Report to Manhattan ] from Congresswoman Carolyn Maloney WINTER 2008 http://maloney.house.gov Dear Neighbor, With the new year and second session of the 110th Congress underway, our nation’s economy is suffering a difficult downturn. Unemployment is on the rise, the sub- prime mortgage crisis is forcing people from their homes, and high energy prices, falling home prices, and stagnant wages are squeezing American families. I’m pleased to report that Congress recently passed a bipartisan economic stimulus bill that will provide millions of Americans with much-needed relief and help jump- start our ailing economy. The stimulus plan will help reinvigorate our economy in several ways: —By putting tax rebates into the hands of more than 130 million American families. —By expanding financing opportunities for Americans in danger of losing their homes because of the subprime mortgage crisis. —By providing small businesses with tax cuts to help spur investment and create jobs (it’s estimated that this will help create 500,000 jobs). Rep. Maloney speaks with a constituent about Medicare In a rare display of bipartisanship, Congress Part D at a previous Town Hall Meeting. and the White House worked together to quickly WITH POLICE COMMISSIONER RAY KELLY pass this important bill; as a result, taxpayers will n Join me for my next start receiving their rebates by early summer. I hope this newsletter is informative about prog- East Side Town Hall ress on other issues facing the nation, and the 14th Join me for a Town Hall Meeting with N.Y.C. Congressional District. Police Commissioner Ray Kelly to discuss crime As always, please don’t hesitate to contact my and quality of life issues. office if you have a question or concern. When: Thursday, March 20, 2008 Sincerely, 7:00 – 8:30 pm Where: Baruch College Auditorium, Room 14-220 55 Lexington Avenue (bet. E. 24th & E. 25th Streets) How best to reach me: Congresswoman Carolyn Maloney Regular postal mail to my U. S. House of Representatives Washington office is subject to screening delays. If you’d Washington, DC 20515 like to reach me quickly, M.C. the best methods now are PRESORT-STD via the internet at www. maloney.house.gov or by fax at 202/225-4709. Washington, D.C. : 2331 Rayburn HOB Washington, D.C. 20515 202/225-7944 Manhattan: 1651 Third Avenue, Suite 311 New York, NY 10128 212/860-0606 Queens: 28-11 Astoria Blvd. Astoria, NY 11102 718/932-1804 This mailing was prepared, published and mailed at taxpayer expense. Report to Manhattan from Congress- What passed... woman With the change to a Democratic majority, Congress was finally able to completely en- Carolyn Maloney act the 9/11 Commission reforms into law (reforms based in part on legislation I wrote); ] increase the minimum wage and military pay; enact the most sweeping ethics reforms since Watergate; and restore fiscally responsible pay-as-you-go budgeting principles that helped usher in the budget surpluses of the 1990’s. On other legislative fronts... $ CAP LIFTED, % RATES CUT NEW MATH n Student loan forgive- n The hidden costs ness now possible of the War in Iraq In 2007, Congress passed into law the College As Vice Chair of the Joint Economic Committee Cost Reduction and Access Act of 2007 (H.R. 2669), (JEC), I released a study with Sen. Chuck Schumer which is the single largest increase in college aid since which concluded that the full economic costs of the GI bill—at no additional cost to taxpayers. Nation- the Iraq war are far more than what’s actually been ally, over 6.8 million students who take out need-based reported by the Administration. When the “hidden student loans—and 378,000 New York-based students costs” of the war are added, the war’s tab will rise —will be helped by the new law. by more than $1 trillion to $3.5 trillion over the next The law has three notable provisions. It increases decade. (To read the full report, go to http://maloney. the ceiling on Pell Grants by about 33%—from $4050 to house.gov/) $5400 per year. It also cuts the interest rate on loan pay- Talking about trillions of dollars brings President ments under Federal Family Education Loan and Direct Bush’s opposition to programs like S-CHIP, the State Loan programs by half over the next five years, saving the Children’s Health Insurance Program, into clearer typical student about $4500 over the life of the loan. focus: interest payments on the war debt this year alone The new law also gives upfront tuition assistance would fund the current children’s health care program to students who commit to teaching in high-need pub- for over four years. lic schools for a period of four years. I, and the majority leadership in the House and Sen- What may be the most significant change is the pro- ate, remain committed to ending the war in Iraq and vision for student loan forgiveness for graduates who’ve bringing our troops home. In November, the House taken out federal Direct Loans who choose careers in passed legislation—with my “yes” vote—that would public service. If you don’t have Direct Loans now, have provided critical funding for our troops while re- starting July 1, 2008, students under other loan pro- quiring their redeployment from Iraq within 30 days of grams will be allowed to consolidate their debt under the bill’s enactment. But after passage in the House, the the federal Direct Loan program. bill was blocked by the minority in the Senate (where The U.S. Department of Education will issue rules 60 votes are needed to override a filibuster). shortly as to which specific job titles will be eligible, but it’s expected to include positions in government, law enforcement, public health, child care, social work WORKING FOR ENERGY INDEPENDENCE and public-interest legal services. Find out more at http://www.ed.gov/offices/OSFAP/DirectLoan/index.html n Reducing dependence NEW TOOLS FOR PROSECUTORS on foreign oil Last June, at a forum Last year, Congress passed and the President signed n held on Capitol Hill, Fighting the tragedy into law the Energy Independence and Security Act Reps. Maloney and (H.R. 6), the most sweeping energy legislation in three of human trafficking decades. This landmark statute reduces our dependence Deborah Pryce along on foreign oil by raising the mileage standards auto with U.N. Goodwill In December, the House overwhelmingly passed companies must meet for the first time in 32 years, by the William Wilberforce Trafficking Victims Protec- Ambassador and noted specifying new energy efficiency standards for other in- tion Reauthorization Act (H.R. 3887) which would dustries, and increasing support for US-grown biofuels. actress Julia Ormond dramatically strengthen the ability of our law en- Find out more at http://maloney.house.gov/. participated in a panel forcement to fight human trafficking. The bill gives discussion about human prosecutors additional tools to hold the traffickers accountable and authorizes critical funding to combat MALONEY AMENDMENT PASSES trafficking. trafficking and help victims. n Mortgage reform to stem subprime crisis The House passed the Mortgage Reform and Anti-Predatory Lending Act (H.R. 3648) to help limit the subprime mortgage crisis as adjustable- rate mortgages are reset this year. I cosponsored this important bill and successfully amended it to prevent borrowers from being hit with unfair mortgage pre- payment penalties. My amendment requires that borrowers have the option of choosing a loan without a prepayment penalty when they are also offered a loan with a pre- payment penalty. It would prohibit any prepayment penalty from lasting longer than three years and limits the penalty to three percent of the loan amount dur- ing the first year of the loan, two percent during the second, and one percent during the third year. This bill now awaits Senate passage. For more information on the Mortgage Reform and Anti-Predatory Lending Act, please visit http://maloney.house.gov/. What’s next... RUDE SURPRISES n Credit card reforms As Chair of the House Financial Institutions and Consumer Credit Subcommittee of the House Finan- cial Services Committee, I’ve been working to imple- ment common sense consumer protections for credit card holders. Last year, the Subcommittee conducted formal hearings and informal meetings to deter- mine how Congress, federal regulators, and credit card companies can work together to better protect cardholders. In February, I introduced the Credit Cardholders’ Bill of Rights (H.R. 5244) which would give cardholders the right to say no to rate increases and prohibit uni- lateral interest rate hikes on existing balances. My bill would also eliminate arbitrary rate increases under “any time any reason” clauses and prevent issuers from rais- ing rates on existing balances for good customers based on a decline in their credit score. so they can find the best solutions to the work-life chal- Rep. Maloney, Vice Chair ACCOUNTABILITY FOR BANKS lenges they face. of the Joint Economic JOINT ECONOMIC COMMITTEE Committee, attends a n Consumer hotline act hearing on the state of the n Focus on the economy If consumers have a complaint or question about economy with Senators their bank and want to speak with their bank’s Economic issues will undoubtedly be at the forefront Chuck Schumer (left) and regulator, they must figure out which of the five fed- of our domestic agenda this year, with unemployment Ted Kennedy (right). eral or multiple state regulators they should contact. rising and economic growth slowing. As Vice Chair Navigating this complicated maze no doubt prevents of the Joint Economic Committee—made up of mem- many customers from ever speaking to the right bers from both the House and Senate—I will have the person.