Cali- daughters; Robyn, in a pre-doctorate program guess that changes just about everything. fornia. This loving couple has spent 25 years However, let me turn to Ted and let him get in Religion at Hebrew University, and Karen, the first issue on the table. as leaders in the Jewish community, both spir- studying law at George Washington University. TED ROTH. Good morning Congressman, or itually and educationally. Ed is retiring to follow his other passions, afternoon I guess out there. Thank you for Rabbi Gershon Johnson has served as hiking and traveling. He is a dedicated profes- participating in this program. The issue that Rabbi at Temple Beth Haverim since 1988. He sional of who we can all be proud. I join his I would like to discuss briefly is the access is described by many as the temple's incom- many friends in wishing him and his family to capital as the issue we are facing right parable spiritual leader. His devotion and ex- many happy years in his retirement. now. As you know, San Diego has about 250 companies that are engaged in the various pertise as a Rabbi are evident in his presence f as a chaplain for the Southern California aspects of bioscience. We employ nearly 25,000 people. And spend over a billion dollars Board of Rabbis. He has always been ex- CAL BIO SUMMIT CEO SATELLITE CONFERENCE WITH MEMBERS OF a year in research and development. We are tremely interested in passing on his love for the third largest concentration of biotech and knowledge of Judaism. The Elderhostel THE U.S. HOUSE OF REPRESENT- companies in the nation, or the world for program at the Brandeis Bardin Institute has ATIVES ON OCTOBER 26, 1999 that matter. All of these companies are simi- benefited from Rabbi Gershon's knowledge, lar in their issues to the roughly 1,300 other and he is one of their most popular teachers. HON. BRIAN P. BILBRAY biotech companies in the United States. He also has been instrumental in introducing Yesterday we had a panel of analysts who OF CALIFORNIA talked about the financing environment, religion to beginners through his ``Introduction IN THE HOUSE OF REPRESENTATIVES both in the public and private markets. As to Judaism'' class sponsored by the University Thursday, November 18, 1999 most of us know, they talked about the dif- of Judaism. ficulty in raising money with companies Sharene Johnson is the wife of Rabbi Mr. BILBRAY. Mr. Speaker, I insert the fol- having valuations under approximately be- Gershon, and has worked for the betterment lowing for the RECORD: tween 750 and a billion dollars. I think it is

VerDate 2999 06:27 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00012 Fmt 0626 Sfmt 0634 E:\CR\FM\A18NO8.037 pfrm03 PsN: E19PT1 November 19, 1999 CONGRESSIONAL RECORD — Extensions of Remarks E2469 interesting to know that the only company that we will see a way to place that into a positive. Certainly we at IDEC view the FDA in San Diego that has a market valuation in bill that the President will sign into law. as a responsive and very active partner in excess of a billion dollars, in fact, it is great- The capital gains issue: I think right now, drug development, where we are really joint- er than two billion, is IDEC Pharma- as long as the economy is still strong, no, we ly making drug development decisions on a ceuticals. So the vast majority, virtually all won’t see that move forward. I think that real time basis with the FDA, rather than of the companies in San Diego are under this the Capital Gains, as the Chairman of the being second guessed after the fact, and this level that they talk about being difficult to Federal Reserve has said, is something that is absolutely critical. Important to being finance. Most of these companies have less will be used if we see a softening of the econ- able to achieve this is absolutely critical to than two years of cash, and many have less omy. It is the adrenaline we’ll give the pa- have a scientifically trained, well com- than one year. We are currently working on tient, that will stimulate the patient to get pensated and motivated and retained staff. I about 75 products that are at a late stage the economy moving again. So that will be know that Steve will speak about that. I clinical development. And as this develop- incremental and will be based on when we think that all the feedback is not positive. ment continues, the need for capital to make need to stimulate the economy. What I think Some critics would say that the FDA is still it through the clinical trials and prepare for that you are going to find now is that the failing to insure that the FDA is failing to commercialization will only make the fi- discussion coming out of DC will effect the ensure that all patients receive our tech- nancing issue more dramatic. Therefore, latest numbers on inflation. So I see that as nologies promptly and efficiently. I would what we have is a situation where companies being sort of a negative. refer you to the recent testimony of Pamela have products that are nearing approval that Let me just tell you that this New Jersey Bailey, who is the president of HIMA, or are running low on cash and are facing a du- model and what we are doing for California. Health Industry Manufacturing Association bious financing environment. That is totally wide open. I am basically to the Senate Committee on FDAMA that The federal government can take steps to open for suggestion on that. I couldn’t tell was as recently as the 21st of this month. help to create a better environment for us. you one way or the other. You would prob- Of course, HIMA is the device trade asso- Most of us remember what it was like in 1993 ably be able to tell me better about that as- ciation. I think that being in the biotech or the therapeutic side of the industry, I would and 94 with the Clinton Health Care Plan pect. have to ask if the device sides experience where what was going on in Washington had DUANE ROTH. Would you like to make an- with the regulatory process might not be quite a dramatic effect upon us. While we other comment about Net Operating Loss? more positive today if they had put in place don’t expect that there is anything that can No? OK. Then let’s move on. If we can we a PDUFA type act that would provided be done now to have that kind of affect on will move on to our second topic, and that is through user fees the increase staff at the the positive side, we think it is important the Food and Drug Administration. You have regulatory agency. I’d welcome your com- for the legislators to understand that what been very much involved in the past in help- ments on, either now if you wish, or after we you do in Washington really does matter to ing us with some issues with the FDA and wrap up. us. the 1997 legislation. I’d like to turn to Bill I think though, that by and large, the FDA What I want to do is put three issues on Rastetter and ask him to make some com- is more performance oriented these days, and the table. The first is the R&D Tax Credit. ments regarding user fees and the mod- have been really gratified to see the FDA re- And I guess that I would ask that you com- ernization act. Maybe we can discuss that engineer itself and be proactive and respon- ment on what you think the chances are that and then we have a second part that we’d sive to the climate, and also pro-active to it will either be extended or made permanent like to talk about. Steve Mento will talk try to manage the increasingly complex during this Congress. about that, and that deals with appropria- The second issue is Capital Gains and tax- tions and the mission of the FDA. So, Bill, workload with human resources. I think that ation on increases in capital investment. Do I’ll let you go first. the metrics at CBR which is the biologic side of the house at the FDA are very telling. In you expect, or should we look for any legisla- BILL RASTETTER. Congressman, thanks for ’86 there were 178 I&Ds, or IDE’s, these are tive changes to the existing law. being with us here this morning. I would like The final area and the one which is rel- to talk about PDUFA and FDAMA. For the the new applications to take something into atively recent. We heard this morning about audience here, that may not use those acro- the clinic. So ’86—178, by ’95—452, by ’99—587. the New Jersey model whereby the biotech nyms every day; PDUFA is of course the Pre- If you look at the balance of those that were companies are able to transfer a part of their scription Drug User Fee Act under which in Biotech, went from 87 out of 178. This year state NOLs to the larger pharmaceutical those of us developing drugs pay certain fees an expected 427 out of 587. So the balance is companies under certain circumstances. This to the Food and Drug Administration that really shifting in the bureau of biologics over to biotech and the workload certainly up is something that the California Legislature helps with the hiring of reviewers and the re- more than threefold in the last 13 years or is looking at, they are studying a com- view process. Of course, FDAMA is the FDA so. parable bill. So I guess, the question I would Modernization Act of 1997. Yet, the operating allocation dollars to Congressman, I’d like to give you a little pose is, what, if anything, can we anticipate CBR have gone down. ’96 was less than ’95, ’97 feedback from the sector. We think that at the federal level on an issue such as the less than ’96, ’98 less than ’97. ’99 is slightly PDUFA has really been an unqualified suc- NOL transfer? up, but it is still in constant dollars down Congressman BILBRAY. Well I think first of cess; both for patients and for biotech com- over 10% from ’95 in this environment of in- all, let me comment on the fact that you panies. It has provided for very substantial creased complexity, because of technology, pointed out appropriately the problems that, funding and fast track reviews of products. I more and more is biotech which takes more while we may be talking politics in Wash- know that our own company, IDEC, has cer- scientific review and the number of applica- ington, things like the comments that were tainly benefitted from that with the 9 month tions are way way up. So, certainly contin- made about the first lady’s health care approval that we obtained for Rituxan. ued funding growth is essential if we are not I think the metrics really speak for them- plan—the damage that does. Coming from going to lose this momentum and indeed we selves. With PDIFA, the act was passed you, it just shows that this is not a partisan are going to continue to build on this mo- originally in 1992 and in that year there were issue, but that all of us in Washington have mentum, and Steve will comment on these 26 new drugs approved. By 1996, with 600 re- to be sensitive to the fact that there are things. more than just political games in Wash- viewers hired with user fees there was a Two very very important areas, and I don’t ington at stake here. We are talking about record of 53 new drugs approved by the Food want to preempt you. Trained scientific staff the breakthrough drugs and major invest- and Drug Administration. In fiscal ’96, that at salary at parity with peers in the indus- ment, so I am glad that you bring that up be- was the year when those 600 reviewers were try, because if you can not achieve that you cause it brings credibility to the discussion on board and I guess still being trained and will never solve the problem of turnover at on both sides. getting into the swings of things, I&D to ap- the Food and Drug Administration. The one thing we’ve got to watch out for, proval, of course I&D was many years ear- Number 2, information technology. I think as you’ve seen in the last couple weeks, lier, I&D to approval for drugs approved in this is the single most important factor that there is posturing of ‘‘let’s use the avail- ’96 was greater than 90 months. By ’98, just can contribute to increased efficiency in the ability of drugs and pharmaceuticals to the two years later, that was down to less than food and drug administration. And we are public as some kind of political ping-pong 60 months from application to begin clinical moving from boxes and boxes, pounds and ball which really hurts you guys right on the trials to approval, a dramatic change. pounds of applications to single CDs that are front line.’’ And let’s face it, on the other So I think that it is essential that we con- hyper linked where the reviewers can go side of it, you’ve got to compete against tinue to build on this momentum. It is some- back and forth very quickly, gosh they can other venture capital opportunities. It seems thing that came out of PDUFA and the take the whole BLA home in their pocket if like recently we’ve seen that if something awareness, that yes we really could do some- they want, and work on it over the weekend. has a ‘‘dot-com’’ on the end of it, it is basi- thing that we could work with the FDA as a An incredible efficiency to be gained if we cally being perceived as a gold mine. I think partner, something that came out of that can get the Food and Drug Administration hopefully we will see that moderate a bit and with lots of congressional help and dialogue up to speed in information technology and that BIOCOM will be on the line there. with the sector was FDAMA, through which that will certainly require the hiring of Let me get right to your questions. The Congress provided tools to improve and mod- trained motivated retained staff to put all of R&D Tax Credit is a very high priority. I ernize the review process. I am delighted to that in place. think that it is a good possibility that some- tell you today, that I think that from our Another point that I want to make is that where down the line in the next few weeks sector at least, the feedback is generally it has been very popular in this country to

VerDate 2999 05:51 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00013 Fmt 0626 Sfmt 0634 E:\CR\FM\A18NO8.041 pfrm03 PsN: E19PT1 E2470 CONGRESSIONAL RECORD — Extensions of Remarks November 19, 1999 fund the National Institutes of Health. In- Even Henry Waxman, with whom I have say that there has been a major improve- deed, our entire sector has come out of the often disagreed with regarding the status ment of the situation. That the FDA has enlightened funding of the NIH that we have quo with the FDA will say that, when it made these great leaps forward gives us more had in this country for decades. But, we have comes to Biotech. The FDA regs at that time credibility when we start pointing out the to view the NIH and the FDA as bookends were totally inappropriate and they needed shortfalls that still need to be taken care of. with all of our companies being the books in to be reformed and attitudes needed to be re- I think that is something that we don’t do between. All of the books will topple off the formed. And frankly, somebody who has been enough of in Washington. In other words, pat shelf if we pull out that FDA bookend. We a real leader in this and really helped us out them on the back when they have done well, need to support the industry from both ends on the Commerce Committee happens to be so then when you point out the shortfall, you from basic science through the regulatory Richard Burr, from North Carolina. have more credibility. That it isn’t just par- process, we have to be very very sure that we Richard was really involved with the mod- tisan sniping. I think that is something we are buttressed from both ends. ernization program, he was really there. He have been able to do on the Commerce Com- In closing, I think that the agency got a serves not only on the Health and Environ- mittee because we have acknowledged that. very big boost with the appointment of Dr. ment Subcommittee, but he also serves with It is good that you guys do that. Now let’s Jane Henney. She has an exceptional record me on the Oversight Subcommittee, which hear what we should do to improve the sys- of leadership, both in academia and in gov- oversees the FDA. You guys really pushed tem more. ernment, an intimate knowledge of the food me to get on this committee because of how Believe me, when we talk about this snip- and drug administration having served as important this was for San Diego and it has ing against the industry, it really worries me the deputy commissioner for operations from been great working with Richard, who is when I start seeing people looking to use 1992 through 1994, I think that everybody somebody who has really been on the cutting this in the next election. I was just talking views that the direction she has said would edge of this, and is somebody that we can de- to my daughter and making the comment establish a more efficient, more responsive, pend on to keep pushing. Like it or not, we that I’d rather forgo the political advantage more open and better understood agency. I have to admit that California does not have and be able to be assured that my daughters think that from the perspective of our sec- all the biotech industry in the world, and don’t have to face off with the scourge of tor, I would like to suggest three very very that North Carolina does other things be- breast cancer in the next 20–30 years because important objectives for the commissioner sides grow something to smoke. we did the right thing now so that we can get to focus on. Let me just sort of throw it over to . . . la- these breakthroughs out on the market. Number one. To ensure that drug, bio- dies and gentlemen, I’d really like to intro- But let’s hear what we can do to get it logics, and device approvals don’t get side- duce my colleague and probably one of the done from you guys. tracked by new activities at the FDA such as shining stars of not just the Commerce Com- DUANE ROTH. Thank you very much and tobacco and food. And Steve will comment mittee, but of the entire Congress, and that thank you Congressman Burr for joining our on this. I think that one tool that should be is my classmate, Richard Burr from the conference. implemented for that is a PDUFA type act great state of North Carolina. Richard. I think what we can summarize the last for devices to increase reviewers at the FDA Congressman BURR: Thanks Brian, and my discussion about is that we have done that for the device sector. apologies for my tardiness. If California is as right, and that it is moving in the right di- Objective #2 is a strategic one. To continue crazy as Washington is today, you can under- rection. But there are still issues that re- to build a modern strategic vision for the stand the schedule that we have had as we main with the FDA and one of them is that FDA. Let me give you three objectives that try to wrap up this appropriations process. it’s really not uniform. There are some divi- CBR has identified for itself that I think are I think it was appropriate that I wasn’t sions that are performing very well, and just superb and really speak to the scientific here to make any comments. The advan- there are others that are still lagging very quality today within CBR. Three objectives, tageous thing for me is to hear the questions far behind, and that has a lot of do with peo- their own. Establish bio-markers and surro- that are raised. More importantly, to hear ple. I am going to ask Steve to discuss appro- gate end points for clinical trials to make the experiences with post-FDAMA. I think priations in a minute, but people, and Bill clinical trials more efficient and make ap- that we continually try to update ourselves made a very important point, information provals more streamlined. Number two. To on whether the modernization act is in fact technology. There is no reason we should be restore protection to large segments of the executed the same way that we intended. sending truck loads of books to the FDA for adult population with biotech vaccines. The There is no better way than to look at the review when we can send it on a CD that old vaccine technology is failing in many re- amount of applications that have been filed. they can have in a matter of minutes and it gards. Number three. The identification and To look at the increase in those that have is so much more efficient. I just sent a drug use of gender specific factors that influence, been approved. But that is not enough. Brian application last week, and the boxes and or might influence drug and biologic safety and I realize that, and our colleagues realize boxes and boxes of paper that went are really and efficacy. That is the kind of strategic that we need to be vigilant in our watching. telling about what the FDA is still dealing leadership, objective number two, the agency I am not sure of the makeup of our panel, with. needs. but I also give high marks to the FDA so far Congressman BILBRAY. Before we leave Number Three. A tactical counterpart to on their ability to transition. The Janet this, and Richard you may want to jump in that. Building on PDUFA and FDAMA ensur- Woodcox’s of the world, and certainly to the on this, we’ve actually had an initiative ing that through an inside focus on oper- new commissioner. I think that they have called the Paperwork Reduction Act. We ations, efficiency and performance that the made tremendous progress. I think that we may want to go back and take a look at that FDA continues to streamline, continues to still have cultural change yet to determine as Members of Congress, saying how can we improve its partnership with our sector. I whether we have started. I am committed to take the intention of that legislation and would suggest, as Congressman, you and I stay involved in it until that the cultural apply it to this specific issue. Rather than have discussed on occasion, that we move to- change is evident to all of us. One of the having to reinvent the wheel. Say, ‘‘Look ad- ward a full time Chief Operating Officer. A things that we’ve got to watch out for I ministration, we have this act that is al- partner in tactical matters with the Com- think, and when I say ‘‘we,’’ I mean members ready initiating these programs to avoid pa- missioner, to be accountable for performance of Congress, as we address health care policy, perwork, and here you’ve got the industry for day-to-day operations for information you will hear more and more the question of that is ready to work with you to implement technology systems, for hiring, training and pharmaceuticals and biologics come up in that act,’’ and maybe we can plug it into this retention of staff and that person established the discussion. We’ve got to make sure that issue. as a full-time person at the agency would the capital continues to flow to the bio- Congressman BURR. I’d also like to tell you very much complement the Commissioner technology industry. We’ve got to make sure that this is part of the cultural change that who should be providing the strategic leader- that our health care policies, as well as our we hope to see that we haven’t seen. Clearly ship. approval agencies, are such that it makes that alarms me that we have an agency that I appreciate you being with us this morn- Wall Street comfortable with the industry evaluates and approves these methods that ing, and I’m sorry that rambled for so long and with the investment that individuals are so far technologically advanced that there. make. It is because of that investment and might not accept something on a CD-ROM Congressman BILBRAY. Well, actually there the risks that each one of you take that we has to be something cultural. was a benefit to that, and I’ll get to it in a will experience products in the future that Congressman BILBRAY. My attitude is just moment. But frankly, BIOCOM was really on address both chronic and terminal illness why don’t we just package it and call it the the cutting edge of this. Actually, I think that today we have no treatment for. We are Tree Preservation Act and start going to some of you will remember—even before I here in hopes to listen and also to work hard this new high-tech. was sworn in, you had me in your office and to make sure that this act is carried out in DUANE ROTH. We could have saved a tree. talked about how FDA reform was essential a way to produce the product that it was in- Steve, why don’t we turn it over to you. and that the institutional mind set needed to tended to. STEVE MENTO. I also want to add my change. I am glad to know that as a result of Congressman BILBRAY: I think you are thanks to the other panel members and our efforts, there has been positive move- coming from a position of strength to thank you Congressmen for taking the time ment and an evolution towards being more BIOCOM. With all the partisan bickering you out of your very busy schedule to listen to pro-active and cooperative on the part of the see in Washington, at least on television, for some of the issues that we want to present FDA. The fact is, there needs to be more. you to come forward and for us to be able to here.

VerDate 2999 05:51 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00014 Fmt 0626 Sfmt 0634 E:\CR\FM\A18NO8.044 pfrm03 PsN: E19PT1 November 19, 1999 CONGRESSIONAL RECORD — Extensions of Remarks E2471 I want to build my comments on both Ted me and told me that they didn’t have enough Our industry has been very concerned that and Bill’s. IDUN Pharmaceuticals is one of money, I would be shocked. I have yet to the attacks on the pharmaceutical industry those small companies that Ted described. meet one in Washington. I think that is in- will have repercussions for raising capital We won’t be filing our first I&D with the herent to this town. We have a very difficult and for the health of the Biotechnology and FDA until early next year. And again, I want job. I think that we try to work as closely as the drug discovery industry so the to stress the importance that time is our we can with the people who are on the side politicalization of this issue is bad for every- enemy, so it is critical that FDA appropria- of the issue that where you are, and that is one, I guess that our great concern is that tions that Bill talked about are adequate, re- the applicants. Is the process working bet- looking ahead to a very contentious election main adequate, or are even increased, such ter? in the year 2000, how can we play a construc- that the gains that we have made in the last Then we try to compare and look at the tive role in to find an approach to the pre- three or four years are even exceeded in the changes that have been made at FDA. We are scription drug coverage for the medicare future. all concerned with jurisdiction creep as to population that is bipartisan and will work? It is critical to a small company with lim- the issues that the FDA is involved‘ in. That A lot of us in the past have thought that ited financing that when we submit an appli- is purely an oversight role on our part and some type of premium support would provide cation, that application is rapidly reviewed, we are going to continue to be vigilant on it. coverage for the elderly poor would be a good and it moves forward at an appropriate pace. We think that when you look at the number way to go but we can look back as well to As Bill said, it is key for the FDA to have of employees at the FDA, there has to be catastrophic coverage when the great pan- sufficient personnel of the highest quality to some change. The reduction probably frees thers revolted and seniors refused to pay ensure that the product review process starts up the slots for the talented people that all anything for additional coverage. It seems to and continues to move forward on a timely of you have expressed that they need in the us that this issue is very easy for the presi- pace. process. I think that they also need to cul- dent and others to politicize by talking Critical to understand, very simple, in turally address some things, such as the re- about new benefits that people should have order to regulate a scientific industry, and moval of secondary indications, where we and that basic support for these benefits biotechnology is clearly a scientific indus- can take that process out and possibly put should come out of the companies. So I guess try, we need strong scientific regulators. I that into the teaching hospitals around the we would like to hear some perspective on will draw from a past experience I had ear- country. We did part of that in FDAMA. the best approach our industry can take to lier in my career when I was involved in the Clearly I don’t think that the FDA has take some of the air out of the political bal- early days of gene therapy. moved far enough in that method. But we loon and help for a more bipartisan approach When we first started talking to the FDA want to free people up so that the talented to what is basically a partisan issue. about Gene Therapy, it was an industry that people can work on those applications that CONGRESSMAN BILBRAY. Well, that’s a real- didn’t exist. I want to commend the FDA re- are the various breakthroughs that can hap- ly tough one, because we’ve seen people in sponse to our early discussions. They basi- pen. Washington use you guys as a punching bag. cally put a new group together, the Cell and We are not at a point yet that we feel that It’s easy to take a cheap shot, you never get Gene Therapy group, and they staffed that they are tied because of budget restraints, thirty minutes to respond to the Administra- group with very strong scientists. I think when we continue to see fifty investigators tion’s attacks, it’s a freebie politically. that just looking at the safety record in that who sole job every day is to chase the to- We’ve seen the damage it can do in the early gene therapy industry over the past five or bacco industry. So we go through a little bit minutes, frankly, I’m concerned about the six years is not in small part due to the fact of a different method as to how we encourage damage it’s going to do now. I think that we that there was strong science at both ends, agencies to staff up in the right places, and also need to highlight this issue about how both ends of the table. And even with the re- sometimes it takes a little longer. long it takes to get the product on the mar- cent set-back in gene therapy where there Congressman BILBRAY. I think that we ket, about how few percentages are able to was a death—the first death in a clinical shouldn’t move beyond this issue of what’s go from R&D to the market. The things that trial, I think the appropriate and rapid re- called genetically altered food and stuff. the administration needs to do to make sponse on both sides of the table have en- Anybody in the BIOCOM group should not pharmaceuticals more cost effective is basi- abled the trials to move forward. It is very consider this to be somebody else’s problem. cally to stop being obstructionists. But the important to have strong science on both This prejudice and this practical witch hunt other issue is the tort limitation. Being on ends, and have the funding to make sure that against anything genetically altered is just the Mexico boarded they always say ‘‘in this is possible. really something that we have to confront, Mexico, we can get it for this, this, and this’’ And as Bill said, we are particularly con- and we have to confront it head on. well, also you can get dental care and med- cerned in our industry about so called mis- Just because the debate is focused on foods ical care down there, but you also have a to- sion creep. With funding being what it is, right now, doesn’t mean those of us working tally different type of tort system. I wish I how will the FDA be able to respond to new on medicine can allow the wolves to go after had the answer for how we counter this, be- initiatives that will be placed on them, new them. We need to stick together, because not cause right now I just see it as a freebie for requirements with genetically modified only is genetic research not a threat to soci- anyone who wants to take a political cheap foods, or even tobacco, with the increasing ety, it is probably the greatest shining exam- shot at you and I think that we really have number of applications that are coming from ple of a bright future for a whole cadre of to take a look at how to preempt it but I our industry, and keep pace with the review issues, from beating cancer to feeding the don’t have that answer. Maybe Richard does, process. hungry in the world. We have to unite all of he’s used to his industry taking all the shots So I guess the one question I would have is, us who are well informed and understand and maybe he’s got some good pro-active how will Congress ensure that FDA staffing, this issue, and confront those who are the counter offensives ready to go, Richard. and resources are adequate to meet the ever- scare mongers, who will try to intimidate CONGRESSMAN BURR. Should you be wor- growing regulatory needs of the biotech in- people with fear on this issue. ried? Yes. I gave a speech earlier this morn- dustry? On the clinical trials issue, let me just ing and I said had I known that the mod- Congressman BILBRAY. Well, I think, and point out a side note that the healthcare ernization act would be so successful that we Richard jump in, right now we are just try- issues that were brought up last week. Every would move from an average of the low teens ing to maintain appropriate oversight. Those one of those managed care proposals had a of the applications being approved in a year of us on the Oversight Subcommittee are clinical trials provision added to it, because to fifty or sixty or potentially seventy in fu- watching how these resources being allo- Washington is finally waking up to the fact ture years and that the market place would cated to the administration are being spent. that we need to be pro-active on this issue. have so many new drugs that were still We’re actually able to have a substantial DUANE ROTH. Let me move to a less con- under the recover of their R&D that it’s con- maintenance of our effort, and improvement troversial issue. Medicare prescription drug tributed greatly to the increased cost of of our effort even with the limits of the bal- benefit. I am going to call on David pharmaceuticals when we look at the entire anced budget, while not spending social secu- Gollagher. population and especially seniors. The other rity. DAVID GOLLAGHER. Congressman Burr and thing that has come into play is that tech- I don’t see any real critical issue, in which Congressman Bilbray, we appreciate your nology is a two way street and many seniors we are going to have to reduce what is avail- time, you’ve been with us on so many issues. and many consumers sit at home and re- able. In fact, with you guys taking such a Both of you certainly heard, or heard right search their illness, they are quick to go into strong pro-active stance on user fees, which after the president’s remarks yesterday their physicians office. They may have been is something that Republicans often get real about the drug industry, calling on Health on Zantac and it treated their stomach well, paranoid about, really helps us to keep this and Human services to initiate a 90 day today they want prylosec, and a physician is constant effort going because the industry study of comparative drug prices between almost required to fill out that prescription, has said that we don’t mind participating in the United States, Mexico and Canada. The and then we move from a $10 over the the cost as long as we get the services that President has also rolled out his plan for pro- counter solution to a $110 prescription solu- we need to get these things moving along. viding prescription drugs for people who are tion. So the problem has ammunition and Richard, do you have a comment about uncovered in the medicare program. There I’ve learned that anytime there is a box of what we need to do? are around 39 million people covered in the ammunition, Henry and our good friends on Congressman BURR. Yeah, good luck with medicare program and around 13 million the other side will continue to use it. I will your first application. If any agency came to don’t have any prescription drug coverage. tell you that most members and most people

VerDate 2999 05:51 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00015 Fmt 0626 Sfmt 0634 E:\CR\FM\A18NO8.048 pfrm03 PsN: E19PT1 E2472 CONGRESSIONAL RECORD — Extensions of Remarks November 19, 1999 across the country believe that there ought Washington would have to step in and get in- was not established until 1997. At the time to be a drug benefit with medicare. The ques- volved. I know that sounds like some kind of that the product was approved only about tion is are we going to try to incorporate conspiracy issue, but I think that those of 15% of patients had access to this lifesaving something into the existing model or are we you who have worked in the industry and technology. Once appropriate reimbursement going to do something that is politically have seen the reaction of what Washington was established, the use of the procedure ex- tough but policy right and that’s to create a can do would agree that this is not a Demo- ploded to some 85% or 90% now of inter- private sector plan to compete against medi- crat or Republican issue; it’s just common ventional cardiology incorporate stinting. care? As I shared with people, we never com- sense that we ought to be allies not enemies. My concern is that I think a similar situa- plained about the post office until fed ex was DUANE ROTH. We certainly will stay en- tion is going to evolve with stroke. Stroke created. When it gave us something to com- gaged in this issue, it’s absolutely crucial to afflicts about 700,000 patients each year in pare it to we began to ask ourselves ques- our industry and we really hate to see the this country and that it costs the healthcare tions about when it needs to be there, how way things turned yesterday. That was not system in excess of 30 billion dollars. It’s a confident do I need to be that it gets there helpful and puts us in a very defensive posi- devastating problem, it leaves people para- and how much does it cost? And when you do tion again. We’re certainly going to work on lyzed, unable to speak and comprehend that, if we were to create a private sector this issue and stay in touch with our con- speech and even blind. Currently there’s a model whether it’s premium support in total stituents. Our constituents are patients. bevy of medical device companies that are or another byproduct of those talks I think When any one tries to drive a wedge between developing therapies to treat strokes. Cur- we get a fair comparison that seniors and the the industry and the patients who need these rently there’s a bevy of medical device com- consumers can compare medicare to. What products, everyone loses. I think that’s what panies that are developing therapies to treat do you do? I hope that we in Congress, espe- we need to be working on strokes. Unfortunately the current reim- cially as republicans will put out some time Congressman BILBRAY. I think you have to bursement is only $3000–$4000 and the average of blueprint before we leave. Even if it’s a point out that you’ve got elected officials length of stay in a hospital for a stroke vic- very sketchy one on what we’d like to ac- who were on the defensive this week about tim is 5 days, that $3000–$4000 will not cover complish and how we’d like to do it on medi- Social Security. And the best defense, in a that hospital stay let alone new technologies care restructuring and the incorporation of lot of their attitudes, was to go on the at- that are going to prevent the devastating drug options as we come back next year. If tack. And so, they had a position that wasn’t consequences that come from a stroke. I not then the President will frame what we do very defensible on Social Security and so think this brings up a very important point and the box that we are in the State of the they came up with a proposal and used you about the fundamental structure of medical Union address. How can the industry help us guys as a punching bag and as some way to reimbursement and that’s that medicare fo- and help themselves? It’s to put the image of justify their agenda. They had to create an cuses on short term cost controls in favor of who you are and what you do in front of the enemy and they were using you, and frankly long term cost saving. I think that tech- American people. It’s to take the scientists I’m sorry to see it happen too but please un- nology will never prove to itself to be cost out of the lab and put them into the lecture derstand that you should be complemented efficient when the reimbursement structure room or the town meeting or the television. that they were on the defensive so they were focuses on this short term cost control. I Talking about the breakthroughs that they going after you to take the heat off of them would just be interested to know if there’s worked on and the real lives that the break- which is a sad fact about this. going to be support for this bill presented by through affects. The American people are DUANE ROTH. I’d like to move to a related Senator Hatch and Congressman Ramstead willing to pay as long as they know what issue and this is one that is very key for our and hear your comments about your posi- they’re going to get and I think this is one industry and that’s getting reimbursed once tion. area where the people would be willing to we finally get through the better behaving Congressman BURR. Well, I’ll go first. I’m chip in to continue the level of research and FDA, how do we get paid for our products not sure about the specifics in Senator Hatch development. If we allow the President to and this is another major medicare issue. So or Congressman Ramstad’s bill, but it gets frame the debate and the others to set the I’m going to turn to John Dobak who’s going to the heart of what private insurance com- rules, I can assure you that the number one to introduce the subject and get your companies refer to as experimental. Those drugs thing I look at, which is capital, will find an- ments. or devices that have been approved by the other industry that is more attractive in JOHN DOBAK. Thank you and thank you FDA but for, some unknown definition, still from the standpoint of their overall return folks for taking the time. I represent the have not been approved for reimbursement and we will have a tough time in the biomedical device community. We often get whether it’s medicare or the private sector. technology area. lumped with Biotechnology but there are I attempted, in the patients bill of rights leg- Congressman BILBRAY. I think that you some differences between our industries as it islation, and all the substitutes, to make need to really focus this and be ready to do relates to a certain issue, and I think it’s im- sure that we had a new definition for experi- your own campaign based on things like portant to realize that there is a difference mental which stopped when the FDA ap- Biotech. It’s not about money, it’s about between medical device and Biotechnology. proved it. It could no longer be experimental. lives. If you compare how much the average This particular issue I think pertains to both It meant that medicare and companies had American family spends on a car as opposed industries. I’m going to focus on the Medical to specify anything that was not covered but to pharmaceuticals or breakthrough drugs device side of these issues however. First, I’d was not under the umbrella of experimental. it’s not even comparable because you’ve got like to note that HIMA has a seven point I don’t think there’s any question that the it packaged a certain way. plan that deals with reimbursement reform intermediaries dragged their feet sometimes The republican proposal I’m seeing coming and it’s a very complex issue and I would en- companies are pushed from one entity to an- down, and I think that both the Senate and courage some review of that plan because it other, who are trying to get a new DRG code the House is moving, is the issue of having addresses many of the dilemmas faced by or whether they’re going to be lumped in an the needy seniors helped with this cost and medical device companies. I’d also like to unexisting one and in many cases the reim- really focus on them as opposed to the posi- recognize that some of these issues and the bursement does not represent the techno- tion that all seniors, even if they’re million- solutions proposed by HIMA are addressed in logical advances that have been made. I aires, should be able to be subsidized by the a bill proposed by Orin Hatch and Jim think it’s clear that we’re on a generation of federal government. Ramstead. The most important piece that’s heart stint that some of the countries of the Congressman BURR. And I want to caution partly covered in this legislation is that it is world would look at and laugh at based on the entire group, don’t fall prey to anything trying to establish a more efficient and rapid where they have progressed to. That’s part of other than the administrations intent and reimbursement process for medical device the approval process. When I look at the re- the Democrats on the Commerce Committee, companies and other life science companies imbursements I clearly don’t think that it most of them, that the first step is to insti- after they obtain FDA approval. FDA ap- considers the technological changes that tute price control. And those price controls, proval is really the pinnacle of any life have gone into product advancements, espe- whether they’re instituted at the state level sciences company or medical device com- cially in devices, and the reimbursements re- or whether they’re instituted by the federal pany, it really represents the establishment flect that. I think it cries for overall medi- government, then they have the hoops to re- of the clinical benefit and safety of a product care reform, not just in the drug model but design the system however they want it. and and one would think that with that FDA ap- a true competitive model. One last point, it’s clearly those price controls, being the first, proval we would see a dissemination of the one that you touched on which I would call thing have a great impact on where the cap- technology the profitability of the company disease management. I remember when we ital goes in the future. and additional innovation of that particular sold for the first time the concept of medi- Congressman BILBRAY. The would initiate company. Unfortunately, because of prob- care coverage for diabetes screening for sen- these prices controls and you would watch, lems with the medicare reimbursement in iors. It took 21⁄2 years to convince some of in an industry that already has investment particular, the technology is not utilized our colleagues that it was cheaper long term concerns and problems, then when it starts often times many years after the product to pay for this monitoring up front because hurting more, it justifies Washington stick- was initially approved. I think a case in it was cheaper than amputation and blind- ing it’s nose in further. So you’ve got to point is cardiac stints. Cardiac stints are ness. They now believe that and they believe watch these things because a lot of these cri- these tubular, cage-like structures that are it about mamograms and they believe it sis situations are created in Washington and used to prop open the arteries. These were about PSAs. We need to start the cultural not necessarily without the intention that approved in 1994, however reimbursement change and make people understand that

VerDate 2999 05:51 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00016 Fmt 0626 Sfmt 0634 E:\CR\FM\A18NO8.051 pfrm03 PsN: E19PT1 November 19, 1999 CONGRESSIONAL RECORD — Extensions of Remarks E2473 there are drugs and devices that also save been raised in Europe over the acceptability the world to the benefit of our farmers here money long term with a cost up front. That, of genetically engineered foods. And it’s an in the U.S. Thanks very much for your time. again, is a cultural problem that we’re going issue that has a direct impact on our farmers Congressman BURR. Well, I appreciate the to have with this agency. across the country here in San Diego cer- question. Yes we do have farmers in North Congressman BILBRAY. It’s a problem, not tainly congressman Burr in North Carolina Carolina, most of them are still under water, just with this agency, but with the entire and with a lot of the research that’s been unfortunately. But we will bounce back and federal system, judging what is a priority going on in San Diego and North Carolina I’m hopeful that we will at least pay atten- and what is a benefit. A decade ago we were through companies that are involved in this tion to what’s happened in Europe. I’ve been bashing the private sector for looking to the area has a direct impact on us as well. But there twice in the last twelve months. This next quarter. Remember we were talking the two issues that I really want to touch on has been one of the topics of discussion every about the Asians looking at the long range. here are in direct relevance to you in the time I’ve been there. Clearly this is not a trade policy breakdown, it’s an attempt to The fact is, we’ve seen a major reform in the Commerce Committee, and those have to do continue subsidies that we tried to negotiate private sector. When Richard and I came with the acceptance of exports of our crops out. And when they finally hit on the food here to Washington we were looking at this and the impact that that could potentially safety it took hold with consumers all across issue that the whole mentality of what we have on our ability to adopt this technology judge as a benefit or a cost is so antiquated; the EU. The concern is, and should be, what through our farming systems in the U.S. and and it still is. You have the OMB scoring, happens when that same type of campaign also for the potential for there to be a back- and you have the Congressional Budget Of- comes across the ocean and starts in this lash here in the United States as a result of fice scoring, that is really sort of like what’s country and we’ve begun to see this already some of the controversy that’s been raised in here and now. A good example is, the drugs with the attempt on baby foods, where most that are being used for trying to reduce the Europe. You both know, I’m sure, that farm- companies have pulled many GMO products effects of strokes. I just lost a father to a ers have increased difficulty in adopting this out of it. I think we’ve got to be very con- stroke, so I understand. He was two years in technology due to the fact they’ve had conscious of the good science that’s needed. And a wheel chair—could not speak—needed to cerns about acceptance of products in Europe I would hope that we would spend our time have constant service. But, the drug that and Japan. The regulations that have been with the EU now trying to set the standards may help to avoid long term damage isn’t implemented particularly in Europe on GM3 for good science and backdoor into standards really considered a major savings because imports in the United States have really de- that would allow us to have those markets you still spend up 3 to 5 days in the hospital. terred farmers in large part from adopting for export purposes. I’m sure the French So they just sort of go right over that. I this technology due to their concern. It’s would be alarmed to find out today that they think that we need to try to raise the sophis- causing a huge headache for our farmers here currently use genetically modified grapes in tication of what we project as expenditures in the U.S. it’s raising concern with our the majority if not all of there wine. I’m sure or savings. That could go beyond the here large agricultural research companies rel- that they would argue that rubbing it on as and now and the short term. And this town ative to their investments in this technology opposed to injecting it in is two different doesn’t do that very well. A good example, in the future. And if we look at the loss in things, but reality is reality. I think that this is an area of great concern not only to was the question about capital gains taxes, trade just last year in this area as a result of those of us on Commerce. I know that Sen- and reducing them. In this town the projec- some of these negative regulations that have ator Pat Roberts has spent a tremendous tion was that it was going to be a net nega- been implemented we’re looking at amount of time on it, and is concerned that tive to the treasury. Well everybody knows $200,000,000 in crops that had to sold else- if we are not vigilant, and if we don’t watch that since we’ve done that there’s been a where as a result of European negativity on this issue. The fear that’s been aroused this, that we will no longer be able to huge plus up and it’s been one of the biggest produce the world’s food here in this country reasons why we have a surplus. But the town through the activities of the activists groups in Europe could potentially end up flowing because of what can happen. As the member does not know to change it’s institutional of Congress that has the Novartis agricul- structures and it’s institutional background onto shore here in the U.S. and we think that what’s really exacerbating these issues tural headquarters for this country, it is to reflect reality. And I guess from a science alarming for me, and I know the impact po- background we would say the model here in are the very regulations that are being created in Europe that are presumably there to tentially not only on North Carolina’s farm- Washington is being used to judge your in- ers, but our ability to be the world’s sup- dustry and to judge service and cost benefit deal with the issues themselves. In fact, what we are seeing instead is the reverse and plier. ratios. The model is a one dimensional obso- Congressman BILBRAY. I think that we and the public’s concerns are being raised even lete model that we have to replace with a everybody, there are those in the medical more. What that’s causing us to see in the whole new modeling system. And maybe we field that say this is an ag problem just as U.S. is that the technology is being slowed can get these guys who are working on glob- much as it was those to make sure you didn’t down and in fact, farmers are having to hang al climate change to work out a model that go after genetic research. Remember that will be able to sell to the congress so they on to older technics as a result. I’ll be brief, scare tactic, it may be good politics, but it will have something that reflects reality bet- because Congressman Burr I know you have was bad science. Just like Richard and I ter than what we have now. This thing runs to get back up to the Hill. But, the concern worked with a guy name Ganske about this deeper than just HCFA, it’s the entire struc- here has more to do with the fact that we issue of radiating meat, which is the safest ture that we are trying to change. need your support in terms of any regula- thing you can do to stop the disease carrying Congressman BURR. Brian if I could, I’ve tions that might be considered that goes be- potential of beef. I think we need to put to- been asked to come back up to the Hill, and yond the already very stringent system that gether a coalition and I want to tell you I do want to allow if there is one additional we have in the U.S. And the need to imple- this, I was on the Floor today talking to my question that may or may not be on the ment science based systems outside the U.S. corn growers in the Midwest. I need you to agenda that somebody has of me before I as something that needs to be focused on give me that information because we need to leave, I wanted to give you an opportunity to more than the need to focus on a system that get Archer Daniels Midland and the rest of ask it. is very adequate. I think Bill Rastetter and the big corners who are fighting us on other DUANE ROTH. Let me quickly, since you’re Steve Mento both touched on the concern issues, that they ought to be working with from North Carolina, and there are some about the resources that we have at FDA and us on this issue. I think that there is a flip farmers there I think. Genetically modified the need to focus these resources on the ap- side here too. The environmental commu- organisms, and Brian touched on it earlier proval of some of the new pharmaceutical nity, rather then being your enemy should but this is an area that we do understand has and device products that are in the system. be your biggest ally, except that they don’t a potential to creep over into the health care The need is not there to focus those re- have the facts. We’re talking about the abil- as well as the agriculture scare that is going sources on a process at the FDA that is ality to use genetic research as a way of reduc- on now. And I’m going to call on Joe to sort ready adequate. As far as labeling goes, ing the use of herbicide eliminating or reduc- of introduce us to that mess. that’s another issue that’s been discussed ing the substantial use of insecticide that JOE PANETTA. Congressman Bilbray con- very much recently with regard to public are polluting the environment. I think that gressman Burr, thank you very much for concern. I think from our standpoint we felt we need to talk about this. And we need to joining us, and on behalf of all the members for a long time that the labeling system that confront Europe and say, ‘‘You want to play of BIOCOM, I would like to thank you as the FDA adopted years ago is an adequate this game?’’ We can look at the herbicide or well. Congressman Bilbray, over the years system to deal with any food regardless of the insecticides that you are using and say we know that you have been interested and the technology through which it’s produced. that we don’t want any of your products that involved in our issues and we’ve welcomed And this is simply one more way of pro- you are using those in. If they want to play that participation on your behalf and we ducing food, but the processes that are in this tough game, I think we need to get the really look forward to working with you in place there are adequate. So, in summary facts out there. And I think that the pro-ac- the future. We haven’t talked much, through we’d ask you to continue to support the ef- tive approach—I propose that what we ought BIOCOM, about the issue of genetically food, forts through FDA, USDA, and EPA to regu- to be talking about up in the Northwest although you and I have talked about it on late these products and in terms of exports, right now and what the administration occasion. And it’s an issue that certainly be- to show strong support for our opportunity should be pushing for is not what is geneti- come much more in the forefront in recent to show better crops to improve yields and to cally altered, but an international interpre- weeks and months with some of the concerns be able to export these products throughout tation of what is organic. If you want to eat

VerDate 2999 05:51 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00017 Fmt 0626 Sfmt 0634 E:\CR\FM\A18NO8.054 pfrm03 PsN: E19PT1 E2474 CONGRESSIONAL RECORD — Extensions of Remarks November 19, 1999 food that was grown and processed exactly of the best things that we’ve done is to see EXECUTIVE SUMMARY the way your great great grandfather did, 150 the kinds of things that you put into it. I years ago, then I think we can find a com- couldn’t help but think about the device This report, which was prepared at the re- mon purpose. But the talk about genetically issue and our tort reform device that was quest of Rep. Charles A. Gonzalez, compares altered is such a ruse because the one thing named after your nephew. It’s something prescription drug prices in Texas’s 20th Con- that we talk about is domesticated plants. If that I think has been one of our great suc- gressional District with drug prices in Can- we didn’t have, quote unquote, altered cesses. Thanks a lot, and continue the work. ada and Mexico. The report finds that senior plants, our corn would be about three inches One thing that I really like about it is that citizens and other consumers in Rep. Gon- long the way the Anasazi a thousand years you can look at this panel and you can see zalez’s district who lack insurance coverage grew their corn. And I think that we need to that they go across the political spectrum, for prescription drugs must pay far more for get this out. So the environmental commu- but they stick together on one issue. The prescription drugs than consumers in Canada nity has to be confronted with the fact that well being of Americans is something that and Mexico. These price differentials are a rather then attacking and fearing the ge- we all have to cooperate on and find answers netic alterations we should be moving to- for, rather then always pointing fingers and form of price discrimination. In effect, the wards it to stop all the spin off pollution finding problems. So thanks again for taking drug manufacturers are discriminating that we’ve seen for decades. I think that we the time. This was a very, very great way to against senior citizens in Rep. Gonzalez’s got a big question here, but we all need to be able to communicate. And hopefully Rich- district by denying them access to prescrip- pull together. I ask the medical people to ard and I can go back and to carry your mes- tion drugs at the low prices available to con- take a look at the ag people because we need sage and not just to the Commerce Com- the ag people to help us with the medical sumers in Canada and Mexico. mittee, but to the House of Representatives. side and with the device side. We are all in This study investigates the pricing of the Thank you very much for the time. this together. We’re the people with the DUANE ROTH. Thank you. And let me just five brand name prescription drugs with the facts. We have to stand up for them; even in conclude by thanking my panel members for highest dollar sales to the elderly in the the short run, politically, it doesn’t seem ex- taking time to help with this. Thank you United States. The study compares the pedient. Outside of that, I really don’t have very much. prices that senior citizens who buy their own an opinion about this whole issue. DUANE ROTH. We will certainly give you f prescription drugs must pay for these drugs the information and keep working on this in Rep. Gonzalez’s district with the prices issue it’s a very important one. Let met give PRESCRIPTION DRUG PRICING IN that consumers who buy their own drugs you a chance to sign off here, I know that THE 20TH CONGRESSIONAL DIS- must pay for the same drugs in Canada or you have to get back to more important TRICT OF TEXAS: AN INTER- Mexico. The study finds that the average business. But, from our side thank you very NATIONAL PRICE COMPARISON prices that senior citizens in Rep. Gonzalez’s much for taking the time, both of you, to district must pay are 100% higher than the spend with us today. prices that Canadian consumers pay and 99% Congressman BILBRAY. Well, thank you HON. CHARLES A. GONZALEZ very much for how proactive that you guys OF TEXAS higher than the prices that Mexican con- have always been. And one thing that is IN THE HOUSE OF REPRESENTATIVES sumers pay (Table 1). great about the BIOCOM people and your en- Thursday, November 18, 1999 tire group is that rather then sit back and then complain that things didn’t work out, Mr. GONZALEZ. Mr. Speaker, I insert the you’ve been very pro-active. I think that one following for the RECORD: TABLE 1.—SENIORS IN REP. GONZALEZ’S DISTRICT PAY SIGNIFICANTLY HIGHER PRICES FOR PRESCRIPTION DRUGS THAN CONSUMERS IN CANADA OR MEXICO

Canada-20th District price Mexico-20th District price Canadian 20th District differential differential Prescription drug and dosage form price Mexican price price Percent Dollar Percent Dollar

Zocor: 5 mg, 60 tab ...... $46.17 $67.65 $113.94 147 $67.77 68 $46.29 Prilosec: 20 mg, 30 cap ...... 55.10 32.10 129.49 135 74.39 303 97.39 Procardia XL: 30 mg, 100 tab ...... 74.25 76.60 142.17 91 67.92 86 65.57 Zoloft: 50 mg, 100 tab ...... 129.05 219.35 238.69 85 109.64 9 19.34 Norvasc: 5 mg, 90 tab ...... 89.91 99.32 127.77 42 37.86 29 28.45 Average differential ...... 100 99

These price differences can have substan- as much for their prescription drugs than are scriptions annually. They also frequently tial impacts on the cost of a prescription. consumers in other countries. Taken to- have inadequate insurance coverage or no in- Prilosec, and ulcer medication manufactured gether, the two studies indicate that drug surance coverage at all to pay for these by Merck, was the top prescription drug in manufacturers engage in a consistent pat- drugs. Approximately 75% of Medicare bene- dollar sales in the United States in 1998. An tern of price discrimination, resulting in ficiaries lack dependable, private-sector pre- uninsured senior citizen in Rep. Gonzalez’s prices for senior citizens and other con- scription drug coverage, and 35%—over 13 district must pay over $70 more than a consumers who buy their own drugs that far ex- million seniors—do not have any insurance sumer in Canada and nearly $100 more than ceed those paid by other purchasers in the coverage for prescription drugs. As a result, a consumer in Mexico for a one month sup- United States and other countries. many seniors cannot afford the high costs of ply of this drug. The total difference between I. INTRODUCTION prescription drugs. One study estimated that the price a senior in Rep. Gonzalez’s district more than one in eight seniors were forced to would pay for a year’s supply of Prilosec In the United States, drug manufacturers choose between buying food or paying for compared to a similar consumer in Mexico is are allowed to discriminate in drug pricing. prescription drugs. over $1,000. The difference between the price As the Congressional Budget Office reported In part to protect their citizens from these a senior in Rep. Gonzalez’s district would in a 1998 study, ‘‘[d]ifferent buyers pay dif- hardships, the governments of Canada and pay for a year’s supply of Prilosec compared ferent prices for brand-name prescription Mexico do not allow drug manufacturers to to a similar consumer in Canada is nearly drugs. . . . In today’s market for outpatient engage in price discrimination. In Canada, $900. prescription drugs, purchasers that have no approximately 35% of prescription drugs are In the case of two additional drugs consid- insurance coverage for drugs, pay the high- paid for by the government for beneficiaries ered in the study, Synthroid and Micronase, est prices for brand name drugs.’’ In 1999, the of government health care programs. In Mex- senior citizens in Rep. Gonzalez’s district Federal Trade Commission reached the same ico, 30% of prescription drugs are paid for by were forced to pay more than two times, and conclusion, reporting that drug manufactur- the government under similar cir- in one case over five times, the prices ers use a ‘‘two tiered pricing structure’’ cumstances. The rest of the population in charged to Canadian or Mexican consumers. under which they ‘‘charge higher prices to these two countries must either buy their This is the second congressional report on the uninsured.’’ own drugs or obtain prescription drug insur- drug price discrimination requested by Rep. This discriminatory pricing imposes severe ance coverage. To prevent drug companies Gonzalez. the first report showed that senior hardships on senior citizens. As documented from charging individual consumers exces- citizens in Texas’s 20th Congressional Dis- in the previous report released by Rep. Gon- sive prices, both the Canadian and Mexican trict are forced to pay over twice as much zalez, senior citizens often have the greatest governments regulate prices for patented for their prescription drugs as the drug com- need for prescription drugs, but the least prescription drugs. Drug manufacturers do panies’ favored domestic customers, such as ability to pay for them. The elderly in the not have to sell their products in Canada or HMOs and the federal government. This re- United States, who make up 12% of the popu- Mexico, but if they do, they cannot sell their port shows that senior citizens in Rep. Gon- lation, use one-third of all prescription drugs at prices above the maximum prices zalez’s district are also forced to pay twice drugs, with the average senior using 18.5 pre- established by the government.

VerDate 2999 06:27 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00018 Fmt 0626 Sfmt 0634 E:\CR\FM\A18NO8.057 pfrm03 PsN: E19PT1 November 19, 1999 CONGRESSIONAL RECORD — Extensions of Remarks E2475 This report is the first effort to compare Prices from Canadian pharmacies were de- ment manufactured by Knoll Pharma- prices that senior citizens in Texas’s 20th termined in Canadian dollars, and prices ceuticals. For this prescription drug, senior Congressional District must pay for prescrip- from Mexican pharmacies were determined citizens in Rep. Gonzalez’s district must pay tion drugs with the prices at which the same in pesos. All prices were converted to U.S. an average price of $31.54, while consumers in drugs are available in Canada and Mexico. It dollars using commercially available ex- Canada pay only $10.53—a price differential finds that senior citizens in Rep. Gonzalez’s change rates. of 200%. For Micronase, a diabetes drug man- district who lack prescription drug benefits D. Selection of Drug Dosage and Form ufactured by Upjohn, senior citizens in Rep. must pay far more for prescription drugs Gonzalez’s district pay prices that are 306% In comparing drug prices, the study gen- than consumers in Canada and Mexico. The higher than Canadian consumers. erally used the same drug dosage, form, and drug companies thus appear to engage in two Prilosec, the ulcer medication manufac- package size used by the U.S. General Ac- distinct forms of price discrimination: (1) as tured by Merck, was the top prescription counting Office in its 1992 report, Prescrip- documented by Rep. Gonzalez’s first report, drug in dollar sales in the United States in tion Drugs: Companies Typically Charge the drug companies are forcing senior citi- 1998. An uninsured senior citizen in Rep. More in the United States Than in Canada. zens in Rep. Gonzalez’s district to pay more Gonzalez’s district pays $74.39 more than For drugs that were not included in the GAO for prescription drugs than more favored consumers in Canada for a one month supply report, the study used the dosage, form, and U.S. customers, and (2) as documented in of Prilosec—an annual price difference of package size common in the years 1994 this report, the drug companies are forcing nearly $900. Similarly, a senior in Rep. Gon- through 1997, as indicated in the Drug Topics senior citizens in Rep. Gonzalez’s district to zalez’s district pays nearly $70 more than a Red Book. The dosages, forms, and package pay more for prescription drugs than con- senior in Canada for a two month supply of sizes used in the study are shown in Table 1. sumers in more favored countries. Zocor, an annual difference of over $400, and All prescription drugs surveyed in this re- II. METHODOLOGY over $100 more than a senior in Canada for a port were available in Canada in the same A. Selection of Drugs for this Survey 100 day supply of Zoloft, an annual difference dosage and form as in the United States. In This survey is based primarily on a selec- of nearly $400. Mexico, several drugs were not available in The findings in this report are consistent tion of the five patented, nongeneric drugs the same dosage and form. In this case, with the highest annual sales to Older Amer- with the findings of other analyses. In 1992, prices of equivalent quantities were used for GAO looked at the prices that drug compa- icans in 1997. The list was obtained from the the comparison. For example, in the United Pennsylvania Pharmaceutical Assistance nies charge wholesalers for prescription States the drug Zocor is commonly available drugs in the United States and Canada. The Contract for the Elderly (PACE). The PACE in containers containing five mg. tablets, program is the largest out-patient prescrip- results of the GAO study showed that, for while in Mexico Zocor is available only in the top five drugs in the United States, the tion drug program for older Americans in the containers containing ten mg. tablets. To United States for which claims data is avail- average differential between the price in the compare Zocor prices, this report compared United States and the price in Canada was able. It is used in this study,as well as by the cost of 60 five mg. tablets of Zocor in the several other analysts, as a proxy database 79%. According to GAO, ‘‘government regula- United States with the cost of 30 ten mg. tions and reimbursement practices con- for prescription drug usage by all older tablets in Mexico. Several drugs are also sold Americans. In 1997, over 250,000 persons were tribute to lower average drug prices in Can- under different names in Mexico. The Mexi- enrolled in the program, which provided over ada. In setting prices, manufacturers of pat- can equivalents of U.S. brand names were de- $100 million of assistance in filling over 2.8 ented drugs must conform to Canadian fed- termined using the 44th edition of the million prescriptions. eral regulations that review prices for newly Based on the PACE data, the five patented, Diccionario de Especialdades Farmaceuticas released drugs and restrain price increases nongeneric drugs with the highest sales to (1998). for existing drugs. seniors in 1997 were: Prilosec, an ulcer and III. FINDINGS Similarly, in 1998, Canada’s Patented Medi- heartburn mediation manufactured by Astra/ A. Senior Citizens in Texas’s 20th Congressional cine Prices Review Board performed a com- Merck; Norvasc, a blood pressure medication District Pay More for Prescription Drugs prehensive review of prices in Canada, the manufactured by Pfizer; Zocor, a choles- Than Consumers in Canada United States, and six European countries. terol-reducing medication manufactured by Consumers in Canada obtain prescription The Board found that prescription drug Merck; Zoloft, a medication used to treat de- drugs in one of two primary ways. Approxi- prices in the United States were 56% higher pression manufactured by Pfizer; and mately 35% of the prescription drugs sold in than prices in Canada, and that prices were Procardia XL, a heart medication manufac- Canada are paid for by the provincial govern- even lower in other industrialized countries. tured by Pfizer. ments on behalf of senior citizens, low-in- Prices in the United states were 96% higher In addition to the top five drugs for sen- come individuals, and other beneficiaries of than prices in Italy, 75% higher than prices iors, this study also analyzed two additional in France, 55% higher than prices in the prescription drugs, Synthroid and Micronase. government health care programs. The rest of the population in Canada must either buy United Kingdom, 47% higher than prices in Synthroid is a hormone treatment manufac- Sweden, and 40% higher than prices in Ger- tured by Knoll Pharmaceuticals, and their own drugs or obtain prescription drug insurance coverage. many. The United States had the highest Micronase is a diabetes medication manufac- prices among the eight industrialized na- tured by Upjohn. These popular prescription The regulatory system in Canada protects individual consumers who buy their own tions that were part of the survey. drugs were included in the study because the GAO also investigated whether the price earlier analysis indicated that there is sub- drugs from price discrimination. The Patent Medicine Prices Review Board (PMPRB), es- differential it observed was attributable to stantial discrimination in the pricing of differences in the costs of production and these drugs. tablished under the Ministry of Health by a 1098 law, regulates the maximum prices at distribution. GAO found that drug costs— B. Determination of Average Retail Drug Prices which manufacturers can sell patented medi- such as research and development—are not in Texas’ 20th Congressional District cines. If the Board finds that the price of a allocated to specific countries, and the costs In order to determine the prices that sen- patented drug is excessive, it may order the of production and distribution make up only ior citizens are paying for prescription drugs manufacturer to lower the price, and may a small share of the cost of any drug. The in Rep. Gonzalez’s congressional district, the also take measures to offset any revenues study concluded that ‘‘production and dis- minority staff and the staff of Rep. Gon- the manufacturer has received from the ex- tribution costs cannot be a major source of zalez’s congressional office conducted a sur- cess pricing. Pharmacy dispensing fees for price differentials.’’ vey of 11 drug stores—including both inde- individual retail customers are not con- B. Senior citizens in Texas’s 20th congressional pendent and chain stores—in his district. trolled by the government. Each pharmacy district pay more for prescription drugs than Rep. Gonzalez represents the 20th Congres- sets its unusual and customary dispensing consumers in Mexico sional District in southern Texas, which in- fee and must register this fee with provincial As in Canada, consumers in Mexico also cludes central San Antonio and rural areas authorities. obtain prescription drugs in one of two pri- to the west and southwest of the City. This study indicates that the Canadian mary ways. Approximately 30% of the C. Determination of Average Drug Prices in system producers prescription drug prices pescription drugs sold in Mexico are pur- Canada and Mexico that are substantially lower in Canada than chased by the government and provided to Prices for prescription drugs in Canada and in Rep. Gonzalez’s district than in Canada eligible citizens at a significant discount Mexico were determined via a survey of (Table 1). through the social security system. The rest pharmacies in Canada and Mexico. At the re- For all five drugs, prices were higher in of the population in Mexico must either buy quest of the minority staff of the Committee Rep. Gonzalez’s district. For two drugs, their own drugs or obtain prescription drug on Government Reform, the surveys were Zocor and Prilosec, the prices in Rep. Gon- insurance coverage. conducted by the Office of NAFTA and Inter- zalez’s district were more than twice as high The regulatory system in Mexico, like the American Affairs of the U.S. Department of as the Canadian prices. The highest price dif- system in Canada, protects individual con- Commerce. In Canada, pharmacies were sur- ferential among the top five drugs was 147%, sumers who buy their own drugs from price veyed in three provinces; Ontario, British for Zocor, a cholesterol medication manufac- discrimination. Drug prices and rates of Columbia, and Nova Scotia. In Mexico, phar- tured by Merck. price increases in Mexico are controlled by macies were surveyed in Monterrey and Gua- For other drugs, price differentials were the Ministry of Commerce and Economic De- dalajara. even higher. Synthroid is a hormone treat- velopment (known by its Spanish acronym,

VerDate 2999 05:51 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00019 Fmt 0626 Sfmt 0634 E:\CR\FM\A18NO8.059 pfrm03 PsN: E19PT1 E2476 CONGRESSIONAL RECORD — Extensions of Remarks November 19, 1999 Secofi) under the Pact For Economic Sta- ment's Bisti/De-Na-Zin Wilderness with its dra- management agencies, (2) promote a greater bility and Growth. Under the Mexican law, matic moon like landscape, to the high country understanding of our Nation's natural and cul- manufacturer and the government engage in mountains and streams of the Santa Fe Na- tural resources, and (3) to provide information negotiations to determine the nationwide maximum prices for prescription drugs. tional Forest that provide excellent hunting, and assistance to other agencies and organi- Pharmaceutical products are prepackaged fishing and camping opportunities. zations concerned with the wise use and man- and stamped with the maximum sales price, Visitors to our Nation's public lands often agement of our Nation's Great Outdoors and guaranteeing consist prices throughout the don't realize that behind the scenes of these its natural and cultural resources. country. magnificent natural and historical areas that Mr. Speaker, I am confident that this cham- This study indicates that the Mexican sys- visitors have come to see and learn about, are ber realizes the importance of this bill in rec- tem produces prescription drug prices that a cadre of volunteers who have selflessly ognizing the invaluable role volunteers play in are substantially lower in Mexico than in given their time and expertise to the American the stewardship of our Nation's cultural and Rep. Gonzalez’s district. Average prices for people to make their experiences memorable. the top five drugs for seniors were 99% high- natural resources. Therefore, I ask immediate er in Rep. Gonzalez’s district than in Mexico For without the hard work, dedication and en- consideration and passage of this bill. (Table 1.) Prices for all five drugs were high- thusiasm of the volunteers, Federal land man- f er in Rep. Gonzalez’s district. The highest agement agencies would not be able to stay price differential among the top five days ahead of the maintenance and enhancements EAST GRAND RAPIDS HIGH was 303%, for Prilosec. an ulcer medication our national treasures require. SCHOOL NAMED NEW AMERICAN manufactured by Astra/Merck. In the 1980's, a program was established to HIGH SCHOOL For other drugs, price differentials were encourage Americans to become more in- even higher. In the case of Micronase, senior volved in the management and protection of citizen in Texas’s 20th Congressional District HON. VERNON J. EHLERS pay an average price of $54.81 while con- their lands for current and future generations. OF MICHIGAN sumers in Mexico pay only $9.48—a price dif- By all accounts, this program showed promise. IN THE HOUSE OF REPRESENTATIVES ferential of 478%. Federal land management agencies such as Thursday, November 18, 1999 In dollar terms, uninsured senior citizens the National Park Service, U.S. Forest Serv- in Rep. Gonzalez’s district pay nearly $100 ice, Bureau of Land Management, and U.S. Mr. EHLERS. Mr. Speaker, I rise today to more than consumers in Mexico for a one Fish and Wildlife Service were given a long honor the students, staff and community that month supply of Prilosec—an annual price needed tool to recruit and recognize individ- represent East Grand Rapids High School in difference of over $1,100. Similarly a senior uals who donated their energy, time and ex- my congressional district. It is my pleasure to in Rep. Gonzalez’s district pays over $45 pertise to enhance our federal and public honor all of those in the East Grand Rapids more than a senior in Mexico for a two family for their commitment and dedication month supply of Zocor, an annual difference lands for all Americans to enjoy. of over $250, and over $65 more than a senior Unfortunately, other priorities and funding which resulted in being named a 1999 New in Mexico for a 100 day supply of Procardia issues have placed this program on the back American High School by the U.S. Department XL, an annual difference of over $200. burner. It is now time to revitalize, re-energize of Education and the National Association of These findings are consistent with those of and expand our Nation's volunteer and edu- Secondary School Principals. The award rec- other experts. While there have been few di- cational outreach program. ognizes schools where all students are ex- rect comparisons of prices in the United Mr. Speaker, this legislation would not only pected to meet challenging academic stand- States and Mexico, the Congressional Re- restore a past volunteer program, but expand ards and acquire the communication, problem search Service has found that differences in solving, computer and technical skills nec- the regulatory systems between the two and strengthen it by providing more powerful countries result in the large price differen- tools to Federal land managing agencies. This essary to pursue careers and higher edu- tials. CRS concluded that ‘‘of greater impor- legislation would direct the Secretary of Agri- cation. tance in explaining price differentials in culture and the Secretary of the Interior to es- To even be considered as a New American drug prices in Mexico, and have been for tablish a national stewardship award program High School there are many hurdles that a some time.’’ to recognize individuals, organizations and school must successfully pass. Applicants f communities who have distinguished them- must supply members of a steering committee selves by volunteering their time, energy and with documentation that they have undertaken INTRODUCTION OF STEWARDSHIP, commitment to enhancing the priceless legacy standards-based, locally driven reform efforts EDUCATION, RECREATION AND of our Nation's public lands. As a minimum that positively affect key indicators of school VOLUNTEERS FOR THE ENVIRON- under this legislation, the Secretaries would improvement and student success. Among the MENT (SERVE) ACT OF 1999 establish a special pass to all our national documentation items they must present are parks, forests, refuges and other public lands proof of increases in student achievement, in- HON. TOM UDALL to recognize volunteers for their exemplary ef- creases in student enrollment at postsec- OF NEW MEXICO forts. ondary institutions, increases in student at- IN THE HOUSE OF REPRESENTATIVES Mr. Speaker, this legislation would also en- tendance, and reductions in student dropout courage an attitude of land and resource stew- rates. Thursday, November 18, 1999 ardship, and responsibility towards public East Grand Rapids is a model school when Mr. UDALL of New Mexico. Mr. Speaker, lands by promoting the participation of individ- it comes to challenges and performance High today I rise in support of the Stewardship, uals, organizations and communities in devel- expectations are set for all students because Education, Recreation and Volunteer (SERVE) oping and fostering a conservation ethic to- of the high motivation level of the student Act of 1999. This legislation, introduced by my wards the lands, facilities and our natural and body. The numbers speak for themselves. colleague and cousin, Mr. UDALL of Colorado cultural resources. Specifically, this legislation Based on statistics from the 1998 school year, and which I am proud to be a co-sponsor of, would encourage Federal land management approximately 94% of East Grand Rapids stu- will energize and expand existing efforts to en- agencies to enter into cooperative agreements dents enrolled in colleges or universities. The hance the outdoor, education and recreation with academic institutions, State or local gov- school registered a dropout rate of less than experiences of the great outdoors for many ernment agencies or any partnership organiza- 1% and an attendance rate of 97%. Academic Americans. tion. In addition, the Secretaries would be en- test scores are also the highest in the state of Our Nation's national parks, national forests, abled to provide matching funds to match non- Michigan in mathematics, reading, and writing. wildlife refuges, recreation areas and public Federal funds, services or materials donated Mr. Speaker, I am delighted to take this op- lands are enjoyed by nearly two billion visits under these cooperative agreements. portunity to highlight the positive happenings each year. These wonderful areas provide Providing educational opportunities has at East Grand Rapids High School under the Americans with sightseeing, wildlife watching, been one of America's greatest achievements leadership of Superintendent Dr. James Morse hunting, fishing, hiking, and camping opportu- and is one of the greatest gifts one generation and Principal Patrick Cwayna. It takes a lot of nities, just to name a few. In my District alone, can give to the next generation. This legisla- pride, sacrifice, and teamwork to qualify for visitors can experience a wide range of edu- tion encourages each Federal land manage- this prestigious award. I ask all of my col- cation and outdoor recreation opportunities. ment agency to play a role in education by co- leagues to join me in saluting everyone in- From the Chaco Culture National Historical operating with States, local school districts volved in helping East Grand Rapids achieve Park, which provides Americans a brief and other education oriented entities to (1) this remarkable honor. I also wish continued glimpse into the daily life of the region's first promote participation by students and others academic and overall success for everyone inhabitants, to the Bureau of Land Manage- in volunteer programs of the Federal land associated with this school.

VerDate 2999 05:51 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00020 Fmt 0626 Sfmt 9920 E:\CR\FM\A18NO8.061 pfrm03 PsN: E19PT1 November 19, 1999 CONGRESSIONAL RECORD — Extensions of Remarks E2477 REGARDING THE TRAGEDY AT TEAR DOWN THE USTI WALL; cause ceÂleÁbre. If he goes to jail under these THE TEXAS AGGIE BONFIRE OF DROP THE CHARGES AGAINST charges, he will be a prisoner of conscience. TEXAS A&M UNIVERSITY ONDREJ GINA Mr. Speaker, it is not unusual for discussions of racial issues in the United States to HON. CHRISTOPHER H. SMITH become heated. These are important, com- HON. JOE BARTON OF NEW JERSEY plex, difficult issues, and people often feel OF TEXAS IN THE HOUSE OF REPRESENTATIVES passionate about them. But prosecuting people for their views on race relations cannot ad- IN THE HOUSE OF REPRESENTATIVES Thursday, November 18, 1999 vance the dialogue we seek to have. With a Mr. SMITH of New Jersey. Mr. Speaker, in Thursday, November 18, 1999 view to that dialogue, as difficult as it may be, recent weeks, we have seen a number of his- I hope officials in Rokycany will drop their ef- Mr. BARTON of Texas. Mr. Speaker, I toric dates come and go, with appropriate forts to prosecute Mr. Gina. speak today with great sadness about a trag- commemoration. November 9, for example, f edy which happened early this morning at marked the tenth anniversary since the fall of Texas A&M University. A great tradition that the Berlin Wall. Yesterday, November 17, is RESIDENTIAL LOAN SERVICING all Aggies hold very dearÐTexas Aggie Bon- recognized as the commencement of the Vel- CLARIFICATION ACT fireÐcollapsed, killing at least six people and vet Revolution which unleashed the forces of injuring as many as 25. My thoughts and pray- democracy against the totalitarian regime in HON. EDWARD R. ROYCE ers are with the parents who lost children, and Czechoslovakia. To mark that occasion, OF CALIFORNIA the students who lost friends. Texas A&M is a George Bush, Margaret Thatcher, Mikhail IN THE HOUSE OF REPRESENTATIVES family, and today the Aggie Family is in shock, Gorbachev and other former leaders from the Thursday, November 18, 1999 grieving for our dead and injured students. day met with President Vaclav Havel in Prague. Mr. ROYCE. Mr. Speaker, the legislation I For those of you who have not ever heard Beyond the symbolism of those dates, they am introducing today addresses a technical of Texas A&M Bonfire, it is one of the most have had other meaning. Many of us had problem that residential loan servicers have cherished Aggie traditions. Traditions are very hoped that the wall in Usti nad Labem, Czech encountered in complying with the federal Fair important at Texas A&M. The bonfire tradition RepublicÐa symbol of racismÐwould be Debt Collection Practices Act (``FDCPA''). revolves around building and burning the brought down on the anniversary of the fall of Creditors collecting their own debts are al- world's largest bonfire. In past years, it has the Berlin Wall. Regrettably, November 9, ready exempt from the FDCPA, which is soared over 100 feet high and burned all came and went, and the Usti Wall still stood. aimed at regulating the practices of inde- night. This year's bonfire was scheduled to be We had hoped that the Usti Wall would pendent debt collectors. When a residential over 60 feet high and burn until after midnight. come down on November 17. Some Czech of- loan servicer acquires a servicing portfolio, it Aggie Bonfire has been a tradition at Texas ficials even hinted this would be the case. Re- is generally exempt for the FDCPA under the A&M since 1909 when they used it to stay grettably, November 17 has come and gone, creditor exemption. However, a question warm during the ``Yell Practice'' on the night and the Usti Wall still stands. arises when loans in a portfolio are delinquent before the annual A&M-Texas football game. Now, I understand some say the Usti Wall at the time they are acquired, since the cred- The bonfire represents everything Aggies are should come down before the European Union itor exemption does not apply to debts that about: hard work, unity, dedication, and loy- summit in HelsinkiÐscheduled for December were `ìn default'' at the time the servicer ac- alty. It also represents a burning desire for 6. Mr. Speaker, the Usti Wall should never quired them. This limitation to the creditor ex- A&M to defeat the Longhorn football team. have been built, and it should come down emption has created considerable uncertainty Several thousand members of the student now, today. As President Reagan exhorted in the mortgage servicing industry. In order to body contribute in one way or another to build- Mr. Gorbachev more than ten years ago, so I avoid possible liability, many loan servicers ing bonfire. When I was a freshman at Texas will call on Czech leaders today: have been attempting to comply with the A&M, I participated in Bonfire by going out to Tear down the Usti Wall. FDCPA by applying it to every loan, whether ``cut''. The ``cut'' area is selected a few months Last fall, a delegation from the Council of it was delinquent or not, when they acquired before the football game against t.u. Areas are Europe visited Usti nad Labem. Afterwards, the servicing rights. selected that need to be cleared for construc- the Chairwoman of the Council's Specialist The disclosures required of debt collectors tion and then the work begins. The entire bon- Group on Roma, Josephine Verspaget, held a under the FDCPA, however, create particular fire is built the `Àggie'' way. Trees are cut press conference in Prague when she called difficulties for residential mortgage loan down by hand, they are lifted and carried out the plans to build the Usti Wall `à step to- servicers. In addition to its substantive anti- of the woods on shoulders, they are loaded wards apartheid.'' Subsequently, the United abuse protections for the debtors, the FDCPA onto trucks by hand, unloaded by hand, States delegation to the OSCE's annual requires a debt collector to notify the borrower stacked by hand and wired into stack by hand. human rights meeting in Warsaw publicly in the initial written or oral communication with In my sophomore year, I was ``promoted'' to echoed those views. the borrower that it is attempting to collect a the stack area and helped erect the actual Since the construction of the Usti Wall, this debt and that any information obtained will be bonfire. sentiment has been voiced, in even stronger used for that purpose (the so-called ``Miranda'' terms, by Ondrej Gina, a well-known Romani warning), requires in each subsequent com- It is often said that if other schools had a activist in the Czech Republic. He is now munication to indicate that the communication tradition like this they would probably contract being prosecuted by officials in his home town is from a debt collector, and requires that the it out to the lowest bidder and then all show of Rokycany, who object to Gina's criticisms. debt collector provide a written debt validation up just to watch it burn, but not the Aggies. The criminal charges against Mr. Gina include notice within five days after the initial commu- Not only do we do it all ourselves but we do slander, assault on a public official, and incite- nication, which allows the borrower to dispute it the hard way. The building of bonfire builds ment to racial hatred. In short, Mr. Gina is all or any portion of the debt within 30 days. character. The hard work and sacrifice of time being persecuted because public officials in The debt validation provisions also create ad- teaches a good work ethic that is not soon for- Rokycany do not like his controversial opin- ditional complexity for servicing activities due gotten. ions. They object to Mr. Gina's also using the to restrictions or making any ``collection'' ef- What does it mean to be a Texas Aggie? word `àpartheid.'' forts during the thirty day validation period. A&M is a special place. Values are taught I can certainly understand that the word These informational requirements dictate that both in the classroom and out of the class- `àpartheid'' makes people feel uncomfortable. the loans subject to the FDCPA must get dif- room. Aggies lives our traditions and cherish It is an ugly word describing an ugly practice. ferent communications from the servicer them, and pass them onto their children. I At the same time, if the offended officials want throughout their maturity, and thus require that have three children, two have graduated from to increase their comfort level, it seems to me the loans be identified and specially des- A&M and my youngest daughter will enter that tearing down the Usti WallÐnot pros- ignated, creating additional costs without any A&M next Fall. In spite of the tragedy that has ecuting Ondrej GinaÐwould be a more sen- additional protections or benefits provided to occurred, it is my hope that Bonfire continues sible way to achieve that goal. As it stands, the borrowers. in the great spirit in which it embodies, and Mr. Gina faces criminal charges because he Moreover, consumers are not well-served that my daughter Kristin will help build it in exercised his freedom of expression. If he is when the servicer feels compelled to make the years to come. convicted, he will become an international FDCPA's disclosures. Residential mortgage

VerDate 2999 05:51 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00021 Fmt 0626 Sfmt 9920 E:\CR\FM\A18NO8.068 pfrm03 PsN: E19PT1 E2478 CONGRESSIONAL RECORD — Extensions of Remarks November 19, 1999 loan servicers are generally not true debt col- recommends that Congress amend this ex- this hearing a constituent of mine, Patrick lectors even if they may be deemed to be a emption so that its applicability will depend Leddy, testified about his dealings as a fran- ``debt collector'' under the FDCPA with respect upon the nature of the overall business con- chise owner. Because of his very moving testi- to a small percentage of their loans. A sepa- ducted by the party to be exempted rather mony, I became a cosponsor of this legisla- rate set of rules in the Real Estate Settlement than the status of individual obligations when tion. I wish to thank him for his words and in- Procedures Act requires servicers of first lien the party obtained them. clude them in the RECORD today. loans to provide notices related to the bor- I am pleased that several of my colleagues STATEMENT OF PATRICK JAMES LEDDY, JR. rower's right when servicing is transferred. on the House Banking and Financial Services My name is Patrick James Leddy Jr. I The special FDCPA notices may convey the Committee, namely Reps. JACK METCALF (WA) have owned and operated a Baskin-Robbins misleading impression that the loan has been and WALTER JONES (NC), are also sponsoring 31 Flavors franchise in Newhall, California referred to a traditional, independent debt col- what I hope will be bipartisan legislation to since August 1, 1986, a total of 13 years. I am lector, when, in fact, all that has happened is clarify the FDCPA as it applies to residential also a 26 year veteran firefighter with the Los Angeles City Fire Department. I pur- that the servicing rights have been transferred loan servicers. Mr. Speaker, I hope we can chased my franchised business to supplement from one servicer to anotherÐoften as part of move early in the next session to address this my income, and to prepare my wife and I for a larger portfolio of performing loans. issue in both Committee and on the House our retirement. In 1996 my wife and I became As an alternative to following the special floor. very discouraged with the manner in which procedural requirements of the FDCPA, some f our Franchisor, which is a wholely owned servicers decline to accept any delinquent subsidiary of a foreign corporation, was loans. When an acquiring loan servicer takes IN MEMORY OF WILLIE J. COTTON, treating its franchisees. After careful consid- JR. eration and after seeing sales at our fellow this approach, the perverse result may be that franchisee’s stores plummet as a result of the holder of the servicing rights who no the placement of new stores and drastic longer wishes to service these loans may sub- HON. BOB ETHERIDGE changes to the system which we had origi- ject these delinquent loans to more aggressive OF NORTH CAROLINA nally purchased, we decided to sell our store. In February of 1997, three months after no- collection action than would otherwise take IN THE HOUSE OF REPRESENTATIVES place if the acquiring servicer had been willing tifying Baskin-Robbins that we were inter- Thursday, November 18, 1999 ested in selling our store, we received a noti- to accept those loans. fication that Baskin-Robbins was consid- The legislation I am proposing here today is Mr. ETHERIDGE. Mr. Speaker, I rise today ering a location for a new store located in a intended to address the problems created in honor of the grandfather of Bailey Cotton, shopping mall, a mere two miles from my when the FDCPA's procedural requirements Seth Cotton, Emma Cotton, Justin Sloan, Mat- store and well within the market from which are applied to residential mortgage loan thew Evans and Leslie Evans; the father of we draw a large number of our customers. servicers. The legislation would apply only to Betty Evans, June Sloane and Dwight Cotton Later that month my wife and I met with and the husband of Iris Lee Cotton. I rise in our district manager to discuss our ability to first lien residential mortgage loans that are sell our store and the tremendous impact the acquired by bona fide loan servicers, not pro- honor of Mr. Willie J. Cotton, Jr. who passed new store would have on our existing store. fessional debt collectors. It would exempt away on October 27. To our surprise the representative from them only from the ``Miranda'' notice and the Mr. Cotton was a native of Harnett County, Baskin-Robbins agreed with us, and sug- dept validation provisions of the FDCPA. North Carolina. He was a past county commis- gested that if Baskin-Robbins were to go for- Importantly, all of the substantive protec- sioner and served Harnett County in office for ward with this plan, how would we feel if tions under the FDCPA would continue to 12 years. Mr. Cotton served our country in they were to purchase our store, and then sell both our store and the new store as a apply to any loan as to which the servicer is World War II and was a lifelong member of package to a new buyer? We agreed that this not exempt as a creditor. These provisions will Kipling United Methodist Church. would be acceptable to us. Whereafter, the allow residential mortgage loan servicers to As North Carolina's former Superintendent Baskin-Robbins representative offered us treat the few loans subject to the FDCPA in of public education, I know what a battle it is $40,000 dollars less than what I had paid for the same way they treat all other loans and to build quality schools for our children. Im- this store seven years earlier, and after an will thus reduce unnecessary administrative proving schools for our children is my life's additional $70,000 dollars I paid for improve- costs incurred identifying and separately han- work. Mr. Cotton took this battle on as a coun- ments which were required by Baskin-Rob- bins. We were appalled at this offer, but were dling these accounts. In addition, once a ty commissioner to build better schools in advised by the Baskin-Robbins representa- servicer is considered a ``debt collector'' under Harnett County. There aren't many times that tive that we really should considert his offer, the FDCPA, the borrower would have a right a person in public service takes a stand for because if Baskin-Robbins does elect to place to request a ``validation statement''Ða state- the good of future generations that can cost this new store at the proposed location, our ment of the amount necessary to bring the them their political career. He knew he could store wouldn’t even be worth that amount. loan current and to pay off the loan in full as lose but he voted anyway, and children in my Thereafter in April of 1997, and pursuant to of a particular date. home county have been in modern facilities an internal policy of Baskin-Robbins, which is not binding on Baskin-Robbins, and which I think it is also important to note that this since 1975. My own children and the children is rarely followed by the company, I sub- proposed legislative clarification has the full of Harnett county owe thanks to a man most mitted to my district manager my response support of the Federal Trade Commission, the of them never knew. to this Baskin-Robbins proposed new loca- agency with enforcement jurisdiction over the That is why, Mr. Speaker, I stand here tion. He assured me that he would notify me FDCPA. As a matter of fact, the FTC has con- today: To honor Mr. Cotton and to pay my re- of any developments as they occur, and that sistently gone on record in its Annual Report spects to his family and my debt of gratitude. we would be notified promptly, once a deter- to Congress as supporting legislative clarifica- We have lost a great man, and I am proud to mination had been made. In June of 1997, after several unsuccesfull tion in this area. The FTC's 21st Annual Re- continue his fight for better schools for our attempts to learn whether Baskin-Robbins port to Congress provides as follows: children. would proceed with the new store my wife Section 803 (6) of the FDCPA sets forth a f called our district manager and explained to number of specific exemptions from the law, him that we needed immediate information one of which is collection activity by a party THE SMALL BUSINESS FRANCHISE on what the company intends to do about that ``concerns a debt which was not in default ACT this new site, because we have had several at the time it was obtained by such a person.'' prospective buyers for our store that were disinterested once we disclosed to them The exemption was designed to avoid applica- HON. HOWARD P. ‘‘BUCK’’ McKEON Baskin-Robbin’s plan. The Baskin-Robbins tion of the FDCPA to mortgage servicing com- OF CALIFORNIA representative advised us not to disclose the panies, whose business is accepting and re- IN THE HOUSE OF REPRESENTATIVES information about the new store to our pro- cording payments on current debts. (March spective buyers. Thursday, November 18, 1999 19, 1999 Report) In July of 1997, our local neighborhood The report then goes on to make specific Mr. MCKEON. Mr. Speaker, I am a recent magazine publications reported that a new recommendations to Congress: cosponsor of H.R. 3308, the Small Business Baskin-Robbins would be open two miles The Commission believes that Section 803 Franchise Act introduced by Representative from our store. We were shocked. Two days after this news story appeared, and after nu- (6)(F)(iii) was designed to exempt only busi- HOWARD COBLE. Today, I include for the merous telephone calls to Baskin-Robbins on nesses whose collection of delinquent debts is RECORD testimony from a recent Judiciary our part, we finally received official notifica- secondary to their function of servicing current Commercial and Administrative Law Sub- tion from Baskin-Robbins about the new accounts. . . . Therefore, the Commission committee hearing on this legislation. During store.

VerDate 2999 05:51 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00022 Fmt 0626 Sfmt 0634 E:\CR\FM\A18NO8.066 pfrm03 PsN: E19PT1 November 19, 1999 CONGRESSIONAL RECORD — Extensions of Remarks E2479 We later learned that Baskin-Robbins Prior to his service with the Doorkeeper, Imperial Japan. During the war, his caricatures signed the lease for this new store on May 13, Tim worked for Congressman Charlie Wilson and cartoons appeared on the front covers of 1997. and Senators LEAHY and Cranston. His last many of America's leading magazinesÐCol- On August 5, 1997, after the underhanded- ness that we had felt from Baskin-Robbins, service on the Hill was with Congressman liers, Esquire, TimeÐwhere his graphic polit- my wife and I decided that in our best inter- BARNEY FRANK. ical editorials and brilliant parodies lampooned est we should retain legal representation to Tim was a deeply spiritual person, who had the Nazi and Axis leaders. His art seethed help us resolve the matter with Baskin-Rob- studied for the priesthood before deciding to with mockery and scorn for the Fascist dic- bins regarding the encroachment issue and devote himself to public service. In making this tators. First Lady Eleanor Roosevelt called the subsequent issue of our inability to sell choice, Tim was motivated by the belief that Szyk a `òne-man army against Hitler.'' As our store. public service was the best way for him to Szyk himself said, `Àrt is not my aim, it is my In June of 1998 the new store opened, with serve God and country. means.'' their grand opening celebration following in Tim was also a gay activist who served that In addition to his art advancing the fight August. As you can see on the enclosed charts, sales at our store have drastically de- community in a number of ways. He devoted against Germany and Japan, he used his art clined as a result, and have effectively ter- countless hours to ``Food and Friends'' a char- to attack racism, bigotry and inhumanity at all minated our ability to sell the store at a rea- itable group dedicated to easing the suffering levels. He sought to close the gaps between sonable price. of those afflicted with AIDS and to gay political Blacks and Whites, between Jews and non- While attempting to resolve matters groups, especially ActUp. Jews. He defended the rights of the soldier, through our attorney, Baskin-Robbins has Tim also encouraged a number of gay writ- and he expressed sympathy and compassion become increasingly hostile towards us. ers. Tim is quoted in Michelangelo Signorile's for the victims and refugees of war-torn Eu- They have begun arbitrarily rating us as ‘‘C’’ ``Queer in America'' on the role of gays in rope. franchisees, when in the past, we had always maintained an ‘‘A’’ or ‘‘B’’ rating. In addi- Government. While some were arguing about Mr. Speaker, Arthur Szyk was born in Lodz tion, they have brought against us a lawsuit, the risk posed by gays in the military, Tim pre- Poland in 1894. He came to the United States contending that we were poor operators. One sents images of gays who love their country in 1940 sent here by the Polish government- week before the inspection that is the basis and choose government service. Without in-exile and by the government of Great Brit- for their lawsuit however, a mystery shopper ``naming names,'' Tim helped correct the his- ain with a mission to bring the face of the war trained and employed by Baskin-Robbins toric record to point out the important role in Europe to the American public. That he did rated our operation superior, as did the LA played by gay staffers in Congress. with great skill and vision. He remained in the county Health Inspector. As a proud liberal who loved his country, United States, became an American citizen, In closing, I would ask your full support in addressing the obvious imbalance in the re- Tim sacrificed a high position as an energy and died in New York City in 1951. lationship between franchisor and franchisee company lobbyist because he questioned Inte- Mr. Speaker, I wish to call the attention of through legislation. I am one Franchisee of rior Secretary James Watt's statement that my colleagues to an excellent exhibit of the many that are so frustrated in the way that America was divided between ``liberals and work of Arthur Szyk which will open in just a we are literally forced to do business. Many Americans.'' few days. The exhibit `Àrthur Szyk: Artist for franchisees I now that have lost their busi- Today, we mourn the passing of a loyal and Freedom'' will be on display in the Swann Gal- nesses, are going to lose their businesses, or hardworking staffer. Like many others who lery of the Jefferson Building of the Library of are just plain hanging in there because work in this House, Tim sacrificed high pay Congress from December 9, 1999 through there’s nothing else they can do. I am ex- and other benefits to serve his country. He ap- tremely fortunate that I have another pro- May 6, 2000. I urge my colleagues to visit this fession to fall back onto, while others suffer preciated that the worth of a man is not meas- exhibit, which is literally across the street from from intimidation, or being afraid to stand ured in how much he earns but in how much this Chamber. Arthur Szyk is one of the great up and say anything, for fear that they will he contributed to the common good. This artists of this century, and his art not only re- be strong-armed into submission, as Baskin- House and our country suffered a loss when flected and helped to define a critical period in Robbins has attempted to do me. Please give Tim Donohue left this world. the history of our nation, his art also helped to us the tools that we need to survive in this f rally Americans in the fight for freedom and giant corporate world, so that us little guys against brutal tyranny during World War II. can continue making those big guys who ARTHUR SZYK: ARTIST FOR f they are. Thank you. FREEDOM f TRIBUTE TO RALPH ‘‘POP’’ HON. TOM LANTOS STRICKLIN IN MEMORY OF TIM DONOHUE, LONG TIME CONGRESSIONAL OF CALIFORNIA STAFFER IN THE HOUSE OF REPRESENTATIVES HON. MARION BERRY Thursday, November 18, 1999 OF ARKANSAS IN THE HOUSE OF REPRESENTATIVES HON. CAROLYN B. MALONEY Mr. LANTOS. Mr. Speaker, Arthur Szyk is Thursday, November 18, 1999 OF NEW YORK considered by many scholars to be the great- IN THE HOUSE OF REPRESENTATIVES est illuminator who worked in the twentieth Mr. BERRY. Mr. Speaker, I rise today to century in the style of sixteenth±century minia- pay tribute to a true friend and truly great Ar- Thursday, November 18, 1999 turist painters. The Times of London described kansan, Ralph ``Pop'' Stricklin. Mrs. MALONEY of New York. Mr. Speaker, his Haggadah as ``worthy to be placed among Pop, who celebrated his 80th birthday last I rise to pay tribute to Timothy Leo Donohue, the most beautiful of books that the hand of month, has helped make Jonesboro, Arkan- a long time employee of the House of Rep- man has produced.'' He is indeed one of the sas, the great place that it is today. When he resentatives who passed away on November most remarkable and talented artists of this wasn't working in the electric and refrigeration 11, 1999. Tim loved politics, government serv- century. Arthur Szyk's works on George business, a career he began in 1936, Pop ice and the House of Representatives where Washington and the American Revolution served his country and his community in so he worked for more than twenty years. hung in the White House during the adminis- many ways. He served his country in the U.S. Tim was usually in the Speakers Gallery, tration of Franklin Delano Roosevelt, and Army from 1941±46. For 36 years, he served helping to control access to the Floor. Gen- these works are now on display at the Roo- as the Alderman of Jonesboro, working under erally assigned to the Democratic side, Tim sevelt Presidential Library at Hyde Park, New five mayors. He also worked with the Fair understood that just because our work is im- York. In recognition of his talent and commit- Board for 15 years and was a valued and portant does not mean it must be cheerless. ment, the U.S. Congress presented Arthur faithful employee to Arkansas State University Always there with a warm smile and a good Szyk the George Washington Bicentennial for 20 years. word, Tim made us all feel good about our- Medal in 1934. Pop is a VFW life member, DAV life mem- selves and our work. Tim was the consum- Mr. Speaker, Arthur Szyk was not just an ber, a member of the American Legion; the mate professional. He took his job seriously artist, he was an artist with a point of view, Boy Scouts; Salvation Army Board; the Elks; without taking himself too seriously. When and he used his art to speak out for freedom Kiwanis, where he has had 36 years of perfect questioned about his ability to recall names and democratic values. He was the leading attendance; a board member of the First and faces, he joked `Àfter you have memo- political artist in America during World War II, Methodist Church; and a member of the Jay- rized the faces of 435 white males the rest is and he wielded his pen and his brush as a cees `Òld Rooster, after 35 age group,'' to easy.'' sword in the fight against Nazi Germany and name a few. He has also served on several

VerDate 2999 05:51 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00023 Fmt 0626 Sfmt 9920 E:\CR\FM\A18NO8.068 pfrm03 PsN: E19PT1 E2480 CONGRESSIONAL RECORD — Extensions of Remarks November 19, 1999 committees including the police, street, parks, (IIM) account holders is pending in federal INTRODUCTION OF THE INTER- fire, cemetery, animal control, planning and in- court and the BIA is working to ensure that NATIONAL MONETARY STA- spection, electrical examining board, and other similar accounting problems do not occur in BILITY ACT OF 2000 committees where he made a difference and the future. always contributed to the city of Jonesboro In the meantime, I am deeply concerned and the state of Arkansas. Pop has received HON. PAUL RYAN that Congress is paying inadequate attention the key to the city of Jonesboro and has a day OF WISCONSIN to the very substantial financial debt the fed- named after him because of his work. IN THE HOUSE OF REPRESENTATIVES eral government owes to Native American ac- He has also worked to improve the lives of count holders. In particular, in making sweep- Thursday, November 18, 1999 young people as an active member of the male-youth organization Order of DeMolays, ing decisions about allocation of the budget Mr. RYAN of Wisconsin. Mr. Speaker, today where he was ``State DeMolay Dad,'' or ``Pop'' surplus, it is essential that we reserve suffi- I am introducing the International Monetary as we now call him. cient funds to ensure our ability to meet our fi- Stability Act of 2000. This bill would give coun- Pop Stricklin exemplifies what it is to be a duciary responsibilities to Indian tribes and in- tries who have been seriously considering great citizen and a great American. He has al- dividuals. using the U.S. dollar as ther national currency ways worked hard to make his community a These are real debts we owe to fellow the incentive to do so. When a foreign country better place to live, work, and raise a family. American citizens; just as we cannot spend grants the U.S. dollar legal tender in replace Our community is a better place because of the surplus needed for Social Security and of its own currency, that country dollarizes. his presence. He is someone you can always Medicare solvency, so, too, must we reserve This bill would serve to encourage such count on and I am proud to call Pop Stricklin sufficient amounts to meet our obligations to dollarization. my friend. the Indian Trust Funds. Up to this point, the United States has been f missing one of the best opportunities to cor- My House Concurrent Resolution calls upon rect chaotic currency markets, especially in the Congress to fulfill our moral and legal obli- INTRODUCTION OF CONCURRENT the Western Hemisphere. Sound currency gations to Native Americans by reserving ade- RESOLUTION TO DEDICATE policies, such as dollarization, that focus on quate funds to address the problem. I will BUDGET SURPLUS FUNDS TO exchange rate stabilization would put an end push for swift consideration and approval of PROTECT FEDERALLY HELD to the debilitating and periodic collapse of de- AMERICAN INDIAN TRUST FUND this legislation and urge all my colleagues to veloping countries caused by haphazard de- ACCOUNTS join me in supporting this important resolution. valuation. f Congressional leadership in exchange rate HON. GEORGE MILLER policies would protect our own economy. OF CALIFORNIA TRIBUTE TO CARL AND JUDY Every devaluation affects our economy IN THE HOUSE OF REPRESENTATIVES RUDD through international trade and through the eq- Thursday, November 18, 1999 uity markets. American companies need reliable currencies to make investment decisions Mr. GEORGE MILLER of California. Mr. abroad; and American workers need to know Speaker, I rise today to introduce a House HON. ROB PORTMAN countries cannot competitively devalue in an Concurrent Resolution calling for Congress to OF OHIO effort to lower foreign worker wages. The dedicate a portion of the budget surplus to ful- ramifications of an Asian-style economic col- fill the moral and legal responsibilities of the IN THE HOUSE OF REPRESENTATIVES lapse in Latin America, our own back yard, United States by ensuring proper payment and Thursday, November 18, 1999 call for legislation that will help these countries management of all federally held tribal trust embrace consistent economic growth. fund accounts and individual Indian money ac- Mr. PORTMAN. Mr. Speaker, I rise today to Today, several countries are already consid- counts. pay tribute to a family in the district I represent Since 1820, the United States has held ering dollarization. They realize that by either that has brightened the holiday season for linking with the U.S. dollar, legalizing com- monies in trust for American Indians. At first generation of Southwest Ohioans. for Indian Tribes and later for individual Indi- peting foreign currencies, or scrapping their ans as well. Funds mostly derived from the For the last 30 years, Carl and Judy Rudd currency altogether and replacing it with the lease or sale of trust lands and other resource have put on a remarkable Christman display dollar, they will encourage long-term economic assets including timber stumpage, royalties at their farm near Blue Creek, Ohio. Rudds' stability through lower interest rates, stable ex- from oil, gas and coal development, and agri- Christman Farm is the largest free outdoor change rates and increased investment. culture fees are added to these trust fund ac- Christmas display in the state of Ohio, with Official dollarization, such as is encouraged counts. Currently, the Bureau of Indian Affairs over one mile of pathways covering two hill- by this bill, is not a new idea. In fact, it is be- (BIA), which is charged with maintaining the sides on the farm property. With more than coming an increasingly popular answer to cur- accounts, controls approximately 390,000 indi- one million lights and a 62-foot-wide Christ- rency stabilization in emerging markets. Ar- vidual Indian money accounts (IIM), and 1,500 mas wreath, Rudds' Christmas Farm is truly a gentina is seriously considering such a cur- tribal accounts. Each year over $1 billion sight to behold. And the overall effect is com- rency reform. Mexico, Ecuador, and El Sal- passes through these accounts. plemented by the sound of Christmas music vador have also considered dollarization. The historical and legal record demonstrates echoing from the hills. Enacting this legislation would set up a that the U.S. government has failed miserably The Rudds started their Christmas display structure in which the U.S. Treasury would at its fiduciary responsibility to manage these as a testimony to their deep and abiding have the discretion to promote official accounts. Horror stories include years of roy- Christmas faith. Throughout the farm, there dollarization in emerging market countries by alty checks being stuffed in desk drawers in- are life-sized religious figures, paintings and offering to rebate 85 percent of the resulting stead of deposited, and piles of documents slide projections that tell the story of Christ- increase in U.S. seigniorage earnings. Part of thrown away, destroyed or lost. Reams of re- mas. They have never asked a penny for ad- the remaining 15 percent would be distributed ports by Congressional investigators, spanning mission, and for many years they would take to countries like Panama that have already several Administrations, document the often out a loan to finance the display. dollarized, but the majority of the 15 percent careless and incompetent manner in which would be deposited at the Treasury Depart- This year, Carl and Judy Rudd will welcome these accounts have been managed. Begin- ment as government revenue. Additionally, the public to their wonderful Christmas Farm ning in 1991 Congress funded BIA to reconcile this bill would make it clear that the United the accounts but after 5 years and $21 million for the last time. They have decided that the States has no obligation to serve as a lender we were told that volumes of documentation of time has come to retire after organizing their of last resort to dollarized countries, consider transactions and investments simply no longer Christmas display for 30 years. their economic conditions in setting monetary exist. All of us in Southwest Ohio wish to share policy or supervise their banks. As far back as the Reagan administration, our appreciation to Carl and Judy Rudd for the I strongly believe that strengthening global the Indian Trust Funds were listed as one of Christmas joy they have brought to entire gen- economies, especially those in the Western the top federal financial liabilities. Currently, a erations. And we wish them the best for a Hemisphere, by encouraging dollarization is in class action suit of Individual Indian Money healthy and enjoyable retirement. America's best interest.

VerDate 2999 05:51 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00024 Fmt 0626 Sfmt 9920 E:\CR\FM\A18NO8.070 pfrm03 PsN: E19PT1 November 19, 1999 CONGRESSIONAL RECORD — Extensions of Remarks E2481 RECOGNIZING LEXMARK INTER- were good friends, he was coach for a long starting sending down foremen and group NATIONAL’S EXCELLENCE IN EN- time, but anyway, I told him that wages leaders to vote. But this time our union rep- VIRONMENTAL PROTECTION were very low at my workplace, and he said resentative said no way. The Labor Board ‘‘Well, do you think they would be interested Representative was there and we challenged in the union?’’. I said ‘‘Well, yeah I’ll talk to the right of these supervisory men to vote. HON. ERNIE FLETCHER a few.’’ So, I did. The Board Representative put those votes, I OF KENTUCKY When I went up to see the boss that first think there were 26 of them, in a special en- time he asked me what I was making. I told IN THE HOUSE OF REPRESENTATIVES velope. This time we won the election by a him ‘‘65 cents an hour’’. I had started at 45 pretty good margin. That was in 1944. Thursday, November 18, 1999 cents and worked three years—I got a 10 cent Another little thing here. I was in a barber raise each year. And it was 65 cents, and he, Mr. FLETCHER. Mr. Speaker, I would like to shop and the big shot manager from the ah, he’s a rough little character, he slammed venier mill came in. My barber was my land- commend Lexmark International, an excellent his fists down on his desk and he says ‘‘by lord, we were renting the house, and he corporate constituent headquartered in my god,’’ he says, ‘‘that’s the highest we will asked me something about the union. And District, that embodies the entrepreneurial ever pay at this plant’’. So then I got up and this management guy from the mill, he says spirit as well as the environmental conscious- said ‘‘We’ll see about that, and I’ll be back.’’ ‘‘That union’’ and he used a few cuss-words ness required by a global corporation. So now I went to the shop, talked to sev- ‘‘won’t last six months!’’ Well it’s a 55 year Lexmark received the Kentucky Governor's eral guys, they were all interested, all en- later and the union’s still there. But the thused about it, and said they would support funny part is, in about a year and a half, Environmental Excellence Award on Novem- a union. So then I get back to Burt at Island ber 9, presented by Lt. Gov. Steve Henry and they plopped the union in at the venier mill. Pond, and told him to send us up a represent- Well, the main thing at my plant was James E. Bickford, Secretary of the Natural ative. It was then less than a week and the wages, because plants in the state, we Resources and Environmental Protection Cab- Machinist representative had arrived from checked around a little bit and some of the inet, at the Governor's Conference on the En- Albany, New York. And he talked to me, he plants were paying, at that time, double vironment. came to the house a few times, and then we what we were getting. We checked around, called a meeting, and, more and more, one Lexmark International was selected to re- because some of the guys, neighbors in New- meeting after another, at first it was a small port were working down in the Springfield ceive this year's Environmental Excellence amount, a few men, but then they got bigger machine shops, at places like Jones- Award for Industrial Environmental Leadership and bigger crowds. because of the many steps it has taken to pre- Management of course fought us tooth and Lampson. When we heard what they were getting, we thought ‘‘Well, we should be get- vent pollution and encourage recycling. Since nail. Well, one thing I can remember in particular. The general foreman, he was under ting about the same.’’ 1991, Lexmark has increased the amount of I was elected as the first president of the materials it recycles by about 70 percent. Last the superintendent, he was putting something on the union representative’s car, on union lodge in 1944 and served for seven year, this Lexington-based company recycled the front end of it, come to find out, spikes years. We did pretty good with improving more than 4.3 million pounds of paper and on a rope. And he was seen doing that, and wages and getting benefits—we got health one million pounds of scrap metal. we called him on it, but he denied it of insurance, a pension plan. I’ve collected from Lexmark encourages its customers to recy- course. You see they hit just right and they the pension plan for 19 years now, and we got cle by offering them an incentive to return their could blow the tires. pretty good medical. We didn’t have either They did little annoying things. They’d before the union. It definitely pays to be empty laser printer cartridges through its union. Prebate program. Since the incentive began, send us one of these, what we’d call suckers down, always coming down and talking to f Lexmark says that returns of empty toner car- me, trying to find out things, you know. I tridges have tripled, saving them from ending just told them I knew nothing. Another one A BAD WEEK FOR ISOLATIONISTS up in landfills. of these superintendents came down one day As we recognize America Recycles Day this and says ‘‘We know you’re the head of the HON. MICHAEL G. OXLEY week, I urge my colleagues and our constitu- union,’’ and I said ‘‘I’ve got a perfectly good OF OHIO ents to help encourage environmental protec- right to according to the laws’’. And he IN THE HOUSE OF REPRESENTATIVES tion both at home and at work. I offer my con- didn’t have too much more to say. We also learned that the company had Thursday, November 18, 1999 gratulations to Lexmark International for set- hired an electrician for the purpose of orga- ting such a positive example for others to rep- nizing against the union, see he was a com- Mr. OXLEY. Mr. Speaker, for those who licate. pany plant. So he got up and threw a scare, might have missed it, I would like to bring to f said that if we had a union we would lose our the attention of my colleagues a piece by bonus, a 10% bonus every six months. So David Ignatius from Wednesday's Washington COURAGE that killed the first drive right there, see. Post. And they tried every little trick, they sent the people down that I knew, they’d come As a strong supporter of free trade, I share HON. BERNARD SANDERS down and fish around, try to get information Mr. Ignatius's optimism at the agreement OF VERMONT from me. Then they called me, offered me 10 reached earlier this week for China to join the IN THE HOUSE OF REPRESENTATIVES cents an hour more, if I’d stop the union or- World Trade Organization. As foreign trade Thursday, November 18, 1999 ganizing. ‘‘We’ll give you 10 cents an hour becomes increasingly important in the devel- raise, but I want you to keep it quiet, I don’t oping global economy, we must work to en- Mr. SANDERS. Mr. Speaker, I am inserting want you to tell anybody.’’ Then they’d say, sure open access to the emerging Chinese this statement regarding my constituent, Gor- ‘‘If you tell me the guys that are dissatisfied in the shop, give me their names, we’d give markets, especially in the areas of financial don D. Ladd, which shows the courage and services and telecommunications. This agree- perseverance he displayed in organizing the them 15 cents an hour more.’’ And I said ‘‘Just a minute, if everybody gets 15 cents ment will give that access to American compa- first union in northern Vermont in the 1940s, and hour we’ll go along with it, but other nies. I salute Trade Representative Barshefsky into the CONGRESSIONAL RECORD as I believe than that,’’ I said, ‘‘no way’’. You can pick on her hard work at achieving this agreement the views of this person will benefit my col- out a few, that would just start trouble. under difficult circumstances. leagues. So then we call the meeting, the machin- I also agree with Mr. Ignatius's view that the ist’s union, and we get a hall and call the GORDON D. LADD—FIRST PRESIDENT OF IAM meeting, and that was the one where we lost agreement does not go far enough. As a LODGE IN DERBY LINE VERMONT ORGANIZING the election the first time. member of the congressional delegation to the A UNION IN VERMONT IN THE 1940’S I don’t remember the exact vote total but WTO Ministerial in Seattle later this month, I In 1943 I requested an interview with the it was close. But then comes the good part. will work to restore some of the more favor- superintendent of management at We later learned that the company sent able aspects of the agreement rejected by the Butterfield Corporation in Derby Line down foremen and group leaders and had President in April. Vermont to request a wage increase and my them vote too. But the fact is they shouldn’t request was denied emphatically. I informed have been able to vote because they were I commend Mr. Ignatius's article to my col- him that I would return. management. They even sent down 3 or 4 leagues' attention. I met a friend of mine who used to be a women down from the office to vote, and the [From the Washington Post, Nov. 17, 1999] coach, a hockey coach, and he had relatives vote was for production workers and these A BAD WEEK FOR ISOLATIONISTS in the plant. This guy I met, Bert, you could were office workers. They shouldn’t have call him, he was a machinist for the railroad been able to vote either but management If you believe that international engage- in Island Pond, and he belonged to the ma- wanted more to go in the ballot box. ment is America’s best hope for the future, chinist’s union. So he asked if we had a So we petitioned for another election. And then this is a week to savor. For beyond the union up there and what the wages were. We once again during the vote the company

VerDate 2999 05:51 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00025 Fmt 0626 Sfmt 0634 E:\CR\FM\A18NO8.077 pfrm03 PsN: E19PT1 E2482 CONGRESSIONAL RECORD — Extensions of Remarks November 19, 1999 headlines, you can see the possibility for a This week brought other signs of renewed sist others to become successful. He empow- restoration of the confident, outward-look- political support for a pragmatic inter- ered many people to prosper in business and ing U.S. consensus that our history teaches nationalism. the administration cut a deal countless other ventures while always main- is a requirement for global peace and pros- with House Republicans that will allow the taining his commitment to those less fortunate perity. United States to pay nearly $1 billion in The cornerstone of this renewed embrace back dues to the United Nations, in exchange in our society. of America’s global role is the deal reached for a ban on funding any international orga- Mr. Speaker, I ask you and my colleagues early Monday in Bejing for China to join the nization that promotes abortion. to honor this fine gentleman for his life com- World Trade Organization. President Clinton Summers has worked hard to include debt mitment to public service. let this agreement slip away last April, be- relief for the world’s poorest nations as part f cause of fears about the anti-international of the U.N. funding deal, and his mostly suc- know-nothingism that seemed to have in- ceeded. Wealthy lenders will take a hit under RECOGNITION OF THE UKRAINIAN fected Congress. That was one of the biggest this agreement, while poverty-stricken na- FAMINE OF 1932 mistakes of his presidency, and he has com- tions will get a break. That sounds like the mendably been trying ever since to walk it right kind of bargain. HON. DAVID E. BONIOR back. Another step in the internationalist re- OF MICHIGAN The deal Clinton got Monday isn’t quite as vival could come next month when Summers good as the one he backed away from before, pitches European nations to accept some IN THE HOUSE OF REPRESENTATIVES but it’s good enough. What’s better is the new rules for the International Monetary Thursday, November 18, 1999 new confidence among free traders that they Fund. He’ll urge that the IMF support either Mr. BONIOR. Mr. Speaker, the Ukrainian can win the political argument, on Capitol tough fixed exchange-rate plans or genuinely Hill and around the country. free floating rates—but not the muddled in- famine of 1932±33 stands as one of the most Treasury Secretary Lawrence Summers between schemes that have gotten so many tragic events of this century. Millions of puts the case for the WTO deal simply and countries in trouble. He’ll also urge a new Ukrainian men, women and children starved to starkly: Twice in this century, changes in IMF assessment system to detect when coun- death in one of the cruelest acts of inhumanity the economic balance of power have led to tries’ short-term liabilities are rising toward ever recorded. wars—first with the rise of Germany before the danger point. And in light of the recent The rich and productive soil of Ukraine once World War I and later with the rise of Japan. Russian fiasco, he may argue that countries fed the world. Ukraine was known then as the Now the world economic order is changing should accept outside audits as a condition breadbasket of Europe. It was inconceivable once again, with the emergence of Beijing as of receiving IMF funds. that in 1932 peasants would be forced to an economic superpower. It is overwhelm- Some Americans still believe that ‘‘IMF,’’ ingly in America’s interest to draw this mod- ‘‘free trade’’ and ‘‘WTO’’ are dirty words— scavenge in harvested fields for food and that ernizing China into the global economic sys- symbols of an elitist conspiracy that will their diets would be reduced to nothing but po- tem. harm ordinary Americans. This view is dan- tatoes, beets and pumpkins. Instead of plant- Americans who are confident about the gerously wrong, and it was good to see it losing seeds for the next crop, peasant were re- world-changing power of our capitalism and ing ground this week. duced to feeding those seeds to their children. democracy will welcome the agreement. As a result, little grain was harvested for the China will now have to live by the free-mar- f next crop, and the situation grew worse. ket rules of the WTO. It will have to accept CELEBRATING THE LIFE OF MR. international investments in its major in- Peasants began leaving Ukraine, trying to dustries, including banking and tele- LAURIE CARLSON search for food in Russia and other neigh- communications; it will have to abide by boring territories, but they were turned back. international arbitration of its trade dis- HON. TAMMY BALDWIN Soon, millions began to starve to death. putes; it will have to accept the Internet and OF WISCONSIN As many as ten million people may have its instantaneous access to information. If IN THE HOUSE OF REPRESENTATIVES died in this famine. That's fully one-quarter of you can devise a better strategy for sub- the people in rural Ukraine. The Kremlin was verting Communist rule in China, I’d like to Thursday, November 18, 1999 starving the people of Ukraine to death be- hear it. Ms. BALDWIN. Mr. Speaker, I rise to honor cause Josef Stalin and the Soviet dictators What makes the anti-WTO camp so nervous? It must be the fact that we’re living in and commend the life of Mr. Laurie Carlson wanted to avoid mass resistance to collec- a time of economic upheaval. As the global and to extend my personal sympathies to his tivization. So they killed the peasantsÐslowly, economy becomes more competitive, the re- family and friends in his passing. Mr. Laurie deliberately and diabolically through mass wards for success become greater, and so do Carlson worked to enhance the lives of many starvation. the penalties for failure. Optimists embrace citizens of Wisconsin over the years. He was The West did little at the time to put an end this future, while pessimists seek protection the founder of the Wisconsin Progressive to the man-made famine. They continued to from it. Party in 1934 and was elected to the Wis- buy grain at cheap prices from Russia, taking Fear of the future: That’s the shared char- consin State Assembly in 1936, where he more food away from the Ukrainian people. acteristic of the new anti-internationalists— We should never forget this tragedy. Today from Pat Buchanan on the right to AFL–CIO served for three terms. He then continued his president John Sweeney on the left. They life of dedication to public service as the Clerk we honor the memory of the millions of vic- seem to believe that every new job in China of Courts for Dane County for another four tims. And we support the efforts of the people will mean one less in America. Thank good- terms. of Ukraine, who were subjected to the famine ness economics doesn’t work that way. The Mr. Carlson's simple message and instruc- and to decades of oppressive Soviet rule, as evidence is overwhelming that global pros- tions on, ``How to get the Voters Involved'' is they continue on their path to democracy, re- perity creates new markets, new demand— one that I deeply respect and identify with. In spect for human rights, and economic and more prosperity for all of us. this message he spoke of town meetings and progress. That doesn’t mean that there won’t be los- Mr. Speaker, I urge my colleagues to sup- ers—there will be and the U.S. textile indus- always maintaining a strong personal connec- try and some blue-collar traders will un- tion to constituents. Upon reflection on his port this important resolution and stand to- doubtedly be among them. But in macro time in public service Mr. Carlson was quoted gether with the people of Ukraine. terms, this is a pie that gets bigger, a game as saying, ``Shoe leather is cheap. We would f where two sides can win. go out and meet people. We would get ideas The administration’s most articulate H.R. 3446, SURFACE TRANSPOR- from them.'' He also believed that a strong TATION BOARD REFORM ACT OF champion for this kind of internationalism is focus on the issues, as well as on true biparti- Summers. And it must be said that the new 1999 Treasury Secretary is cleaning up some of sanship would help Wisconsin and the Nation the unfinished business left by his prede- move forward. HON. JAMES L. OBERSTAR cessor, Robert Rubin. Mr. Carlson's political achievements were Summers helped rescue the WTO agree- numerous and great, but there was also much OF MINNESOTA ment with a trip last month to Beijing, more to this wonderful man. He was a de- IN THE HOUSE OF REPRESENTATIVES where he met with Zhu Rongji, the Chinese voted husband and proud father of four chil- Thursday, November 18, 1999 prime minister. Summers told him that ‘‘we dren. His commitment to his wife Helen and Mr. OBERSTAR. Mr. Speaker, I am intro- wanted a deal, but it would have to be on commercial terms. . . . We would both have his childrenÐMary, Jay, Laurene, and Geral- ducing today H.R. 3446, the Surface Trans- to make concessions on percentage points.’’ dine, was first and foremost in his life. Mr. portation Board Reform Act of 1999. Thanks to hard bargaining by U.S. trade ne- Carlson was also a dedicated friend and com- The Surface Transportation Board has been gotiator Charlene Barshefksy, that’s essen- munity member. He tirelessly worked to share a troubled agency since its creation at the end tially what happened. his knowledge and leadership in order to as- of 1995.

VerDate 2999 05:51 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00026 Fmt 0626 Sfmt 9920 E:\CR\FM\A18NO8.077 pfrm03 PsN: E19PT1 November 19, 1999 CONGRESSIONAL RECORD — Extensions of Remarks E2483 First, the Board approved a huge merger It ends the ludicrous annual charade in authority to the Surface Transportation Board. between the Union Pacific and Southern Pa- which the Board examines the books of rail- The result was a regulatory black hole, where cific railroads. Shippers were promised dra- roads that are raising billions of dollars in the such facilities could be built or abandoned matically improved service. Instead, a year capital markets and concludes that they are without regulation either by local zoning regu- later, they got the biggest rail service melt- earning inadequate revenues. lations or by Federal environmental regula- down in history. Two years later, the service It provides relief for small captive grain ship- tions. If these facilities were only minor rail- crisis is over, but there are precious few signs pers by reducing the fees they must pay to road spurs, this would perhaps be acceptable, that shippers are getting better service. Clear- protest rate and simplifying the process of de- but the term ``switching tracks'' has been inter- ly, however, they are getting fewer choices termining a rate to be unreasonable. It also preted by the Board to include railroad yards and less competition. provides them with some assurance that they occupying hundreds of acres. Not only can the Last year, the Board approved another huge will be able to get enough cars to move out railroads built these yards without any regu- restructuring of the industry when it allowed their grain each year. latory interference, they can also use their Conrail to be divided between Norfolk South- The bill also requires submission of monthly eminent domain authority to force landowners ern and CSX. After spending a year planning service quality performance reports by the rail- to sell them the land. This provision should the transaction so as to minimize adverse con- roads, so the Board can do a better job of never have been in the statute, and this bill re- sequences, the transaction became effective monitoring the industry's performance. peals it, giving regulatory jurisdiction to the on June 1st, and service almost instantly col- The bill's labor provisions in Title II end any STB. lapsed. While service in some areas has re- authority of the Board to abrogate collective The bill also eliminates tariff filing for water covered, many shippers still cannot move their bargaining agreements, or to authorize a rail- carriers in the domestic offshore trades serv- goods and are losing business to their com- road or anyone else to do so. The bill strictly ing Alaska, Hawaii, Puerto Rico, and Guam. petitors because they had the bad luck to be limits the preemption of other laws that is al- These carriers are directed to make their tar- served by Norfolk Southern and CSX. lowed in connection with railroads mergers, re- iffs available electronically, just as water car- Clearly, the Board has failed to analyze rail stricting this preemption to State and local riers in the U.S. foreign trades were in the transactions adequately to avoid these service laws that regulate mergers, and restricting this Ocean Shipping Reform Act. disasters. Because of the reduced competition preemption in time to one year after the rail- Finally, the bill reauthorizes the STB for that has resulted from these mergers, the road takes possession of the acquired prop- three years, from fiscal year 2000 to fiscal Board needs to provide more aggressive sup- erty. year 2002, with authorized appropriations ris- port to shippers who come to the Board for re- The bill also clarifies the status of labor pro- ing from $17 million in FY 2000 to $25 million lief from high rates and poor service. This bill tection for railroad employers. The current in FY 2002. In view of its inability to respond directs the Board to move in that direction. statute confusingly defines labor protection in promptly to shipper rate protests (documented Shippers also need more competitive options terms of the labor protection once received by in a GAO report earlier this year) and its in- without having to go to the Board. The bill's Amtrak employees, whose statutory labor pro- ability to oversee the results of its merger de- provisions on bottlenecks, terminal access, tection was taken away by the 1997 Amtrak cisions, the Board clearly needs additional re- and reciprocal switching would allow shippers reauthorization bill. Today's bill makes clear sources. We can only hope that this bill will be to avoid the adverse effects of mergers by that railroad employees receive six years of enacted and that the Board will use these re- getting more competitive service without seek- labor protection if they are laid off as the result sources effectively. ing rate relief from the Board. of a merger. While employees in other indus- f Second, the Board has continued the estab- tries are not given labor protection like this, lished policy of its predecessor in allowing rail- employees in other industries are entitled to COMMEMORATING THE WORK OF roads to abrogate their collective bargaining strike if they cannot reach agreement with GENERATION EARTH agreements as a ``reward'' for undergoing a their employer on a contract. Since World War merger. For 63 years, from 1920 to 1983, the II, railroad employees have been denied the HON. LUCILLE ROYBAL-ALLARD Interstate Commerce Commission held to the right to strike by repeated congressional inter- OF CALIFORNIA sensible view that the rather vague language ventions every time a strike is threatened. It is IN THE HOUSE OF REPRESENTATIVES in its statute did not entitle railroads to walk only fair, if employees are not entitled to Thursday, November 18, 1999 away from their signed contracts. In 1983, the strike, that they at least be compensated if Reagan-era ICC voted to ignore its precedents they lose their jobs as the result of a merger. Ms. ROYBAL-ALLARD. Mr. Speaker, it and adopt a new interpretation that was totally Title III of the bill has several other signifi- gives me great pleasure to come to the floor at variance with Congressional intent and cant provisions. The bill corrects an historical of the House to recognize the Los Angeles sound policy. The Board appointed by the cur- oversight by giving commuter railroads the County Department of Public Works for its rent Administration, rather than return to the same access to freight railroad rights-of-way Generation Earth Program. sensible precedents of the past, has followed that Amtrak has. When Amtrak was created in Generation Earth is an environmental pro- the misguided policy adopted by its immediate 1971, the Nation's private railroads were re- gram of the Los Angeles County Department predecessors. Instead of using the discretion lieved of their common carrier obligation to of Public Works and presented by TreePeople. that the statute gives them, the Board has provide passenger serviceÐboth intercity and The program educates and empowers sec- written to the Congress and invited us to commuter service. In return for being relieved ondary school students in Los Angeles county change the statute to save us from them- of this common carrier obligation, the railroads to be an active part of the solution to minimize selves, and prevent them from continuing to were required to provide Amtrak with guaran- use of landfill space and understand their role pursue this regressive policy. teed access to their rights-of-way, but, in an in reducing pollutants from entering our water- This bill is a first step in that direction. oversight, the Nation's commuter railroadsÐ ways by proper disposal methods. Through a Title I of this bill proposes a series of meas- which provide equally essential passenger hands-on approach, students learn that the ures to enhance rail competition. It clarifies the serviceÐwere not given the same guaranteed local environment is part of their everyday life, Rail Transportation Policy to make clear that access. This bill corrects that oversight by giv- and that everyday decisions, choices and ac- competition is the ``primary objective'' to be ing commuter railroads the same guaranteed tions make a difference to the health of our pursued by the Board. It corrects the Board's access that Amtrak has. environment. ``bottleneck'' decision, which says that, even if The bill also gives special consideration to TreePeople, is one of Los Angeles' oldest a railroad monopolizes only part of the route local communities and to passenger railroads and most successful locally based nonprofit along which a shipper wishes to transport a in the Board's merger decisions. The Board environmental education group. Since 1996, it shipment, it can effectively monopolize the has often given short shrift to the legitimate has worked under the direction of the County whole route, because the railroad can refuse concerns of these parties in approving merg- of Los Angeles Department of Public Works to offer to ship along only part of the route. ers, and has not imposed conditions that are Environmental Programs Division to create The bill also makes it easier to secure com- necessary to protect their legitimate interests. Generation Earth, the state's most effective peting rail service in terminal areas, and by re- The bill also corrects an anomaly that was secondary school environmental education ciprocal switching. inserted in the statute by the 1995 ICC Termi- program. It codifies the one recent decision by the nation Act. That bill preempted the authority of Generation Earth is a highly successful pro- Board that has benefited shippers, namely the states to regulate the construction or abandon- gram with measurable milestones backed by December 1998 decision on ``product'' and ment of ``spur, industrial, team, switching, or research reviewed by educational experts. The ``geographic'' competition. side tracks,'' but it did not give corresponding classroom curriculum was designed to fit any

VerDate 2999 05:51 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00027 Fmt 0626 Sfmt 9920 E:\CR\FM\A18NO8.081 pfrm03 PsN: E19PT1 E2484 CONGRESSIONAL RECORD — Extensions of Remarks November 19, 1999 academic discipline. It meets the curriculum WHAT DO YOU FEEL ARE THE CAUSES OF The most recent example of this clampdown objectives of language arts classes, math, VIOLENCE AMONG TEENAGERS TODAY? was the abrupt reassignment of the well-re- science, social studies and history. As anyone who listens to the radio, watch- spected, outspoken director of the government By providing opportunities for young people es television, or reads the newspaper knows, owned Radio/Television Hong Kong, Cheung to improve their quality of life and challenge violence has become a cause for nationwide Man-yee last month. Ms. Cheung was named them as they apply lessons learned in school, and worldwide concern. Of particular concern is the alarming increase in violence economic and trade representative to Japan, a Generation Earth is an important catalyst for among children and youth. The rates of post equivalent to that of ambassador. This the people of Los Angeles. Thanks to Genera- youth-initiated violent crimes are rising dra- action took place just days after she drew a tion Earth, Los Angeles County teenagers are matically, as are the numbers of young vic- rare public rebuke from the Chinese Deputy beginning to learn that they can make a posi- tims. Many teens are pressured into doing Prime Minister, Qian Qichen. Recently, the tive difference in their surroundings. things they don’t want to do. One of the station had also aired a senior Taiwanese offi- I hope my colleagues will join me in com- hardest parts of growing up, is the same cial seeking to explain President Lee Teng- mending Generation Earth for its leadership in today as it has been for years, peer pressure. hui's shift in policy toward China. It is a part of every teenager’s junior and developing a successful comprehensive ap- The Hong Kong government is becoming in- proach to environmental education. high school years. Some peer pressure is actually quite good in working towards devel- creasingly critical of all local media. State- f oping a teen’s recognition of right and ments from the chief of executive of Hong RECOGNIZING THE PARTICIPATION wrong. Negative peer pressure, the kind we Kong, Tung Chee-hwa such as ``while is free- OF MS. JOANNA MANUEL IN THE most commonly associate with the concept, dom of speech is important, it is also impor- can be devastatingly corruptive. Positive tant for government policies to be positively VOICES AGAINST VIOLENCE CON- and negative pressure are two totally dif- GRESSIONAL TEEN CONFERENCE presented,'' show the direction in which free- ferent things. Positive pressure includes en- dom of the press is headed. couragement to try out for the school play, or challenges to study harder. Negative peer This ``reassignment'' of a qualified journalist HON. ROBERT A. UNDERWOOD is a scary first step. The international commu- OF GUAM pressure includes encouragement to use nity must stand up and take notice when the IN THE HOUSE OF REPRESENTATIVES drugs, to smoke, or other things that harm. Positive pressure has many benefits such as slipping away of a vital freedom begins. The Thursday, November 18, 1999 helping teenagers develop a sense of moral- freedom of the press is the cornerstone of a Mr. UNDERWOOD. Mr. Speaker, last ity. Part of being a teen involves learning to strong democracy. If Hong Kong loses its free month, 342 teenagers from throughout the make decisions. One of the things that af- press, I have great fear for what is next. fects decision-making is pressure from country came to Capitol Hill to attended the f friends. Teens should make decisions based Voices Against Violence Conference regarding on their own morals and values. Daily, teens THE TRUE GOAL OF EDUCATION youth violence. During the two days, the teen- are persuaded to participate in activities agers had unique opportunities to express that statistics report may harm their well- their views on youth violence to Members, being. These activities include: smoking, HON. JAMES M. TALENT learn from national law enforcement and youth drinking, using drugs, having premarital sex, OF MISSOURI programming experts, and participate in work- and even cheating on schoolwork. Many IN THE HOUSE OF REPRESENTATIVES teens are pressured into taking drugs and shops covering a variety of issues including di- Thursday, November 18, 1999 versity training, peer mediation, and hate smoking by ‘‘friends.’’ Teens today need to learn to make their own decisions and say no crime prevention strategies. Supporting agen- Mr. TALENT. Mr. Speaker, I insert the fol- to drugs, smoking, and other things they lowing eloquent speech entitled ``the True cies and organizations included the U.S. De- know can harm them. Our communities and Goal of Education'' into the CONGRESSIONAL partment of Justice, the National Crime Pre- schools have to work together to help prevention Council, the American Mental Health vent negative peer pressure between teen- RECORD. Association, MTV, and the Children's Defense agers. There are many other things that THE TRUE GOAL OF EDUCATION Fund. cause violence among teens today. Troubled (By Gov. George W. Bush) I felt it was important for a young person teens are gradually increasing these days It is a pleasure to be here, and to join in from Guam to participate in this conference to and many are caused by problems stemming marking the chamber’s Business Apprecia- ensure that the diversity of perspectives of from home. Counseling is a great way to find tion Month. New Hampshire is a state of the problem and solve it before other prob- small businesses. Many of them here in the youth violence included teens from the furthest lems arise. While I was in middle school, we American jurisdiction. I was proud that Ms. Jo- north country are prospering, and this orga- had a peer counseling system. Students who nization has played an important part. I am anna Manuel, a sophomore attending Simon needed help or just needed someone to talk honored by your invitation. Sanchez High School, was Guam's represent- to would go to the counselor’s office and fel- I am an optimist, I believe that the next ative to the conference. During her visit, Jo- low students would talk and lend a helping century will be a time of incredible pros- anna gained practical knowledge about vio- hand. It was a great system and it worked. I perity—if we can create an environment lence prevention initiatives and helped to ex- think that the government should set aside where entrepreneurs like you can dream and plore the causes, needs and solutions to the some money to establish and maintain this flourish. A prosperity sustained by low type of system in every school in the nation taxes, unleashed by lighter regulation, ener- problems of youth violence which continues to and maybe even worldwide. We all have to impact our society. Joanna proved to be a val- gized by new technologies, expanded by free work together to make a brighter future for trade. A prosperity beyond all our expecta- uable contributor and an able spokesperson all of us and the generations to come. tions, but within our grasp. for Guam's youth. f But this hope, in the long-run, depends di- The two day conference resulted in the in- rectly on the education of our children—on troduction of House Resolution 357, which FREEDOM OF THE PRESS young men and women with the skills and represents the views of the 342 conference SLIPPING IN HONG KONG character to succeed. So for the past few participants and provides their collective views months, I have focused on the problems and of the causes and solutions to youth violence. HON. JOHN EDWARD PORTER promise of our public schools. The measure was introduced by Democratic In September, I talked about disadvan- OF ILLINOIS taged children left behind by failed schools. Leader RICHARD A. GEPHARDT, myself, and 94 IN THE HOUSE OF REPRESENTATIVES The diminished hopes of our current system other co-sponsors. Thursday, November 18, 1999 are sad and serious—the soft bigotry of low I am hopeful that Joanna will continue to be expectations. Schools that do not teach and involved in the issue of youth violence and Mr. PORTER. Mr. Speaker, I am greatly will not change must have some final point help raise community awareness and activity. concerned over the growing reports from Hong of accountability. A moment of truth, when It is evident from the outcome of the Voices Kong that freedom of the press is increasingly their federal funds, intended to help the Against Violence conference, that we can look at risk under Chinese rule. When Hong Kong poorest children, are divided up and given to to America's youth for solutions and guidance was turned over to China in July of 1997, it parents—for tutoring or a charter school or to understand why violence happens and what was to become one country but remain two some other hopeful option. Last month, I talked about raising the aca- we can do to avert it. systems. Unfortunately, after less than two demic ambitions of every public school in For the record, I am submitting an essay and a half years, we are already seeing exam- America—creating a culture of achievement. written by Ms. Joanne Manuel giving her ple after example of Beijing's power and its My plan lifts the burden of bureaucracy, and views on the causes of violence among teen- communist values being exhibited throughout gives states unprecedented freedom in spend- agers. Hong Kong and imposed on the citizenry. ing federal education dollars. In return for

VerDate 2999 05:51 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00028 Fmt 0626 Sfmt 0634 E:\CR\FM\A18NO8.084 pfrm03 PsN: E19PT1 November 19, 1999 CONGRESSIONAL RECORD — Extensions of Remarks E2485 this flexibility, each state must adopt a sys- Downs Syndrome—and continues to comfort create habits of good conduct. Children take tem of real accountability and high stand- her, even after her own injury. We are find- the values of the adult worlds seriously when ards. Students must be tested on the basics ing, in the midst of tragedy, that our chil- adults take those values seriously. of reading and math each year—and those re- dren can be heroes too. And this goal sets an agenda for our na- sults posted, by school, on the Internet. This Yet something is lost when the moral mes- tion. will give parents the information to know if sage of schools is mixed and muddled. Many First, we must do everything in our power education is actually taking place—and the children catch a virus of apathy and cyni- to ensure the safety of our children. When leverage to demand reform. cism. They lose the ability to make con- children and teenagers go to school afraid of My education proposals are bound by a fident judgments—viewing all matters of being bullied, or beaten, or worse, it is the thread of principle. The federal government right and wrong as a matter of opinion. ultimate betrayal of adult responsibility. It must be humble enough to stay out of the Something becomes frozen within them—a communicates the victory of moral chaos. day-to-day operation of local schools. It capacity for indignation and empathy. You In an American school year there are more must be wise enough to give states and can see it in shrugged shoulders. You can than 4,000 rapes or cases of sexual battery; school districts more authority and freedom. hear it in the watchword of a generation: 7,000 robberies; and 11,000 physical attacks And it must be strong enough to require ‘‘Whatever,’’ involving a weapon. And these are overall proven performance in return. The federal Academics like Professor Robert Simon re- numbers. For children attending inner-city role in education is to foster excellence and port seeing many students—nice, well-inten- schools, the likelihood of being a victim of challenge failure with charters and choice. tioned young men and women—who refuse to violence is roughly five times greater than The federal role in education is not to serve make judgments even about the Holocaust. elsewhere. It is a sign of the times that the the system. It is to serve the children. ‘‘Of course I dislike the Nazis,’’ he quotes a same security company used by the U.S. Yet this is only part of an agenda. Yes, we student, ‘‘but who is to say they are morally Mint and the FBI has now branched out into want our children to be smart and success- wrong?’’ high-school security. ful. But even more, we want them to be good At the extreme, in the case of a very few Surveying this scene, it is easy to forget and kind and decent. Yes, our children must children—lawless, loveless and lonely—this that there is actually a federal program de- learn how to make a living. But even more, confusion can harden into self-destruction or signed to confront school violence. It’s called they must learn how to live, and what to evil, suicide or violence. They find no ele- the Safe and Drug-Free Schools and Commu- love. ‘‘Intelligence is not enough,’’ said Mar- vating ideals—from parents or church or nities Act. The program spends about $600 tin Luther King, Jr. ‘‘Intelligence plus char- school—to counter the chaos in their souls. million dollars a year, assisting 97 percent of acter—that is the true goal of education.’’ ‘‘We laugh at honor,’’ said C.S. Lewis, ‘‘and the nation’s school districts. So today, here in New Hampshire, I want are shocked to find traitors in our midst.’’ What’s missing from the program is ac- to make the case for moral education. But something is changing in this country. countability. Nobody really knows how the Teaching is more than training, and learning Perhaps we have been sobered by tragedy. money is spent, much less whether it is is more than literacy. Our children must be Perhaps the Baby Boom generation has won doing any good. One newspaper found that educated in reading and writing—but also in some wisdom from its failures and pain. But federal money had gone to pay for every- right and wrong. we are no longer laughing at honor. ‘‘Values thing from motivational speakers to clowns Of course, every generation worries about clarirfication’’ seems like a passing super- to school puppet shows to junkets for school the next. ‘‘Children today are tyrants,’’ said stition. Many states have instituted real administrators. one educator. ‘‘They contradict their par- character education in their schools, and As president, I will propose major changes ents, gobble their food, and tyrannize their many more are headed in that direction. in this program. Every school getting this teachers.’’ And that teacher’s name was . . . After decades of drift, we are beginning a funding will report their results—measured Socrates. journey of renewal. in student safety. Those results will be pub- Some things don’t change. The real prob- Above all, we are relearning a sense of lic. At schools that are persistently dan- lem comes, not when children challenge the idealism for our children. Parents and teach- gerous, students will be given a transfer to rules, but when adults won’t defend the ers are rediscovering a great calling and a some other school—a safe school. rules. And for about three decades, many heavy burden: to write on the slate of souls. No parent in America—no matter their in- American schools surrendered this role. Val- We must tell our children—with conviction come—should be forced to send their child to ues were ‘‘clarified,’’ not taught. Students and confidence—that the authors of the Hol- a school where violence reigns. No child in were given moral puzzles, not moral guid- ocaust were evil men, and the authors of the America—regardless of background—should ance. But morality is not a cafeteria of per- Constitution were good ones. That the right be forced to risk their lives in order to learn. sonal choices—with every choice equally to life, liberty and the pursuit of happiness is In the same way, it is a federal crime for right and equally arbitrary, like picking a not a personal opinion, but an eternal truth. a student to bring a gun into any public flavor of ice cream. We do not shape our own And we must tell our children—with clar- school. Yet this law has been almost com- morality. It is morality that shapes our ity and certainty—that character gives di- pletely ignored by federal prosecutors in re- lives. rection to their gifts and dignity to their cent years. Of some 3,900 violations reported Take an example. A Massachusetts teach- lives. That life is too grand and important to between 1997 and 1998, only 13 were pros- er—a devoted supporter of values clarifica- be wasted on whims and wants, on getting ecuted. It is easy to propose laws. Sometimes tion—had a sixth grade class which an- and keeping. That selfishness is a dark dun- it is easy to pass laws. But the measure of nounced that it valued cheating, and wanted geon. That bigotry disfigures the heart. That our seriousness is enforcing the law. And the the freedom to express that value during they were made for better things and higher safety of our children merits more than lip tests. Her response? ‘‘I personally value hon- goals. service. esty,’’ she said. ‘‘Although you may choose The shape of our society, the fate of our Here is what I’ll do. We will form a new to be dishonest, I will insist that we be hon- country, depends on young men and women partnership of the federal government and est on our tests here. In other areas of your who know these things. And we must teach states—called Project Sentry. With some ad- life, you may have to be dishonest.’’ them. ditional funding for prosecutors and the This is not moral neutrality. It is moral I know this begins with parents. And I ATF, we can enforce the law and prosecute surrender. Our schools should not cultivate know that is easy for a politician to say. the violators: students who use guns ille- confusion. They must cultivate conscience. Mark Twain once commented, ‘‘To do good is gally or bring guns to school, and adults who In spite of conflicting signals—and in spite noble. To instruct others in doing good is provide them. And for any juvenile found of a popular culture that sometimes drowns just as noble, and much easier.’’ But the guilty of a serious gun offense, there will be their innocence—most of our kids are good message of our society must be clear. When a lifetime ban on carrying or purchasing a kids. Large numbers do volunteer work. a man or woman has a child, being a father gun—any gun, for any reason, at any age, Nearly all believe in God, and most practice or mother becomes their most important job ever. their faith. Teen pregnancy and violence are in life. Not all teachers are parents, but all Tougher enforcement of gun laws will help actually going down. Across America, under parents are teachers. Family is the first to make our schools safer. But safety is not a program called True Love Waits, nearly a school of manners and morals. And the com- the only goal here. The excellence of a million teens have pledged themselves to ab- pass of conscience is usually the gift of a car- school is not just measured by declines in stain from sex until marriage. Our teenagers ing parent. robbery, murder, and aggravated assault. feel the pressures of complex times, but also Yet parents should expect schools to be al- Safety is the first and urgent step toward a the upward pull of a better nature. They de- lies in the moral education of children. The second order of business—instilling in all of serve our love and they deserve our encour- lessons of the home must be reinforced by our public schools the virtues of discipline. agement. the standards of the school—standards of More than half of secondary-school teach- And sometimes they show character and safety, discipline and decency. ers across the country say they have been courage beyond measure. When a gun is Effective character education should not threatened, or shouted at, or verbally abused aimed at a seventeen-year-old in Colorado— just be an hour a week on a school’s virtue by students. A teacher in Los Angeles de- and she is shot for refusing to betray her of the month. Effective character education scribes her job as ‘‘nine-tenths policeman, Lord. When a seventeen-year-old student, is fostered in schools that have confidence in one-tenth educational.’’ And many schools, during a madman’s attack on a Fort Worth their own rules and values. Schools that set intimidated by the threat of lawsuits, have church, is shot while shielding a friend with limits, enforce boundaries, teach high ideals, watered down their standards of behavior. In

VerDate 2999 05:51 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00029 Fmt 0626 Sfmt 0634 E:\CR\FM\A18NO8.087 pfrm03 PsN: E19PT1 E2486 CONGRESSIONAL RECORD — Extensions of Remarks November 19, 1999 Oklahoma, a student who stabbed a principal our children. Right now, the Department of common task: to give our children a spirit of with a nail was suspended for three days. In Health and Human Services spends far more moral courage. This is not a search for North Carolina, a student who broke her on teen contraception than it does on teen scapegoats—it is a call to conscience. It is teacher’s arm was suspended for only two abstinence. It takes the jaded view that chil- not a hopeless task—it is the power and days. dren are nothing more than the sum of their privilege of every generation. Every indi- In too many cases, adults are in authority, drives, with no higher goal than hanging out vidual can change a corner of our culture. but they are not in control. and hooking up. We owe them better than And every child is a new beginning. To their credit, many schools are trying to this—and they are better than this. They ask In all the confusion and controversy of our reassert that control—only to find them- for bread, and we give them a stone. time, there is still one answer for our chil- selves in court. Generations of movies from Abstinence programs show real promise— dren. An answer as current as the headlines. The Blackboard Jungle to Stand and Deliver exactly because more and more teenagers An answer as old as the scriptures. ‘‘What- cast as their hero the teacher who dares to understand that true love waits. My admin- ever is true, whatever is honorable, whatever bring discipline to the classroom. But a mod- istration will elevate abstinence education is right, whatever is pure, whatever is lovely, ern version of this drama would have to in- from an afterthought to an urgent goal. We whatever is of good repute, if there is any exclude a new figure in the story—the lawyer. should spend at least as much each year on cellence and anything worthy of praise, let Thirty-one percent of all high schools have promoting the conscience of our children as your mind dwell on these things.’’ faced lawsuits or out-of-court settlements in we do on providing them with contraception. If we love our children, this is the path of the past 2 years. This is seriously deterring As well, we will encourage and expand the duty—and the way of hope. Thank you. discipline, and demands a serious response. role of charities in after-school programs. f In school districts receiving federal school Everyone agrees there is a problem in these safety funds, we will expect a policy of zero- empty, unsupervised hours after school. But RECOGNIZING ALZHEIMER’S tolerance for persistently disruptive behav- those hours should not only be filled with ior. This means simply that teachers will AWARENESS MONTH sports and play, they should include lessons have the authority to remove from their in responsibility and character. The federal classroom any student who persists in being government already funds afterschool pro- HON. EDWARD J. MARKEY violent or unruly. Only with the teacher’s grams. But charities and faith-based organi- OF MASSACHUSETTS consent will these students be allowed to re- zations are prevented from participating. In IN THE HOUSE OF REPRESENTATIVES turn. The days of timid pleading and bar- my administration they will be invited to gaining and legal haggling with disruptive Thursday, November 18, 1999 participate. Big Brothers/Big Sisters, the students must be over. Learning must no YMCA and local churches and synagogues Mr. MARKEY. Mr. Speaker, November is longer be held hostage to the brazen behav- Alzheimer's Awareness MonthÐThis month ior of a few. and mosques should be a central part of vol- Along with this measure, I will propose a untary, after-school programs. we recognize the 4 million Americans victim- Teacher Protection Act to free teachers, Schools must never impose religion—but ized by this devastating disease and the family principals and school board members from they must not oppose religion either. And members who are most often their primary meritless federal lawsuits when they enforce the federal government should not be an caregivers. reasonable rules. School officials, acting in enemy of voluntary expressions of faith by Alzheimer's Disease is debilitating, indis- their official duties, must be shielded from students. Religious groups have a right to meet be- criminate and cruelÐit creeps into the brain, liability. A lifetime dedicated to teaching fore and after school. Students have a right captures the mind and renders its victims with must not be disrupted by a junk lawsuit. We to say grace before meals, read their Bibles, impaired judgment, personality change and do not need tort lawyers scouring the halls wear Stars of David and crosses, and discuss loss of language and communication skills. of our schools—turning every classroom dis- religion with other willing students. Stu- Today, Alzheimer's is on track to wreak pute into a treasure hunt for damage awards. Safety and discipline are essential. But dents have a right to express religious ideas havoc as the epidemic of the next century bur- when we dream for our children, we dream in art and homework. dening our nation's health care system and with higher goals. We want them to love Public schools that forbid these forms of leaving millions of American families in emo- learning. And we want them to be rich in religious expression are confused. But more than that, they are rejecting some of the tional and financial ruin. It is predicted that by character and blessed in ideals. 2050, 14 million Americans will be afflicted. So our third goal is to encourage clear in- best and finest influences on young lives. It is noble when a young mind finds meaning We need a strategy today. struction in right and wrong. We want our As part of this strategy, we must recognize schools to care about the character of our and wisdom in the Talmud or Koran. It is children. good and hopeful when young men and that there are thousands of spouses and other I am not talking about schools promoting women ask themselves what would Jesus do. family members struggling to provide care for a particular set of religious beliefs. Strong The measure of our nation’s greatness has their loved ones in their homes each year. values are shared by good people of different never been affluence or influence—rising Seven in ten people with Alzheimer's disease faiths, of varied backgrounds. stocks or advancing armies. It has always live at home. Almost 75% of home care is pro- been found in citizens of character and com- I am talking about communicating the val- vided by family and friends placing a tremen- ues we share, in all our diversity. Respect. passion. And so many of our problems as a Responsibility. Self-restraint. Family com- nation—from drugs, to deadly diseases, to dous emotional burden on these caregivers mitment. Civic duty. Fairness. Compassion. crime—are not the result of chance, but of and a financial burden averaging $12,500 per The moral landmarks that guide a successful choice. They will only be solved by a trans- at home patient. life. formation of the heart and will. This is why Each year, Alzheimer's costs our nation at There are a number of good programs a hopeful and decent future is found in hope- least $100 billion and American business $33 around the country that show how values ful and decent children. billion, most of that in the lost work of employ- can be taught in a diverse nation. At St. That hope, of course, is not created by an ees who are caregivers. Leonard’s Elementary School in Maryland, Executive Order or an Act of Congress. I It is imperative that we increase the federal strongly believe our schools should reinforce children take a pledge each morning to be commitment to this disease. We must create ‘‘respectful, responsible and ready to learn.’’ good character. I know that our laws will al- Character education is a theme throughout ways reflect a moral vision. But there are new programs to relieve caregivers and we the curriculum—in writing, social studies limits to law, set at the boundaries of the must continue our work toward treatment and and reading. And discipline referrals were heart. It has been said: ‘‘Men can make good a cure. Last year the federal government dedi- down by 70 percent in one year. At Marion laws, but laws can not make men good.’’ cated $400 million to Alzheimer's research, Intermediate school in South Carolina, vir- Yet a president has a broader influence and but that's still not enoughÐthe federal commit- tues are taught by studying great historical a deeper legacy than the programs he pro- ment to heart, cancer and AIDS researchÐ poses. He is more than a bookkeeper or an figures and characters in literature. diseases of comparable cost to our countryÐ Consideration is encouraged, good manners engineer of policy. A president is the most are expected. And discipline referrals are visible symbol of a political system that Lin- is 3 to 5 times higher. Next fiscal year we down by half in one year. coln called ‘‘the last best hope of earth.’’ The must increase research dollars for Alzheimer's The federal government now spends $8 mil- presidency, said Franklin Roosevelt, is ‘‘pre- by $100 million. lion on promoting character education ef- eminently a place of moral leadership.’’ Last JuneÐin an effort to encourage legisla- forts. My administration will triple that That is an awesome charge. It is the most tive solutions to deal with Alzheimer'sÐI along funding—money for states to train teachers sobering part of a decision to run for presi- with my colleague from across the aisle CHRIS and incorporate character lessons into daily dent. And it is a charge I plan to keep. SMITHÐkicked off the first bipartisan Task coursework. After power vanishes and pride passes, this We will require federal youth and juvenile is what remains: The promises we kept. The Force on Alzheimer's Disease. To date we justice programs to incorporate an element oath we fulfilled. The example we set. The have 82 members with a goal of reaching 100 of character building. honor we earned. by 2000. Our government must get its priorities This is true of a president or a parent. Of The time has come to wage a serious war straight when it comes to the character of a governor or a teacher. We are united in a against Alzheimer's disease. The time has

VerDate 2999 05:51 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00030 Fmt 0626 Sfmt 9920 E:\CR\FM\A18NO8.091 pfrm03 PsN: E19PT1 November 19, 1999 CONGRESSIONAL RECORD — Extensions of Remarks E2487 come to fight for solutions to improve the lives The assailant pulled him, his wife and and take up valuable channel space which, in of those affected today and to fight for a cure their two-year old child besides one female the case of wireless operators, is limited to the to save the lives of those who will be affected relative out of the house and killed them spectrum space available. with sharp weapons. tomorrow. The mutilated bodies of Santan, his wife If our efforts to increase consumer choice f and the child were found on a football are to succeed, we must go beyond what we have been able to accomplish in H.R. 1554. CHRISTIAN FAMILY HACKED TO ground, about 100 meter away from their house. PTI report. I ask my colleagues to join me in a pledge DEATH—RELIGIOUS PERSECU- f to reopen the debate about nondiscriminatory TION CONTINUES IN INDIA— retransmission consent and agree to study this AMERICA MUST SUPPORT FREE- NONDISCRIMINATORY RETRANS- matter further to see what additional steps we DOM FOR KHALISTAN MISSION CONSENT IN H.R. 1554 can take to strengthen the competitive position of all new entrants into the video marketplace. HON. DAN BURTON HON. W.J. (BILLY) TAUZIN If we succeed, consumers will enjoy lower OF INDIANA OF LOUISIANA prices, better service quality and more choice. IN THE HOUSE OF REPRESENTATIVES IN THE HOUSE OF REPRESENTATIVES f Thursday, November 18, 1999 Thursday, November 18, 1999 IN HONOR OF MAYOR-ELECT Mr. BURTON of Indiana. Mr. Speaker, the JENNIE STULTZ Indian Express reported on November 12, Mr. TAUZIN. Mr. Speaker, as a conferee 1999 that a Christian family was hacked to appointed to H.R. 1554, and as a proponent of death in Jamshedpur. The attackers stormed competition, I deliberated long and hard to HON. SUE WILKINS MYRICK the house of 35 year-old Santan Kerai, drag- promote increased consumer choice in the OF NORTH CAROLINA ging Mr. Kerai, his wife, their two year-old video marketplace by strengthening the com- IN THE HOUSE OF REPRESENTATIVES child, and a relative out of the house to mur- petitive position of satellite carriers as they go Thursday, November 18, 1999 der them. Finally, the mutilated bodies of the head to head with incumbent cable operators; however, they are not the only competitors in Mrs. MYRICK. Mr. Speaker, today I rise in Kerai family ``were found on a football field honor of Mayor-elect Jennie Stultz as she pre- about 100 yards from their house,'' according the evolving video marketplace. Since enactment of the 1996 Telecommuni- pares to become the first female mayor of to the article. The newspaper does not identify Gastonia, North Carolina, in its 122-year his- the assailants, but the attack is part of the on- cations Act, cable over-builders have acquired franchises all across the country and have tory. Her candidacy galvanized middle-aged going pattern of repression of Christians in women and young moms who, local studies India today. begun to operate traditional wireline systems. In addition to these familiar distribution sys- indicated, felt disenfranchised in the last mu- I have been deeply concerned about recent nicipal elections. reports of Hindu activists raping and terrorizing tems, several new digital wireless cable systems, which use microwave frequencies to Her campaign to improve the image of the nuns. A nun named Sister Ruby was abducted city, which once was chosen as an All Amer- by Hindu fundamentalists, who stripped her transmit programming, also offer consumers a competitive alternative. ican City, resounded with her fellow citizens. I naked and forced her to drink their bodily applaud her efforts to promote the City of fluids. They threatened to rape her if she re- Although incumbent cable systems still dominate the video distribution market, sat- Gastonia as the friendly, progressive and All fused. American City that she and I know it to be. Earlier this year, Australian missionary ellite carriers continue to gain market share and, with the advent of local into local, will see Jennie Stultz has dedicated 20 years of her Graham Staines and his two young sons were life as a community activist and volunteer. She burned alive by members of the Bajrang Dal, even greater consumer interest in their prod- served as Administrator of Gastonia Clean which is the youth arm of the openly Fascist uct. City, then as Community Relations Director organization called Rashteria Swayamsewak Unfortunately, the newer entrantsÐthe over builders and the digital wireless providersÐstill from 1982 to 1997. Sangh (RSS). The ruling BJP, which leads In- She gave of her time and services on nu- face some pretty stiff obstacles in their efforts dia's 24-party governing coalition, is the polit- merous civic boards, including the House of ical arm of the RSS. to penetrate this market. The single most sig- Mercy, which assists those with terminal ill- Since Christmas Day of 1998, Hindu fun- nificant hurdle they face is access to popular nesses; the Governor's Council for Children damentalists have burned down Christian programming at fair prices. This issue has and Youth; and has just completed a term as churches, prayer halls, and schools. Four long-term significance for video competition Chairperson of the Board of Directors of the priests have been murdered, some of them and my subcommittee will continue to study Gaston Literacy Council, Inc. beheaded. this important problem. However, in the short- Her father, Elmore Thomas, who was sta- Christians have not been the only target of term, these new competitors are running into tioned overseas during World War II, wrote in persecution in India. Sikhs and Muslims are serious retransmission consent problems that a letter dated July 23, 1944: ``When I get routinely beaten, tortured, and murdered by prevent them from expanding as fast as they back, I might run for mayor of Gastonia. At these radical groups or even Indian security would like and that unnecessarily deprive con- forces. least, all the boys in the unit say I should.'' sumers of an alternative choice. I commend Jennie Stultz for carrying on that Mr. Speaker, India is neither secular, nor is When attempting to renegotiate retrans- tradition of service to community and nation it democratic. It is clear that there is no place mission consent contracts, these new competi- for which her father fought and for realizing a for religious, linguistic, or ethnic minorities in tors are told they must take other program- long, unfulfilled family dream. India. So, it is no wonder that there are seven- ming services they do not want. Too fre- teen freedom movements in India. My fellow colleagues, I ask that you join me quently, they are told they must purchase a in saluting a woman who exemplifies the spirit I call on the President to press the Govern- ``bundle'' of programming that includes the ment of India on the issues of human rights of optimism for the future and the pride of broadcast signal they want, but also includes community that prevails in this land. May her and self-determination when he visits the sub- programming in which the broadcaster or his continent next year. If the United States will tenure bring continued prosperity and pride to affiliated network has a financial interest. As the people of Gastonia, North Carolina. not speak out for freedom in the world, who you might expect, ``bundles'' of programming f will? If we don't press these issues today, cost a lot more than a single broadcast signal, when will we? We must do whatever we can and they take up valuable channel space that 25TH ANNIVERSARY OF THE JOHN to bring freedom to all the people of India. the new entrants would prefer to use for other H. HARLAND COMPANY DALLAS- Mr. Speaker, I would like to place the Indian programmingÐprogramming they choose to AREA FACILITY Express article into the RECORD carry, not programming they are forced to [From the Indian Express, Nov. 12, 1999] carry. CHRISTIAN FAMILY HACKED TO DEATH HON. RICHARD K. ARMEY The bottom line is that these ``tying'' ar- OF TEXAS JAMSHEDPUR—Four members of a tribal rangements are not optional, they are forced IN THE HOUSE OF REPRESENTATIVES Christian family have been hacked to death on these new entrants as the quid pro quo for by some unidentified people at Peteripa vil- Thursday, November 18, 1999 lage of west Singhbhum district. obtaining retransmission consent; impose Police said some people had stormed the higher programming costs on new entrants Mr. ARMEY. Mr. Speaker, I rise today to house of one Santan Kerai (35) at midnight that put them at a competitive disadvantage congratulate the John H. Harland Company's on Wednesday. vis a vis established players in the market; Dallas-area Facility on its 25th Anniversary.

VerDate 2999 06:27 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00031 Fmt 0626 Sfmt 9920 E:\CR\FM\A18NO8.095 pfrm03 PsN: E19PT1 E2488 CONGRESSIONAL RECORD — Extensions of Remarks November 19, 1999 The John H. Harland Company is the sec- Harland Company moved into the 26th Con- and offers greater economic security for its ond largest check printer in the United States gressional District, opening a 83,000 square employees and their families. and the leading provider of database mar- foot facility in Grapevine, Texas. I offer my sincere congratulations to the em- keting to financial institutions. Founded in Harland's recent move to a regional network 1923, the John H. Harland Company opened of nine production facilities has brought addi- ployees of this facility and to the John H. its Dallas facility in 1974. Today, this facility tional work into the Grapevine facility and has Harland Company on this momentous occa- employs 320 people and processes 112,000 contributed to the local economy. It also im- sion. orders per week. In April 1997, John H. proves the quality of the company's services

VerDate 2999 05:51 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00032 Fmt 0626 Sfmt 9920 E:\CR\FM\A18NO8.099 pfrm03 PsN: E19PT1 Friday, November 19, 1999 Daily Digest

HIGHLIGHTS Senate agreed to Consolidated Appropriations Conference Report. First Session of the 106th Congress adjourned sine die. Senate operability and portability applicable to electronic Chamber Action food stamp benefit transactions, and the bill was Routine Proceedings, pages S14839–S14893 then passed, after agreeing to the following amend- Measures Introduced: Twenty-eight bills and nine ment proposed thereto: Pages S14877±78 resolutions were introduced, as follows: S. Collins (for Fitzgerald) Amendment No. 2785, in 1971–1998, S. Res. 234–241, and S. Con. Res. 77. the nature of a substitute. Pages S14877±78 (See next issue.) Enrollment Correction: Senate agreed to S. Con. Measures Reported: Reports were made as follows: Res. 77, making technical corrections to the enroll- S. 795, to amend the Fastener Quality Act to ment of H.R. 3194. Page S14878 strengthen the protection against the sale of Federal Reports Elimination and Sunset Act of mismarked, misrepresented, and counterfeit fasteners 1995 Exemptions: Committee on Governmental Af- and eliminate unnecessary requirements, with fairs was discharged from further consideration of amendments. (S. Rept. No. 106–224) H.R. 3111, to exempt certain reports from auto- (See next issue.) matic elimination and sunset pursuant to the Federal Measures Passed: Reports Elimination and Sunset Act of 1995, and Internet Gambling Prohibition Act: Senate the bill was then passed, after agreeing to the fol- passed S. 692, to prohibit Internet gambling, after lowing amendment proposed thereto: Pages S14878±81 agreeing to a committee amendment in the nature Collins (for Leahy) Amendment No. 2786, to proof a substitute, and the following amendments provide continued reporting of intercepted wire, oral, posed thereto: Pages S14863±70 and electronic communications. Pages S14878±81 Collins (for Kyl/Bryan) Amendment No. 2782, in Millennium Digital Commerce Act: Senate the nature of a substitute. Pages S14865±70 passed S. 761, to regulate interstate commerce by Collins (for Campbell) Amendment No. 2783 (to electronic means by permitting and encouraging the Amendment No. 2782), to provide for Indian gam- continued expansion of electronic commerce through ing provisions. Pages S14865±70 the operation of free market forces, after agreeing to Date-Rape Drug Control Act: Senate passed H.R. a committee amendment in the nature of a sub- 2130, to amend the Controlled Substances Act to stitute, and the following amendment proposed add gamma hydroxybutyric acid and ketamine to the thereto: Pages S14881±89 schedules of control substances, to provide for a na- Collins (for Abraham) Amendment No. 2787, in tional awareness campaign, after striking all after the the nature of a substitute. Page S14882 enacting clause and inserting in lieu thereof the text Church Plan Parity and Entanglement Preven- of S. 1561, Senate companion measure, after agreeing tion Act: Committee on Health, Education, Labor, to committee amendments, and the following and Pensions was discharged from further consider- amendment proposed thereto: Pages S14870±77 ation of S. 1309, to amend title I of the Employee Collins (for Hutchison) Amendment No. 2784, to Retirement Income Security Act of 1974 to provide modify the short title Page S14872 for the preemption of State law in certain cases relat- Subsequently, S. 1561 was placed back on the ing to certain church plans, and the bill was then Senate calendar. Page S14872 passed, after agreeing to the following amendment Electronic Benefit Transfer Interoperability and proposed thereto: Pages S14889±91 Portability Act: Committee on Agriculture, Nutri- Collins (for Sessions/Jeffords) Amendment No. tion, and Forestry was discharged from further con- 2788, in the nature of a substitute. Page S14889 sideration of S. 1733, to amend the Food Stamp Act Consolidated Farm and Rural Development Act of 1977 to provide for a national standard of inter- Amendments: Committee on Agriculture, Nutrition, D1321

VerDate 29-OCT-99 07:22 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00001 Fmt 5627 Sfmt 5627 E:\CR\FM\D19NO9.REC pfrm04 PsN: D19NO9 D1322 CONGRESSIONAL RECORD — DAILY DIGEST November 19, 1999 and Forestry was discharged from further consider- Taiwan in the World Health Organization: Sen- ation of S. 961, to amend the Consolidated Farm ate passed H.R. 1794, concerning the participation And Rural Development Act to improve shared ap- of Taiwan in the World Health Organization preciation arrangements, and the bill was then (WHO), clearing the measure for the President. passed, after agreeing to the following amendment (See next issue.) proposed thereto: Page S14891 Sudan Peace Act: Senate passed S. 1453, to facili- Collins (for Burns) Amendment No. 2789, in the tate famine relief efforts and a comprehensive solu- nature of a substitute. Page S14891 tion to the war in Sudan, after agreeing to a com- Inspector General Act Amendments: Senate mittee amendment in the nature of a substitute. passed S. 1707, to amend the Inspector General Act (See next issue.) of 1978 (5 U.S.C. App.) to provide that certain des- Coastal Wetlands Planning, Protection and Res- ignated Federal entities shall be establishments toration Act: Senate passed S. 1119, to amend the under such Act, after agreeing to a committee Act of August 9, 1950, to continue funding of the amendment in the nature of a substitute. Coastal Wetlands Planning, Protection and Restora- Pages S14892±93 tion Act. (See next issue.) Cheyenne River Sioux Tribe Equitable Com- State Flexibility Clarification Act: Senate passed pensation Act: Senate passed S. 964, to provide for H.R. 3257, to amend the Congressional Budget Act equitable compensation for the Cheyenne River of 1974 to assist the Congressional Budget Office Sioux Tribe, after agreeing to a committee amend- with the scoring of State and local mandates, clear- ment in the nature of a substitute. (See next issue.) ing the measure for the President. (See next issue.) Indian Tribal Justice Technical and Legal As- Radiation Exposure Compensation Act Amend- sistance Act of 1999: Senate passed S. 1508, to pro- ments: Senate passed S. 1515, to amend the Radi- vide technical and legal assistance for tribal justice ation Exposure Compensation Act, after agreeing to systems and members of Indian tribes, after agreeing a committee amendment. (See next issue.) to a committee amendment in the nature of a sub- Private Relief: Senate passed S. 302, for the relief stitute. (See next issue.) of Kerantha Poole-Christian. (See next issue.) Federal Emergency Management Food and Shel- Private Relief: Senate passed S. 1019, for the re- ter Program Reauthorization: Senate passed S. lief of Regine Beatie Edwards. (See next issue.) 1516, to amend title III of the Stewart B. McKinney Private Relief: Senate passed S. 276, for the relief Homeless Assistance Act (42 U.S.C. 11331 et seq.) of Sergio Lozano, after agreeing to a committee to reauthorize the Federal Emergency Management amendment in the nature of a substitute. Food and Shelter Program. (See next issue.) (See next issue.) Federal Report Elimination and Sunset Act Secretary of the Treasury/Republic of Iceland Amendments of 1999: Senate passed S. 1877, to Minting of Coins: Senate passed H.R. 3373, to re- amend the Federal Report Elimination and Sunset quire the Secretary of the Treasury to mint coins in Act of 1995. (See next issue.) conjunction with the minting of coins by the Re- Office of Government Ethics Authorization Act public of Iceland in commemoration of the millen- of 1999: Senate passed S. 1503, to amend the Ethics nium of the discovery of the New World by Lief Er- in Government Act of 1978 (5 U.S.C. App.) to ex- icson, clearing the measure for the President. tend the authorization of appropriations for the Of- (See next issue.) fice of Government Ethics through fiscal year 2003. Export Enhancement Act: Senate passed H.R. (See next issue.) 3381, to reauthorize the Overseas Private Investment U.S. Holocaust Assets Commission Extension Corporation and the Trade and Development Agen- Act: Committee on Banking, Housing, and Urban cy, clearing the measure for the President. Affairs was discharged from further consideration of (See next issue.) H.R. 2401, to amend the U.S. Holocaust Assets Secretariat of the Free Trade Area of the Amer- Commission Act of 1998 to extend the period by icas Location: Committee on Finance was discharged which the final report is due and to authorize addi- from further consideration of S. Con. Res. 71, ex- tional funding, and the bill was then passed, clearing pressing the sense of Congress that Miami, Florida, the measure for the President. (See next issue.) and not a competing foreign city, should serve as the Federal Reserve Act: Committee on Banking, permanent location for the Secretariat of the Free Housing, and Urban Affairs, was discharged from Trade Area of the Americas (FTAA) beginning in further consideration of H.R. 1094, to amend the 2005, and the resolution was then agreed to. Federal Reserve Act to broaden the range of discount (See next issue.) window loans which may be used as collateral for Condemning Violence in Chechnya: Committee Federal reserve notes, and the bill was then passed, on Foreign Relations was discharged from further clearing the measure for the President. consideration of S. Res. 223, condemning the vio- (See next issue.) lence in Chechnya, and the resolution was then

VerDate 29-OCT-99 07:22 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00002 Fmt 5627 Sfmt 5627 E:\CR\FM\D19NO9.REC pfrm04 PsN: D19NO9 November 19, 1999 CONGRESSIONAL RECORD — DAILY DIGEST D1323 agreed to, after agreeing to the following amend- United States Navy on the 100th anniversary of the ment proposed thereto: (See next issue.) force, and the resolution was then agreed to. Collins (for Helms) Amendment No. 2791, to (See next issue.) make clerical corrections. (See next issue.) Printing Authority: Senate agreed to S. Res. 235, Human Rights in China: Senate agreed to S. to authorize the printing of a revised edition of the Res. 217, relating to the freedom of belief, expres- Senate Election Law Guidebook. (See next issue.) sion, and association in the People’s Republic of Printing Authority: Senate agreed to S. Res. 236, China. (See next issue.) to authorize the printing of a revised edition of the U.S. Border Patrol’s 75 Years of Service: Senate Nomination and Election of the President and Vice agreed to H. Con. Res. 122, recognizing the United President of the United States. (See next issue.) States Border Patrol’s 75 years of service since its Printing Authority: Senate agreed to H. Con. founding. (See next issue.) Res. 221, authorizing printing of the brochures enti- Celebrating One America: Senate agreed to H. tled ‘‘How Our Laws Are Made’’ and ‘‘Our American Con. Res. 141, celebrating One America. Government’’, the pocket version of the United (See next issue.) States Constitution, and the document-sized, anno- tated version of the United States Constitution, after Commending WWII Veterans: Senate passed H.J. agreeing to the following amendment proposed Res. 65, commending the World War II veterans thereto: Page who fought in the Battle of the Bulge, clearing the Collins (for McConnell/Robb) Amendment No. measure for the President. (See next issue.) 2793, in the nature of a substitute. (See next issue.) National Family Week: Senate agreed to S. Res. 204, designating the week beginning November 21, Commemorative Postage Stamp/4-H Youth De- 1999, and the week beginning on November 19, velopment Program: Committee on Governmental Affairs was discharged from further consideration of 2000, as ‘National Family Week.’ (See next issue.) S. Res. 218, expressing the sense of the Senate that National Biotechnology Month: Senate agreed to a commemorative postage stamp should be issued S. Res. 200, designating January 2000 as ‘‘National recognizing the 4-H Youth Development Program’s Biotechnology Month,’’ after agreeing to committee centennial, and the resolution was then agreed to. amendments, and the following amendment pro- (See next issue.) posed thereto: (See next issue.) Commemorative Postage Stamp/Purple Heart Collins (for Grams) Amendment No. 2792, pro- Recipients: Committee on Governmental Affairs was viding for a title amendment. (See next issue.) discharged from further consideration of S. Con. Res. National Children’s Memorial Day: Senate 42, expressing the sense of the Congress that a com- agreed to S. Res. 118, designating December 12, memorative postage stamp should be issued by the 1999, as ‘‘National Children’s Memorial Day’’. United States Postal Service honoring the members (See next issue.) of the Armed Forces who have been awarded the Give Thanks, Give Life: Committee on the Judi- Purple Heart, and the resolution was then agreed to. ciary was discharged from further consideration of S. (See next issue.) Res. 225, to designate November 23, 2000, Thanks- Lance Corporal Harold Gomez Post Office: Sen- giving Day, as a day to ‘‘Give Thanks, Give Life’’ ate passed S. 1295, to designate the United States and to discuss organ and tissue donation with other Post Office located at 3813 Main Street in East Chi- family members, and the resolution was then agreed cago, Indiana, as the ‘‘Lance Corporal Harold Gomez to. (See next issue.) Post Office’’. (See next issue.) Recognizing the Contributions of Older Persons: Postal Service Building Designations: Senate Senate agreed to S. Res. 234, recognizing the con- passed H.R. 100, to establish designations for tribution of older persons to their communities and United States Postal Service buildings in Philadel- commending the work of organizations that partici- phia, Pennsylvania, clearing the measure for the pate in programs assisting older persons and that President. (See next issue.) promote the goals of the International Year of Older Clifford R. Hope Post Office: Senate passed H.R. Persons. 197, to designate the facility of the United States Honoring Air National Guard’s 109th Airlift Postal Service at 410 North 6th Street in Garden Wing: Senate agreed to H. Con. Res. 205, recog- City, Kansas, as the ‘‘Clifford R. Hope Post Office’’, nizing and honoring the heroic efforts of the Air Na- clearing the measure for the President. tional Guard’s 109th Airlift Wing and its rescue of (See next issue.) Dr. Jerri Nielsen from the South Pole. Postal Service Facility Designations: Senate (See next issue.) passed H.R. 1191, to designate certain facilities of Commending U.S. Navy: Committee on Armed the United States Postal Service in Chicago, Illinois, Services was discharged from further consideration of clearing the measure for the President. S. Res. 196, commending the submarine force of the (See next issue.)

VerDate 29-OCT-99 07:22 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00003 Fmt 5627 Sfmt 5627 E:\CR\FM\D19NO9.REC pfrm04 PsN: D19NO9 D1324 CONGRESSIONAL RECORD — DAILY DIGEST November 19, 1999 Noal Cushing Baterman Post Office Building: Collins (for Hatch) Amendment No. 2796, to Senate passed H.R. 1251, to designate the United amend the designation date of ‘‘National Colorectal States Postal Service building located at 8850 South Cancer Awareness Month’’. (See next issue.) 700 East, Sandy, Utah, as the ‘‘Noal Cushing Bate- Enrollment Correction: Senate agreed to H. Con. man Post Office Building’’, clearing the measure for Res. 236, correcting the enrollment of H.R. 1180. the President. (See next issue.) (See next issue.) Maurine B. Neuberger U.S. Post Office: Senate El Camino Real de Tierra Adentro National passed H.R. 1327, to designate the United States Historic Trail Act: Senate passed S. 366, to amend Postal Service building located at 34480 Highway the National Trails System Act to designate El Ca- 101 South in Cloverdale, Oregon, as the ‘‘Maurine mino Real de Tierra Adentro as a National Historic B. Neuberger United States Post Office’’, clearing Trail, after agreeing to committee amendments. the measure for the President. (See next issue.) (See next issue.) John J. Buchanan Post Office Building: Senate Glacier Bay Fisheries Act: Senate passed S. 501, passed H.R. 1377, to designate the facility of the to address resource management issues in Glacier United States Postal Service located at 9308 South Bay National Park, Alaska, after agreeing to a com- Chicago Avenue, Chicago, Illinois, as the ‘‘John J. mittee amendment in the nature of a substitute, and Buchanan Post Office Building’’, after agreeing to a the following amendment proposed thereto: committee amendment in the nature of a substitute. (See next issue.) (See next issue.) Lott (for Bingaman) Amendment No. 2801, in Private Relief: Committee on the Judiciary was the nature of a substitute. (See next issue.) discharged from further consideration of H.R. 322, Lewis and Clark Rural Water System Act: Sen- for the relief of Suchada Kwong, and the bill was ate passed S. 244, to authorize the construction of then passed, clearing the measure for the President. the Lewis and Clark Rural Water System and to au- (See next issue.) thorize assistance to the Lewis and Clark Rural Senate Representation: Senate agreed to S. Res. Water System, Inc., a nonprofit corporation, for the 238, to authorize representation of Member of the planning and construction of the water supply sys- Senate in the case of Brett Kimberlin v. Orrin tem, after agreeing to a committee amendment in Hatch, et al. (See next issue.) the nature of a substitute. (See next issue.) DEFEAT Meth Act: Senate passed S. 486, to pro- Gateway Visitor Center Authorization Act: Sen- vide for the punishment of methoamphetamine lab- ate passed H.R. 449, to authorize the Gateway Vis- oratory operators, provide additional resources to itor Center at Independence National Historical combat methamphetamine production, trafficking, Park, clearing the measure for the President. and abuse in the United States, after agreeing to a (See next issue.) committee amendment in the nature of a substitute, Mt. Hope Waterpower Project: Senate passed H. and the following amendment proposed thereto: R. 459, to extend the deadline under the Federal (See next issue.) Power Act for FERC Project No. 9401, the Mt. Collins (for Hatch) Amendment No. 2794, in the Hope Waterpower Project, clearing the measure for nature of a substitute. (See next issue.) the President. (See next issue.) Abraham Lincoln Bicentennial Commission Act: Star-Spangled Banner National Historic Trail Committee on the Judiciary was discharged from Study Act: Senate passed H.R. 791, to amend the further consideration of H.R. 1451, to establish the National Trails System Act to designate the route of Abraham Lincoln Bicentennial Commission, and the the War of 1812 British invasion of Maryland and bill was then passed, after agreeing to the following Washington, District of Columbia, and the route of amendment proposed thereto: (See next issue.) the American defense, for study for potential addi- Collins (for Hatch) Amendment No. 2795, in the tion to the national trails system, clearing the meas- nature of a substitute. (See next issue.) ure for the President. (See next issue.) Child Abuse Prevention and Enforcement Act: Otay Mountain Wilderness Act: Senate passed H. Senate passed H.R. 764, to reduce the incidence of R. 15, to designate a portion of the Otay Mountain child abuse and neglect, after agreeing to a com- region of California as wilderness, clearing the meas- mittee amendment in the nature of a substitute. ure for the President. (See next issue.) (See next issue.) Arizona Statehood and Enabling Act Amend- National Colorectal Cancer Awareness Month: ments: Senate passed H. R. 747, to protect the per- Committee on the Judiciary was discharged from manent trust funds of the State of Arizona from ero- further consideration of S. Res. 108, designating the sion due to inflation and modify the basis on which month of March 2000, as ‘‘National Colorectal Can- distributions are made from those funds, clearing the cer Awareness Month’’, and the resolution was then measure for the President. (See next issue.) agreed to, after agreeing to the following amend- Home of Franklin D. Roosevelt National His- ment proposed thereto: (See next issue.) toric Site: Senate passed H.R. 1104, to authorize the

VerDate 29-OCT-99 07:22 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00004 Fmt 5627 Sfmt 5627 E:\CR\FM\D19NO9.REC pfrm04 PsN: D19NO9 November 19, 1999 CONGRESSIONAL RECORD — DAILY DIGEST D1325 Secretary of the Interior to transfer administrative ju- lands in the State of South Dakota, and the bill was risdiction over land within the boundaries of the then passed, clearing the measure for the President. Home of Franklin D. Roosevelt National Historic (See next issue.) Site to the Archivist of the United States for the Central Utah Project Completion Act Amend- construction of a visitor center, clearing the measure ment: Senate passed H.R. 2889, to amend the Cen- for the President. (See next issue.) tral Utah Project Completion Act to provide for ac- Thomas Cole National Historic Site Act: Senate quisition of water and water rights for Central Utah passed H.R. 658, to establish the Thomas Cole Na- Project purposes, completion of Central Utah project tional Historic Site in the State of New York as an facilities, and implementation of water conservation affiliated area of the National Park System, clearing measures, clearing the measure for the President. the measure for the President. (See next issue.) (See next issue.) Virginia Wilderness Battlefield: Senate passed National Park Entertainment Fee Collection: H.R. 1665, to allow the National Park Service to ac- Senate passed H.R. 154, to allow the Secretary of the quire certain land for addition to the Wilderness Interior and the Secretary of Agriculture to establish Battlefield in Virginia, as previously authorized by a fee system for commercial filming activities on law, by purchase or exchange as well as by donation, Federal land, after agreeing to a committee amend- clearing the measure for the President. ment in the nature of a substitute. (See next issue.) (See next issue.) Alaska Rescue Cost Recovery: Senate passed S. Chattahoochee River National Recreation Area: 698, to review the suitability and feasibility of re- Senate passed H.R. 2140, to improve protection and covering costs of high altitude rescues at Denali Na- management of the Chattahoochee River National tional Park and Preserve in the State of Alaska. Recreation Area in the State of Georgia, clearing the (See next issue.) measure for the President. (See next issue.) Alaska Native Hiring Improvement: Senate Perkins County Rural Water System Act: Senate passed S. 748, to improve Native hiring and con- passed H.R. 970, to authorize the Secretary of the tracting by the Federal Government within the State Interior to provide assistance to the Perkins County of Alaska, after agreeing to committee amendments. Rural Water System, Inc., for the construction of (See next issue.) water supply facilities in Perkins County, South Da- National Discovery Trails Act: Senate passed S. kota, clearing the measure for the President. 734, entitled the ‘‘National Discovery Trails Act of National Geologic Mapping Reauthorization 1999’’, after agreeing to committee amendments. Act: Senate passed H.R. 1528, to reauthorize and (See next issue.) amend the National Geologic Mapping Act of 1992, National Oilheat Research Alliance Act: Senate clearing the measure for the President. passed S. 348, to authorize and facilitate a program (See next issue.) to enhance training, research and development, en- Upper Delaware Scenic and Recreational River ergy conservation and efficiency, and consumer edu- Mongaup Visitor Center Act: Senate passed H.R. cation in the oilheat industry for the benefit of 20, to authorize the Secretary of the Interior to con- oilheat consumers and the public, after agreeing to struct and operate a visitor center for the Upper committee amendments, and the following amend- Delaware Scenic and Recreational River on land ment proposed thereto: (See next issue.) owned by the State of New York, after withdrawing Lott (for Murkowski) Amendment No. 2802, to the committee amendment, clearing the measure for provide for national oil heat research, small hydro- the President. (See next issue.) electric projects in Alaska, hydroelectric projects in World War Veterans Park: Senate passed H.R. Hawaii, and to extend the time for Federal Energy 592, to designate a portion of Gateway National Regulatory Commission project. (See next issue.) Recreation Area as ‘‘World War Veterans Park at Arizona National Forest Improvement Act: Sen- Miller Field’’, clearing the measure for the President. ate passed S. 1088, to authorize the Secretary of Ag- (See next issue.) riculture to convey certain administrative sites in na- Quinebaug and Shetucket Rivers Valley Na- tional forests in the State of Arizona, to convey cer- tional Heritage Corridor Reauthorization Act: Sen- tain land to the City of Sedona, Arizona for a waste- ate passed H.R. 1619, to amend the Quinebaug and water treatment facility, after agreeing to the fol- Shetucket Rivers Valley National Heritage Corridor lowing amendment proposed thereto: (See next issue.) Act of 1994 to expand the boundaries of the Cor- Lott (for Kyl) Amendment No. 2803, to reduce ridor, clearing the measure for the President. the amount of consideration to be paid by the City (See next issue.) by the amount of special use permit fees paid by the Terry Peak Land Transfer Act: Committee on City. (See next issue.) Energy and Natural Resources was discharged from Exxon Valdez Settlement Investment: Senate further consideration of H.R. 2079, to provide for passed S. 711, to allow for the investment of joint the conveyance of certain National Forest System Federal and State funds from the civil settlement of

VerDate 29-OCT-99 07:22 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00005 Fmt 5627 Sfmt 5627 E:\CR\FM\D19NO9.REC pfrm04 PsN: D19NO9 D1326 CONGRESSIONAL RECORD — DAILY DIGEST November 19, 1999 damages from the Exxon Valdez oil spill, after agree- Daschle (for Bingaman) Amendment No. 2805, to ing to a committee amendment in the nature of a authorize the appropriation of $5 million each year. substitute. (See next issue.) (See next issue.) Omnibus Parks Technical Corrections Act: Sen- Vicksburg Campaign Trail Battlefields Preser- ate passed H.R. 149, to make technical corrections vation Act: Senate passed S. 710, to authorize the to the Omnibus Parks and Public Lands Manage- feasibility study on the preservation of certain Civil ment Act of 1996, after agreeing to committee War battlefields along the Vicksburg Campaign amendments, and the following amendment pro- Trail, after agreeing to committee amendments. posed thereto: (See next issue.) Lackawanna Valley American Heritage Area Lott (for Murkowski) Amendment No. 2804, to Act: Senate passed S. 905, to establish the Lacka- make further amendments. (See next issue.) wanna Valley National Heritage Area, after agreeing Nye County, Nevada Land Conveyance: Senate to committee amendments. (See next issue.) passed S. 1329, to direct the Secretary of the Interior Corinth Battlefield Preservation Act: Senate to convey certain land to Nye County, Nevada, after passed S. 1117, to establish the Corinth Unit of Shi- agreeing to a committee amendment. (See next issue.) loh National Military Park, in the vicinity of the Mesquite, Nevada Public Land Purchase: Senate city of Corinth, Mississippi, and in the State of Ten- passed S. 1330, to give the city of Mesquite, Ne- nessee, after agreeing to committee amendments. vada, the right to purchase at fair market value cer- (See next issue.) tain parcels of public land in the city. Gettysburg National Military Park Boundary (See next issue.) Expansion: Senate passed S. 1324, to expand the boundaries of the Gettysburg National Military Park Arrowrock Dam Hydroelectric Project: Senate to include Wills House. (See next issue.) passed S. 1236, to extend the deadline under the Federal Power Act for commencement of the con- Hoover Dam Miscellaneous Sales Act: Senate struction of the Arrowrock Dam Hydroelectric passed S. 1275, to authorize the Secretary of the In- terior to produce and sell products and to sell publi- Project in the State of Idaho. (See next issue.) cations relating to the Hoover Dam, and to deposit Dickinson Dam Bascule Gates Settlement Act: revenues generated from the sales into the Colorado Senate passed S. 769, to provide a final settlement River Dam fund. (See next issue.) on certain debt owed by the city of Dickinson, Fort Peck Reservation Rural Water System Act: North Dakota, for the construction of the bascule Senate passed S. 624, to authorize construction of gates on the Dickinson Dam, after agreeing to a the Fort Peck Reservation Rural Water System in committee amendment. (See next issue.) the State of Montana, after agreeing to a committee Griffith Project Prepayment and Conveyance amendment in the nature of a substitute. Act: Senate passed S. 986, to direct the Secretary of (See next issue.) the Interior to convey the Griffith Project to the Methane Hydrate Research and Development Southern Nevada Water Authority, after agreeing to Act: Senate passed H.R. 1753, to promote the re- a committee amendment in the nature of a sub- search, identification, assessment, exploration, and stitute. (See next issue.) development of methane hydrate resources, after Wyoming Surface Estate Conveyance: Senate agreeing to the following amendment proposed passed S. 1030, to provide that the conveyance by thereto: (See next issue.) the Bureau of Land Management of the surface estate Daschle (for Akaka) Amendment No. 2806, in the to certain land in the State of Wyoming in exchange nature of a substitute. (See next issue.) for certain private land will not result in the removal Toiyabe National Forest Boundary Adjustment: of the land from operation of the mining laws, after Senate passed S. 439, to amend the National Forest agreeing to a committee amendment. (See next issue.) and Public Lands of Nevada Enhancement Act of Imperial Dam Salinity Control: Senate passed S. 1988 to adjust the boundary of the Toiyabe National 1211, to amend the Colorado River Basin Salinity Forest, Nevada. (See next issue.) Control Act to authorize additional measures to carry Miwaleta Park Expansion Act: Senate passed S. out the control of salinity upstream of Imperial Dam 977, to provide for the conveyance by the Bureau of in a cost-effective manner, after agreeing to a com- Land Management to Douglas County, Oregon, of a mittee amendment. (See next issue.) county park and certain adjacent land, after agreeing Community Forest Restoration Act: Senate to committee amendments. (See next issue.) passed S. 1288, to provide incentives for collabo- Lower Delaware Wild and Scenic Rivers Act: rative forest restoration projects on National Forest Senate passed S. 1296, to designate portions of the System and other public lands in New Mexico, after lower Delaware River and associated tributaries as a agreeing to a committee amendment in the nature component of the National Wild and Scenic Rivers of a substitute, and the following amendment pro- System, after agreeing to a committee amendment in posed thereto: (See next issue.) the nature of a substitute. (See next issue.)

VerDate 29-OCT-99 07:22 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00006 Fmt 5627 Sfmt 5627 E:\CR\FM\D19NO9.REC pfrm04 PsN: D19NO9 November 19, 1999 CONGRESSIONAL RECORD — DAILY DIGEST D1327 National Park System New Area Study Act: the Dugger Mountain Wilderness, clearing the meas- Senate passed S. 1349, to direct the Secretary of the ure for the President. (See next issue.) Interior to conduct special resource studies to deter- Foster Care Independence Act: Committee on Fi- mine the national significance of specific sites as well nance was discharged from further consideration of as the suitability and feasibility of their inclusion as H.R. 1802, to amend part E of title IV of the Social units of the National Park System, after agreeing to Security Act to provide States with more funding committee amendments. (See next issue.) and greater flexibility in carrying out programs de- Taunton River Wild and Scenic River Study signed to help children make the transition from fos- Act: Senate passed S. 1569, to amend the Wild and ter care to self sufficiency, and the bill was then Scenic Rivers Act to designate segments of the passed, after agreeing to the following amendment Taunton River in the Commonwealth of Massachu- proposed thereto: (See next issue.) setts for study for potential addition to the National Collins Amendment No. 2797, in the nature of a Wild and Scenic Rivers System, after agreeing to substitute. (See next issue.) committee amendments. (See next issue.) Black Hills National Forest Land Exchange: Convening of the 2nd Session/106th Congress: Senate passed S. 1599, to authorize the Secretary of Senate passed H.J. Res. 85, appointing the day for Agriculture to sell or exchange all or part of certain the convening of the second session of the One Hun- administrative sites and other land in the Black dred Sixth Congress, clearing the measure for the Hills National Forest and to use funds derived from President. (See next issue.) the sale or exchange to acquire replacement sites and Commending Keeper of the Stationery: Senate to acquire or construct administrative improvements agreed to S. Res. 240, commending Stephen G. Bale, in connection with Black Hills National Forest. Keeper of the Stationery, U.S. Senate. (See next issue.) (See next issue.) Federal Motor Carrier Safety Administration: Lewis and Clark National Historic Trail Land Senate passed H.R. 3419, to amend title 49, United Conveyance: Senate passed H.R. 2737, to authorize States Code, to establish the Federal Motor Carrier the Secretary of the Interior to convey to the State Safety Administration, clearing the measure for the of Illinois certain Federal land associated with the President. (See next issue.) Lewis and Clark National Historic Trail to be used Congressional Gold Medal: Committee on Bank- as an historic and interpretive site along the trail, ing, Housing, and Urban Affairs was discharged clearing the measure for the President. from further consideration of S. 1971, to authorize (See next issue.) the President to award a gold medal on behalf of the Jackson Multi-Agency Campus Act: Senate Congress to Milton Friedman, in recognition of his passed S. 1374, to authorize the development and outstanding and enduring contributions to indi- maintenance of a multi-agency campus project in the vidual freedom and opportunity in American society town of Jackson, Wyoming, after agreeing to a com- through his exhaustive research and teaching of eco- mittee amendment in the nature of a substitute. nomics, and his extensive writings on economics and (See next issue.) public policy, and the bill was then passed. Pacific Northwest Electric Power Planning and Conservation Act Amendments: Committee on En- Father Theodore M. Hesburgh Congressional ergy and Natural Resources was discharged from fur- Gold Medal Act: Senate passed H.R. 1932, to au- ther consideration of S. 1937, to amend the Pacific thorize the President to award a gold medal on be- Northwest Electric Power Planning and Conservation half of the Congress to Father Theodore M. Act to provide for sales of electricity by the Bonne- Hesburgh, in recognition of his outstanding and en- ville Power Administration to joint operating enti- during contributions to civil rights, higher edu- ties, and the bill was then passed. (See next issue.) cation, the Catholic Church, the Nation, and the global community, clearing the measure for the Keweenaw National Historical Parks Advisory President. (See next issue.) Commission Members Appointments: Committee on Energy and Natural Resources was discharged Vaccine Injury Compensation: Senate passed S. from further consideration of H.R. 748, to amend 1996, to amend the Public Health Service Act to the Act that established the Keweenaw National clarify provisions relating to the content of petitions Historical Park to require the Secretary of the Inte- for compensation under the vaccine injury compensa- rior to consider nominees of various local interests in tion program. (See next issue.) appointing members of the Keweenaw National His- Clinical Research Enhancement Act: Committee torical Parks Advisory Commission, and the bill was on Health, Education, Labor and Pensions was dis- then passed, clearing the measure for the President. charged from further consideration of S. 1813, to (See next issue.) amend the Public Health Service Act to provide ad- Dugger Mountain Wilderness Act: Senate passed ditional support for and to expand clinical research H.R. 2632, to designate certain Federal lands in the programs, and the bill was then passed. Talladega National Forest in the State of Alabama as (See next issue.)

VerDate 29-OCT-99 07:22 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00007 Fmt 5627 Sfmt 5627 E:\CR\FM\D19NO9.REC pfrm04 PsN: D19NO9 D1328 CONGRESSIONAL RECORD — DAILY DIGEST November 19, 1999 Fire Protection Overtime: Senate passed H.R. Digital Theft Deterrence and Copyright Dam- 1693, to amend the Fair Labor Standards Act of ages Improvement Act: Senate passed H.R. 3456, to 1938 to clarify the overtime exemption for employ- amend statutory damages provisions of title 17, ees engaged in fire protection activities, clearing the United States Code, clearing the measure for the measure for the President. (See next issue.) President. (See next issue.) Cardiac Arrest Survival Act: Committee on ‘‘Shoeless Joe’’ Jackson Baseball Accomplishment Health, Education, Labor, and Pensions was dis- Recognition: Committee on Commerce, Science, and charged from further consideration of S. 1488, to Transportation was discharged from further consider- amend the Public Health Service Act to provide for ation of S. Res. 134, expressing the sense of the Sen- recommendations of the Secretary of Health and ate that Joseph Jefferson ‘‘Shoeless Joe’’ Jackson Human Services regarding the placement of auto- should be appropriately honored for his outstanding matic external defibrillators in Federal buildings in baseball accomplishments, and the resolution was order to improve survival rates of individuals who then agreed to, after agreeing to the following experience cardiac arrest in such buildings, and to amendment proposed thereto: (See next issue.) establish protections from civil liability arising from Collins (for Thurmond) Amendment No. 2800, in the emergency use of the devices, and the bill was the nature of a substitute. (See next issue.) then passed, after agreeing to the following amend- Zachary Fisher Honorary Veteran Status Con- ment proposed thereto: (See next issue.) ferment: Senate passed H. J. Res. 46, conferring sta- Collins (for Gorton) Amendment No. 2798, in the tus as an honorary veteran of the United States nature of a substitute. (See next issue.) Armed Forces on Zachary Fisher, clearing the meas- Twenty-First Century Research Laboratories ure for the President. (See next issue.) Act: Committee on Health, Education, Labor, and Directing the Senate Commission on Art: Senate Pensions was discharged from further consideration agreed to S. Res. 241, to direct the Senate Commis- of S. 1268, to amend the Public Health Service Act sion on Art to recommend to the Senate 2 out- to provide support for the modernization and con- standing individuals whose paintings shall be placed struction of biomedical and behavioral research facili- in 2 of the remaining unfilled spaces in the Senate ties and laboratory instrumentation, and the bill was reception room. (See next issue.) then passed, after agreeing to the following amend- Electronic Commerce Taxation Moratorium: Sen- ment proposed thereto: (See next issue.) ate agreed to H. Con. Res. 190, urging the United Collins (for Harkin) Amendment No. 2799, to States to seek a global consensus supporting a mora- modify the authorization of appropriations. torium on tariffs and on special, multiple, and dis- (See next issue.) criminatory taxation of electronic commerce. Prostate Cancer Research and Prevention Act: (See next issue.) Committee on Health, Education, Labor, and Pen- State Funding: Senate passed H.R. 3443, to sions was discharged from further consideration of S. amend part E of title IV of the Social Security Act 1243, to amend the Public Health Service Act to re- to provide States with more funding and greater vise and extend the prostate cancer preventive health flexibility in carrying out programs designed to help program, and the bill was then passed. children make the transition from foster care to self (See next issue.) sufficiency, clearing the measure for the President. Enrollment Correction: Senate agreed to H. Con. (See next issue.) Res. 239, correcting enrollment of H.R. 3194 with Deceptive Mail Prevention and Enforcement a technical change. (See next issue.) Act: Senate concurred in the amendment of the Immigration and Nationality Act Amendments: House to S. 335, to amend Chapter 30 of title 39, Committee on the Judiciary was discharged from United States Code, to provide for the nonmail- further consideration of H.R. 2886, to amend the ability of certain deceptive matter relating to sweep- Immigration and Nationality Act to provide that an stakes, skill contests, facsimile checks, administrative adopted alien who is less than 18 years of age may procedures, orders, and civil penalties relating to be considered a child under such Act if adopted with such matter, clearing the measure for the President. or after a sibling who is a child under such Act, and Pages S14856±63 the bill was then passed, clearing the measure for the Copyright Damages Improvement Act: Senate President. (See next issue.) concurred in the amendment of the House to S. Animal Cruelty Depiction Prohibition: Senate 1257, to amend statutory damages provisions of title passed H.R. 1887, to amend title 18, United States 17, United States Code, with a further amendment Code, to punish the depiction of animal cruelty, proposed thereto: Pages S14891±92 clearing the measure for the President. Page Collins (for Hatch) Amendment No. 2790, to pro- National American Indian Heritage Month: vide for the promulgation of emergency guidelines Senate agreed to S. Res. 216, designating the Month by the United States Sentencing Commission relat- of November 1999 as ‘‘National American Indian ing to criminal infringement of a copyright or trade- Heritage Month’’. (See next issue.) mark. Page S14892

VerDate 29-OCT-99 07:22 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00008 Fmt 5627 Sfmt 5627 E:\CR\FM\D19NO9.REC pfrm04 PsN: D19NO9 November 19, 1999 CONGRESSIONAL RECORD — DAILY DIGEST D1329 Veterans’ Compensation Cost-of-Living Adjust- meaningful opportunities to work, clearing the ment Act: Senate concurred in the amendments of measure for the President. (See next issue.) the House to Senate amendment to H.R. 2280, to Consolidated Appropriations Conference Report: amend title 38, United States Code, to provide a By 74 yeas to 24 nays (Vote No. 374), Senate agreed cost-of-living adjustment in rates of compensation to the conference report on H.R. 3194, making con- paid for service-connected disabilities, to enhance the solidated appropriations for the fiscal year ending compensation, memorial affairs, and housing pro- September 30, 2000, clearing the measure for the grams of the Department of Veterans Affairs, to im- President. (See next issue.) prove retirement authorities applicable to judges of During consideration of this measure, the Senate the United States Court of Appeals for Veterans also took the following action: Claims, clearing the measure for the President. By 87 yeas to 9 nays (Vote No. 373), three-fifths (See next issue.) of those Senators duly chosen and sworn having Mississippi Courts: Senate concurred in the amend- voted in the affirmative, Senate agreed to the motion ment of the House to S. 1418, to provide for the to close further debate on the conference report. holding of court at Natchez, Mississippi in the same (See next issue.) manner as court is held at Vicksburg, Mississippi, Standing Rules of the Senate—Agreement: A clearing the measure for the President. unanimous-consent agreement was reached directing (See next issue.) the Committee on Rules and Administration prepare Open-Market Reorganization for the Betterment a revised edition of the Standing Rules of the Senate, of International Telecommunications Act: Senate and that such standing rules be printed as a Senate disagreed to the amendment of the House to S. 376, document. (See next issue.) to amend the Communications Satellite Act of 1962 Bankruptcy Reform Act—Cloture Motion Filed: to promote competition and privatization in satellite A motion was entered to close further debate on S. communications, requested a conference with the 625, to amend title 11, United States Code and, in House thereon, and the Chair was authorized to ap- accordance with Rule XXII of the Standing Rules of point the following conferees on the part of the Sen- the Senate, a vote on the cloture motion will occur ate: Senators McCain, Stevens, Burns, Hollings, and on Tuesday, January 25, 2000, at 12 noon. (See next issue.) Inouye. (See next issue.) Oregon Land Use: Senate concurred in the amend- Nominations Received By The Senate—Agree- ment of the House to S. 416, to direct the Secretary ment: A unanimous-consent agreement was reached of Agriculture to convey the city of Sisters, Oregon, providing that all nominations received by the Sen- ate during the 10th Congress, first session, remain a certain parcel of land for use in connection with in status quo, notwithstanding the November 19, a sewage treatment facility, clearing the measure for 1999 adjournment of the Senate, and the provisions the President. (See next issue.) of rule XXXI, paragraph 6 of the standing rules of Veterans’ Millennium Health Care Act Con- the Senate. (See next issue.) ference Report: Senate agreed to the conference re- University of Alaska Land Conveyance—Agree- port on H.R. 2116, to amend title 38, United States ment: A unanimous-consent-time agreement was Code, to enhance programs providing health care, reached providing for consideration of S. 744, to education, memorial, and other benefits for veterans, provide for the continuation of higher education to authorize major medical facility projects for the through the conveyance of certain public lands in Department of Veterans Affairs, clearing the measure the State of Alaska to the University of Alaska, with for the President. (See next issue.) amendments to be proposed thereto. (See next issue.) Intelligence Authorization Conference Report: Appointment Authority—Agreement: A unani- Senate agreed to the conference report on H.R. mous-consent agreement was reached providing that 1555, to authorize appropriations for fiscal year 2000 notwithstanding the sine die adjournment of the for intelligence and intelligence-related activities of present session of the Senate, the President of the the United States Government, the Community Senate, the President of the Senate Pro tempore, the Management Account, and the Central Intelligence Majority Leader of the Senate and the Minority Agency Retirement and Disability System, clearing Leader of the Senate be, and they are hereby author- the measure for the President. (See next issue.) ized, to make appointments to commissions, com- Work Incentives Improvement Act Conference mittees, boards, conferences, or interparliamentary Report: By 95 yeas to 1 nay (Vote No. 372), Senate conferences authorized by law, by concurrent action agreed to the conference report on H.R. 1180, to of the two Houses, or by order of the Senate. amend the Social Security Act to expand the avail- (See next issue.) ability of health care coverage for working individ- Authority for Committees: All committees were uals with disabilities, to establish a Ticket to Work authorized to file executive and legislative reports and Self-Sufficiency Program in the Social Security during the adjournment of the Senate on Tuesday, Administration to provide such individuals with December 7, 1999 from 11 a.m. until 1 p.m., and

VerDate 29-OCT-99 07:22 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00009 Fmt 5627 Sfmt 5627 E:\CR\FM\D19NO9.REC pfrm04 PsN: D19NO9 D1330 CONGRESSIONAL RECORD — DAILY DIGEST November 19, 1999 on Friday, January 7, 2000 from 11 a.m. until 1 Ernest W. DuBester, of New Jersey, to be a Mem- p.m. (See next issue.) ber of the National Mediation Board for a term ex- Appointment: piring July 1, 2001. Joint Committee on Taxation Membership: The Deanna Tanner Okun, of Idaho, to be a Member Chair announced on behalf of the Chairman of the of the United States International Trade Commission Finance Committee, pursuant to section 8002 of title for a term expiring June 16, 2008. 26, U.S. Code, the designation of Senator Hatch as Routine lists in the Coast Guard. a member of the Joint Committee on Taxation, in Nominations Received: Senate received the fol- lieu of the late Senator Chafee. (See next issue.) lowing nominations: Nominations Confirmed: Senate confirmed the fol- E. Douglas Hamilton, of Kentucky, to be United lowing nominations: States Marshal for the Western District of Kentucky Stephen Hadley, of the District of Columbia, to for the term of four years. be a Member of the Board of Directors of the United Francis J. Duggan, of Virginia, to be a Member States Institute of Peace for a term expiring January of the National Mediation Board for a term expiring 19, 2003. July 1, 2003. Zalmay Khalilzad, of Maryland, to be a Member Timothy Earl Jones, Jr., of Georgia, to be a Com- of the Board of Directors of the United States Insti- missioner of the United States Parole Commission tute of Peace for a term expiring January 19, 2001. for a term of six years. John C. Truesdale, of Maryland, to be a Member of the National Labor Relations Board for the term Marie F. Ragghianti, of Tennessee, to be a Com- of five years expiring August 27, 2003. missioner of the United States Parole Commission Paul Steven Miller, of California, to be a Member for a term of six years. of the Equal Employment Opportunity Commission Routine lists in the Public Health Service. for a term expiring July 1, 2004. (Reappointment) (See next issue.) Irasema Garza, of Maryland, to be Director of the Nominations Withdrawn: Senate received notifica- Women’s Bureau, Department of Labor. tion of the withdrawal of the following nominations: T. Michael Kerr, of the District of Columbia, to Timothy Earl Jones, Jr., of Georgia, to be a Com- be Administrator of the Wage and Hour Division, missioner of the United States Parole Commission Department of Labor. for a term of six years, vice George MacKenzie Rast, Anthony Musick, of Virginia, to be Chief Finan- resigned, which was sent to the Senate on July 19, cial Officer, Corporation for National and Commu- 1999. (See next issue.) nity Service. Marie F. Ragghianti, of Maryland, to be a Com- Susan M. Wachter, of Pennsylvania, to be an As- missioner of the United States Parole Commission sistant Secretary of Housing and Urban Develop- for a term of six years, vice Edward F. Reilly, term ment. expired, which was sent to the Senate on July 19, Neal S. Wolin, of Illinois, to be General Counsel 1999. (See next issue.) for the Department of the Treasury. Messages From the House: (See next issue.) Ivan Itkin, of Pennsylvania, to be Director of the Office of Civilian Radioactive Waste Management, Measures Referred: (See next issue.) Department of Energy. Measures Placed on Calendar: (See next issue.) Richard Linn, of Virginia, to be United States Communications: (See next issue.) Circuit Judge for the Federal Circuit. Statements on Introduced Bills: (See next issue.) Joseph R. Crapa, of Virginia, to be an Assistant Administrator of the United States Agency for Inter- Additional Cosponsors: (See next issue.) national Development. Amendments Submitted: (See next issue.) Alan Phillip Larson, of Iowa, to be Under Sec- Enrolled Measures Presented: (See next issue.) retary of State (Economic, Business and Agricultural Enrolled Measures Signed: (See next issue.) Affairs). Linda J. Bilmes, of California, to be an Assistant Record Votes: Three record votes were taken today. Secretary of Commerce. (Total—374) (See next issue.) Linda J. Bilmes, of California, to be Chief Finan- Adjournment Sine Die: Senate met at 9:30 a.m., cial Officer, Department of Commerce. and, in accordance with the provisions of H. Con. Magdalena G. Jacobsen, of Oregon, to be a Mem- Res. 235, adjourned sine die at 8:49 p.m., until 12 ber of the National Mediation Board for a term ex- noon, on Monday, January 24, 2000. piring July 1, 2002. Francis J. Duggan, of Virginia, to be a Member of the National Mediation Board for a term expiring Committee Meetings July 1, 2000. No committee meetings were held.

VerDate 29-OCT-99 07:22 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00010 Fmt 5627 Sfmt 5627 E:\CR\FM\D19NO9.REC pfrm04 PsN: D19NO9 November 19, 1999 CONGRESSIONAL RECORD — DAILY DIGEST D1331 House of Representatives Quorum Calls—Votes: No recorded votes or Chamber Action quorum calls developed during the proceedings of Bills Introduced: 3 public bills, H.R. 3511–3513; the House today. and 1 resolution, H. Con. Res. 239, were intro- Adjournment: The House met at 12:00 p.m. and duced. Page H12896 adjourned at 12:26 p.m. Reports Filed: No reports were filed today. Guest Chaplain: The prayer was offered by the Committee Meetings guest Chaplain, Rev. Dr. Ronald Christian of Fair- No committee meetings were held. fax, Virginia. Page H12894 f Recess: The House recessed at 12:20 p.m. and re- convened at 12:25 p.m. Page H12895 CONGRESSIONAL PROGRAM AHEAD Correcting Enrollment: The House agreed to H. Week of November 22 through November 24, Con. Res. 239, directing the Clerk of the House of 1999 Representatives to make a technical correction in the enrollment of the bill H.R. 3194. Pages H12895±96 House Chamber Meeting Hour—Monday, November 22: Agreed Monday, The House will meet at 12:00 p.m. that when the House adjourn today, it adjourn to Tuesday and the Balance of the Week, To be an- meet on Monday, November 22, 1999 at noon. nounced. Page H12896 Any Further Program Will Be Announced Later. Senate Messages: Message received from the Senate House Committees appears on page H12894 No committee meetings are scheduled.

VerDate 29-OCT-99 07:22 Nov 20, 1999 Jkt 079060 PO 00000 Frm 00011 Fmt 5627 Sfmt 5627 E:\CR\FM\D19NO9.REC pfrm04 PsN: D19NO9 D1332 CONGRESSIONAL RECORD — DAILY DIGEST November 19, 1999

Next Meeting of the SENATE Next Meeting of the HOUSE OF REPRESENTATIVES 12 noon, Monday, January 24 12 noon, Monday, November 22

Senate Chamber House Chamber Program for Monday: Senate will begin a period for the Program for Monday: To be announced. transaction of any routine morning business until 2 p.m.

Extensions of Remarks, as inserted in this issue

HOUSE Fossella, Vito, N.Y., E2467 Porter, John Edward, Ill., E2484 Gonzalez, Charles A., Tex., E2460, E2474 Portman, Rob, Ohio, E2480 Armey, Richard K., Tex., E2487 Goodlatte, Bob, Va., E2461 Quinn, Jack, N.Y., E2461, E2463 Baird, Brian, Wash., E2464 Greenwood, James C., Pa., E2464 Roybal-Allard, Lucille, Calif., E2483 Baldwin, Tammy, Wisc., E2482 Hooley, Darlene, Ore., E2459 Royce, Edward R., Calif., E2477 Barton, Joe, Tex., E2477 Lantos, Tom, Calif., E2479 Ryan, Paul, Wisc., E2480 Berry, Marion, Ark., E2479 McInnis, Scott, Colo., E2460, E2463, E2466 Sanders, Bernard, Vt., E2481 Bilbray, Brian P., Calif., E2468 McKeon, Howard P. ‘‘Buck’’, Calif., E2478 Sherman, Brad, Calif., E2468 Bonior, David E., Mich., E2482 Maloney, Carolyn B., N.Y., E2479 Smith, Christopher H., N.J., E2477 Burton, Dan, Ind., E2487 Markey, Edward J., Mass., E2486 Talent, James M., Mo., E2484 Davis, Danny K., Ill., E2459, E2461 Meek, Carrie P., Fla., E2467 Tauzin, W.J. (Billy), La., E2457, E2487 DeLauro, Rosa L., Conn., E2467 Menendez, Robert, N.J., E2466 Thompson, Mike, Calif., E2466 Doyle, Michael F., Pa., E2646 Miller, George, Calif., E2480 Udall, Mark, Colo., E2460, E2462, E2465 Ehlers, Vernon J., Mich., E2476 Myrick, Sue Wilkins, N.C., E2487 Udall, Tom, N.M., E2457, E2461, E2463, E2467, E2476 Engel, Eliot L., N.Y., E2460, E2462, E2466, E2468 Northup, Anne M., Ky., E2467 Underwood, Robert A., Guam, E2484 Etheridge, Bob, N.C., E2478 Oberstar, James L., Minn., E2482 Visclosky, Peter J., Ind., E2465 Fletcher, Ernie, Ky., E2481 Oxley, Michael G., Ohio, E2481

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