[House Hearing, 111 Congress]
[From the U.S. Government Publishing Office]
MEMBERS' DAY
=======================================================================
HEARING
before the
COMMITTEE ON THE BUDGET
HOUSE OF REPRESENTATIVES
ONE HUNDRED ELEVENTH CONGRESS
SECOND SESSION
__________
HEARING HELD IN WASHINGTON, DC, MARCH 3, 2010
__________
Serial No. 111-24
__________
Printed for the use of the Committee on the Budget
Available on the Internet:
http://www.gpoaccess.gov/congress/house/budget/index.html
----------
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55-313 PDF WASHINGTON : 2010
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Washington, DC 20402-0001
COMMITTEE ON THE BUDGET
JOHN M. SPRATT, Jr., South Carolina, Chairman
ALLYSON Y. SCHWARTZ, Pennsylvania PAUL RYAN, Wisconsin,
MARCY KAPTUR, Ohio Ranking Minority Member
XAVIER BECERRA, California JEB HENSARLING, Texas
LLOYD DOGGETT, Texas SCOTT GARRETT, New Jersey
EARL BLUMENAUER, Oregon MARIO DIAZ-BALART, Florida
MARION BERRY, Arkansas MICHAEL K. SIMPSON, Idaho
ALLEN BOYD, Florida PATRICK T. McHENRY, North Carolina
JAMES P. McGOVERN, Massachusetts CONNIE MACK, Florida
NIKI TSONGAS, Massachusetts JOHN CAMPBELL, California
BOB ETHERIDGE, North Carolina JIM JORDAN, Ohio
BETTY McCOLLUM, Minnesota CYNTHIA M. LUMMIS, Wyoming
CHARLIE MELANCON, Louisiana STEVE AUSTRIA, Ohio
JOHN A. YARMUTH, Kentucky ROBERT B. ADERHOLT, Alabama
ROBERT E. ANDREWS, New Jersey DEVIN NUNES, California
ROSA L. DeLAURO, Connecticut, GREGG HARPER, Mississippi
CHET EDWARDS, Texas ROBERT E. LATTA, Ohio
ROBERT C. ``BOBBY'' SCOTT, Virginia
JAMES R. LANGEVIN, Rhode Island
RICK LARSEN, Washington
TIMOTHY H. BISHOP, New York
GWEN MOORE, Wisconsin
GERALD E. CONNOLLY, Virginia
KURT SCHRADER, Oregon
Professional Staff
Thomas S. Kahn, Staff Director and Chief Counsel
Austin Smythe, Minority Staff Director
C O N T E N T S
Page
Hearing held in Washington, DC, March 3, 2010.................... 1
Statement of:
Hon. John M. Spratt, Jr., Chairman, Committee on the Budget.. 1
Prepared statement of.................................... 1
Hon. Harry Teague, a Representative in Congress from the
State of New Mexico........................................ 2
Prepared statement of.................................... 4
Hon. Madeleine Z. Bordallo, a Delegate in Congress from the
Territory of Guam.......................................... 5
Prepared statement of.................................... 7
Hon. Donna Christensen, a Delegate in Congress from the U.S.
Virgin Islands............................................. 10
Prepared statement of.................................... 12
Hon. Pete Olson, a Representative in Congress from the State
of Texas................................................... 17
Prepared statement of.................................... 19
Hon. Jason Altmire, a Representative in Congress from the
State of Pennsylvania...................................... 20
Prepared statement of.................................... 22
Hon. Ann Kirkpatrick, a Representative in Congress from the
State of Arizona........................................... 23
Prepared statement of.................................... 24
Hon. Yvette D. Clarke, a Representative in Congress from the
State of New York.......................................... 25
Prepared statement of.................................... 27
Hon. David Loebsack, a Representative in Congress from the
State of Arizona........................................... 29
Iowa Disaster Learning Conference........................ 30
Prepared statement of.................................... 33
Hon. Ron Klein, a Representative in Congress from the State
of Florida................................................. 34
Prepared statement of.................................... 36
Hon. Bob Inglis, a Representative in Congress from the State
of South Carolina.......................................... 37
Prepared statement of.................................... 39
Hon. Earl Pomeroy, a Representative in Congress from the
State of North Dakota...................................... 40
Prepared statement of.................................... 43
Hon. Brad Sherman, a Representative in Congress from the
State of California........................................ 44
Prepared statement of.................................... 45
Hon. Henry C. ``Hank'' Johnson, Jr., a Representative in
Congress from the State of Georgia......................... 46
Prepared statement of.................................... 47
Hon. Eliot L. Engel, a Representative in Congress from the
State of New York.......................................... 48
Prepared statement of.................................... 50
Hon. Danny K. Davis, a Representative in Congress from the
State of Illinois.......................................... 51
Prepared statement of.................................... 52
Hon. Barbara Lee, a Representative in Congress from the State
of California.............................................. 53
Prepared statement of.................................... 54
Congressional Black Caucus (CBC) Priorities for the FY
2011 Budget............................................ 56
Hon. Suzanne M. Kosmas, a Representative in Congress from the
State of Florida........................................... 61
Prepared statement of.................................... 62
Hon. Bill Posey, a Representative in Congress from the State
of Florida................................................. 63
Prepared statement of.................................... 65
Hon. Deborah L. Halvorson, a Representative in Congress from
the State of Illinois...................................... 67
Prepared statement of.................................... 68
Hon. Bob Filner, a Representative in Congress from the State
of California.............................................. 69
Prepared statement of.................................... 70
Hon. Betty Sutton, a Representative in Congress from the
State of Ohio.............................................. 71
Hon. Timothy J. Walz, a Representative in Congress from the
State of Minnesota......................................... 73
Prepared statement of.................................... 74
Hon. Michael E. McMahon, a Representative in Congress from
the State of New York...................................... 75
Prepared statement of.................................... 77
Hon. Paul D. Tonko, a Representative in Congress from the
State of New York.......................................... 79
Prepared statement of.................................... 81
Hon. Mike Quigley, a Representative in Congress from the
State of Illinois.......................................... 82
Prepared statement of.................................... 84
Hon. James P. McGovern, a Representative in Congress from the
State of Massachusetts..................................... 85
Prepared statement of.................................... 86
Hon. Dina Titus, a Representative in Congress from the State
of Nevada.................................................. 88
Prepared statement of.................................... 89
Hon. William Owens, a Representative in Congress from the
State of New York.......................................... 90
Prepared statement of.................................... 91
Hon. Betsy Markey, a Representative in Congress from the
State of Colorado.......................................... 93
Prepared statement of.................................... 94
Hon. Gabrielle Giffords, a Representative in Congress from
the State of Arizona....................................... 96
Prepared statement of.................................... 98
Hon. Rush D. Holt, a Representative in Congress from the
State of New Jersey........................................ 99
Prepared statement of.................................... 101
Hon. Thomas S.P. Perriello, a Representative in Congress from
the State of Virginia...................................... 102
Prepared statement of.................................... 104
Hon. Carolyn McCarthy, a Representative in Congress from the
State of New York.......................................... 104
Prepared statement of.................................... 105
Hon. Gene Green, a Representative in Congress from the State
of Texas................................................... 107
Prepared statement of.................................... 108
Letter dated February 23, 2010........................... 110
Hon. Lynn C. Woolsey, a Representative in Congress from the
State of California........................................ 114
Prepared statement of.................................... 115
Hon. John L. Mica, a Representative in Congress from the
State of Florida........................................... 116
Prepared statement of.................................... 118
Comments on Views and Estimates dated March 3, 2010...... 120
Letter dated March 3, 2010............................... 128
Hon. Laura Richardson, a Representative in Congress from the
State of California........................................ 131
Prepared statement of.................................... 133
Hon. Gary C. Peters, a Representative in Congress from the
State of Michigan.......................................... 138
Prepared statement of.................................... 140
Hon. Russ Carnahan, a Representative in Congress from the
State of Missouri, prepared statement of................... 142
Hon. John Lewis, a Representative in Congress from the State
of Georgia, prepared statement of.......................... 144
Hon. Melissa L. Bean, a Representative in Congress from the
State of Illinois, prepared statement of................... 147
Hon. Vernon J. Ehlers, a Representative in Congress from the
State of Michigan, prepared statement of................... 148
Hon. Marcia L. Fudge, a Representative in Congress from the
State of Ohio, prepared statement of....................... 149
Hon. Phil Hare, a Representative in Congress from the State
of Illinois, prepared statement of......................... 151
Hon. Sheila Jackson-Lee, a Representative in Congress from
the State of Texas, prepared statement of.................. 152
Hon. Bennie G. Thompson, a Representative in Congress from
the State of Mississippi, prepared statement of............ 153
MEMBERS' DAY
----------
WEDNESDAY, MARCH 3, 2010
House of Representatives,
Committee on the Budget,
Washington, DC.
The Committee met, pursuant to call, at 10:00 a.m., in room
210, Cannon House Office Building, Hon. John M. Spratt, Jr.
[Chairman of the Committee] presiding.
Present: Representatives Spratt, Kaptur, Blumenauer, Boyd,
McGovern, Etheridge, McCollum, Larsen, Schrader.
Chairman Spratt. I call the hearing to order. Today we
convene for our annual Members' Day, a hearing to give members
an opportunity to testify before the Budget Committee about
priorities that are of importance to them and their
constituency.
As usual, we can expect a rather long day. We are scheduled
to run until 2:30 p.m. this afternoon. It should also be an
interesting day.
On Members' Day, we get to hear testimony from a wide range
of House members coming to talk to us about the budget items
that are of particular importance to them and, of course, to
their constituents.
Today's testimony provides an important input to the Budget
Committee as we move together towards markup of the annual
budget resolution.
A brief word about the ground rules for the day. Every
member will have five minutes to present his or her testimony
and respond to any questions. Your printed testimony, if
submitted, will be incorporated in full into the record.
The Ranking Member is not present yet. I will give him an
opportunity to speak when he does arrive. But in the interest
of time and getting on with the business today, I will turn to
our first witness who is the Honorable Harry Teague.
Mr. Teague, you may submit your statement for the record.
You have five minutes. You can read it or summarize it as you
see fit. Thank you for coming.
[The prepared statement of Chairman Spratt follows:]
Prepared Statement of Hon. John M. Spratt, Jr., Chairman, Committee on
the Budget
I call the hearing to order. Today we convene for our annual
Members' Day hearing, which is an opportunity for members of the House
to testify before the Budget Committee about priorities that are of
particular importance to them.
As usual, we can expect a rather long day. We are scheduled to run
until about 2:30pm. It should also be an interesting day. On Members'
Day, we get to hear testimony from a wide range of House Members,
coming to talk to us about the budget items that are of importance to
them and their constituents. Today's testimony provides important input
to the Budget Committee as we put together the annual budget
resolution.
A brief word about the ground rules for today. Every Member will
have five minutes to present his or her testimony and respond to any
questions. Your printed testimony if submitted will be incorporated in
full into the record.
I would yield to the Ranking Member or his designee for any opening
statement, and then turn to our first witness.
STATEMENT OF HON. HARRY TEAGUE, A REPRESENTATIVE IN CONGRESS
FROM THE STATE OF NEW MEXICO
Mr. Teague. Thank you, Chairman Spratt. Thank you for
inviting me here today to testify before your Committee.
I appreciate the opportunity to share my concerns about the
impact the President's proposed fiscal year 2011 budget will
have on our nation's veterans and to express my strong views
that we in Congress must do everything that we can to ensure
that we are sufficiently funding the Veterans Administration.
I would first like to applaud the Administration for
proposing a VA budget of $125 billion, which is an $11 billion
increase over the 2010 enacted budget. The proposed budget
includes $51.5 billion in resources for VA medical care, an
increase of $4.1 billion over fiscal year 2010 levels.
What I find most exciting is that under a new law that I
was proud to work with Chairman Filner to pass, the
Administration is able to request two budgets for the VA, one
for total funding for fiscal year 2011 and another one to
provide fiscal 2012 funding for certain VA medical accounts.
The proposal for fiscal year 2012 that the Administration
has put forward is a five percent increase in funding above the
amounts requested for fiscal year 2011.
Last year, I sat in this same chair expressing my
disappointment that the President had not included advanced
appropriations in his budget. This year, I am proud to say I
cannot. Advanced appropriations ensure timely, sufficient, and
predictable funding for veterans' healthcare. This means
veterans are getting the best care that the VA can provide and
decisions are based on the needs of the veterans, not budgetary
constraints.
Naturally this VA budget is not perfect. Over the past
year, Veteran Service Organizations such as the Iraq and
Afghanistan Veterans of America have warned Congress and the VA
about the impending homecoming of the surge troops from Iraq.
We know that these veterans will have a great number of needs
and could overwhelm the VA health system, not only with wounds
that we can see, but also with wounds we cannot see.
However, increases in mental health and readjustment
counseling are only six percent and four percent, respectively.
With the number of these new veterans coming home with PTSD and
TBI, coupled with the number of other veterans who are only now
coming forward, I doubt that this increase will be enough to
tend to their mental health needs.
On another subject, I would like to bring to the
Committee's attention to what I believe are some misinformed
decisions by the Obama Administration, to eliminate certain tax
provisions that are of particular importance to the small,
independent oil and gas producers in states like New Mexico.
I applaud President Obama for his proposals to build on the
work of the American Recovery and Reinvestment Act and point
our nation toward needed investments in renewable energy, but
this investment of green energy cannot take place on the backs
of the eight million Americans currently employed in the oil
and gas industry.
I have spent just about every day of my life since the age
of 17 working in or on behalf of the oil and gas industry. I
was a roughneck on a pulling unit when that work paid a dollar
and fifty cents an hour. I was lucky enough to start a business
drilling and working on oil and gas wells that employed 250 New
Mexicans.
So I come before you as someone who knows the industry
inside and out and would like to provide you with information
about how changes to oil and gas tax policy would affect the
production of American oil and gas.
Mr. Chairman, the Administration's 2011 budget proposal
includes the repeal of several tax policies that are critical
to the development of American natural gas and oil. Many of
these tax policies have been in place for close to a hundred
years and remain vital to the continued production of oil and
natural gas in this country.
The greatest effect of these tax increases would be felt by
smaller American independent oil and gas producers who supply
68 percent of American oil and 82 percent of American natural
gas. The tax increases would also disproportionately choke off
the production of natural gas which is essential to energy
independence and carbon emission reductions and jeopardize the
existing potential of recent natural gas discoveries.
In New Mexico specifically, tax hikes on oil and gas
production would hurt critical state services like law
enforcement and education. Between 17 and 22 percent of the
state's general fund budget comes from oil and gas tax revenues
and up to 65 percent of the education budget is paid for by
receipts from oil and gas.
If the proposed repeals are enacted, one of the effects you
will see is fewer resources in New Mexico classrooms.
Ultimately, repeal of these policies would deepen our dangerous
dependency on foreign oil and coal, America's good-paying jobs.
I strongly urge you to write a budget resolution that
ignores the President's proposed repeal of oil and gas tax
policies.
While the President's proposed tax increases on oil and gas
are dangerous and ill advised, I would like to commend him for
his support of nuclear energy, which offers a robust source of
clean energy for our nation and a source of jobs for the people
of southeast New Mexico.
President Obama has proposed $36 billion in new loan
authority for a total of $54.5 billion to expand support for
Department of Energy loan guarantees for nuclear power
facilities. This increased loan guarantee authority would
provide assistance to bring seven to ten nuclear power plant
projects on line.
I ask the Committee to fully fund this request and consider
further investment in the loan guarantee.
Finally, I would like to make a single request to the
Committee. As you know, this country is in perilous financial
shape. President Obama has proposed a budget freeze. This is a
relatively small gesture toward fiscal sanity. But if we can
manage to just freeze spending as our deficit falls out of
control, I do not have much faith that this Congress will be
able to take the necessary steps to reduce our debt.
I thank the Committee and I am happy to take any questions.
Chairman Spratt. Mr. Teague, we thank you for coming. This
is the reason we have Members' Day, to put everything on the
table and to extract from different members different things
that affect them and their constituents. And we appreciate your
setting the pace with the comments you made today in several
different areas. Thank you very much.
Mr. Teague. Thank you again for having me.
Chairman Spratt. Do you have anything you would like to
submit for the record?
Mr. Teague. Just my statement that I read. I will leave a
copy of it.
Chairman Spratt. So ordered.
[The prepared statement of Harry Teague follows:]
Prepared Statement of Hon. Harry Teague, a Representative in Congress
From the State of New Mexico
Thank you, Chairman Spratt and Ranking Member Ryan, for inviting me
here to testify before your Committee today. I appreciate the
opportunity to share my concerns about the impact the President's
proposed Fiscal Year 2011 Budget will have on our nation's veterans,
and to express my strong views that we in Congress must do everything
that we can to ensure that we are sufficiently funding the Veterans
Administration.
I would first like to applaud the Administration for proposing a VA
budget of $125 billion, an $11 billion increase over the 2010 enacted
budget. The proposed budget includes $51.5 billion in resources for VA
medical care, an increase of $4.1 billion over fiscal year 2010 levels.
What I find most exciting is that under a new law that I was proud
to work with Chairman Filner to pass, the Administration is able to
request two budgets for the VA: one for total funding for fiscal year
2011, and another to provide fiscal 2012 funding for certain VA medical
accounts. The proposal for fiscal year 2012 that the administration has
put forward is a 5 percent increase in funding above the amounts
requested for fiscal year 2011.
Last year I sat in this same chair expressing my disappointment
that the President had not included advanced appropriations in his
budget. This year, I'm proud to say, I cannot. Advanced appropriations
ensure timely, sufficient and predictable funding for veterans health
care. This means veterans are getting the best care that the VA can
provide and decisions are based on the needs of the veterans and not
budgetary constraints.
Naturally, this VA budget is not perfect. Over the past year,
veterans' service organizations, such as the Iraq and Afghanistan
Veterans of America, have warned Congress and the VA about the
impending homecoming of the surge troops from Iraq. We know that these
veterans will have a great number of needs and could overwhelm the VA
health system, not only with wounds that we can see, but also with
wounds we cannot see. However, increases in mental health and
readjustment counseling are only 6% and 4% respectively. With the
number of new veterans coming home with PTSD and TBI, coupled with the
number of other veterans who are only now coming forward, I doubt that
this increase will be enough to tend to their mental health needs.
On another subject, I would like to bring to the committee's
attention what I believe are some misinformed decisions by the Obama
administration to eliminate certain tax provisions that the oil and gas
industry needs. I applaud President Obama for his proposals to build on
the work of the American Recovery and Reinvestment Act and point our
nation toward needed investments in renewable energy, but this
investment in green energy cannot take place on the backs of the eight
million American currently employed in the oil and gas industry.
I have spent just about every day of my life since the age of 17
working in or on behalf of the oil and gas industry. I was a roughneck
on a pulling unit when that work paid $1.50 an hour, and I was lucky
enough to start a business drilling and working on oil and gas wells
that employed 250 New Mexicans. So I come before you as someone who
knows the industry inside and out and would like to provide you with
information about how changes to oil and gas tax policy would affect
the production of American oil and gas.
Mr. Chairman, the Administration's 2011 budget proposal includes
the repeal of several tax policies that are critical to the development
of American natural gas and oil. Many of these tax policies have been
in place for close to 100 years and remain vital to the continued
production of oil and natural gas in this country. Disturbingly, the
greatest effect of these tax increases would be felt by smaller
American independent oil and gas producers, who supply 68 percent of
American oil and 82 percent of American natural gas. The tax increases
would also disproportionately choke off the production of natural gas--
which is essential to energy independence and carbon emission
reductions--and jeopardize the exciting potential of recent natural gas
discoveries.
In New Mexico, specifically, tax hikes on oil and gas production
would hurt critical state services like law enforcement and education.
Between 17 and 22 percent of the state's general fund budget comes from
oil and gas revenues, and up to 65 percent of the education budget is
paid for by receipts from oil and gas. If the proposed repeals are
enacted, one of the effects you'll see is fewer resources in New Mexico
classrooms.
Ultimately, repeal of these policies would deepen our dangerous
dependence on foreign oil and cost America good paying jobs. I strongly
urge you to write a budget resolution that ignores the President's
proposed repeal of oil and gas tax policies.
While the President's proposed tax increases on oil and gas are
dangerous and ill advised, I would like to commend him for his support
of nuclear energy, which offers a robust source of clean energy for our
nation and a source of jobs for the people of Southeast New Mexico.
President Obama has proposed $36 billion in new loan authority--for a
total of $54.5 billion--to expand support for Department of Energy loan
guarantees for nuclear power facilities. This increased loan guarantee
authority would provide assistance to bring seven to 10 nuclear power
plant projects online. I ask the committee fully fund this request and
consider further investment in the loan guarantee program.
Finally, I would like to make a simple request to the committee. As
you know, this country is in perilous financial shape. President Obama
has proposed a budget freeze. This is a relatively small gesture toward
fiscal sanity, but if we cannot manage to just freeze spending as our
deficits spiral out of control, I don't have much faith that this
Congress will be able to take the necessary steps to reduce our debt.
I thank the committee and am happy to take questions.
Chairman Spratt. Thank you very much again for coming.
We will now turn to the Delegate from Guam, Ms. Bordallo.
Ms. Bordallo, you are recognized for five minutes and if
you wish, you can summarize your statement and the full printed
copy of it will be made part of the record.
STATEMENT OF HON. MADELEINE BORDALLO, A DELEGATE IN CONGRESS
FROM GUAM
Ms. Bordallo. Thank you, Mr. Chairman. Good to see you
again, Chairman Spratt.
I have three issues to address relative to the Resolution
on the Budget for fiscal year 2011.
First, I respectfully renew my request and appeal to the
Committee to include in the budget resolution sufficient
budgetary headroom to allow for Congress to pass legislation
implementing the recommendations of the Guam War Claims Review
Commission as contained within H.R. 44, the Guam World War II
Loyalty Recognition Act.
I thank this Committee for including reference to the Guam
War Claims legislation in its reports accompanying the budget
resolution passed by the House for fiscal years 2008 through
2010. This was critical to overcoming budgetary hurdles that
slowed the bill's progress in reaching the House floor.
On February 23rd of 2009, the House voted 299 to 99 to pass
this legislation. Currently H.R. 44 is pending in the Senate
where it has been referred to the Committee on Judiciary.
Inclusion of budgetary headroom in this year's budget
resolution will further help to take care of concerns raised in
the Senate about how the program, if authorized, will be
implemented. Language in the budget resolution can help us to
move this legislation.
As in previous years, the Congressional Budget Office
estimates that the budget should provide for at least $126
million over the next three fiscal years for the implementation
of H.R. 44. This estimate is based on pay-out of every
conceivable claim whose payment would be authorized by this
bill. The CBO estimate further indicates that this would be
paid for as a Budget 800 function or general government
expenditure.
The Congress has a moral obligation to bring closure for
the loyal Americans who experienced the brutality of the
occupation on Guam. Ensuring there is ample budget authority
and ability of the Committee on Appropriations to appropriate
amounts needed to pay the claims that would be authorized is
very important in resolving this issue.
Therefore, I respectfully request that the budget
resolution for fiscal year 2011 take into account the costs
associated with H.R. 44.
Secondly, Mr. Chairman, the realignment of military forces
to Guam is creating substantial budget pressures on the
Department of Defense and the government of Guam. The largest
part of this force posture change is the realignment of some
8,600 Marines from the 3rd Marine Expeditionary Force currently
stationed on Okinawa and their expected 9,000 dependents.
The realignment of these forces alone is estimated to cost
$14 billion over the next four to five years. Although nearly
$6 billion of the total $14 billion cost will come from the
government of Japan, the United States government will still
require DoD to budget nearly $8 billion in funding over the
next four to five years.
DoD has not identified all the authorities that will be
required in order to execute the Japanese funding through
special purpose entities. As such, I ask that consideration be
given to providing budgetary headroom in the budget resolution
to allow execution of these funds in a public/private venture
concept.
Last year, Congress authorized and appropriated $734
million for military construction in fiscal year 2010 due in
some measure to the support of the members of this Committee.
And I would request that the Committee support the President's
budget submission for military construction funding for the
Navy and Marine Corps as well as all other services in order to
continue moving the military buildup on Guam further.
However, I remain deeply concerned, Mr. Chairman, about the
lack of any commitment for federal funding of Guam's civilian
infrastructure needs. Without funding critical civilian
infrastructure projects, the military buildup on Guam would be
greatly slowed, adding substantial cost to the overall program.
And, moreover, it will harm the quality of life for our people
living on Guam.
This point has been highlighted in numerous Government
Accountability Office reports, although a detailed multi-year
plan for civilian infrastructure funding is not available, I
would ask that the Budget Committee provide sufficient
budgetary headroom to address Guam's most pressing civilian
infrastructure needs across the spectrum of federal government
departments and agencies.
Most importantly, phase one of the modernization
requirements at the Port of Guam would require $100 million in
budgetary authority. In total, the Port of Guam has a total
requirement of $195 million in improvements to facilitate to
commerce and intake of construction materials necessary for
this buildup.
Additionally, I request $300 million in budgetary authority
for improvements to two primary wastewater treatment plants on
Guam to bring them in compliance with the Clean Water Act.
These plants were denied a Clean Water Act waiver by U.S. EPA
in October of 2009 to operate with primary treatment only.
Again, I respectfully request that budgetary headroom be
sustained under the Clean Water State Revolving Fund and the
Drinking Water State Revolving Fund so that the small
territories may continue to receive funding from the Fund at
the amount of 1.5 percent of the total overall obligation
without impacting their jurisdictions.
And, finally, as Chairwoman of the Subcommittee on Insular
Affairs, Oceans and Wildlife, I respectfully request that the
Committee provide budgetary headroom to increase the level of
mandatory spending associated with the Compact-impact
assistance.
The law currently provides $30 million each year until 2023
for federal grants to Guam, Hawaii, the Commonwealth of the
Northern Mariana Islands, and American Samoa to assist with
services provided to the citizens of the Compact states who
migrate to these islands under the terms of the Compacts.
The amount of $30 million each year, however, does not
fully account for the actual impact and I ask that this
Committee consider providing additional headroom to increase
the mandatory Compact-impact assistance in its budget
resolution.
I appreciate the opportunity to appear before you and I
submit my entire written testimony for the record. And I want
to thank you for the consideration of my request as the
Committee develops this year's budget resolution.
And I thank you, Mr. Chair.
Chairman Spratt. Thank you, Representative Bordallo. And
for the record, if there is no objection, your statement will
be entered in its entirety.
Ms. Bordallo. Thank you.
[The prepared statement of Madeleine Bordallo follows:]
Prepared Statement of Hon. Madeleine Z. Bordallo, a Delegate in
Congress From the Territory of Guam
Good morning Chairman Spratt and Ranking Member Ryan. Thank you for
the opportunity to testify today. I have three issues to address
relative to the resolution on the budget for Fiscal Year 2011.
First, I respectfully renew my request and appeal to the Committee
to include in the budget resolution sufficient budgetary headroom to
allow for Congress to pass legislation implementing the recommendations
of the Guam War Claims Review Commission as contained within H.R. 44,
the Guam World War II Loyalty Recognition Act. Second, are the
budgetary needs associated with the planned military build-up on Guam,
for both the Department of Defense and critical civilian infrastructure
projects needed to support and sustain the military build-up. And
third, are matters pertaining to the scheduled reauthorization of the
Compact of Free Association between the United States Government with
the Republic of Palau, and a need to increase the level of Compact-
impact assistance provided to affected jurisdictions, including Guam,
Hawaii, and the Commonwealth of the Northern Mariana Islands.
First, with respect to Guam war claims, I thank this committee for
including reference to the Guam war claims legislation in its reports
accompanying the budget resolutions passed by the House for fiscal
years 2008 through 2010. This was critical to overcoming budgetary
hurdles that slowed the bill's progress in reaching the House floor.
We hope that the committee can continue its commitment again this
year to help enable Senate passage of the legislation and its ultimate
implementation by the Foreign Claims Settlement Commission.
On the opening day of the 111th Congress, I re-introduced the Guam
World War II Loyalty Recognition Act as H.R. 44. On February 23rd the
House voted 299-99 to pass this legislation. Currently H.R. 44 is
pending in the Senate, where it has been referred to its Committee on
the Judiciary. In addition, I successfully included H.R. 44 as a
provision in the House passed version of H.R. 2647, the National
Defense Authorization Act for Fiscal Year 2010. Although the language
was not included in the final version of the bill, the conference
report recognized the need for the House and Senate Armed Services
Committees to hold hearings on this bill. Under the leadership of
Chairman Skelton, the House Armed Services Committee fulfilled their
obligation and held a hearing on Guam war claims legislation and its
integral relationship with the military buildup on December 2, 2009.
The Senate Armed Services Committee has not yet announced their plans
to hold a hearing on Guam war claims legislation. Inclusion of
budgetary headroom in this year's budget resolution will further help
to meliorate concerns raised in the Senate about how the program, if
authorized, would be implemented. Language to this extent will further
help our cause in moving this critical legislation forward in the
Senate.
As in previous years, the Congressional Budget Office estimates
that the budget should provide for a least $126 million dollars over
the next three fiscal years for the implementation of H.R. 44. This
estimate is based on pay out of every conceivable claim whose payment
would be authorized by H.R. 44. The CBO estimate further indicates that
this would be paid for as a budget 800 function or general government
expenditure. Ensuring there is ample budget authority and ability of
the Committee on Appropriations to appropriate the amounts needed to
pay the claims that would be authorized is integral to resolving this
issue.
The Guam War Claims Review Commission, which was authorized by the
107th Congress, conducted hearings on Guam to receive testimony from
survivors. In addition to these hearings, the Review Commission also
received questionnaires from survivors on their experiences during the
occupation. In total, approximately 8,000 questionnaires were received
by the Review Commission primarily from survivors on Guam and to a
smaller extent, from throughout the United States mainland. Based upon
these returned questionnaires, it is estimated that the amounts of
actual claims would be significantly lower than the Commission's
original estimates and the conservative estimate provided by CBO. Death
claims may be as low as 330 based on the self-declarations in the
questionnaires. While injury claims may actually number closer to 4,000
than 5,000.
The Congress has a moral obligation to bring closure for the loyal
Americans who experienced the brutality of the occupation on Guam.
Therefore, I respectfully request that the budget resolution for Fiscal
Year 2011 take into account the costs associated with H.R. 44.
Second, the realignment of military forces to Guam is creating
substantial budget pressures on the Department of Defense (DoD) and the
Government of Guam. The largest part of this force posture change is
the realignment of some 8,600 Marines from the Third Marine
Expeditionary Force currently stationed on Okinawa, Japan and their
expected 9,000 dependents. Additionally, the Air Force is realigning a
Red Horse Squadron from Osan, Korea adding nearly 3,000 more airmen to
Andersen Air Force Base along with a planned increase of Navy personnel
on Guam. The realignment of these forces alone is estimated to cost $14
billion dollars over the next four to five years.
Unlike other military realignment, there is a significant cost
contribution from the Government of Japan. In fact, nearly $6 billion
dollars of the total $14 billion dollar cost will come from the
Government of Japan and related entities. Although this will relieve
some financial pressure on the United States Government, it will still
require the Department of Defense and other federal agencies to program
nearly $8 billion in resources over the next four to five years. DoD
has not identified all the authorities that will be required in order
to execute the Japanese funding through special purpose entities.
As such, DoD will likely need budget room to program the Japanese
funding dollars so they can be executed for projects on Guam.
Last year this Congress authorized and appropriated $734 million
for military construction in Fiscal Year 2010, due in some measure, to
the support of members of this Committee. I would request that the
Committee support the President's Budget submission for military
construction funding for the Navy and Marine Corps as well as all the
other services in order to continue moving the military build-up on
Guam further. However, I remain deeply concerned about the lack of any
commitment for federal funding of Guam's civilian infrastructure needs.
Several years ago, the Government of Guam identified nearly $3 billion
in funding to meet increased demands on the civilian infrastructure
caused by the military build-up. Without funding for civilian
infrastructure needs the military build-up on Guam will be greatly
slowed adding substantial cost to the overall program. Moreover, it
will harm the quality of life for people living on Guam. This point has
been highlighted in numerous Government Accountability Office (GAO)
reports. Most recently, a July 2009 report from GAO made the following
finding, ``Without sufficient utility services, major construction
projects, movement of Marines and other forces, and other buildup
activities may fall behind schedule and increase implementation costs
due to further compression of the timeline near the end of the
implementation period.''
Although a detailed multi-year plan for civilian infrastructure
funding is not available, I would ask that the Budget Committee provide
sufficient budgetary headroom to address Guam's civilian infrastructure
needs across the spectrum of federal government departments and
agencies. In particular, $100 million in budgetary authority is needed
to meet phase 1 of modernization requirements at the Port of Guam. In
total, the Port of Guam has a total requirement for $195 million in
improvements to facilitate commerce and intake of construction
materials necessary for the military build-up. If civilian
infrastructure upgrades do not occur in the near term then the build-up
will be delayed and it is unlikely that the local infrastructure could
support or sustain the military build-up. Again, I respectfully request
that this Committee provide headroom to address, at a minimum, this
most pressing civilian infrastructure need.
Additionally, two primary wastewater treatment plants on Guam were
denied a Clean Water Act (CWA) waiver by USEPA in October of 2009 to
operate with primary treatment only. The estimated cost to bring both
plants into compliance with the secondary treatment requirements of the
CWA amounts to approximately $300 million dollars. In their formal
comments on the DEIS, the USEPA echoed the concerns I submitted in my
comments regarding the need for significant water and wastewater
infrastructure improvements on Guam necessary to sustain the military
buildup. I, again, would respectfully request that budgetary headroom
be sustained under the Clean Water State Revolving fund and the
Drinking Water State Revolving Fund so that the small territories may
continue to receive funding from the fund at the amount of 1.5 percent
of the total overall obligation without impact other jurisdictions.
Finally, as Chairwoman on the Subcommittee on Insular Affairs,
Oceans and Wildlife, I respectfully request that the Committee re-
evaluate the level of mandatory spending associated with Compact-impact
assistance. The law currently provides $30 million dollars each year
until 2023 for federal grants to Guam, Hawaii, the Commonwealth of the
Northern Mariana Islands, and American Samoa, to assist with services
provided to citizens of the Compact states who migrate to these islands
under the terms of the Compacts. The amount of $30 million dollars each
year, however, does not fully account for the actual impact, and I ask
that the Committee consider providing for an increase to mandatory
Compact-impact assistance in its budget resolution.
I appreciate the opportunity to appear before you and submit this
testimony for the record. Thank you for your consideration of my
requests as the Committee develops this year's budget resolution.
Chairman Spratt. And before turning to the gentle lady from
the Virgin Islands, let me yield the gavel to Mr. Boyd and he
will take over from here.
Mr. Boyd [presiding]. Thank you, Mr. Chairman.
The Chair is pleased to recognize the gentle lady from the
U.S. Virgin Islands, Mrs. Christensen.
STATEMENT OF HON. DONNA CHRISTENSEN, A DELEGATE IN CONGRESS
FROM THE U.S. VIRGIN ISLANDS
Mrs. Christensen. Thank you, Mr. Chairman, for the
opportunity to testify on the 2011 budget.
My oral testimony, while the same in content will not
follow my submitted one word for word.
My first and most passionate plea is that the U.S. citizens
and residents in the territories be treated with fairness,
equity, and justice in every program and every agency and that
the uniqueness of our situation be considered where appropriate
as we go through the 2011 budget.
I have spent more time at Arlington than I would have
wished, the last time for burial of commingled remains which
included two of my constituents from a helicopter shot down in
Iraq.
Some of the other territories have had more losses than
ours in Afghanistan and Iraq.
The second and particularly important point is that
coverage and insurance reform is not enough to bring wellness
of communities of color, poor, rural, and territorial
communities.
The ILAM and other reports have clearly demonstrated this
and that the lack of insurance accounts for only 20 percent of
disparities. We must address the other 80 percent. Health
equity is the only goal worthy of this country.
Although I am supportive of the goals the President seeks
to address in his 2011 budget, it is inadequate to achieve
health equity in our nation's poor and disadvantaged
communities. The status quo that it would maintain is not
acceptable.
About 100 to 200 African American excess preventable deaths
happen every day. American Indians do not even live long enough
to die from diseases of old age. Asians are so
disproportionately impacted by hepatitis B and its
complications when Native Americans, Latinos, and African
Americans have such high incidences of diabetes and
complications and make up close to 70 percent of new HIV cases.
Closing these gaps will require increases in select
programs. There is, for example, hardly enough funding in the
proposed budget for the healthcare workforce expansion needed
to meet the needs of the newly insured 30 million plus people.
We need more funding, including support for minority-serving
institutions to address the need for diversity.
I want to point out a few of the other programs that are
critical to this effort. ADAP, the AIDS Drug Assistance
Program, even the $20 million increase leaves too many AIDS
patients waiting. Close to an additional $200 million is needed
in 2011 as well as a supplemental this year.
The Minority AIDS Initiative has never received the $610
million we have requested in recent years, giving a severely
disproportionate impact on communities of color. We need at
least $800 million.
Restoring the original intent of community capacity
building, adequately funding the National Minority AIDS
Education and Training Center, and having the funding finally
follow the epidemic now could possibly phase out this
initiative in a few years.
The $2 million increase for the Office of Minority Health
and the eight million for the National Center for Minority and
Health Disparity Research at National Institutes of Health in
the face of the gross health disparities only continues the,
quote, peculiar indifference W.E.B. DuBois spoke of concerning
the health of African Americans at the turn of the 19th century
and what Surgeon General Heckler in 1985 called, quote, an
affront to both our ideas and the genius of American medicine.
The Office of Minority health must be expanded and funded
accordingly and the Center at NIH must be elevated to an
institute and its funding brought in line with the other
institutes.
Fully funding these and the other provisions of H.R. 3090,
the Health Equity and Accountability Act, such as health, such
as strengthening our public health infrastructure, and others
are needed to ensure that every American has access to quality
healthcare and wellness.
While these are just a few of the programs important to
bring about health equity, it is important to recognize these
as investments in our people and our country's future.
Eliminating disparities will raise our status in the world by
reducing the maternal infant mortality and the general health
status that causes us to lag behind every industrialized and
some developing countries.
Although I have chiefly focused on health funding, it would
also fail to close the disparity gap because we have not
addressed the social determinants of health or adequately
engaged the affected communities.
Increasing and sustaining healthy communities will require
adequate funding for improving these determinants and every
agency's budget. This is where both our efforts and our savings
will be maximized.
And, finally, we have to change the scoring process and
health prevention must be scored and projections have to go
beyond the current ten-year window. We are missing significant
opportunities to reform healthcare and improve everyone's
health because we are failing to use savings to help pay for
what needs to be done.
We owe change and hope to the majority in our hold. Change
and hope is what we promised and what we owe to the people of
this country. Our efforts must continue to support everyone's
health, but we have a special duty to provide for the
vulnerable, the left behind, the left out, the poor, dejected,
and under-served, those who have no lobbyists, no political
voice, no political clout. We cannot fail them. To fail them is
to fail our country by not doing all we can to ensure that we
remain strong, competitive, and the needy of the world needs us
to continue to be.
Thank you for the opportunity to testify once again on the
budget and I am here willing to answer any questions you might
have.
[The prepared statement of Donna Christensen follows:]
[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]
Mr. Boyd. Thank you, Dr. Christensen.
I am reminded listening to your presentation of something I
heard once, that you never saw a great country that had an
unhealthy population.
And I thank you for your focus on those issues.
Mrs. Christensen. Thank you. And thank you again for the
opportunity to testify.
Mr. Boyd. The Chair is pleased to next recognize the
gentleman from Texas, Congressman Olson, for five minutes.
STATEMENT OF HON. PETE OLSON, A REPRESENTATIVE IN CONGRESS FROM
THE STATE OF TEXAS
Mr. Olson. Congressman Boyd, thank you very much for the
opportunity to testify before the Committee today.
I appear before you to ask for continued funding for the
Constellation Program at NASA. But make no mistake. I do not
come before you to support a program or a budget item but a
principle.
Our nation has earned the right to be called the global
leader in human spaceflight. This distinction took several
decades, billions of dollars, both public and private
technological break-throughs, and, yes, lives lost.
The Administration's budget proposal does not just put this
hard-earned leadership at risk, it abolishes it. The
Constellation Program was a follow-on program to the soon to be
retired Space Shuttle Program. On two separate occasions,
Congress endorsed NASA's path to return to the moon and beyond
through the development of the Constellation Program in both
the 2005 and 2008 NASA Authorization Acts.
The overwhelming bipartisan support was not accompanied,
however, with sufficient funds to close the gap between when
the space shuttle is retired and the constellation vehicles
would come on line. There will be a gap between the retirement
of space shuttle and the follow-on vehicle.
The best case scenario could have been three years, but now
it is more likely to be seven. In that time, we will rely
solely on Russia to get our astronauts to the International
Space Station which the United States taxpayer has paid the
overwhelming share to build.
With the shuttle in existence, the Russians charge $50
million per seat right now. That is up from about $22 million
last year. You can imagine what the cost will be when they are
the only taxi in town.
Fully funding constellation would have enabled us not only
to bring a replacement vehicle on line earlier, but also to
begin exploring beyond low earth orbit. The cost to cancel
constellation is estimated to be $2.5 billion. These reports
indicate that that number is at best an estimate which many
believe is too low.
Cutting this program is the single largest cut in the
fiscal year 2011 budget proposal. But when the overall budget
number increases while the signature human spaceflight program
is cut, I question where the agency and our nation is setting
its priorities.
The Administration also proposes a drastic new way for NASA
to do business. Instead of setting a destination, a goal and
planning to go there, the agency will shift focus on developing
technologies and determine destinations based on the outcomes
of those investments and experiments.
This raises many questions, many of them budgetary. These
are questions, by the way, that the agency has not yet answered
itself. We should be working to get these answers before these
alternatives are adopted, especially as drastic as the cuts
proposed are.
NASA is establishing a fund set at $650 million for next
year, increasing to $2.1 billion in fiscal year 2015 for
technology demonstration. Without a clear understanding of what
NASA will be developing, the possible outcomes for the agency
are anybody's guess.
NASA would risk devolving into a research and development
agency or to appear to be hobby shopping with federal resources
in lieu of actually flying missions. And that reality or even
that perception could then lead towards increased pressure for
funds to be either drastically cut or, worse, congressionally
directed.
Either of those outcomes does not enable us to achieve any
type of worthwhile exploration strategy. And in conjunction
with these developments and upon cancellation of the
constellation, NASA proposes funding private commercial
entities to ferry cargo and eventually crew to the
International Space Station.
These entities, which the budget proposes subsidizing,
which will rely heavily on government investments and contracts
have not sufficiently proven the right to be our nation's sole
provider, sole means to space, that the business models are
sustainable or that a market even exists beyond the government
for its services.
Human spaceflight by definition involves taking risk, but
calculated, researched, responsible ones. This Committee must
sit down with NASA to fully understand why investing billions
to go somewhere, somehow, sometime is a wise use of taxpayer
funds. To me, the risk to our economy, to our industrial base,
and to our leadership in the world are simply not worth it.
Let us work not to shift funds to technology development
and NASA cancellation costs, but rather to putting
constellation on secure footing. By doing so, we would also be
putting human spaceflight back on track for a bright future
worthy of its storied past.
And, Mr. Chairman, I am happy to answer any questions. I
appreciate the opportunity to testify before the Committee
today and yield back my time.
[The prepared statement of Pete Olson follows:]
Prepared Statement of Hon. Pete Olson, a Representative in Congress
From the State of Texas
Chairman Spratt, Ranking Member Ryan, members of the Budget
Committee, thank you for the opportunity to testify before you today. I
appear before you to ask to continue funding for the Constellation
program at NASA. But make no mistake; I don't come before you to
support just a program, or a budget item, but a principle. Our nation
has earned the right to be called the global leader in human space
flight. This distinction took several decades, billions of dollars--
both private and government--technological breakthroughs, and yes,
lives lost. The Administration's budget proposal doesn't just put that
hard-won leadership at risk, it abolishes it.
The Constellation program was the follow-on program to the soon to
be retired space shuttle program. On two separate occasions, Congress
endorsed NASA's path to return to the moon and beyond through
development of the Constellation program in the 2005 and 2008
Authorization Acts. The overwhelming bipartisan support was not
accompanied, however, with sufficient funds to close the gap between
when the shuttle was retired and the Constellation vehicles could come
online.
There will be a gap between shuttle retirement and a replacement
vehicle. The best case scenario could have been three years, but is now
more likely seven. In that time, we will rely solely on Russia to get
our astronauts to the International Space Station, which the United
States has paid the overwhelming share to build. With the shuttle in
existence, the Russians charge $50 million per seat. You can imagine
what the cost will be when they are the only taxi in town.
Fully funding Constellation would have enabled us not only to bring
a replacement vehicle online earlier, but also to begin exploring
beyond low earth orbit again. The cost to cancel Constellation is
estimated to be around $2.5B. Recent reports indicate that number is at
best an estimate, which many believe is too low. Cutting this program
is the largest single cut in the FY11 budget proposal. But when the
overall budget number increases while the signature human space flight
program is cut, I question where the agency, and our nation, is setting
its priorities.
The Administration also proposes a drastic new way for NASA to do
business. Instead of setting a destination and planning to go there,
the agency will shift focus on developing technologies and determine
destinations based on the outcomes of those investments and
experiments.
This raises many questions, many of them budgetary. These are
questions, by the way, the agency itself has not yet answered
sufficiently. We should be working to get these answers before
alternatives are decided, especially as drastic as the ones proposed.
NASA is establishing a fund, set at $650M for next year, increasing
to $2.1B in FY15, for technology demonstration. Without a clear
understanding of what NASA will be developing, the possible outcomes
for the agency are anybody's guess. NASA would risk devolving into an
R&D agency or to appear to be hobby-shopping with federal resources in
lieu of actually flying missions. That reality, or even that
perception, could then lead to increased pressure for funds to either
be drastically cut, or congressionally-directed. Either of those
outcomes does not enable us to achieve any type of worthwhile
exploration strategy.
In conjunction with these developments and upon cancellation of
Constellation, NASA proposes funding private commercial entities to
ferry cargo, and eventually crew, to the International Space Station.
These entities, which the budget proposes subsidizing, will rely
heavily on government investment and contracts, have not sufficiently
proven the right to be our nation's sole means to space, that their
business models are sustainable, or that a market even exists outside
of the government for their services.
Human space flight by definition involves taking risks, but
calculated, researched, and responsible ones. This committee must sit
down with NASA to fully understand why investing billions to go
somewhere, somehow, sometime is a wise use of taxpayer funds. To me,
the risks to our economy, to our industrial base, and to our leadership
in the world, are simply not worth it.
Let us work not to shift funds to technology development programs
and massive cancellation costs, but rather to putting Constellation on
secure footing. By doing so we would also be putting our human space
flight program back on track for a bright future worthy of its storied
past.
Thank you again for this opportunity, I yield back my time.
Mr. Boyd. I thank you, Congressman Olson, for your
continued interest and advocacy for our investment in science
and research and the corresponding infrastructure. Thank you
very much.
Mr. Olson. Thank you, Mr. Chairman. Look forward to working
on this issue in the future. Thanks.
Mr. Boyd. It is my honor now and pleasure to recognize the
gentleman from Pennsylvania, Representative Altmire, for five
minutes.
STATEMENT OF HON. JASON ALTIMIRE, A REPRESENTATIVE IN CONGRESS
FROM THE STATE OF PENNSYLVANIA
Mr. Altmire. Thank you, Chairman Boyd.
And I want to thank the entire Committee for allowing me
the opportunity to testify.
And as you prepare as a Committee the fiscal year 2011
budget resolution, I would first urge you to pay tribute to the
sacrifices made by our nation's veterans by fully funding their
medical care and disability benefits.
Last year, Congress answered this call by providing a
record amount of funding for the VA and by meeting for the
first time the recommendations put forth as part of the
Independent Budget and the Veteran Service Organizations.
And I hope that we can continue this tradition and again
pass a budget resolution that contains full funding for our
veterans.
The President's $125 billion budget proposal for the
Departments of Veterans Affairs includes an increase of $460
million, representing a 27 percent funding increase for
veterans over the 2010 level. This budget will help the VA
continue to strengthen services for veterans, including hiring
more than 4,000 additional claims processors to speed up the
processing of veterans' benefits claims which I do not have to
tell anyone on this Committee is long overdue.
I regularly hear from veterans in western Pennsylvania
about the discouraging and disorganized claims processing
operation that confronts them as they seek medical treatment
for service-connected health issues.
And, Mr. Chairman, on behalf of the more than 60,000
veterans residing in my district alone, many of whom already
struggle to access their VA benefits, I respectfully ask that
you fully fund the budget recommendations and pass a budget
that prioritizes the needs of veterans and ensures that they
have access to every benefit that they deserve and that they
have earned.
Similarly, the Department of Homeland Security budget is
also of considerable concern to me and to my constituents. I am
very pleased to see the Administration proposes to increase the
budgets for programs focused on immigration status verification
and criminal alien deportation.
And I support the budget's funding for U.S. Citizenship and
Immigration Services Bureau to support and to expand its
important verification programs, E-Verify and the Systematic
Alien Verification for Entitlements Program, SAVE, which
ensures that employment benefits never become available to
those in this country illegally.
In addition, I also support the President's recommendation
to provide full funding for Immigration and Customs Enforcement
for the identification and removal of criminal aliens primarily
through the Secure Communities Program. Those are good things.
However, I strongly urge the Committee to reject the
budget's proposal to cut the customs and border protection
programs as well as the U.S. Coast Guard's budget by more than
$129 million.
I am also concerned that the proposal contains no money for
border fence construction. This proposal fails to recognize
that the 643 miles of physical border fence that we have is a
good start, but it is well short of what is needed along the
2,000 mile border between the U.S. and Mexico.
And, Mr. Chairman and members of the Committee, cutting 180
members of the Border Patrol and proposing flat funding for
Immigration and Customs Enforcement in my opinion are short-
sighted and simply unjustifiable proposals given the current
national security environment and the challenges we face in
curbing illegal immigration.
I would now turn to America's small businesses which are
having a difficult time accessing capital and creating jobs as
all of us can see in our home districts, and I certainly see in
western Pennsylvania. Small businesses drive job creation and
help America emerge stronger from this recession.
And, Mr. Chairman, I would ask that you support the budget
proposal's commitment to guarantee funding levels for the 7(a)
Lending Program and direct micro-loans to emerging
entrepreneurs.
In addition, and in closing, I would urge you support for
vital tools such as Small Business Development Centers which I
have seen firsthand have helped countless small business
entrepreneurs in western Pennsylvania.
Mr. Chairman and members of the Committee, thank you again
for the opportunity to address you today and outline my
specific priorities for the fiscal year 2011 budget. I yield
back the balance of my time and would answer any questions that
you have.
[The prepared statement of Jason Altmire follows:]
Prepared Statement of Hon. Jason Altmire, a Representative in Congress
From the State of Pennsylvania
Thank you, Mr. Chairman and members of the committee. I appreciate
the opportunity to testify today on the fiscal year 2011 budget
resolution and its impact on western Pennsylvania.
As you prepare the fiscal year 2011 budget resolution, I would
first urge you to pay tribute to the sacrifices made by our nation's
veterans by fully funding their medical care and disability benefits.
Last year, Congress answered this call by providing a record amount of
funding for the VA by meeting, for the first time, the recommendation
put forth by the Independent Budget.
I hope that we can continue this tradition and again pass a budget
resolution that contains full funding for veterans.
The president's $125 billion budget proposal for the Department of
Veterans Affairs includes an increase of $460 million, representing a
27 percent funding increase over the 2010 level. The president's budget
will help the VA continue to strengthen services for veterans,
including hiring more than 4,000 additional claims processors to speed
up the processing of veterans' benefits claims.
I regularly hear from veterans in western Pennsylvania about the
discouraging and disorganized claims processing operation that
confronts them as they seek medical treatment for service-connected
health issues.
Mr. Chairman, on behalf of the more than 60,000 veterans residing
in my district--many of whom already struggle to access their
benefits--I ask that you fully fund the President's recommendations and
pass a budget that prioritizes the needs of veterans and ensures they
have access to every benefit they deserve.
The Department of Homeland Security budget is also of considerable
concern to me and my constituents. I am pleased to see that the
administration proposes to increase the budgets of programs focused on
immigration status verification and criminal alien deportation.
I support the Obama budget's $103 million for the U.S. Citizenship
and Immigration Services bureau to support and expand its important
verification programs, E-Verify and the Systematic Alien Verification
for Entitlements (SAVE), which ensure that U.S. citizens are being
employed during this difficult economic climate.
In addition, I also support the president's recommendation to
provide Immigration and Customs Enforcement with $1.6 billion for the
identification and removal of criminal aliens, primarily through the
Secure Communities program.
However, I would urge the Committee to reject the budget's proposal
to cut Customs and Border Protection by $317 million and the US Coast
Guard's budget by $129 million. I am also concerned that the proposal
contains no money for border fence construction. This proposal fails to
recognize that the 643 miles of physical border fence that we have are
a good start, but well short of what is needed for the 2,000 mile
border between the U.S. and Mexico.
Cutting 180 members of the Border Patrol and proposing flat funding
for Immigration and Customs Enforcement are also short-sighted and
unjustifiable proposals given current national security and immigration
challenges.
I turn now to America's small businesses, which are having a
difficult time accessing capital and creating jobs. Small businesses
drive job creation and will help America emerge stronger from this
recession. Mr. Chairman, I would ask that you support the budget
proposal's commitment to guaranteed lending programs, the 7(a) lending
program, and direct microloans to emerging entrepreneurs.
In addition, I urge your support for vital tools such as Small
Business Development Centers, which I know have helped countless
entrepreneurs in western Pennsylvania.
Mr. Chairman and members of the committee, thank you for the
opportunity to address the Committee and outline my priorities for the
fiscal year 2011 budget. I yield back the balance of my time.
Mr. Boyd. Thank you, Representative Altimire.
I appreciate your advocacy for continued adequate funding
for our security needs and particularly for those who come back
injured after having performed those security needs for us. And
I look forward to working with you in developing a budget that
addresses these needs adequately.
Mr. Altimire. Thank you, Mr. Chairman.
Mr. Boyd. Thank you.
It is my privilege now to recognize for five minutes the
gentle lady from Arizona, Representative Kirkpatrick.
STATEMENT OF HON. ANN KIRKPATRICK, A REPRESENTATIVE IN CONGRESS
FROM THE STATE OF ARIZONA
Mrs. Kirkpatrick. Thank you, Mr. Chairman, Ranking Member,
and members of the Committee. I appreciate this opportunity to
talk with you about my views about the budget.
I am proud to be a life-long resident of greater Arizona.
Where I am from, folks understand that times are tough and when
they are tough, you have to tighten your belt.
As our economy starts to recover from some of the toughest
times we have seen in decades, Arizonians are finding ways to
make every dollar count and do more with less.
Unfortunately, many here in Washington are unwilling to
adopt that sensible approach. My constituents and I have become
increasingly concerned with the federal debt as it continues to
hit new historic highs with each new week.
In the past year, prominent economists everywhere,
including within the Administration, have said that continuing
on this path of deepening debt is unsustainable. After a recent
conference on the debt, the President of the bipartisan
Committee for a Responsible Federal Budget said that we will
face dire consequences if we do not act now to right our fiscal
course.
Yet, Washington seems set to do what it always does, get
stuck in partisan gridlock and focus on making speeches instead
of taking action. This country cannot afford the same old
politics anymore.
I appreciate the White House's proposal to freeze
discretionary spending and their efforts to make our budget
open and transparent by putting all of our nation's expenses on
one balance sheet. However, I believe that such steps are not
nearly enough.
I would ask that the Budget Committee use the fiscal year
2010 budget as the starting point for making significant cuts
to the fiscal year 2011 budget. After all, those same fiscal
year 2010 spending levels produced a record budget deficit. It
is just common sense that most federal departments should be
cutting from them.
This government needs to set limits and then make the tough
choices that it will take to get our fiscal house in order.
Part of that process is cracking down on a consequence-free
spending culture in Washington. We need to put an end to waste
and there are plenty examples where Congress can start.
The Government Accountability Office published a 300-page
report in 2004 outlining where Congress can target, such as
$160,000 puffer machines purchased by TSA but never fully
deployed.
I spoke to the Committee last year on concerns in my
district about security, support for law enforcement, keeping
our promises to our nation's veterans, and ensuring that small
business remains the economic engine of our economy.
In greater Arizona, we are still concerned about making
progress on these and other issues, but we believe it is about
setting the right priorities, not just piling on more and more
federal spending on failed programs.
I know budget cuts may not be easy and I know they are not
popular, but business as usual in Washington has failed. It is
time to stop talking and start doing what it takes to ensure
that our massive federal debt does not stop our economic
recovery in its tracks.
Thank you for your consideration of my testimony and I look
forward to working with the Budget Committee to set fiscal
priorities. I yield back the balance of my time and I am happy
to answer any questions you may have.
[The prepared statement of Ann Kirkpatrick follows:]
Prepared Statement of Hon. Ann Kirkpatrick, a Representative in
Congress From the State of Arizona
Chairman Spratt, Ranking Member Ryan and Members of the Budget
Committee, I thank you for providing me the opportunity to express my
views today.
I am proud to be a lifelong resident of Greater Arizona. Where I'm
from, folks understand that when times are tough, you have to tighten
your belt. As our economy starts to recover from some of the toughest
times we have seen in decades, Arizonans are finding ways to make every
dollar count and do more with less.
Unfortunately, many here in Washington are unwilling to adopt that
sensible approach.
My constituents and I have become increasingly concerned with the
federal debt, as it continues to hit new historic highs with each new
week. In the past year, prominent economists everywhere--including
within the Administration--have said that continuing on this path of
deepening debt is unsustainable. After a recent conference on the debt,
the president of the bipartisan Committee for a Responsible Federal
Budget said that we will face ``dire consequences if we do not act now
to right our fiscal course.''
Yet, Washington seems set to do what it always does--get stuck in
partisan gridlock and focus on making speeches instead of taking
action. This country cannot afford the same old politics any more.
I appreciate the White House's proposal to freeze discretionary
spending, and their efforts to make our budget open and transparent by
putting all of our Nation's expenses on one balance sheet.
However, I believe that such steps are not nearly enough. I would
ask that the Budget Committee use Fiscal Year 2010 budget levels as the
starting point for making significant cuts to the Fiscal Year 2011
budget. After all, those same Fiscal Year 2010 spending levels produced
a record budget deficit; it's just common sense that most federal
departments should be cutting from them. This government needs to set
limits, and then make the tough choices that it will take to get our
fiscal house in order.
Part of that process is cracking down on the consequence-free
spending culture in Washington. We need to put an end to waste--and
there are plenty of examples where Congress can start. The Government
Accountability Office published a 300-page report in 2004 outlining
where Congress can start and continues to identify targets--such as the
$160,000 puffer machines purchased by TSA but never fully deployed.
I spoke to the committee last year on concerns in my district about
security, support for local law enforcement, keeping our promises to
our nation's Veterans, and ensuring that small business remains the
economic engine of our economy. In Greater Arizona, we are still
concerned about making progress on these and other issues, but we
believe it is about setting the right priorities, not just piling on
more and more federal spending on failed programs like these.
I know budget cuts may not be easy or popular, but business as
usual in Washington has failed. It is time to stop talking and do what
it takes to ensure that a massive federal debt does not stop our
economic recovery in its tracks.
Thank you for your consideration of my testimony and I look forward
to working with the budget committee to set fiscal priorities.
Mr. Boyd. Thank you very much, Representative Kirkpatrick.
You have made a presentation that is obviously very near
and dear to my heart. I have been working on those issues all
of my career and I look forward to working with you on this.
Mrs. Kirkpatrick. Thank you.
Mr. Boyd. Thank you.
Mrs. Kirkpatrick. Thank you very much.
Mr. Boyd. It is my privilege now to recognize the gentle
lady from New York, Representative Clarke.
STATEMENT OF HON. YVETTE CLARKE, A REPRESENTATIVE IN CONGRESS
FROM THE STATE OF NEW YORK
Ms. Clarke. Thank you very much, Mr. Chairman.
I want to thank you for this opportunity to discuss the
federal budget's impact on minority and woman-owned small
businesses and other engines of community development in New
York State, New York City, and by extension our nation.
I am pleased with the direction that the Administration is
going. However, more can be done to support and spur innovation
and growth by investing in small businesses and the communities
they serve.
According to the New York State Small Business Task Force,
in New York State, small business is big business. Small
business represents over 98 percent of all of the state's
private employers, employ 55 percent of the state's active
private sector labor force. Minority and women-owned small
businesses employ nearly five million people and make up almost
20 percent of all businesses in the United States.
Unfortunately, the economic recession has hit these
businesses especially hard, forcing more to shed jobs or scale
back operations.
The credit crisis has made it more difficult for all small
businesses to secure financing, limiting growth opportunities
and jeopardizing short-term business stability.
The President's fiscal year 2011 budget presents us with an
opportunity to reset the stage for economic growth for now and
in this decade and beyond.
As a member of the House Committee on Small Business, I
have been in touch with minority and women-owned businesses
from all across the country, especially those from under-served
and economically distressed areas that have been
disproportionately affected by this difficult downturn.
Today I want to highlight three critical programs that
impact these businesses and the communities they serve.
I first want to ask you to provide $260 million for the
Community Development Financial Institutions Fund which is ten
million above the Department of Treasury's request of $250
million.
I am proposing that an additional ten million be allocated
to the CDFI Program. Founded in 1994, the Community Development
Financial Institutions Fund or the CDFI Fund is a much needed
economic stimulus tool. CDFIs are loan funds, banks, credit
unions, community development venture capital funds, and other
organizations principally engaged in economic development.
CDFI customers are 70 percent low income, 60 percent
minority, and 52 percent female. In light of the economic
downturn and subsequent restriction on lending to low- and
moderate-income families and small businesses, the work of
CDFIs is especially important right now.
On December 2nd of 2009, the FDIC released a study which
reported that approximately 30 million Americans do not have
access to traditional banks or credit unions. That means that
54 percent of African American households and 43 percent of
Hispanic households often turn to alternative financial
services such as pay-day loans, title loans, and other cash
advances that charge exorbitant rates to access capital.
CDFIs work every day to provide credit to under-served
populations, replacing their need to turn to high-priced
alternative financial products.
While the President's request for $250 million for fiscal
year 2011 illustrates the Administration's commitment to this
important fund, consumer demand for CDFI Program assistance has
skyrocketed during this recession.
With the additional $10 million, the CDFI Program would
receive a total of $150 million to expand the availability of
affordable capital and credit products to distressed families
and small businesses. Congress must invest in this important
economic stimulus tool.
Secondly, I want to ask the Committee to fund the Minority
Business Development Agency, MBDA, at $40 million, an $8
million increase over the Department of Commerce's fiscal year
2011 budget request of over $32 million for the agency.
The Administration's $816,000 increase over the fiscal year
2010 funding level is a modest improvement, but this sum will
not make the kind of tangible impact my constituents are
seeking.
MBDA has served minority businesses since 1969 and it is
the sole federal agency devoted specifically to the
establishment and growth of minority businesses in America.
Through a network of minority business centers, strategic
partners, MBDA works with minority entrepreneurs who wish to
grow their businesses in size, scale, and capacity. These firms
are then in a better position to create jobs, impact local
economies, and expand into national and global markets.
In light of the current economic climate which has been
plagued by persistent job loss and high unemployment rates,
MBDA can play a central role in mobilizing resources to
increase minority business capacity and improve economic
outcomes.
During fiscal year 2009, with a budget of just under $30
million, MBDA was able to create 3,024 new jobs and preserve
thousands more while facilitating $2.9 billion in new business
to business opportunities, development, and development
projects.
My constituents have told me that the MBDA's efforts in
2009 were helpful to their business expansion and job creation
endeavors, but they believe more can be done.
In order for the MBDA to deliver their effective,
personalized services to more minority entrepreneurs, it is
vital that the agency have adequate financial resources. The
agency can use the increased funding to open additional
business development centers which has been cut, more than 100
in 1969 to just 40 as of today.
With 40 million, the MBDA would also be able to increase
its team of skilled and experienced nationwide staff. By
adequately funding the MBDA, hundreds more small- and medium-
sized businesses would have access to technical assistance and
capacity building tools necessary to help them prosper.
Our relatively small investment in this important agency
would mean thousands of Americans would be able to either get
back to work or keep their jobs.
Lastly, I want to express my strong support for increased
funding for the Community Development Block Grant. As I
discussed in my testimony last year, the CDBG Program provides
vulnerable communities with resources to address a wide range
of unique community development needs.
One of the Department of Housing and Urban Development's
longest-running programs, CDBG helps fund local community
development activities such as affordable housing, anti-poverty
programs, economic development initiatives, and infrastructure
development.
Unfortunately, CDBG funding has been decreasing over the
last several budget years, totaling $3.9 billion in fiscal year
2009.
The Administration's fiscal year 2010 proposal raised that
level, funding level to $4.45 billion, almost back to the
fiscal year 2004 levels. CDBG formula grants rose from $3.6
billion to over $4 billion in the 2010 budget. Appropriated
amounts for fiscal year 2010 were $4.45 billion and $3.99
billion for formula grants. This year, the Administration has
stayed near these numbers with requests of $4.38 billion and
$3.99 billion for formula grants.
I urge this Committee to support funding for the CDBG
Program at the fiscal year 2010 level of $4.45 billion and
$3.99 for formula grants.
Thank you again for the opportunity to testify before this
Committee today. I look forward to working with you over the
next several weeks to craft a budget that provides fiscal
recovery and responsibility while addressing the needs and
priorities of the people of New York City and all Americans.
And I yield back the balance of my time.
[The prepared statement of Yvette Clarke follows:]
Prepared Statement of Hon. Yvette D. Clarke, a Representative in
Congress From the State of New York
Mr. Chairman, Ranking Member Ryan, and Members of the Committee, I
would like to thank you for this opportunity to discuss the federal
budget's impact on minority and women owned small businesses and other
engines for community development in New York City. I am quite pleased
with the direction that the Administration is going, however more can
be done to support spur innovation and growth by investing in small
businesses and the communities they serve.
According to the New York State Small Business Task Force, in New
York State, small business is big business. Small businesses represent
over 98 percent of all of the State's private employers and employ 55
percent of the State's active private sector labor force. Minority- and
Women-owned small businesses employ nearly 5 million people and make up
almost 20% of all businesses in the United States. Unfortunately, the
economic recession has hit these businesses especially hard, forcing
many to shed jobs or scale back operations. The credit crisis has made
it more difficult for all small businesses to secure financing;
limiting growth opportunities and jeopardizing short term business
stability.
The President's Fiscal Year 2011 Budget presents us with an
opportunity to reset the stage for economic growth for the in this
decade and beyond. As a Member of the House Committee on Small
Business, I have been in touch with Minority- and Women-owned
businesses from all across the country, especially those from
underserved and economically distressed areas that have been
disproportionately affected by this difficult downturn. Today, I want
to highlight three critical programs that impact these businesses and
the communities they serve.
I first want to ask that you provide $260 million for the Community
Development Financial Institutions Fund, which is $10 million above the
Department of Treasury's request of $250 million. I am proposing that
the additional $10 million be allocated to the CDFI Program. Founded in
1994, Community Development Financial Institutions Fund, or the CDFI
Fund, is a much needed economic stimulus tool.
CDFIs are loan funds, banks, credit unions, community development
venture capital funds and other organizations principally engaged in
economic development. CDFI customers are 70 percent low income, 60
percent minority and 52 percent female. In light of the economic
downturn and subsequent restriction on lending to low- and moderate-
income families and small businesses, the work of CDFIs is especially
important right now.
On December 2, 2009, the FDIC released a study which reported that
approximately 30 million Americans do not have access to traditional
banks or credit unions. That means that 54 percent of African American
households and 43 percent of Hispanic households often turn to
alternative financial services such as payday loans, title loans, and
other cash advances, that charge exorbitant rates to access capital.
CDFIs work every day to provide credit to underserved populations,
replacing their need to turn to high priced alternative financial
products. While the President's request of $250 million for FY 2011
illustrates the Administration's commitment to this important Fund,
consumer demand for CDFI program assistance has skyrocketed during this
recession. With the additional $10 million, the CDFI program would
receive a total of $150 million to expand the availability of
affordable capital and credit products to distressed families and small
businesses. Congress must invest in this important economic stimulus
tool.
Second, I want to ask the committee to fund the Minority Business
Development Agency (MBDA) at $40 million, an $8 million increase over
the Department of Commerce's FY2011 budget request of over $32 million
for the Agency. The Administration's $816 thousand increase over the
FY2010 funding level is a modest improvement, but this sum will not
make the kind of tangible impact my constituents are seeking.
MBDA has served minority businesses since 1969 and is the sole
federal agency devoted specifically to the establishment and growth of
minority businesses in America. Through a network of minority business
centers and strategic partners, MBDA works with minority entrepreneurs
who wish to grow their businesses in size, scale, and capacity. These
firms are then better positioned to create jobs, impact local
economies, and expand into national and global markets.
In light of the current economic climate which has been plagued by
persistent job loss and high unemployment rates, MBDA can play a
central role in mobilizing resources to increase minority business
capacity and improve economic outcomes. During FY 2009, with a budget
of just under $30 million, MBDA was able to create 3,024 new jobs and
preserve thousands more while facilitating $2.9 billion in new
business-to-business opportunities and development projects. My
constituents have told me that MBDA's efforts in 2009 were helpful to
their business expansion and job creation endeavors, but they believe
more can be done.
In order for the MBDA to deliver their effective and personalized
services to more minority entrepreneurs, it is vital that the Agency
have adequate financial resources. Te agency can use the increased
funding to open additional business development centers, which has been
cut from more than one hundred in 1969, to just forty as of today. With
$40 million, the MBDA would also be able to increase its team of
skilled and experienced nationwide staff.
By adequately funding the MBDA, hundreds more small and medium
sized businesses would have access to the technical assistance and
capacity building tools necessary to help them prosper. Our relatively
small investment in this important Agency would mean that thousands of
Americans would be able to either get back to work or keep their jobs.
Lastly, I want to express my strong support for increased funding
of the Community Development Block Grant (CDBG). As I discussed in my
testimony last year, the CDBG program provides vulnerable communities
with resources to address a wide range of unique community development
needs. One of the Department of Housing and Urban Development's (HUD)
longest running programs, CDBG helps fund local community development
activities such as affordable housing, anti-poverty programs, economic
development initiatives, and infrastructure development.
Unfortunately, CDBG funding had been decreasing over the last
several budget years, totaling $3.9 billion in FY 2009. The
Administration's FY 2010 proposal raised that funding level to $4.45
billion, almost back to FY 2004 levels. CDBG Formula Grants rose from
$3.6 billion to over $4 billion in the FY 2010 budget. Appropriated
amounts for FY 2010 were $4.45 billion and $3.99 billion for formula
grants. This year, the Administration has stayed near these numbers
with requests for $4.38 billion and $3.99 billion for formula grants. I
urge this committee support funding for the CDBG program at the FY 2010
level of $4.45 billion and $3.99 for formula grants.
Thank you again for the opportunity to testify before this
committee today. I look forward to working with you over the next
several weeks to craft a budget that provides fiscal recovery and
responsibility, while addressing the needs and priorities of the people
of New York City and all Americans.
Mr. Boyd. Thank you, Representative Clarke----
Ms. Clarke. Thank you.
Mr. Boyd [continuing]. For your focus on economic
development and jobs. And we look forward to working with you
to develop a budget that reflects those priorities.
Ms. Clarke. Thank you very much.
Mr. Boyd. At this point, before we recognize the next
presenter, I would like to turn the gavel over to the gentle
lady from Minnesota, Representative McCollum.
Ms. McCollum [presiding]. The Chair recognizes the
gentleman from Iowa, Mr. Loebsack, for five minutes.
STATEMENT OF HON. DAVE LOEBSACK, A REPRESENTATIVE IN CONGRESS
FROM THE STATE OF IOWA
Mr. Loebsack. Thank you, Madam Chair.
I want to thank the Chairman and Ranking Member in
particular for the opportunity to testify on the fiscal year
2011 budget. This will certainly be a difficult budget year and
I believe that we must commit to fiscal responsibility and
important pay-as-you-go rules.
This year, we must further rein in spending, reduce the
deficit, and address our long-term fiscal health by enacting a
spending freeze, implementing cost-saving measures for the
federal government, and eliminating redundant and wasteful
federal spending.
While these proposals are just first steps, they are an
important jumpstart to what should be a concerted effort to
significantly reduce the deficit and work toward long-term
economic recovery.
Previously I testified about the importance of actually
budgeting for disasters and disaster relief costs. This year,
we must continue a commitment to honesty in the budget by
accounting for estimated disaster response and relief costs.
Honesty in the budget is a crucial step toward responsible
spending and deficit reduction. Just as an Iowa family would
not honestly omit a cost they know they will face in the future
from their household budget, neither should the federal
government pretend that natural disasters will not affect the
American people.
I come today to testify like last year about an effort
relating to disaster response and recovery, specifically the
Long-Term Disaster Recovery Working Group. The working group
was formed by the President on September 29th, 2009 and is
Chaired by the Secretaries of Homeland Security and HUD.
The purpose of the working group is to gather input
nationwide from disaster-affected communities and states, other
stakeholders, emergency managers, first responders, nonprofits,
and private organizations in order to formulate recommendations
to improve our nation's disaster response and recovery system.
In January, I was pleased to be able to host along with HUD
and the Rebuild Iowa Office the Iowa Disaster Recovery Learning
Conference at the Kirkwood Center for Continuing Education in
Cedar Rapids, Iowa. This conference was part of the working
group's national outreach effort. And while I wish Iowa did not
have reason to participate, the conference was productive and
brought together a wide variety of stakeholders throughout Iowa
and produced common-sense suggestions and ideas for reform.
During the summer of 2008, the State of Iowa experienced
the worst national disaster in our history. I want to thank my
colleagues for working with me last Congress to approve two
disaster recovery funding bills and a tax assistance package.
My congressional district had arguably the largest amount of
damage from the floods and includes Iowa's second largest city,
Cedar Rapids, which sustained severe damage along with numerous
other cities such as Iowa City, Palo, and Oakville.
As Iowans continue to recover, we have a unique opportunity
and have had a unique opportunity to share what worked, what
did not, how Iowans and the federal government worked together,
and how the federal government can be a better partner in the
recovery and response process.
After the floods of 2008, I began advocating and bringing
attention to the need for disaster policy reforms. I will
continue to advocate for reforms in Iowa's disaster recovery
needs and would like to enter for the record the common-sense
recommendations and best practices developed at the Iowa
Disaster Recovery Learning Conference. I am also sending this
information to other relevant House Committees and I have that
information with me today. I would like to enter that as part
of the record.
[The attachment of Dave Loebsack follows:]
Iowa Disaster Learning Conference
breakout notes summary
January 29, 2010
Best Practices, Innovations and Lessons Learned in Disaster Recovery
Efforts
Communication
Communication needs to be consistent, from a local source,
and maintained throughout the recovery.
Communications should include daily reports on road
statuses, availability of services, etc.
Providing forums like town hall meetings will increase
consistency and allow for two-way communication.
Manage expectations regarding timelines.
Data
A system for data sharing needs to be in place. Nonprofits
and government agencies need to know who is working on what to avoid
duplicating benefits and to provide for unmet needs.
Electronic records could be shared among entities (after a
release is signed). This could possibly be in the form of a database or
an individual assistance card.
Forms and applications should be filled out by agencies,
not by the people who experienced the disaster.
Stress importance of keeping track of how dollars are
spent so it does not become a hassle later. Pre-development of a form,
spreadsheet or database should be considered. Training should be
provided for case managers.
State agencies and nonprofits can provide training and
resources to local committees.
Volunteers & Donations
Best practice models like a volunteer reception center
(Gulf Coast) to keep volunteers plugged in or a volunteer web tool (Des
Moines) to match unaffiliated volunteers with local needs, should be
utilized during future recoveries.
A plan should be in place in advance on how to manage
donations, including the availability of warehouses and how items can
be sorted and distributed.
Consider one organization to manage all donations of
goods. Should there be a set of predetermined questions to assess needs
of affected communities?
Plug into the Corporation for National and Community
Service, state service commission and to state and local COADs for
resources and volunteers.
Long-Term Recovery
Include a Long-Term Recovery Committee team in the
Emergency Operations Center (EOC).
Local plans designed by locals to address local issues
should be in place.
Innovations in local recovery include: Block by Block,
Feet on the Street, JumpStart
Conduct recovery exercises every 3 to 5 years.
Consider recovery equivalent of National Incident
Management System (NIMS).
Developing a Planning Framework for Disaster Recovery
Defining Roles and Responsibilities
Develop common terminology and guidance on federal
programs that can then be translated into state and local impacts,
implementation and responsibilities.
Agencies should collaborate on creating recovery plans so
individual agency roles and responsibilities and clear.
Strengthening Pre- and Post-Disaster Processes to Better
Include Nonprofits
Dollars should be allocated to disaster recovery planning
(not just response planning) and associated training, capacity
building, etc., including seed money and a sustainable funding source
that is available prior to disasters.
Greater flexibility is needed for local recovery projects/
programs and associated funding sources to reach recovery goals. We
need to recognize that disasters are local and every community is
different.
There is a need for a formal structure/framework for
identifying all necessary partners and their respective roles to
facilitate an effective recovery planning and implementation process.
The federal government should implement greater recovery
planning and centralize federal recovery coordination. Partnerships
should be emphasized to leverage resources.
Consider passing federal recovery funds for planning and
projects/programs (e.g. CDBG) directly to local governments and
organizations.
An effective recovery planning process includes meaningful
participation. Impacted individuals need to be identified and
encouraged to participate. Facilitators must ensure that input is truly
considered and respected. Facilitators must effectively communicate the
process and agreed-upon course of action.
Capacity Challenges
Greater surge capacity is needed to handle hiring and
activate partnerships more quickly.
There is a need to ensure that institutional knowledge is
not lost between disasters.
There is often a shortage of staff with technical skills.
Volunteer burnout can be a capacity challenge.
Strengthening Disaster Recovery Programs, Policy and Funding
Elements of Successful Disaster Recovery
LTRCs mobilizing that are knowledgeable and recognized in
the community.
The mental health and state of the community can be a
useful indicator of recovery efforts. There is a need to recognize that
recovery has several stages of emotion.
Practicing recovery exercises between disasters will
increase the successful implementation of recovery efforts.
Successful disaster recovery hinges on partnerships
between government, nonprofits and local businesses.
Having the ability to disburse funds quickly and to those
who need it (with limited restrictions, paperwork, etc.) allow for more
efficient and effective recovery efforts.
To be successful, language and requirements/restrictions
need to be clearly communicated to case managers and disaster
survivors.
Co-location of resources and ``one-stop-shops'' make case
management more effective.
Milestones/Indicators of Recovery
Closing shelters/ No people in temporary housing units
(THUs)
No longer debris/sandbags on curbs
Re-opening facilities (schools, jails, churches, etc.)
Infrastructure repair/ replacement
Completed property acquisitions
Issues
Generational/owner housing issues need to be resolved and
clarified.
Buyouts and reconstruction processes need to be expedited.
Capacity planning should be a part of pre-disaster period.
More funding is needed for hazard mitigation.
There needs to be more funding options for small
businesses and landlords.
The recovery process is not well understood. Media
decreases, funding dries up, volunteers leave, etc.
Fraud protection and property security need to be planned
for.
More organization is needed in volunteer efforts and
coordination.
Damage to agricultural assets, farmers with unmet needs
that weren't addressed by typical funding streams.
Common Unmet Needs Not Addressed by Current System
There is ``little assistance'' for unmet needs beyond
general housing, like utilities, first month's rent and deposit, loss
of private property, etc. Income levels are too restrictive. People who
make over 150% AMI are victims also.
Generational housing restrictions need to be reworked.
There is no plan in place for disabled persons' temporary
housing.
Child care is needed during disaster response AND
recovery.
Coordinating private and public funding
Training should be given to case managers and survivors on
how funds can be used and why records need to be kept.
Providing Effective Disaster Case Management
Providing Case Management
There needs to be a pre-existing case management plan with
prescribed roles and processes, including a case management flow chart
with access to local, state and federal resources.
Long term recovery committees (LTRCs) should be activated
at the same time the EOC is activated. Partners should be in place.
LTRCs should immediately distribute instructions/checklists and contact
lists to case managers. Readiness is key.
Individuals should have case managers from the start to
give them immediate instructions and referral.
Improving Case Management Practices
A statewide model/guidelines should be developed with
flexibility to address local needs.
Increase surge capacity by having a bank of interim case
managers.
Training should be provided for recovery between
disasters. Having a core of pre-trained case managers would be
beneficial.
There should be greater penalties for fraud.
Provide assessments in a timelier manner.
Increase the amount of flexible funding.
There needs to be better control over communications,
keeping them consistent and creating realistic expectations.
Nonprofits Role in Case Management
Nonprofits assist in immediate information gathering.
Nonprofits serve as a local face and may garner more trust
than government representatives.
Nonprofits can become a one-stop-shop for resources for
individuals.
Data Sharing and Case Management
Data sharing does not exist on a big enough level. There
should standard templates, policies, procedures and guidelines in
place.
Data sharing system should be implemented to avoid
duplicate of benefits (DOB) issues and unmet needs.
A standard reporting sheet should be used so information
does not have to be collected later on.
A flowchart for the impacted individual on where to go and
what to do first would make data collection easier.
Unmet Needs Program
There is a need to have a universal agreement with stores
ahead of time.
A transition plan should be in place to determine what
transitioning out will look like and how to accomplish it.
Mr. Loebsack. I would ask that the Committee give specific
attention to these issues and ensure both the Department of
Housing and Urban Development and the Federal Emergency
Management Agency along with the Department of Homeland
Security have the resources necessary to continue pursuing this
effort and the activities of the Long-Term Disaster Recovery
Working Group.
Thank you, Madam Chair, for the opportunity to testify
today and I look forward to working with you in the future and
this Committee to enact the common-sense reforms proposed by
states like Iowa to the nation's disaster recovery policies.
Thank you.
[The prepared statement of Dave Loebsack follows:]
Prepared Statement of Hon. David Loebsack, a Representative in Congress
From the State of Arizona
I want to thank the Chairman and Ranking Member for the opportunity
to testify on the Fiscal Year 2011 Budget. This will certainly be a
difficult budget year and I applaud the Committee's and
Administration's commitment to a balanced budget, fiscal
responsibility, and important ``Pay as You Go'' rules.
Through its Budget Request, the Administration has taken the first
step toward reigning in spending, reducing the deficit, and addressing
our long term fiscal health by proposing a spending freeze,
implementing cost saving measures for the federal government, and
eliminating redundant and wasteful federal spending. While these
proposals are just first steps, they are an important jump-start to
what should be a concerted effort by Congress and the Administration to
bring the runaway deficit under control.
Last year I testified about the importance of actually budgeting
for disasters and disaster relief costs. I am pleased that in the FY11
proposal from the President he continues his commitment to honesty in
the budget by accounting for estimated disaster response and relief
costs.
Honesty in the budget is a crucial step toward responsible spending
and deficit reduction. Just as an Iowa family would not honestly omit a
cost they know they will face in the future from their household
budget; neither should the federal government pretend that natural
disasters won't affect the American people.
I come today to testify, like last year, about an effort relating
to disaster response and recovery; specifically, the Long-Term Disaster
Recovery Working Group.
The Working Group was formed by the President on September 29, 2009
and is chaired by the Secretaries of Homeland Security and HUD. The
purpose of the Working Group is to gather input nationwide from
disaster-affected communities and states, other stakeholders, emergency
managers, first responders, non-profits, and private organizations in
order to formulate recommendations to improve our nation's disaster
response and recovery system.
In January, I was pleased to be able to host, along with HUD and
the Rebuild Iowa Office, the Iowa Disaster Recovery Learning Conference
at the Kirkwood Center for Continuing Education in Cedar Rapids, Iowa.
This conference was part of the Working Group's national outreach
effort, and while I wish Iowa didn't have reason to participate, the
conference was productive and brought together a wide variety of
stakeholders throughout Iowa and produced common sense suggestions and
ideas for reform.
During the summer of 2008, the State of Iowa experienced the worst
natural disaster in our history. I want to thank my colleagues for
working with me last Congress to approve two disaster recovery funding
bills and a tax assistance package.
My Congressional District had arguably the largest amount of damage
from the floods and includes Iowa's second largest city, Cedar Rapids,
which sustained severe damage along with numerous other cities such as
Iowa City, Palo, and Oakville.
As Iowans continue to recover, we had a unique opportunity to share
what worked, what didn't, how Iowans and the federal government worked
together, and how the federal government could be a better partner in
the recovery and response process.
After the Floods of 2008, I began advocating and bringing attention
to the need for disaster policy reforms. I will continue to advocate
for reforms and Iowa's disaster recovery needs and would like to enter
for the record the common sense recommendations and best practices
developed at the Iowa Disaster Recovery Learning Conference. I am also
sending this information to other relevant House Committees.
I would ask that the Committee give specific attention to these
issues and ensure both the Department of Housing and Urban Development
and the Federal Emergency Management Agency, along with the Department
of Homeland Security, have the resources necessary to continue pursuing
this effort and the activities of the Long-Term Disaster Recovery
Working Group.
Thank you for the opportunity to testify today and I look forward
to working with you in the future to enact the common sense reforms
proposed by states like Iowa to the nation's disaster recovery
policies.
Ms. McCollum. Thank you, Representative Loebsack, for your
ideas and suggestions on emergency disaster relief and the
budget.
The Chair now recognizes the gentleman from Florida,
Representative Klein.
STATEMENT OF HON. RON KLEIN, A REPRESENTATIVE IN CONGRESS FROM
THE STATE OF FLORIDA
Mr. Klein. Thank you, Madam Chair.
I appreciate the opportunity for you and this Committee to
listen to the members and to take the ideas that we are hearing
from our constituents as we testify before the Budget Committee
today. I am honored to be here with you and I look forward to
working with all of you as we move through this process.
And as I was sitting here waiting to testify, I just
noticed that these name cards have Office Depot, one of the
main businesses in my community. Office Depot along with a lot
of our small businesses are the kinds of businesses that are
helping engineer our recovery.
And I just want to acknowledge not only that business, but
a lot of other local small businesses because as we are working
through this budget, this budget is going to be all about the
plans and the architecture for getting small businesses, which
are the engine to our whole economy, back on track.
Madam Chair, we recently experienced the worst financial
downturn since the Great Depression and it is going to take a
serious effort not only by Congress, but the public and private
sector to get our economy back on track.
Unemployment remains unacceptably high and serious problems
remain in the residential mortgage and commercial real estate
markets. Small businesses, as we know, are struggling to access
credit on reasonable terms. And I personally have spent a lot
of time in my district and here working on getting banks to
apply prudent standards, but make capital available for our
small businesses.
We are fortunately seeing signs of economic recovery with
the Gross Domestic Product increasing even more than we
expected in the fourth quarter, very positive numbers, and it
is not going to be easy, but we know that America will recover
from this economic slump and, most importantly, we have to use
this moment as a time to craft plans how we can make our
economy stronger than ever over the next number of years.
Emergency measures were taken last year by this Congress to
prevent the current collapse or the complete collapse of our
financial system, and these policy responses were essential to
planning for a successful economic recovery. However, as the
economy continues to grow more and more and Americans are able
to go back to work, we must turn our attention to reducing
long-term budget deficits and reducing our national debt.
In south Florida, we know that tough times mean tightening
our belts. Times like this require cutting back. This applies
to our personal family budgets, our businesses, and our
government. No exceptions.
Unfortunately, some in Washington missed that memo. For
years, spending has been out of control and it is time for all
of us to take real steps to reduce our deficit.
As a state legislator in Florida, I participated in the
balanced budget process for 14 consecutive years and I have
been and will continue to fight to bring that kind of fiscal
discipline to Washington as we begin to come out of this
downturn.
My parents were a public school teacher, my mom, and my dad
was a small business owner. He had a variety store. Many of you
might remember what variety stores were.
My wife and I passed the lesson on the value of the dollar,
that my parents taught me, on to our children. Like so many in
our community, we teach our kids you have to live within your
means. If you cannot afford something, you cannot buy it. It is
as simple as that.
Well, it is time that we heed that advice in Washington as
well. And that is why I am particularly pleased that something
that I have been working on, along with many of you, passed
recently and that is PAYGO legislation. The President signed it
a week ago.
PAYGO says that Congress can only create new programs that
are fully paid for and do not increase the deficit. I have
supported the passage of this legislation since I arrived in
Congress and I am glad it is finally the law.
We know that PAYGO works. It was in place in the 1990s and
we saw budget surpluses. We had a deficit to start with and
over that decade, we made that a surplus, we as Americans. When
it was abandoned in 2000, our deficit exploded over the last
number of years. That cannot and will not be the case anymore
as we have now passed PAYGO.
Now, this is a good first step to rein in our budget, but
there must be more. Government programs that are not serving
the American people cost us billions of dollars a year. We need
to review the budget line by line and squeeze out every
possible penny of savings, including cutting programs that are
not working or that duplicate each other.
Further, I am introducing legislation that puts us on a
path to fiscal responsibility and balanced budgets. My bill,
Madam Chair, will require Congress to reduce spending each year
until the budget is balanced, laying out a clear road map to
getting our deficit under control.
Specifically my legislation will require the Budget
Committee to include a detailed benchmark plan to eliminate the
budget deficit by 2020 in the current budget resolution,
including reconciliation instructions to committees as
necessary to carry out the plan.
After the road map is established, each subsequent budget
resolution must meet the goals laid out by the Budget Committee
to reduce the deficit. If future budget resolutions do not meet
the benchmarks, then it would not be in order to consider the
budget resolution in either the House or the Senate except for
times of economic emergency or war.
To balance our budget, we will have to make tough choices.
Putting this road map into place and including enforceable
points of order will require Congress to decide what priorities
are most important just like families in south Florida and
around the country do every day.
Madam Chair, working together, I really believe we can
ensure our government continues to meet its commitments and
provides a foundation for economic growth while protecting
Medicare, Social Security, and other vital programs.
We have many opportunities ahead to strengthen our great
country and I look forward to working with you, Madam Chair,
our colleagues in the Congress, and the President to ensure
that we keep our fiscal house in order. And I thank you very
much for the time.
[The prepared statement of Ron Klein follows:]
Prepared Statement of Hon. Ron Klein, a Representative in Congress From
the State of Florida
Thank you, Mr. Chairman, for inviting me to testify before the
Budget Committee today. I am honored to be here with you, and I look
forward to working with you as we move forward in this process.
We recently experienced the worst financial downturn since the
Great Depression, and it will take a serious effort to get our economy
back on track. Unemployment remains unacceptably high, and serious
problems remain in the residential mortgage and commercial real estate
markets. Small businesses are still struggling to access credit on
reasonable terms. Yet we are starting to see signs of economic
recovery, with GDP increasing even more than expected in the fourth
quarter of 2009. It will not be easy, but America will recover from
this economic slump and continue to grow until our economy is stronger
than ever.
Emergency measures were taken by this Congress to prevent the
complete collapse of our financial system, and these policy responses
were essential to ensuring a successful economic recovery. However, as
the economy continues to grow and more and more Americans are able to
get back to work, we must turn our attention to reducing long-term
budget deficits and lowering our national debt.
In South Florida, we know that tough times mean tightening our
belts. Times like these require cutting back. This applies to our
family budgets, our businesses and our government. Unfortunately, some
in Washington missed that memo. For years, spending has been out of
control, and it's time for real solutions to reduce our deficit. As a
state legislator, I participated in a balanced-budget process for 14
years. I have been and will continue fighting to bring that kind of
fiscal discipline to Washington.
My parents, a public school teacher and small business owner,
taught me early on the value of a dollar. My wife and I passed that
lesson on to our children. Like so many in our community, we teach our
kids that you have to live within your means. If you can't afford
something, you can't buy it.
It is time that we heed this advice in Washington. That is why I am
pleased that the President recently signed PAYGO legislation into law.
PAYGO says that Congress can only create new programs that are fully
paid for and do not increase the deficit. I have supported the passage
of this legislation since I arrived in Congress and I am glad that it
is finally the law. We know PAYGO works. When it was in place in the
1990s, we saw budget surpluses. When it was abandoned in 2000, our
deficit exploded. That cannot and will not be the case anymore.
This is a good first step to reign in our budget deficits, but more
must be done. Government programs that aren't serving the American
people cost us billions of dollars a year. We need to review the budget
line by line and squeeze out every possible penny of savings, including
cutting programs that aren't working or that duplicate each other.
Further, I am introducing legislation that puts us on a path to
fiscal responsibility and balanced budgets. My bill will require
Congress to reduce spending each year until the budget is balanced,
laying out a clear roadmap to getting our deficit under control.
Specifically, my legislation will require the Budget Committee to
include a detailed benchmark plan to eliminate the budget deficit by
2020 in the current budget resolution, including reconciliation
instructions to committees as necessary to carry out the plan. After
the roadmap has been established, each subsequent budget resolution
must meet the goals laid out by the Budget Committee to reduce the
deficit. If future budget resolutions do not meet the benchmarks for
deficit reduction, then it would not be in order to consider that
budget resolution in either the House or the Senate, with some
exceptions for times of economic emergency.
To balance our budget, we will have to make tough choices. Putting
this roadmap into place, and including enforceable points of order,
will require Congress to decide what priorities are most important,
just like families in South Florida and around the country do every
day. Working together, we can ensure that our government continues to
meet its commitments and provides the foundation for economic growth
while protecting Medicare, Social Security, and other vital government
programs. We have many opportunities ahead to strengthen our great
country, and I look forward to working with you, Mr. Chairman, our
colleagues in the Congress and the President, to ensure that we keep
our fiscal house in order.
Ms. McCollum. I thank the gentleman from Florida for his
ideas to the Committee on how to have fiscal responsibility.
At this time, this Chair yields the gavel to the gentleman
from Washington, Mr. Larsen.
Mr. Larsen [presiding]. The Chair now recognizes the
gentleman from South Carolina, Mr. Inglis.
STATEMENT OF HON. BOB INGLIS, A REPRESENTATIVE IN CONGRESS FROM
THE STATE OF SOUTH CAROLINA
Mr. Inglis. I thank the Chair.
And, Mr. Chairman, I am here to suggest that leadership
aimed at consensus, plus a crisis, equals change. We have the
crisis. The question is whether we have leadership aimed at
consensus. And I think that we are at a historic point where
perhaps the American people will lead us in Congress to these
solutions.
And so what I am here to suggest, Mr. Chairman, is that
when the federal budget is such that tax receipts only cover
mandatory spending last year and projected for this year, that
all tax receipts will only be sufficient to cover Medicare,
Medicaid, Social Security, and interest on the debt, everything
else will be borrowing, that that is a sufficient crisis for
action.
So if we have leadership and a consensus plus a crisis, we
can get change. But we have the crisis. The question is whether
we have leadership aimed at consensus.
And I am wondering whether this point in our history is a
unique point where the general interest of the public in
getting the deficit under control and in paying down the debt
is beginning to overwhelm the special interests of the few in
an earmark here, for a private purpose here or there, or a
special tax loophole here or there, and that this is a truly
unique moment where people are rising up and they are demanding
of the Congress that we get the situation under control.
So what I am here to suggest is that we seize the moment
and really put forward some bold plans. This week I am excited
to be a co-sponsor of Representative Ryan's Road Map for
America's Future. It is a very bold plan.
And perhaps there is some on the Democratic side of the
aisle that do not like it, that think it goes too far, but if
that is the case, what we should expect from those on the other
side of the aisle is to give us their ideas.
And we must come together and solve this challenge because
the American people have figured it out. They know that we can
go the way of Greece, we can go the way of Argentina, we can
end up in a place of hyperinflation.
So what we must do is get our fiscal house in order and the
way to do that is to make some bold moves. Typically members of
Congress are afraid that their people will not understand the
need to make bold changes. But as I said, Mr. Chairman, I think
that this is a unique time when people are actually realizing
the great risk that we have and they expect some serious
action.
So if I am correct that right now the general interest is
starting to overwhelm the special interest, then this is a
perfect time to act, to propose some solutions. The Road Map
for America's Future is a solution that I am comfortable with.
There are some things in there that obviously would be changed,
but the general direction of it is to make significant changes
to entitlement spending.
You all remember in the debate in 2008, one of the
Presidential debates, John McCain was asked what he would do to
balance the budget and he came up with something about
earmarks. Barack Obama really had nothing to say about how he
would balance the budget.
And Afterwards George Worrell pointed out that it was
rounding error in the federal budget to speak of entitlements.
And George Worrell said unless you are speaking of Medicare,
Medicaid, and Social Security, you are not talking about
balancing the budget.
So our challenge here is to have the courage to talk about
those things. But what I am here to suggest is that right now
is the time because people are rising up expressing the general
interest and saying that they really want to see us get the
deficit under control and pay down the debt, that that is the
moment to act.
Leadership aimed at consensus plus a crisis equals change.
We have got the crisis. The question is whether we can get
leadership aimed at consensus. I am comfortable putting forth
the Road Map for America's Future with Paul Ryan. I hope that
from the other side, we will hear some ideas and we must come
together and figure out a way to solve this American challenge.
Thank you for the opportunity to appear before you, Mr.
Chairman.
[The prepared statement of Bob Inglis follows:]
Prepared Statement of Hon. Bob Inglis, a Representative in Congress
From the State of South Carolina
Chairman Spratt and Ranking Member Ryan, thank you for giving me
the opportunity to testify about the Budget Resolution for Fiscal Year
2011.
In the past, we in Congress would make speeches about our long-term
entitlement challenges. We spoke about the need to keep Social Security
and Medicare solvent, even as some proposed adding more seats to the
sinking ship. This year, we've passed a new marker that should serve as
a wake up call to the Congress.
According to the Office of Management and Budget, in 2009,
mandatory federal spending exceeded total federal receipts for the
first time. Consider that for a moment. In 2009, the federal government
spent more on Social Security, Medicare, Medicaid and other mandatory
programs than it took in through taxes. Everything else in the budget,
including defense spending, was paid for with borrowed money. Our
constituents get it, and they're trying to send us a message: stop the
spending.
There is a reason that we so rarely balance our budgets. No matter
who is in power, regardless of party, the special interests have
outweighed the general interest.
But something has changed. Faced with the economic challenges of
the last two years, Americans have had to tighten their belts; they've
been confronted with the dangers and consequences of living on credit.
But when they look at their government they don't see those same
consequences. Instead they see the same old reckless spending and
borrowing, and they're outraged.
Today the American people see the danger of continuing on our
current path and are demanding a change in course. They want us to cut
spending, and grow the economy so that we can put out nation on a
sustainable path forward. For once, the general interest is starting to
outweigh the special interests. We have before us a unique opportunity,
one that may not come again, to radically transform the way we budget,
tax, and spend.
This week I became a cosponsor of Ranking Member Ryan's Road Map
for America's Future Act, and I believe that proposal holds great
promise as a way forward. But whatever the path we take, we need to
agree on this: now is the time to tackle these tough challenges and
provide future generations with a government that lives within its
means.
Thank you.
Mr. Larsen. Thank you, Mr. Inglis.
Would you be willing to entertain a question or two?
Mr. Inglis. Sure.
Mr. Larsen. Just to clarify, and this is for the record and
without any prejudice one way or the other towards the concept
of earmarks. I think you quoted Mr. Worrell as saying it was a
rounding error to talk of entitlements. Perhaps you meant to
say a rounding error to talk of earmarks.
Mr. Inglis. Absolutely, yes. Yes. It is a rounding error to
speak of entitlements as a way of balancing the budget. Of
course, it is an important marker of our devotion to balancing
the budget. But, yeah, the big ones, of course, Medicare,
Medicaid, Social Security, and those are the ones we have go
to----
Mr. Larsen. A rounding error just to talk of earmarks?
Mr. Inglis. Right.
Mr. Larsen. Right? Okay. All right, sir.
And just as a second point, I think generally there are
many folks on both sides of the aisle who do want to come
together and solve these larger issues and we have different
ways of getting at it and perhaps different conditions to
getting to the table itself, but perhaps approaching the table
without conditions is perhaps the best way to get started on
this.
Mr. Inglis. Yeah. And to control our rhetoric, I think. You
know, I was here for six years and I was gone six years, came
back in 2004. And I left and had an unfortunate experience in a
U.S. Senate race.
But in that race, what was thrown up to me was, Bob Inglis,
why were you voting to cut old people's benefits and starve
school children and all the normal canards that really come
from the Democratic side of the aisle. Those are the things we
need to leave aside.
We need to say, listen, if we are going to--we all have a
big problem. It is called entitlement spending and we have got
to get it under control.
And so if somebody has the courage to step forward, mostly
because in listening to the American people and listening to
the determination that I am hearing in my district, now really
this is the time to act, do something.
If you then step forward based on that commitment and what
you are hearing from your people, then it is best if the other
side does not then start doing things about starving school
children and all that kind of stuff because the reality is
nobody wants to starve school children and nobody wants to put
seniors on the street. But we do need to figure out a way to
make Medicare sustainable, Medicaid sustainable, Social
Security sustainable. And so it is important that we come
together.
Mr. Larsen. Before I let you go, I just would note that
some would say that--you said you had an unfortunate experience
in the U.S. Senate race--some would argue that regardless of
the outcome of the U.S. Senate race, it is an unfortunate
experience.
Having said that, thank you very much for your testimony to
the Committee.
Mr. Inglis. Thanks for the opportunity to be here.
Mr. Larsen. Sure.
Without objection, the Committee will stand in recess
subject to the call of the Chair.
[Recess.]
Mr. Larsen. Back in order for Members' Day testimony.
The Chair now recognizes the gentleman from North Dakota,
Mr. Pomeroy.
STATEMENT OF HON. EARL POMEROY, A REPRESENTATIVE IN CONGRESS
FROM THE STATE OF NORTH DAKOTA
Mr. Pomeroy. I thank the Chair and apologize for the
portion of the recess that my delayed appearance here
represents. I was taking in the first part of the Memorial
Service for our fallen colleague, Jack Murtha. I know we will
want to remember him and his family in our prayers.
I would like to thank you for the opportunity to submit
testimony to the Committee.
I want to specifically urge this Committee to exclude from
the House budget resolution proposals under discussion to fund
the Environmental Protection Agency's efforts to implement
regulations on greenhouse gas emissions as well as this budget
should, I believe, strike budget proposals that eliminate tax
incentives, vital tax incentives for the oil and gas industry.
I have become increasingly concerned by the steps that the
EPA has taken in recent months to regulate greenhouse gas
emissions under the Clean Air Act. The Clean Air Act was passed
the early part of the last decade for purposes of dealing with
acid rain, principally smog and acid rain.
Well, the Supreme Court ruled that the Clean Air Act can
indeed provide basis for this agency to move forward with a
whole slate of regulations on greenhouse gas emissions,
something that was not contemplated in the drafting of the
statute and does not produce an appropriate resolution for this
country.
The EPA is expected to soon finalize a rule to regulate the
greenhouse gas emissions from light-duty vehicles. What
concerns me in particular is not the light-duty vehicles, the
mobile source regulations that would extend from the agency,
but the subsequent triggering of regulatory reach to stationary
sources that emit greenhouse gases such as power plants and
factories for regulation.
In anticipation of this outcome, the EPA has announced a
proposed rule requiring large industrial facilities and power
plants to obtain construction operating permits covering their
emissions. These programs would require facilities to
demonstrate the use of best available control technology and
energy efficiency measures to minimize greenhouse gas
emissions. The President's fiscal year 2011 budget proposes to
provide more than $50 million to develop and implement these
regulations.
I believe that these regulations are ill conceived
fundamentally because they are based on a statute that was
initially enacted to address an entirely different range of
issues. I believe that Congress should take the authorizing
step of putting in place a statute relative to greenhouse gas
emissions before agency activity moves forward.
Again, the Supreme Court has held that greenhouse gas
emissions can move forward under the Clean Air Act, but
Congress ultimately is the ultimate decider of the basis by
which this agency acts. And by dealing with this in the budget
and appropriation process, we can prohibit the agency from
acting under the wrong statute until the right statute is put
into place.
Our nation's energy sector is the heart of everything we
do, provides the gas that fuels our cars, electricity that
turns on our lights, and the fuel that heats our home.
In North Dakota and many parts of the country, the energy
sector is a primary engine that has kept our economy strong
while the rest of the country has struggled.
The current Clean Air Act was not developed for greenhouse
gas emissions and it does not work to try and shoehorn
greenhouse gas emissions into this statute.
The obvious potential, a lawsuit that will result from
EPA's proposed rule relates to changing the regulatory
threshold for stationary sources. I think we would all agree
the thresholds in current law are completely unworkable for
greenhouse gases.
There are significant questions as to whether EPA has the
authority to change this threshold for purposes of attaching
their regulatory reach. If it is found that they do not have
the authority, we could be looking at potentially millions of
stationary sources now requiring review.
There are also significant concerns over the availability
of technology to meet regulations. Under the proposed rule, the
EPA can force an emitter to install a Best Available Control
Technology that is known by the acronym BACT.
In the early years of this program and for the foreseeable
future, it is unclear what EPA would consider BACT compliant.
As of yet, no commercially available technology for many
existing sources and technologies for new plants that are
either unproven or incredibly expensive.
I am wondering about the jobs this summer in the coal
generating facilities found in the plains of North Dakota.
Normally you would have the utilities or the co-ops making
decisions to do their annual plant upgrades. This has the
positive effect of lowering emissions and keeping the plant at
best operating standard.
What will be placed in question this summer is whether or
not that kind of investment will even be made because it will
not know whether or not it will pass muster with rules yet to
be promulgated by the EPA on best available control technology.
I think we could lose jobs. We could lose jobs as early as
this summer and freeze everything in place in terms of plant
maintenance, a very unfortunate result.
Now, should Congress ever institute a greenhouse gas
regulation law, and I believe it will, it is likely to include
substantial flexibility that will recognize economic concerns
or create sensitive concerns and other issues that come to the
floor in the legislative process and are appropriately
considered as part of an enactment.
Now, the EPA does not have this reach and this look as they
move their regulation forward. That, again, is why we need to
put the statute in place first before the regulation.
For these reasons, I believe it is critical that Congress
prevent the regulations and stop the cart from being put in
front of the horse. Let us prevent the regulations from being
implemented.
I have introduced legislation, Save our Energy Jobs Act,
H.R. 4396, that would remove the current authority to implement
the regulations under that Supreme Court ruling until Congress
puts the statute in place.
Now, just in my final moment, Mr. Chairman, to the
Committee today, I would like to discuss proposals to eliminate
tax incentives for fossil fuels.
Domestic oil and gas development is critical to America's
economic and strategic future and the majority of this
development is currently being undertaken by independent
producers, the very producers who will be hit hardest by the
elimination of these tax incentives.
These independent producers come into North Dakota, develop
technologies that can recover what is now estimated four
billion barrels of oil, completely changing the economic
outlook for North Dakota, but making a substantial change also
in what we think can be contributed to domestic energy needs.
A primary example, 115,000 barrels per day moving to now
more than 240,000 barrels per day just in the last two years
alone.
As is the case with most new domestic sources of oil and
gas, this development is not cheap. The new wells which go two
miles down and then horizontally two miles cost several
millions of dollars from lease to completion and the majority
again of the companies picking these up are independent
producers. They depend upon the existing tax structure which
has basically allowed the financing of this extraordinary
capital requirement to develop these oil fields.
Now, unless we are going to risk busting up the search for
new domestic sources of fossil fuel, I believe that we need to
keep these into place. And I would urge that as you put your
budget together, you reject those budget proposals submitted by
the Administration.
Thank you for your kind attention and I value the
opportunity to put this into the record. Thank you.
[The prepared statement of Earl Pomeroy follows:]
Prepared Statement of Hon. Earl Pomeroy, a Representative in Congress
From the State of North Dakota
Chairman Spratt and Ranking Member Ryan, I would like to thank you
for the opportunity to testify before the committee today regarding the
Budget Resolution for fiscal year 2011. In particular, I urge you to
not include in the House Budget Resolution proposals under discussion
to fund the Environmental Protection Agency's efforts to implement
regulations on greenhouse gas emissions and to eliminate tax incentives
for the oil and gas industry.
I have become increasingly concerned by the steps that the
Environmental Protection Agency (EPA) has taken in recent months to
regulate greenhouse gas emissions under the Clean Air Act, a bill
actually intended by Congress to primarily regulate smog and acid rain.
In fact, the EPA is expected to soon finalize a rule to regulate
greenhouse gas emissions from light-duty vehicles under the Clean Air
Act which would subsequently subject stationary sources that emit
greenhouse gases, such as power plants and factories, to regulation. In
anticipation of this outcome, the EPA has announced a proposed rule
requiring large industrial facilities and power plants to obtain
construction and operating permits covering their emissions. These
permits would require facilities to demonstrate the use of best
available control technologies and energy efficiency measures to
minimize greenhouse gas emissions. The President's Fiscal Year 2011
Budget proposes to provide more than $50 million to develop and
implement these regulations. I believe that these regulations are ill-
conceived and urge the Committee to not provide any consideration for
their implementation within Congress's Fiscal Year 2011 Budget.
Our nation's energy sector is at the heart of everything we do--it
provides the gas that fuels our cars, the electricity that turns on the
lights, and the fuel that heats our homes. In North Dakota and many
other parts of the country, the energy sector is the primary engine
that has kept our economy strong while the rest of the country has
struggled with the economic crisis. The current Clean Air Act was
developed for significantly different purposes than regulating
greenhouse gases. If we shoehorn the regulation of greenhouse gases
into these existing regulatory structures we will almost certainly see
a tremendous amount of litigation and costs around the implementation
of these rules.
One obvious potential lawsuit that will certainly result from the
EPA's proposed rule relates to changing the regulatory threshold for
stationary sources. While I think we would all agree that the
thresholds in current law are completely unworkable for greenhouse
gases, there are significant questions as to whether EPA has the
authority to make this change. If it is found that the EPA does not
have this authority we could be looking at millions of potential
sources that would be regulated including small business, family farms
and even some homes.
There are also significant concerns over the availability of
technology to meet regulations. Under the proposed permitting
requirements the EPA can force an emitter to install a Best Available
Control Technology (BACT) to meet emissions. In the early years of this
program and for the foreseeable future it is unclear what EPA would
consider a BACT as there is as of yet no commercially available
technology for many existing sources and technologies for new plants
are either unproven or incredibly expensive.
This could have the effect of increasing energy costs dramatically
in a short period of time, driving employers out of business and
costing jobs. This is especially dangerous for energy intensive places
like North Dakota. Significant portions of our population live on a
fixed income and rely on electricity to heat their homes during our
cold winters. The Clean Air Act does not provide a mechanism to assist
individuals and businesses with increased costs caused by regulations.
These costs will inevitably be passed along to consumers forcing low
income families to face the difficult decision between heating their
homes, buying food or paying for critical medicines.
Should Congress ever institute a greenhouse gas regulation law, it
is likely to include substantial flexibility to address economic
concerns of trade sensitive industries and to mitigate the effects of
the policy on end energy users. With the current EPA proposal there is
no such flexibility.
For these reasons I believe that it is critical that Congress act
to prevent these regulations from being implemented. To that end I have
introduced H.R. 4396, the Save Our Energy Jobs Act Legislation to
remove EPA's current authority to implement these regulations,
restoring that authority to Congress where it belongs. In addition, I
urge the committee to not provide for the implementation of these
regulations within the House Budget.
I would like to use my remaining time to discuss the proposals to
eliminate tax incentives for fossil fuels. Domestic oil and gas
development is critical to America's economic and strategic future and
the majority of this development is currently being undertaken by
independent producers, the very producers who will be hit hardest by
the elimination of these tax incentives.
A prime example of how the oil and gas industry can be an engine
for economic growth can be seen in North Dakota. While many other
states around the country have been facing high unemployment rates and
budget deficits, North Dakota has the country's lowest unemployment
rate at 4.4 percent and has a budget surplus of nearly $1 billion. Much
of this success can be attributed to the remarkable development of the
Bakken oil formation in North Dakota. Since the beginning of 2007
production has soared from 115,000 barrels per day to more than 240,000
barrels per day at the end of 2009, making North Dakota the 4th largest
oil producing state, up from 9th just 3 short years ago. This has
provided an ample source of jobs and tax revenue back to the state.
As is the case with most new domestic sources of oil and gas this
development is not cheap. New wells in the Bakken cost several million
dollars from lease to completion, with the majority of the companies
drilling these wells being independent producers. These companies do
not have the large sums of capital available to them that major
integrated producers have. The ending of tax incentives, such as the
expensing of Intangible Drilling Costs, will have the greatest effect
on these producers who will be forced to spend capital on their tax
liabilities rather than new wells. This will lead directly to less
domestically produced oil, increased dependence on foreign oil and
higher oil costs in general. It is critically important that the United
States continue to explore for and develop its domestic energy
resources. Inclusion of proposals to eliminate tax incentives for oil
and gas, however would have a significant impact on that development
and I would ask that they not be included in the House Budget.
Mr. Chairman, I would again like to thank you for the opportunity
to appear before your committee today to express a few of my priorities
for the Fiscal Year 2011 House Budget Resolution. It is critical that
Congress work to ensure that the United States maintain an energy
policy that will incentivize new sources of domestic energy and does
not place undo burdens on its citizens and businesses. Budget proposals
that call for unrestrained regulation of industry and increased taxes
on development of domestic resources would have the exact opposite
effect. Thank you.
Mr. Schrader [presiding]. Thank you, Mr. Pomeroy, and thank
you for your advocacy on behalf of your State of North Dakota.
The Chair now recognizes the gentleman from California, Mr.
Sherman.
STATEMENT OF HON. BRAD SHERMAN, A REPRESENTATIVE IN CONGRESS
FROM THE STATE OF CALIFORNIA
Mr. Sherman. Thank you, Mr. Chairman.
I will be brief, so the staff should be on the phones
trying to get your next entertainer, excuse me, Member of
Congress here to make a presentation.
I come here to support the land acquisition activity in the
President's budget and perhaps to urge you to even expand it.
The national parks are important, particularly in a time of
recession, first because families need to get outdoors, whether
it be for a day trip or for a vacation that they can afford
even when they are cutting back. And our national parks provide
that.
Second to preserve our environment, there is nothing more
important than the National Park System. Our National Park
System not only needs to be operated, it needs to add
additional land within the existing borders of our national
parks and national recreation areas.
I am particularly here to focus on the Santa Monica
Mountains National Recreational Area. The Los Angeles
Megalopolis is under-parked in terms of the amount of parkland
we have in the region, but we are blessed that right at the
fringes of our region, we have a unit of the National Park
Service, namely the Santa Monica Mountains National Recreation
Area, which is visited by some 33 million people a year,
visiting both the mountains and the beaches contained within
its borders. This means that it is by far the most visited unit
of the National Park System and, yet, much of the land has not
been acquired and you have a patchwork of state and federal and
private land within its borders.
Critical to the park meeting its needs are the acquisition
of the Zuma/Trancas Canyon watersheds. The President's budget
provides $3.75 million to acquire 16 tracts totaling 286 acres
of core habitat in these canyons. The total cost of acquiring
all the relevant land would be $6 million and would include 28
parcels. The owners have expressed a willingness to sell to the
National Park Service subject to negotiation of the price.
So I would hope that you would preserve, and perhaps
expand, the federal land acquisition activity in the budget and
that within that activity, when you see the amount put forward
for the Santa Monica Mountains, that you would at least
preserve the $3.75 million and if I have been particularly
persuasive, increase it has high as $6 million so that we can
do the in-fill buying to preserve critical habitat and to build
and preserve what is already the most visited unit of the
National Park System.
I do not know if you have any questions.
[The prepared statement of Brad Sherman follows:]
Prepared Statement of Hon. Brad Sherman, a Representative in Congress
From the State of California
Mr. Chairman, thank you for the opportunity to convey my top
priority for the Fiscal Year 2011 Budget. The Department of the
Interior Fiscal Year 2011 Budget provides $3.75 million to acquire 16
tracts totaling 286 acres to protect core habitat in Zuma/Trancas
Canyons in the Santa Monica Mountains National Recreation Area. I
strongly support the Administration's request and urge the Committee to
include the request in the final Budget.
The National Park Services ranks the preservation of Zuma/Trancas
Canyons watersheds and coastal estuaries as the top priority for land
acquisition in the Santa Monica Mountains. The Santa Monica Mountains
National Recreation Area Land Protection Plan identifies 484 acres in
the watersheds for acquisition by the National Park Service. This
includes 28 legal parcels with an estimated fair market value of
$6,000,000. The parcel owners have expressed a willingness to sell to
the National Park Service subject to an agreeable value.
The National Park Service has preserved approximately 6,500 acres
or over 50 percent of the Zuma/Trancas Canyons watersheds, insuring
their long-term preservation for public enjoyment. However, high-end
real estate development on the remaining private in-holdings threatens
to displace critical habitat and degrade park scenery and coastal water
quality. Hiking trails within the canyons provide scenic views of the
Pacific Ocean, numerous waterfalls, and natural solitude. This
acquisition not only identifies critical open space for habitat
protection, but it also seeks to secure critical recreational trail
connections for the public. An additional $2.6 million will be required
to purchase the remaining 198 acres of undeveloped parkland within
Zuma/Trancas Canyons.
Each year over 33 million visitors enjoy the Santa Monica Mountains
National Recreation Area's world-renowned beaches and explore the
park's mountains, including its 60-mile Backbone Trail, which stretches
across the Santa Monica Mountains and traverses through Zuma/Trancas
Canyons. To date, the National Park Service has acquired 22,000 acres
of parkland using Land and Water Conservation Funds totaling $163
million. The Santa Monica Mountains National Recreation Area has one of
the largest backlogs of acquisition needs in the national park system.
Approximately 20,595 acres remains to be acquired to complete the Land
Protection Plan recommendations. The value of these lands is estimated
to be over $57 million.
Mr. Chairman, I urge the Committee to budget $3.75 million to
acquire 286 acres of core habitat in Zuma/Trancas Canyons in the Santa
Monica Mountains National Recreation Area. Thank you for this
opportunity to convey my support for this important priority in the
Fiscal Year 2011 Budget.
Mr. Schrader. Do not, but I appreciate your advocacy on
behalf of the Santa Monica area and the National Park System.
Certainly excellent points and I would support that action.
Thank you very much.
Mr. Sherman. Thank you.
Mr. Schrader. Next we will hear from Mr. Johnson from
Georgia.
STATEMENT OF HON. HENRY ``HANK'' JOHNSON, JR., A REPRESENTATIVE
IN CONGRESS FROM THE STATE OF GEORGIA
Mr. Johnson. Thank you, Mr. Chairman, for holding this
hearing today and giving me the opportunity to testify upon
President Obama's fiscal year 2011 budget proposal.
The spending decisions made in this budget will have a
tremendous effect on the lives of my constituents and all
Americans for many years to come.
I am pleased that we have a presidential budget request
that focuses on promoting economic recovery and makes the
necessary investments so that constituents in George's Fourth
District will have the opportunity for a better future.
I strongly urge this Committee to give high priority to
economic recovery and job creation, foreclosure prevention,
viral hepatitis funding, justice programs to decrease
recidivism, and transportation and infrastructure project
funding that is very aggressive.
We can all agree that the key to jump-starting our economy
is to put Americans back to work. I share the President's goal
of creating jobs for all Americans. Georgia's unemployment rate
is 10.3 percent which is higher than the national unemployment
average or the national unemployment rate which is 9.7 percent.
Therefore, my priority is to preserve and to create new jobs.
I applaud the President's budget request for $100 billion
for a jobs package to spur economic growth. We need to continue
to invest in programs that help laid off workers and their
families receive the help they need until they can find a job.
This is why I also supported President Obama's proposal to
extend unemployment benefits and COBRA health insurance premium
assistance.
Foreclosure prevention programs are also necessary to
facilitate economic recovery. Foreclosure rates remain at all-
time highs and are up 15 percent from January 2009. I am deeply
concerned about this issue as Georgia is among the top ten
states with the highest foreclosure rates. More than 1,000
homes are in the foreclosure process every month in my district
and we need to do more to stem this tide.
President Obama's fiscal year 2011 budget requests $88
million for HUD to support home ownership and foreclosure
prevention and $20 million to combat mortgage fraud.
In addition, the President's budget requests $250 million
for the Neighborhood Reinvestment Corporation's grant. Of that,
$113 million is requested for foreclosure prevention activities
which is a $48 million increase over the 2010 request.
I applaud President Obama for investing in these
foreclosure prevention programs.
I value the health of my constituents also. Additional
funding for viral hepatitis programs at the CDC is essential
for battling hepatitis B and C. Three to five million people
are projected to or, put it like this, three to five million
people are currently infected with either the hepatitis B or
the hepatitis C virus and do not know it.
And many of those with respect to hepatitis C are
approaching eligibility for Medicare because it is kind of a
baby boomer type of phenomenon at this point, but the cost to
society for treating liver cancer and, in fact, liver cancer
cases, cases of liver cancer are among the fastest growing
cancer rates in this nation.
So it is very important that we bulk up the 19.5, I believe
is the budget request for the CDC viral hepatitis program. And
you can see viral hepatitis actually kills more people per year
than does HIV. HIV funding is about $800 million per year
versus the 19 for hepatitis B and C and a higher death rate for
hepatitis C.
So it is important that we develop a comprehensive viral
hepatitis program to prevent new infections and control the
spiraling cost of treating chronic infections.
The President's fiscal year 2011 budget only requests $21.1
million for these activities. Although this is a $1.8 million
increase from the President's fiscal year 2010 request, it is
still not enough. At least $50 million should be allocated to
ensure that the CDC can adequately fund its viral hepatitis
programs.
And it is important that we do this so that the CDC can
conduct the various studies that would be necessary in order to
show that there is a real need for increased funding for
prevention efforts, for educating healthcare providers, and
others about how to stop the transmission of these viruses.
I also urge the full funding of the Second Chance Act, the
COPS Program and Byrne Justice Grant programs to combat crime
and reduce recidivism.
Furthermore, substantial funding is necessary for mass
transit and infrastructure programs. Investing in mass
transportation and infrastructure projects will create jobs,
allow people who want to work, it will give them an option for
getting to work and will ultimately revitalize our economy by
creating jobs.
Again, thank you for holding this hearing and giving me the
opportunity to testify. And I yield back the balance of my
time.
[The prepared statement of Henry ``Hank'' Johnson follows:]
Prepared Statement of Hon. Henry C. ``Hank'' Johnson, Jr., a
Representative in Congress From the State of Georgia
Thank you Chairman Spratt, and Ranking Member Ryan for holding this
hearing today, and giving me the opportunity to testify upon President
Obama's Fiscal Year 2011 Budget proposal.
The spending decisions made in this budget will have a tremendous
effect on the lives of my constituents and all Americans for many years
to come.
I am pleased that we have a presidential budget request that
focuses upon promoting economic recovery and makes the necessary
investments so that constituents in Georgia's Fourth Congressional
District will have the opportunity for a better future.
I strongly urge this Committee to give high priority to economic
recovery and job creation, foreclosure prevention, viral hepatitis
funding, justice programs to decrease recidivism, and transportation
and infrastructure projects.
We can all agree that the key to jumpstarting our economy is to put
Americans back to work. I share the President's goal of creating jobs
for all Americans. Georgia's unemployment rate is 10.3 percent, which
is higher than the national unemployment rate of 9.7 percent.
Therefore, my priority is to preserve and create jobs.
I applaud the President's budget request of $100 billion for a jobs
package to spur economic growth. We need to continue to invest in
programs that help laid-off workers and their families receive the help
they need until they find new jobs. This is why I also support
President Obama's proposal to extend unemployment benefits and COBRA
health insurance premium assistance.
Foreclosure prevention programs are also necessary to facilitate
economic recovery. Foreclosure rates remain at an all time high and are
up 15 percent from January 2009. I am deeply concerned about this issue
as Georgia is among the top ten states with the highest foreclosure
rates. More than 1,000 homes are in the foreclosure process every month
in my district, and we need to do more to stem the tide.
President Obama's Fiscal Year 2011 Budget requests $88 million for
HUD to support home ownership and foreclosure prevention and $20
million to combat mortgage fraud. In addition, the President's Budget
requests $250 million for the Neighborhood Reinvestment Corporation's
grant. Of that, $113 million is requested for foreclosure prevention
activities, which is a $48 million increase over the 2010 request. I
applaud President Obama for investing in these foreclosure prevention
programs.
I value the health of my constituents, too. Additional funding for
viral hepatitis programs at the CDC is essential for battling hepatitis
B and C. Increased funding is critical in developing a comprehensive
viral hepatitis program to prevent new infections and control the
spiraling cost of treating chronic infections. The President's Fiscal
Year 2011 Budget only requests $21.1 million for these activities.
Although this is a $1.8 million increase from the President's fiscal
Year 2010 request, it's still not enough. At least $50 million should
be requested to ensure that the CDC can adequately fund its viral
hepatitis programs.
I also urge the full funding of the Second Chance Act, the COPS
Program, and Bryne Justice Grant Program to combat crime and reduce
recidivism.
Furthermore, substantial funding is necessary for mass transit and
infrastructure programs. Investing in mass transportation and
infrastructure projects will create jobs, allow people who want to work
an option for getting to work and will ultimately revitalize our
economy by creating jobs.
Again, thank you for holding this hearing and giving me the
opportunity to testify. I yield back the balance of my time.
Mr. Schrader. Thank you very much, Representative.
Appreciate your testimony and your tireless advocacy for those
in your district and this country. Thank you.
Mr. Johnson. Thank you, Mr. Chairman.
Mr. Schrader. Turn to the Honorable Congressman from New
York, Mr. Eliot Engel.
STATEMENT OF HON. ELIOT ENGEL, A REPRESENTATIVE IN CONGRESS
FROM THE STATE OF NEW YORK
Mr. Engel. Thank you. Thank you very much for holding this
hearing today and for the listening to us, I almost feel guilty
making you sit through all this, but I do appreciate it. Thank
you very, very much.
I represent New York's 17th District, and that is the
northern most part of New York City and the northern and
western suburbs.
What I would like to discuss is the need for increased
funding to the Refugee School Impact Grant Program though the
Office of Refugee Resettlement, Administration for Children &
Families of the Department of Health & Human Services, and it
involves Haiti and the earthquake in Haiti.
I have a population of about 35,000 Haitians in my
district, and obviously we are all aware of the devastation
caused by the earthquake in Haiti, we have welcomed Haitian
refugees, Haitian immigrants, and Haitian-Americans returning
to the U.S., yet the influx of refugee children into our local
schools is putting a devastating strain on school districts.
The districts are already feeling their budgets are
constrained, due to the severe recession we are experiencing,
you add this on top of it, it is very, very difficult. I have
heard this concern not only from my New York colleagues, but
also my colleagues from South Florida, as well as other areas
that have large numbers of Haitian-American population.
It is estimated in New York that $15,536 is spent per pupil
for overall education spending. Haitian refugee school children
will also need more specialized support, requiring additional
funds per pupil.
The superintendent of the East Ramapo Central School
District in Rockland County in my district has estimated that
100 to 200 Haitian children will enter their schools by the end
of the year and more the following year. The cost to the East
Ramapo Central School District could be over several million
dollars to educate and support these school children.
Since many refugee students arrive without school records,
teachers and specialists often need to test entering refugee
student's academic knowledge and language ability to know what
grade in which to place them in. Also, many of the refugee
school children need more support than traditional students for
services such as grief counseling, teachers trained in cultural
sensitivity, English as a second language courses, even
supplies such as backpacks and notebooks.
The Refugee School Impact Grant Program provides support to
impacted school districts, such as the East Ramapo Central
School District, with the funds necessary to pay for activities
that will lead to the effective integration and education of
all refugee children.
Funding allows for educational support activities, such as
English as a Second Language training, after school tutoring,
remedial summer programs, or bilingual/bicultural aides. These
services are desperately needed for Haitian refugee school
children. I am privileged, as I said before, to represent a
large concentration of Haitians and Haitian-Americans.
Local school district superintendents in Rockland County
have already made clear the need for additional financial
assistance required to address the influx of refugee children
into local schools.
It is shocking to note that during fiscal year 2010, 2009,
2008, 2007, the funding for the Refugee School Impact Grant
remained at just $15 million.
Within the Administration for Children and Families fiscal
year 2011 congressional justification, a request is made again
for only the same $15 million for this necessary grant program.
The fiscal year 2011 budget request was released after the
earthquake in Haiti, yet there was not a proactive initiative
to increase the funding for this program. So it seems a bit
silly that considering we had the earthquake in Haiti and
considering we now have an influx of Haitian children coming to
this country, that the $15 million request would remain
stagnant. And as I mentioned, that was the same request going
back three years ago as well. And so with these new
circumstances there certainly should be an increase in this
request.
Now an additional $25 million was allocated for Social
Service grant programs to assist Emerging Populations Programs,
that does not include assistance for school districts. So it is
a bit strange that we would have an additional $25 million for
that, but not have anything on top of what we have been asking
for the past three years for school districts.
I fully support funding President Obama's fiscal year 2011
budget request to fund the Social Services Programs of the ORR
at $253 million, an increase of $25 million above fiscal year
2010; however, I strongly encourage additional funding above
the $15 million for the Refugee School Impact Grant Program as
well.
Obviously it is our responsibility to assist our local
school districts in educating newly arrived refugee school
children and provide them with the proper resources so they may
fully integrate into our society.
I urge the Budget Committee to increase funding for the
Refugee School Impact Program above $15 million in the fiscal
year 2011 in the budget resolution. I will also be working with
my colleagues on the House Appropriations Committee for an
increase in funding for this program to be included in any
future Haiti supplemental.
So I thank you again for the opportunity to testify before
the Budget Committee today, and I look forward to working with
you and answering any questions you may have.
[The prepared statement of Eliot Engel follows:]
Prepared Statement of Hon. Eliot L. Engel, a Representative in Congress
From the State of New York
Chairman Spratt and Ranking Member Ryan, thank you for holding
today's hearing and for the opportunity to discuss one of my priorities
for New York's 17th District in the Fiscal Year 2011 Federal Budget.
Specifically, I would like to discuss the need for increased funding to
the Refugee School Impact Grant Program though the Office of Refugee
Resettlement, Administration for Children & Families, Department of
Health & Human Services.
We are all aware of the devastation caused by the earthquake in
Haiti, and have welcomed Haitian refugees, Haitian immigrants and
Haitian-Americans returning to the U.S. Yet the influx of refugee
children into our local schools is putting a devastating strain on
school districts. The districts are already feeling their budgets are
constrained due to the severe recession we are experiencing. I have
heard this concern not only from my New York colleagues, but also my
colleagues from South Florida as well.
It is estimated in New York that $15,536 is spent per pupil for
overall education spending. Haitian refugee school children will also
need more specialized support, requiring additional funds per pupil.
The superintendent of the East Ramapo Central School District has
estimated that 100-200 Haitian children will enter their schools by the
end of the year. The cost to the East Ramapo Central School District
could be over several million dollars to educate and support these
school children.
Since many refugee students arrive without school records, teachers
and specialists often need to test entering refugee student's academic
knowledge and language ability to know what grade to place them. Also,
many of the refugee school children need more support than traditional
students for services such as grief counseling, teachers trained in
cultural sensitivity, English as a Second Language courses, even
supplies such as backpacks and notebooks.
The Refugee School Impact Grant Program provides support to
impacted school districts, such as the East Ramapo Central School
District, with the funds necessary to pay for activities that will lead
to the effective integration and education of all refugee children.
Funding allows for educational support activities, such as English as a
Second Language training, after school tutoring, remedial summer
programs, or bilingual/bicultural aides. These services are desperately
needed for Haitian refugee school children.
I am privileged to represent a large concentration of Haitians and
Haitian-Americans. Local school district superintendents in Rockland
County have already made clear the need for additional financial
assistance to address the influx of refugee children into local
schools. It is shocking to note during FY2010, 09, 08, and 07 the
funding for the Refugee School Impact grant program remained at $15
million. Within the Administration for Children and Families FY2011
Congressional Justification, a request is made again for only $15
million for this necessary grant program. The FY2011 Budget Request was
released after the earthquake in Haiti, yet there was not a proactive
initiative to increase the funding for this program.
However, an additional $25 million was allocated for Social Service
grant programs to assist Emerging Populations programs, which does not
include assistance for school districts. I support fully funding
President Obama's FY2011 budget request to fund the Social Services
programs of the ORR at $253 million, an increase of $25 million above
FY2010. However, I strongly encourage additional funding above $15
million for the Refugee School Impact Grant Program as well.
It is our responsibility to assist our local school districts in
educating newly arrived refugee school children, and provide them with
the proper resources so they may fully integrate into our society. I
urge your Committee to increase funding for the Refugee School Impact
Program above $15 million in the FY2011 in the Budget Resolution. I
will also be working with my colleagues on the House Appropriations
Committee for an increase in funding for this program to be included in
any future ``Haiti Supplemental.''
Thank you again for the opportunity to testify before the Budget
Committee today. I look forward to working with you and answering any
questions you may have.
Mr. Schrader. Thank you very much, representative, I
appreciate your comments and certainly well stated and very
compelling arguments about the increase necessary given the
extremely extraordinary and horrific situation that is now
going on in Haiti, so as the Chair I will take that in
advisement and talk to my colleagues.
Mr. Engel. Thank you very much.
Mr. Schrader. Thank you very much. Well the Chair will
stand in recess subject to call the Chair for a little bit.
[Recess]
Mr. Schrader. Back to order. Welcome the Honorable
Representative Davis from Illinois. Appreciate your attending
and look forward to your comments.
STATEMENT OF HON. DANNY K. DAVIS, A REPRESENTATIVE IN CONGRESS
FROM THE STATE OF ILLINOIS
Mr. Davis. Thank you very much Mr. Chairman, and I would
like to begin by thanking Chairman Spratt, Ranking Member Paul
Ryan and other Members of the Budget Committee for opportunity
to appear here today.
Never before has there been a level of economic distress
and uncertainty that for generations to come would marvel or
match what we are experiencing today. According to a recent CBO
report, ``the recession has lowered employment by about 11
million'' and automatic stabilizers will add to/increase the
federal budget deficit of about ``$400 billion'' in 2010 and
2011. And while economic indicators suggest we have passed the
trough of the recession, forecasters predict that recovery will
be slow.
As we move from recession to recovery, we must examine the
efficacy of federal programs in fulfilling intended outcomes
and resolve fragmented service-delivery at every level. More
broadly, we must utilize current economic conditions to our
advantage to advance cooperation, coordination, and
collaboration among federal, state, and local agencies
affecting our children well-being and our nation's future.
To this end, I commend President Obama for his
comprehensive approach to budgeting and I commend him for
holding the line, but at the same time recognizing that there
are areas where we need to provide every level of service that
we possibly can.
In particular I am very much concerned about the whole
entry of re-entry, and I urge the Budget Committee to try and
make sure that we fully fund something called the Second Chance
Program, and that we budget the kind of resources for those
activities that can be instrumental in helping people reconnect
with society in a very meaningful way.
In addition to that, all of us know that education is
important for having a decent and good life in this country,
and I would urge that we put as many resources into education
at every level beginning with early childhood all the way
through to the highest levels of education that are needed in
our society.
I also want to mention the whole need for health awareness,
health education, and health promotion. We talk a great deal
about what it costs to provide health services, but I can
assure you that if we help people learn how to better care for
themselves we can reduce the cost of delivering care, we can
increase and improve the health status of our citizens, and we
can make America a better place in which to live. And one of
the areas in which we can do that through is community health
centers which I consider to be the best thing that has happened
to ambulatory healthcare in this country since the Indians
discovered corn flakes. And so obviously I am very high on this
type of program, and I want to thank you for the opportunity to
be here and to testify, and I know that Chairman Spratt and the
Committee have done exceedingly well in years past, I have no
reason to believe that anything will be done differently this
year, and so I want to commend Representative and Chairman John
Spratt for the tremendous work that he has done, and certainly
my commendations go to the Ranking Member, Paul Ryan from
Wisconsin. And I thank you very much and yield back the balance
of my time.
[The prepared statement of Danny K. Davis follows:]
Prepared Statement of Hon. Danny K. Davis, a Representative in Congress
From the State of Illinois
Good Morning, I would like to begin by thanking Chairman John
Spratt, Ranking Member Paul Ryan and Members of the Budget Committee
for today's hearing on the proposed FY '11 budgetary spending and
agenda.
Never before has there been a level of economic distress and
uncertainty for generations to come. Indeed, according to a recent CBO
report, ``the recession has lowered employment by about 11 million''
and automatic stabilizers will add to/increase the federal budget
deficit of about ``$400 billion'' in 2010 and 2011. (January 2010)
While economic indicators suggest we have passed the trough of the
recession, forecasters predict the recovery will be slow.
As we move from recession to recovery, we must examine the efficacy
of federal programs in fulfilling intended outcomes and resolve
fragmented service-delivery at every level. More broadly, we must
utilize current economic conditions to our advantage to advance
cooperation, coordination and collaboration among federal, state and
local agencies affecting our children well-being and our nation's
future.
To this end, I commend President Obama for his comprehensive
forward-focus approach of investing in public programs to better serve
poor, low-income Americans living at/below the poverty line by:
Expanding the Race to the Top competition, which
encourages successful educational reforms at the state and local level;
Increasing Community Health Centers (CHC) funding aimed at
renovating and improving CHC facilities and knowledge management
systems;
Spurring innovative interagency partnership between HHS
and DOJ for Drug Courts, Reentry Programs and Residential
(institutions);
Increasing Department of Labor's WIA/Transitional jobs
appropriations, which includes funding for Section 212 of Second
Chance, transferable funding to Health and Human Services and the
Department of Justice for pilot and demonstrational transitional job
programs in HHS, DOJ and increasing Youth Build programs for high
school dropouts who've reenrolled in alternative schools; and lastly
Establishing a new Fatherhood, Marriage, and Families
Innovation Fund in an attempt to build stronger evidence-base service
intervention models aimed at removing barriers to employment and
increasing family functioning and parenting capacity.
These issues and near and dear to my heart and I wholeheartedly
support the Administration's proposed budget and agenda to invest in
our children well-being and nation's economic viability.
In closing, thank you Chairman Spratt and Ranking Member Ryan for
today's hearing and for the opportunity to lend my voice in the call
for Responsible Government.
Mr. Schrader. Thank you very much, appreciate the comments
from the gentleman from Illinois, very excellent comments
recognizing the investments the President and hopefully the
Congress will be putting into the re-entry issues, educational
levels, and our community health centers. Really good comments,
thank you.
Next we have the Honorable Congresswoman from California,
Ms. Lee.
STATEMENT OF HON. BARBARA LEE, A REPRESENTATIVE IN CONGRESS
FROM THE STATE OF CALIFORNIA
Ms. Lee. Thank you very much. Well first let me thank you
for inviting the Congressional Black Caucus to come share the
priorities of our fiscal year 2011 budget. The Congressional
Black Caucus budget priorities are a reflection of our values
and address many of the challenges that we face as a nation.
While some are saying that the economy is in recovery, it
is clear that we must do more to create jobs and help
struggling families get back on their feet. We must maintain
our commitment to the families who are struggling to find work,
facing foreclosures, eviction, and even homelessness. We must
especially focus on increasing support for the chronically
unemployed.
By all credible amounts the Obama administration and this
Congress saved our economy from total collapse under the weight
of the failed policies of the past, but our budget must do more
to help American families who still suffer the consequences of
the ongoing economic crisis.
As the House Budget Committee begins to consider the
President's fiscal 2011 budget, the Congressional Black Caucus
respectfully highlights the following priorities that the
Committee should consider. A full list will be submitted for
the record.
First, job creation and economic development. Our efforts
on job creation must do more to specifically target the
chronically unemployed for opportunities for job training and
employment. The solutions that are included in our budget must
include worker training and the use of existing federal
programs that can target job creation to those communities with
the highest rates and longest history of unemployment.
The budget must support the growth of a green economy by
including the $275 million in dedicated funding passed by the
house in the Jobs for Main Street Act of 2009.
The CBC recommends a larger increase for Function 150 to
account for additional aid for emergency relief, reconstruction
in long-term development efforts in Haiti.
We also recommend that additional funds be allocated
towards the global fight for HIV Aids, Tuberculosis, and
Malaria. We will improve global peace and security by
increasing funding for USAID, migration and refugee assistance,
peace keeping efforts, and our international education,
healthcare, and cultural exchange programs, child survival and
health programs, and development assistance.
The CBC also supports reducing funding for the Failed
Ballistic Missile Defense Program in vigorously targeting
waste, fraud, and abuse at the Defense Department.
With regard to healthcare the CBC continues to support the
President's call for health insurance reform. The CBC urges the
Budget Committee to account for the cost and savings of health
insurance reform with a public health insurance option to
ensure that the 45 million uninsured Americans, 4 million of
whom are children, have access to quality and affordable
healthcare.
The CBC urges the committee to account for funding efforts
to combat and reduce juvenile crime in efforts to rehabilitate
ex-offenders, as my colleague just so brilliantly set forth.
We urge full funding of the Second Chance Act, and much
needed assistance in increases for youth crime intervention
programs, and to account for the passage of the Youth PROMISE
Act.
The CBC strongly supports the President's request to
include $8.1 billion to strengthen vital nutrition program
during this terrible recession.
We urge the committee to budget for extensions to vital
programs like unemployment insurance, Medicaid, and the
Recovery Act's COBRA subsidy, and to include funds for a robust
reauthorization of the TANF Block Grants.
Let thank the committee again for the opportunity to share
the priorities of the Congressional Black Caucus. If there are
no objections I would like to submit detailed list for the
record.
The CBC has a broad range of priorities with a common
purpose to safeguard our shared values and to invest in an
America that will ensure opportunities and prosperity for
generations to come.
[The prepared statement of Barbara Lee follows:]
Prepared Statement of Hon. Barbara Lee, a Representative in Congress
From the State of California
Thank you Chairman Spratt, Ranking Member Ryan and the members of
the Budget Committee for giving me the opportunity to share with you,
the priorities of the Congressional Black Caucus for the FY 2011
Budget.
Let me also thank Congressman Bobby Scott and Congresswoman Gwen
Moore and every member of the CBC and their staffs for their work in
support of the CBC and our goals for this year's budget.
Mr. Chairman, a budget is moral document. It shines a light on what
the priorities of our government are. It also defines what we as a
community, as a society and as a nation hold dear.
That's why I am pleased that the CBC's budget priorities are a
reflection of our values and addresses many of the challenges that we
face as a nation.
While some are saying that the economy is in recovery it is clear
that we must do more to create more jobs and help struggling families
get back on their feet.
We must maintain our commitment to the families who are struggling
to find work, facing foreclosure, eviction and even homelessness.
We must especially focus on increasing support for the chronically
unemployed.
By all credible accounts, the Obama Administration and this
Congress saved our economy from total collapse under the weight of the
failed policies of the past.
But our budget must do more to help the American families who still
suffer the consequences of the ongoing economic crisis.
As the House Budget Committee begins to consider the President's
Fiscal Year 2011 Budget, the Congressional Black Caucus respectfully
highlights the following priorities that the Committee should consider.
A full list will be submitted for the record.
job creation and economic development
Our efforts at job creation must do more to specifically target the
chronically unemployed for opportunities for job training and
employment.
The solutions included in the budget must include worker training
and the use of existing federal programs that can target job creation
to those communities with the highest rates and longest history of
unemployment.
The budget must support the growth of a Green Energy Economy by
including the $275 million in dedicated funding passed by the House in
the Jobs for Main Street Act of 2009.
international affairs
The CBC recommends a larger increase for Function 150 to account
for additional aid for emergency relief, reconstruction and long term
development efforts in Haiti.
We also recommend that additional funds be allocated towards the
Global Fund to Fight AIDS, Tuberculosis and Malaria.
We will improve global peace and security by increasing funding for
USAID; migration and refugee assistance; peacekeeping efforts in
Darfur; international education, healthcare and cultural exchange
programs; child survival and health programs; and development
assistance.
national defense
The CBC supports reducing funding for the failed Ballistic Missile
Defense program and vigorously targeting waste, fraud and abuse at the
Defense Department.
healthcare
The CBC continues to support the President's call for health
insurance reform. The CBC urges the Budget Committee to account for the
cost and savings of health insurance reform with a public health
insurance option to ensure that the 45 million uninsured Americans
(four million of whom are children) have access to quality and
affordable healthcare.
justice programs
The CBC urges the Committee to account for funding efforts to
combat and reduce juvenile crime and efforts to rehabilitate ex-
offenders. We urge full funding of the Second Chance Act, much needed
increases in youth crime intervention programs and to account for
passage of the Youth PROMISE Act.
income security
The CBC strongly supports the President's request to include $8.1
billion strengthen vital nutrition programs during this terrible
recession.
We urge the Committee to budget for extensions to vital programs
like Unemployment Insurance, Medicaid, and the Recovery Act's COBRA
subsidy and include funds for a robust reauthorization of the Temporary
Assistance for Needy Families (TANF) block grant.
closing
Let me thank the committee again for the opportunity to share the
priorities of Congressional Black Caucus with you today and if there
are no objections I would like to submit a detailed list for the
record.
The Congressional Black Caucus has a broad range of priorities but
with a common purpose, to safeguard our shared values and to invest in
an America that will ensure opportunities and prosperity for
generations to come.
[Additional submission of Ms. Lee follows:]
Congressional Black Caucus (CBC) Priorities for the FY 2011 Budget
As the House Budget Committee begins to draft the Congressional
Budget Resolution for Fiscal Year 2011, the Congressional Black Caucus
highlights the following priorities:
job creation and economic development
The CBC urges Congress to utilize future jobs bills to expand
unemployment insurance and COBRA benefits; Locally-directed funding for
Summer Youth Employment and collegiate level apprenticeships and/or
fellowships; Create direct public job initiatives, involving the
Department of Labor Employment & Training Administration and the
Corporation for National and Community Service, to maximize direct
training and hiring; Enforce the minority contracting requirements
under the Department of Transportation; Promote equal access to funding
for Projects of National Significant and National Corridor grant in the
extension of SAFETEA-LU; include language access and culturally
competent staff for job programs; include disaggregated data
collection; and provide access to capital and technical assistance to
micro and small businesses.
We ask that the budget include funding for the On-the-Job Training
program in a future jobs bill and use the targeted approach to funding
and program distribution for the bill by incorporating Public Use
Microdata Areas (PUMA's) and/or other authorized approaches to identify
and target areas with poverty rates of 15 percent or higher or
unemployment of greater than 10 percent.
The CBC urges the Committee to ensure continued support for the
growth of a Green Energy Economy by including the $275 million in
dedicated energy efficiency and renewable energy training programs
(Green Jobs Act), funding passed by the House in the Jobs for Main
Street Act of 2009.
national defense
The CBC supports robust funding for our troops and America's
national defense. The CBC supports reducing funding for the failed
Ballistic Missile Defense program and reallocating those funds within
the Defense Department to fund increases in shipbuilding, troop
readiness, military and civilian pay, cancer research, and mental
health services.
However, the Defense Department is notoriously known for being one
of the more wasteful federal agencies. The CBC commends the President
for his continued efforts to reform and improve DoD procurement
practices and his commitment to end wasteful and redundant weapons
systems. The CBC has consistently fought for funding to weed out waste,
fraud and abuse within the Department of Defense. In 2001, the
Government Accountability Office made 3,099 recommendations to reduce
waste, fraud and abuse at the Department. According to a December 2009
report by the GAO, the Department has implemented 60.6% of the
recommendations. According to the GAO, the Department has decided to
not implement 12% of the recommendations and has yet to act on 27% of
them. The CBC encourages the Budget Committee to again include the
necessary funding for the Defense Department to implement the remaining
GAO recommendations and to provide justifications to the Congress on
each of their decisions not to implement the recommendations. The CBC
also recommends that the Committee provide the necessary funding for a
new GAO report on waste, fraud and abuse at the Department of Defense.
international affairs
The CBC commends the President for again requesting an increase of
nearly $8 billion for the Department of State and other international
programs in FY2011, which is a 15.6% increase over the enacted FY2010
level. However, the CBC recommends a larger increase for Function 150
to account for additional and much needed aid for emergency relief,
reconstruction and long term development efforts in Haiti. The CBC also
recommends that additional funds also be allocated towards the Global
Fund to Fight AIDS, Tuberculosis and Malaria; USAID; migration and
refugee assistance; peacekeeping efforts in Darfur; education,
healthcare and cultural exchange programs; child survival and health
programs; and development assistance.
As our combat presence in Iraq continues to wind down in FY 2011,
the CBC also urges the Budget Committee to further account for the need
to increase Iraqi humanitarian assistance in FY 2011. Since the
President has escalated U.S. military involvement in Afghanistan, the
CBC also urges the Committee to budget for additional humanitarian
assistance to Afghanistan.
income security
The CBC strongly supports the President's request to include $8.1
billion for discretionary nutrition programs, such as the Supplemental
Nutrition Assistance Program and WIC as well the $10 billion over 10
years to strengthen Child Nutrition and WIC Reauthorization
legislation.
We urge the Budget Committee to include extensions to vital
programs like Unemployment Insurance, Medicaid, and the Recovery Act's
COBRA subsidy. The CBC commends the President for including funds to
establish a practical, national asset limit floor across means-tested
human services, food, and cash assistance programs. We plan to continue
to work to help the millions of families who have been forced to
receive government assistance due to the economic downturn. As more and
more Americans lose their jobs, it makes little sense to force families
to drain their savings to the extent necessary to qualify for certain
temporary economic assistance programs.
The CBC also urges the Committee to consider including the
necessary budget authority to account for the cost of increasing the
federal minimum wage and indexing it to inflation. Finally, the
Committee should also consider the cost of redefining the Federal
Poverty Level, which is currently $22,050 for a family of four (100%).
The CBC urges the creation of a Decent Living Standard Threshold to
determine the amount of annual income that would allow an individual to
live beyond deprivation at a safe and decent, but modest, standard of
living.
The CBC also strongly urges that the Committee include funding to
accommodate the overdue reauthorization of the Temporary Assistance for
Needy Families (TANF) block grant. Due to the economic downturn and
subsequent rise in poverty, TANF, which was last reauthorized in the
Deficit Reduction Act of 2005 and has annually been flat funded since
its enactment in 1996, is in need of a substantial increase in funding.
Along with this increased funding, the CBC urges that the Committees of
jurisdiction work to reform this work-based program to adequately work
in a recession where there are very few jobs, expand access to basic
and post-secondary vocational education, expand eligibility, re-
evaluate time limits, expand access to supportive services like child
care, and increase the amount of cash assistance for TANF recipients.
housing programs
The housing crisis lies at the center of the economic problems we
face today. The CBC encourages the Committee to reverse eight years of
underfunding of the nation's affordable housing programs and we are
pleased that the Administration has proposed a HUD budget that
increases funding for the Department by 19 percent. We urge the
Committee to match this aggressive budget authorization and to support
large investments into the Community and Regional Development and the
Income Security functions in order to account for increases in
Affordable Housing programs.
Specifically, the Committee should consider including the necessary
budget authority to fund the Section 8 public housing operating subsidy
at 100% of need. In addition, the Committee must also consider
providing sufficient budget authority for the renewal of all Section 8
vouchers currently in use.
Although the public housing capital fund received an injection of
$4 billion in the American Recovery and Reinvestment Act, this only
represented 12.5 percent of the estimated $32 billion backlog in
deferred capital needs. The President's FY2011 Budget cuts the fund by
more than $450 million. The CBC urges the Committee to reject this cut
and to provide the necessary budget authority to meet deferred capital
needs.
The President's budget cuts the Supportive Housing for the Elderly
(Section 202) program by more than $550 million and the Supportive
Housing for Persons with Disabilities (Section 811) program by $210
million. The CBC strongly urges the Committee to reject these cuts.
These supportive housing programs are vital to millions of Americans
and should not be cut during an economic recession.
We urge the committee to continue our commitment to support the Low
Income Housing Tax Credit (LIHTC) program as the economic crisis has
undermined the intended funding source even as it increases the need
for more affordable housing. It is a vital tool for our affordable
housing community to leverage federal dollars to provide critically
needed housing and will create jobs, stimulate the economy and take
advantage of the window of opportunity created by the large drop in
housing prices.
The CBC urges the Budget Committee reject the President's $9.9
million cut from the Fair Housing Assistance Program (FHAP) and the
Fair Housing Initiatives Program (FHIP). These programs comprise the
federal government's primary expenditures at the state and local levels
on enforcing the nation's fair housing laws that combat housing
discrimination and ensure equal housing opportunities. The CBC believes
that sustained funding for this program is critically important as the
housing market slowly recovers.
Additionally, while the CBC supports the positive new programs,
such as Bank on USA and the National Healthy Food Financing Initiative
included in the President's proposals on CDFI's, we are concerned that
the recently enacted Capital Magnet Fund is being cut off during a
critical time for affordable housing. For many of the same reasons we
must continue to support the LIHTC programs, we must support the
Capital Magnet Fund. Programs that leverage federal dollars to create
public/private partnerships which invest in our most vulnerable
communities are absolutely critical, now more than ever.
justice programs
The CBC urges the Committee to account for funding efforts to
combat and reduce juvenile crime and efforts to rehabilitate ex-
offenders. The CBC urges the full funding of the Second Chance Act,
which provides transitional assistance to assist ex-offenders in coping
with the challengers of reentry. Removing barriers to reentry has
proven to reduce recidivism, which in the long run reduces crime. In
addition, the Committee should account for much needed increases in
youth crime intervention programs. The CBC also urges the Committee to
account for passage of the Youth PROMISE Act, a comprehensive gang and
youth violence prevention bill, and allocate funding at authorized
levels. Research has shown that targeting funding towards intervention
rather than incarceration is more effective at reducing crime and
saving the taxpayer money in the long run.
The CBC has always supported efforts to increase funding for the
Justice Assistance Program, the Juvenile Justice Program, Civil Rights
Enforcement, the COPS Program, the Byrne Justice Grant Program, and
State and Local Law Enforcement Assistance. The CBC urges the Committee
to account for sustaining many of the important increases for these
programs that were included in the American Recovery and Reinvestment
Act.
education
The CBC offers its full support to the President's budget request
for a $3 billion increase in K12 education programs as well as the
additional $1 billion promised to Congress by the President upon
passage of an overhaul of the Elementary and Secondary Education Act.
However, the CBC is concerned with the President's new focus on
competitive grant funding for education, his proposal to flat fund
Title I, and his increased emphasis on charter schools. In addition,
the CBC would like to see continued and sustained increases in
education funding, especially for Title I and IDEA.
The CBC wholeheartedly supports the President's continued efforts
to reform and expand the Pell Grant program.
The CBC also supports increases to Race to the Top and Promise
Neighborhoods. At the same time, we urge the Committee to account for
needed increases in funding for Head Start, TRIO (including Upward
Bound), GEAR UP, Youth Build, and vocational education programs. In
addition, the CBC urges the Committee to account for funding for
expanded grants to states for workplace and community transition as
authorized in the Higher Education Opportunity Act. These grants will
better assist and encourage incarcerated individuals who have obtained
a secondary school diploma or its recognized equivalent to acquire
educational and job skills.
Finally, the CBC urges the Committee to account for fully funding
the historic increases in funding for Historically Black Colleges and
Universities and Minority Serving Institutions authorized in the Higher
Education Act reauthorization enacted in 2008.
transportation
The CBC supports, in general, the Views and Estimates of the
Committee on Transportation and Infrastructure for FY 2011 urges that
programs within the jurisdiction of the Transportation and
Infrastructure Committee be funded at the authorized funding levels in
FY 2011. The Transportation and Infrastructure Committee's legislative
priorities this year include: authorization of surface transportation
programs; reauthorization of the Federal Aviation Administration, the
Economic Development Administration; selected provisions of the Clean
Water Act and the Comprehensive Environmental Response, Compensation,
and Liability Act, the Coast Guard, and the Federal Emergency
Management Agency; and enactment of a water resources development act.
The CBC urges that the Congressional Budget Resolution meet the
important funding needs identified by the Transportation and
Infrastructure Committee, to improve our nation's infrastructure and
transportation safety and ensure that vital services, such as those
provided by the Coast Guard, are maintained.
commerce
The CBC supports the inclusion of funding for the Minority
Institutions Digital and Wireless Technology Opportunity Act. The
primary focus of the Act is to award grants, contracts and cooperative
agreements to eligible institutions ``* * * to acquire equipment,
instrumentation, networking capability, hardware and software, digital
network technology , wireless technology, and infrastructure to further
the objective of the Program.'' Funding for technological updates is a
crucial step towards reducing the `digital divide' among African
Americans, Asian Americans, Latinos, Native Americans, and other
minority groups.
In addition, the CBC urges the Committee to account for increased
funding for the Small Business Administration and Minority Business
Development programs.
healthcare
The CBC continues to support the President's call for health
insurance reform. The CBC urges the Budget Committee to account for the
cost and savings of health insurance reform with a public health
insurance option to ensure that the 45 million uninsured Americans
(four million of which are children) have access to quality and
affordable healthcare.
In addition, the CBC urges the Committee to account for the
following:
Funding the Ryan White HIV/AIDS program at $2.307 billion
to support care and treatment programs at the local level to address
the needs of people living with HIV/AIDS. This includes a $2 million
increase in Part D funding that effectively prevents mother to child
transmission of HIV.
Funding for CDC Prevention activities for HIV, STD, TB and
Viral Hepatitis at $1.5 billion (an increase of nearly $500 million) to
fund testing initiatives and support innovative prevention efforts at
the local level.
Funding for Housing for people living with HIV/AIDS
(HOPWA) at $360 million an increase of $50 million to provide
supportive housing for people with AIDS.
Funding for comprehensive sex education programs that will
be authorized by the REAL Act with at least $50 million this year to
reduce spread of HIV and other sexually transmitted diseases and reduce
unintended pregnancies.
Adopt the Presidential request of $2.19 million in funding
for the National Center on Minority Health and Health Disparities at
NIH.
Reserve funding ($3.5 billion) for the Health Equity and
Accountability Act (not yet enacted).
Funding an increase of $12 million to the Title X family
planning program.
Adopt the President's request of $2.436 billion for
Community Health Centers.
Funding of $5.3 million for the Community Outreach
Demonstration Project that supports 17 community-based demonstration
sites in providing comprehensive care for newborns diagnosed with
Sickle Cell Anemia, and increase of $300,000.
Funding of $23 million for the Health Careers Opportunity
Program to assist individuals from disadvantaged backgrounds to receive
the education necessary to enter a health profession.
veterans
The House Budget Committee has shown a commitment to increased
funding for the Department of Veterans Affairs. Last year, with the
support of the CBC, Congress passed legislation that provided $50.6
billion in advanced appropriations for the V.A. medical care program so
that our veterans are not hindered by budget delays. The CBC commends
the President's budget for building upon the significant increases
appropriated to the V.A. since 2009 and sustaining those increases over
the next five years. The CBC urges the Committee to include this
increase and ensure that the necessary budget authority is available to
continue to account for the large increase in V.A. claims, the need to
hire more caseworkers to address the V.A. claims backlog, and to
adequately fund mental health services.
President Obama and Veterans Affairs Secretary Shinseki have
committed to an ambitious but achievable plan to end veterans
homelessness within five years. An integral part of meeting that
commitment is ongoing funding for HUD-VASH, a program that pairs HUD
Section 8 housing vouchers with intensive VA case management services,
to provide permanent supportive housing for severely disabled homeless
veterans. However, the President's Budget requests no funding for this
program in FY 2011. It is estimated that approximately 60,000 homeless
veterans will need HUD-VASH vouchers. Over the past three fiscal years,
Congress has appropriated $75 million a year for 10,000 new vouchers--
for a total of 30,000 vouchers. To continue moving towards the goal of
ending veterans' homelessness, the CBC urges the Budget Committee to
provide the necessary budget authority for these vouchers.
tax policy
The CBC has consistently advocated for the immediate repeal of the
2001 and 2003 Bush Tax Cuts that affect the top two income brackets.
The CBC commends the President for allowing these tax cuts for the
wealthiest Americans to expire at the end of 2010. The CBC also
supports the President's proposal to tax banks to recoup billions of
dollars in taxpayer money provided through the Troubled Asset Relief
Program. However, the CBC urges the Budget Committee to continue to
review inequities within the tax code that benefit the wealthiest
American families.
The CBC also urges the Committee to account for expanding the
earned income tax credit and child tax credit and make the increases in
the American Recovery and Reinvestment Act permanent.
additional economic recovery efforts
The American Recovery and Reinvestment Act has created or saved
more than one million jobs. However, unemployment in urban areas and
minority communities remains very high. The $15 billion Jobs bill
recently passed by the Senate is not adequately funded nor targeted
enough to alleviate the economic suffering in these communities. The
President's budget proposed funding for a $100 billion temporary jobs
initiative. In addition, the President has also requested $76 billion
for temporary extensions of policies currently in place to strengthen
the economic recovery, such as extending the Making Work Pay tax
credit, the COBRA health insurance subsidy, and temporary bones
depreciation provisions. The President's budget also requests an
additional $90 billion for the extension of various mandatory
initiatives, including a 6-month extension of FMAP relief to states,
the TANF Emergency Fund, unemployment benefits, and the $250 refundable
economic recovery payment to seniors and veterans. The CBC urges the
Committee to account for these proposals that will have a direct and
significant impact on urban and minority communities.
other priorities
Fully fund the Community Development Block Grant
Increased funding for the Public Housing Capital Fund to
continue to address eight years of stagnant funding under the Bush
Administration
Fully fund the Child Care and Development Block Grant
Fully fund the Social Services Block Grant
Increased funding for HOPE VI
Fully fund the Neighborhood Stabilization Program
Increased funding for the Affordable Housing Trust Fund
Support for the creation of a National Infrastructure Bank
Continued funding for Hurricane Katrina recovery and
rebuilding efforts
Increased funding for the Environmental Justice Small
Grants Program
Increased funding for the National Underground Railroad
Network to Freedom program at the National Park Service.
Restore funding and a revenue source for the Superfund
clean up
Mr. Etheridge [presiding]. Without objection that will be
included, and I thank the gentle lady for her comments and her
commitment to making life better for everybody.
Ms. Lee. Thank you so much.
Mr. Etheridge. Thank you much. And without objection the
Committee stands in recess subject to call of the chair.
[Recess.]
Mr. Etheridge. Calling this meeting back to order. I would
recognize the gentle lady from Florida, Ms. Kosmas for her
comments.
STATEMENT OF HON. SUZANNE KOSMAS, A REPRESENTATIVE IN CONGRESS
FROM THE STATE OF FLORIDA
Ms. Kosmas. Thank you Mr. Chairman. I want to thank the
Chairman and the Ranking Member and the Members of the
Committee for giving me this opportunity to address you
regarding an issue frankly that is of very serious importance
to me in my district and to the nation as a whole, not only as
a national security issue and an economic issue, but frankly an
issue in my mind that effects our ability to inspire a
generation coming now for 21st Century jobs and the kind of
economic security that this Nation needs and deserves.
This is about actually the human space flight program, and
we are in my district experiencing right now a transition of
our human space flight program from the space shuttle program
based on low earth orbit to a Next Generation Transportation
and Exploration Program, and frankly the President's proposal
in his budget to cancel the Constellation Program and proceed
with the retirement of the shuttle fleet with no clear plans or
goals for exploration has very far reaching implications. It
threatens our leadership in space, it leaves us without the
ability to independently launch Americans or to access the
International Space Station for an unknown amount of time, and
to devastate a unique world class workforce and industrial base
that will be very difficult for us to reassemble.
The impacts of this proposal will be felt by the entire
nation. Tens of thousands of high paying, highly skilled jobs
are on the line across the country at small, medium, and large
suppliers who support both the shuttle and the Constellation
Programs.
Our nation's economic prosperity and the national security
are also at stake, as I mentioned before, if we do not pursue
technological innovation and protect our unique capabilities,
we risk failing to inspire future generations of scientists and
engineers, for NASA missions have inspired untold numbers of
Americans to pursue science technology, engineering, and math.
Congress must signal to the Administration as well as to
industry and our international partners, as well as future
generations of rocket scientists and explorers, that we will
not cede our leadership in space or here on earth. We must make
the commitment to funding a robust human space flight program
if we want to ensure our nation's future as the leader in
technology and innovation.
While there is much debate over the future direction of our
space program there is an area of consensus, and that is that
among the members, the President, and the community, and that
is the need to extend the life of the International Space
Station through at least 2020. Nearly complete after a decade
of construction the International Space Station now holds great
promise as a national laboratory that will benefit all
Americans, and I urge you to budget the funds necessary to
extend its life and operation.
However, there is only one existing vehicle with the
capability to deliver certain pieces of hardware that would
enable this longer life span of the International Space
Station, maintain continued U.S. independent access to space
and to ensure the station's research mission is maximized to
the fullest extent possible, and that is the space shuttle.
I am currently drafting legislation with colleagues in both
houses that would spread out the four remaining shuttle
missions and potentially add a certain number of additional
flights following a review by NASA of hardware that will be
essential to maintaining the station.
I believe that as we debate long-term future of our human
space program it is prudent to take steps to ensure that the
space shuttles can continue to operate in order to fully
support and service the International Space Station. This
action will also help to preserve the highly skilled workforce
and operational expertise that will be needed for the next
generation program.
I urge you to include in the fiscal year 2011 budget
resolution 1.2 billion in additional funds for the Space
Shuttle Program above the President's request, to possibly
spread out the remaining manifest, and to add missions such as
STS 135, as well as 100 million in additional funds for the
International Space Station in order to provide for the
procurement of additional hardware.
Our Human Space Program is as I said before a national
treasure. It has served as a source of inspiration, innovation,
and pride for scientists and engineers and for all of America,
and it has accelerated the development of technologies that
improve lives here on earth and it has greatly contributed to
our nation's economic and national security.
We should take steps to protect our strategic capabilities,
including the Shuttle Program and its highly skilled workers
while Congress debates the President's budget proposal and the
future of our Space Program.
Thank you very much.
[The prepared statement of Suzanne Kosmas follows:]
Prepared Statement of Hon. Suzanne M. Kosmas, a Representative in
Congress From the State of Florida
Chairman Spratt, Ranking Member Ryan and Members of the Committee--
thank you for allowing me the opportunity to address you regarding an
issue of great importance not only to my district, but to the nation as
a whole--the transition of our human space flight program from the
space shuttle program based in low-Earth orbit to a next generation
transportation and exploration program.
The President's proposal to cancel the Constellation program and
proceed with the retirement of the shuttle fleet, with no clear plans
or goals for exploration, will have far-reaching implications--it will
threaten our leadership in space, leave us without the ability to
independently launch Americans or access the International Space
Station for an unknown amount of time, and devastate a unique, world-
class workforce and industrial base that will be difficult to
reassemble.
The impacts of this proposal would be felt by the entire nation.
Tens of thousands of high-paying, highly-skilled jobs are on the line
across the country at small, medium, and large suppliers who support
both the Shuttle and Constellation programs. Our nation's economic
prosperity and national security will also be at stake if we do not
pursue technological innovation and protect our unique capabilities.
And we risk failing to inspire future generations of scientists and
engineers--for NASA's missions have inspired untold numbers of
Americans to pursue STEM fields.
Congress must signal to the Administration--as well as to industry,
our international partners, and future generations of rocket scientists
and explorers--that we will not cede our leadership in space--or here
on Earth. We must make the commitment to funding a robust human space
flight program if we want to ensure our nation's future as the leader
in technology and innovation.
While there is much debate over the future direction of our space
program, there is one area of consensus among Members, the President,
and domestic and international scientific communities--and that is the
need to extend the life of the International Space Station (ISS)
through at least 2020. Nearly complete after a decade of construction,
the ISS now holds great promise as a National Laboratory that will
benefit all Americans and I urge you to budget the funds needed to
extend its operation.
However, there is only one existing vehicle with the capability to
deliver certain pieces of hardware that will enable a longer lifespan
of the ISS, maintain continued U.S. independent access to space, and
ensure the station's research mission is maximized to fullest extent
possible--and that is the space shuttle.
I am currently drafting legislation with colleagues in both houses
that would spread out the four remaining shuttle missions and
potentially add a certain number of additional flights following a
review by NASA of hardware that will be essential to maintaining the
station. I believe that as we debate long-term future of our human
space program, it is prudent to take steps to ensure the Space Shuttles
can continue to operate in order to fully support and service the ISS.
This action will also help to preserve the highly-skilled workforce and
operational expertise that will be needed for the next generation
program.
I urge you to include in the FY11 budget resolution $1.2 billion in
additional funds for the space shuttle program above the President's
request, to possibly spread out the remaining manifest and add
missions, such as STS-135, as well as $100 million in additional funds
for the International Space Station in order to provide for the
procurement of additional hardware.
Our human space program is a national treasure. It has served as a
source of inspiration for young scientists and engineers, it has
accelerated the development of technologies that improve lives here on
Earth, and it has greatly contributed to our nation's economic and
national security. We should take steps to protect our strategic
capabilities--including the shuttle program and its highly-skilled
workers--while Congress debates the President's budget proposal and the
future of our human space flight program.
Mr. Etheridge. Thank you, gentle lady and thank her very
much for her comments, and it will be included in the record.
Thank you, ma'am.
Ms. Kosmas. Thank you so much, appreciate the opportunity.
Mr. Etheridge. I now recognize the gentleman from Florida,
Mr. Posey for five minutes.
STATEMENT OF HON. BILL POSEY, A REPRESENTATIVE IN CONGRESS FROM
THE STATE OF FLORIDA
Mr. Posey. Thank you, Mr. Chairman, I would like to echo
the comments of my colleague, Congresswoman Kosmas, and I
appear before the Committee today to ask that you include
sufficient funding for NASA to accomplish two specific
missions.
First, to fly the shuttle through fiscal year 2011
including at least two missions, one of which would be to
launch the Alpha Magnetic Spectrometer, and second, sufficient
funding to continue the development of the Constellation
Program.
The NASA proposal outlined by the Administration several
weeks ago is seriously lacking in vision and mission. It
appears to have been developed on the fly with little
coordination with public and private stakeholders.
Just one glaring example is NASA's surprising decision to
terminate the Constellation program. The Air Force last year
indicated that Constellation's delay would adversely impact our
military solid-rocket-motor industrial base. One can only
assume that the Administration's proposal to cancel
Constellation would be devastating for national security.
NASA fails to fully understand, or at least obviously does
not take into consideration the much broader military,
industrial, and economic implications of their proposals. It
would be irresponsible for Congress to embrace this plan
without further scrutiny.
NASA was placed on hold last year as the Augustine
Committee undertook a review of our nation's Space Flight
program. The Augustine report made clear, what many of us
already knew, if America is to have a robust space exploration
program it must have a budget to match it.
That, my friends, is the essential question before you and
this Congress. Are we going to have a robust space program and
continue down the path forged by John F. Kennedy or are we
going to return to the days of Sputnik when the United States
took a back seat. Are we going to cede space to Russia and
China?
Apollo 7 astronaut Walter Cunningham said the
Administration's proposal, ``accelerates America's downward
spiral toward mediocrity in space exploration.'' Apollo 17
astronaut Harrison Schmitt said the plan would, and I quote
``cede the Moon to China, the American Space Station to
Russia, and assign liberty to the ages. Other nations would
accrue the benefits--psychological, political, economic, and
scientific--that the United States harvested as a consequence
of Apollo's success 40 years ago. This lesson has not been lost
on our ideological and economic competitors.'' End of quote.
Will the future that this Committee sets for our nation be
bold or will it be mediocre? Bold demands a rejection of the
Administration's plan. Our space program has generated
thousands of inventions and spin offs that have been translated
directly into the creation of tens of thousands of jobs right
here in America that have contributed to our economic
dominance.
The Administration makes two high risk mistakes. Number
one, they bet our nation's entire space program on yet unproven
commercial vendors. While I hope that commercial vendors will
one day be able to get us there, we should not bet the whole
program on that unproven hope.
Number two, the Administration puts Russia in the driver's
seat by relying solely on them to get our astronauts to the
space station and back safely.
According to the Augustine Committee and information I have
received from NASA and contractors, the annual cost of flying
the shuttle may cost up to one billion for two flights per
year, much less than generally expected. For a budget equal to
a fraction of one percent of the stimulus, we can extend the
shuttle for another year or two and provide a smoother
transition for thousands of Americans who rely on our space
program for the well being at a time when our unemployment rate
is at its highest in three decades.
Extending the shuttle through fiscal year 2011 is essential
if we are to accommodate the launch of the Alpha Magnetic
Spectrometer, which may not be ready until the spring of 2011,
several months beyond the Administration's arbitrary December
31st, 2010 deadline for the last shuttle launch.
Providing sufficient funding for Constellation will ensure
that we do not abandon the investments already made. To that
end we should work to see that the space gap is minimized. Let
us heed the words of space pioneer Gene Cernan, the last human
to walk on the moon, who said just last week, ``Now is the time
for wiser heads in Congress to prevail. Now is the time to
overrule mediocrity. Now is the time to be bold, innovative,
and wise in deciding how we invest in the future of America.''
Thank you very much, Mr. Chairman.
[The prepared statement of Bill Posey follows:]
Prepared Statement of Hon. Bill Posey, a Representative in Congress
From the State of Florida
Chairman Spratt, Ranking Member Ryan, Members of the Committee:
Thank you for the opportunity to testify today. You have likely already
heard a great deal about the President's FY 2011 budget request for the
National Aeronautics and Space Administration (NASA). Today, I appear
before this Committee to ask that the Committee provide NASA with
sufficient resources to continue Shuttle operations through at least
Fiscal Year 2011, sufficiently fund Constellation and see that the
space gap between the two is minimized. I am here to tell you why this
is the wisest policy.
The plan for human space flight, as outlined by the Administration,
is significantly lacking in detail and appears to have been developed
with little or no coordination with public and private stakeholders.
One glaring example is NASA's announced decision to seek
termination of the Constellation program. This decision will adversely
impact our nation's solid-rocket-motor industrial base, which is
critical to our military. In a report from last June to the Congress,
the Air Force said that delays in the Constellation program could have
significant negative impact on the industrial base. When questioned
about this issue last week, Air Force Secretary Donley testified that
``we have a challenge on the solid-rocket-motor industrial base and on
the booster industrial base.''
NASA is making the decision in a vacuum, and does not fully
understand, or at least obviously does not take into consideration, the
much broader military, industrial, and economic implications. The plan,
and I use that term lightly, demands considerably more discussion and
public scrutiny. I am very concerned that they continue to develop this
plan ``on the fly'' and that it is irresponsible for the Congress to
embrace it without considerably more input from all the stakeholders.
Over the course of the last year we lost precious time in charting
a course for the future for our nation's human space flight program.
NASA remained without an Administrator for much of the year, and NASA
was essentially placed on hold as the Augustine Committee undertook a
review of our nation's human space flight program. All the while NASA
continued to approach the impending retirement of the Shuttle fleet.
Over the years, the Constellation program continued to be underfunded.
The Augustine Committee report made clear what many of us already
knew: If America is to have a robust space exploration program it must
have a budget to match it. That, my friends, is the essential question
before you and this Congress. Are we going to continue to have a robust
space program and continue on the path forged by John F. Kennedy? Or,
are we going to return to the days of Sputnik, when the United States
took a back seat to space exploration. Are we going to cede space to
Russia and China? Apollo 7 astronaut Walter Cunningham recently said
that the Administration's proposal ``accelerates America's downward
spiral toward mediocrity in space exploration.''
I think Apollo 17 astronaut and former U.S. Senator Harrison
Schmitt summarized it best last week when he wrote that this proposal
``would cede the Moon to China, the American Space Station to Russia,
and assign liberty to the ages. Other [nations] would accrue the
benefits--psychological, political, economic, and scientific--that the
United States harvested as a consequence of Apollo's success 40 years
ago. This lesson has not been lost on our ideological and economic
competitors.''
It is my sincere hope that it will not be lost on this Congress
either. This Committee is the one that will take the first step
regarding the President's NASA budget. I urge you, my colleagues, to
think about the future we are building for our children and
grandchildren. Will it be a future where we do mediocre things or will
it be one where we embark to accomplish bold things?
Some have suggested that this is a question of jobs. That is true.
The lives of tens of thousands of Americans will be disrupted if the
Administration's proposal is adopted. There will be 10,000 direct jobs
and according to a recent economic impact assessment as many as 23,000
jobs will be lost--almost immediately--in my district and that of Rep
Suzanne Kosmas to my north. We are still waiting on a current NASA
Workforce Transition Strategy report. The Consolidated Appropriations
Act of 2008 requires NASA to produce this strategy every six months;
the last one Congress received is from July of 2009. This is further
evidence of a failure to plan for the future and follow Congressional
intent. We need a better landing and a smoother transition for our
nation's premier space launch workforce. This is a highly skilled
workforce that cannot be replaced, and will be lost if we travel down
the proposed path.
Space exploration touches the life of every American. Our space
program has generated thousands of inventions and spinoffs that have
translated directly into the creation of tens of thousands of jobs
right here in America. If we accept the Administration's plan, we will
be abandoning a robust space program. They may protest that it is not
abandonment, but that is exactly what it is. And, as a result we will
lose these future benefits, and we will see China, Russia, India and
others become the beneficiaries of a robust and superior space program.
Countless products in our homes, offices, cars and airplanes owe
their existence or widespread use to space exploration. Yet we often
take for granted cell phones, GPS, carbon monoxide detectors, Velcro,
lithium batteries, and advanced weather forecasting, just to name a
few. We will be compromising advanced micro-gravity research. It is no
doubt that our space program leads to cutting edge, high-skilled jobs
and inspires the leaders of tomorrow to study Science, Technology,
Engineering and Mathematics (STEM) fields. Among great human
achievements, space exploration is inspiring in a way like no other.
Under the current plan, NASA is betting our nations' entire space
program on yet unproven commercial vendors. I am very supportive of
commercial, but I am concerned about sole reliance on entrepreneurs for
the short-term. NASA has taken the mistaken step of once again putting
Russia in the critical path for our research on the International Space
Station. We saw how this almost jeopardized the ISS from the very
outset and raised the cost of the ISS.
The Committee should also be aware that retiring the Shuttle will
generate far less in savings that what has generally been believed.
This is due to several factors. By abandoning the Shuttle prior to
fulfilling our commitments to fly foreign astronauts to the ISS through
2020, NASA will incur hundreds of millions in costs associated with
purchasing seats for foreign astronauts on Russian vehicles--a price
Russian Space Agency officials just said they would raise once they are
the only game in town. Also, hundreds of millions of dollars in
infrastructure costs will not turn into savings as many assume, but
rather those costs will continue to recur but from an accounting
perspective will be assigned to another account.
According to the Augustine Committee, and information I have
received from NASA, the annual cost of flying the Shuttle may cost up
to about $1.3 billion for two flights per year. However, that cost can
be cut significantly based on discussions with the contractors who
currently operate the Shuttle for NASA. I would ask the Committee
provide sufficient funding to allow up to two shuttle flights in Fiscal
Year 2011 for the many reasons I have outlined for you. Thus, for a
budget equal to a fraction of one percent of the stimulus, we can
extend the Shuttle for one year and provide a smoother transition for
our nation's space program and tens of thousands of dedicated workers.
Furthermore, although the Shuttle's current manifest includes four
remaining launches, NASA needs to act now to assure that even these
missions are completed. NASA's current, inflexible policy on flying the
Shuttle beyond calendar year 2010 jeopardizes the last scheduled
Shuttle mission, which would transport the Alpha Magnetic Spectrometer
(AMS) to ISS. It is my understanding that this mission may not be ready
until spring of 2011, beyond NASA's arbitrary deadline. Fully funding
Shuttle operations through FY 2011 will not only provide for smoother
transition, but it will ensure that our commitments to our
international partners regarding the AMS are fully met. Absent the
Shuttle, there is no means of getting AMS to the ISS. Let's also
remember that Endeavor just completed its 24th mission. It was designed
for 100 missions.
In addition to extending Shuttle operations, the Committee should
provide sufficient funding to continue with the Constellation program.
It makes little sense to abandon Constellation given the investments
already made and the termination costs estimated to be in the range of
$2.5 billion. We had a successful test flight of the Ares 1-X rocket in
October and are building on that success.
Congress must act today to save our space program. The plan
presented by the Administration has gaping holes and is not ready for
prime time. They need to go back to the drawing board and the Congress
needs to join with the voices of our nation's space pioneers like Gene
Cernan, the last human to walk on the moon, who said last week, ``Now
is the time for wiser heads in Congress to prevail. Now is the time to
overrule * * * mediocrity. Now is the time to be bold, innovative and
wise in deciding how we invest in the future of America.''
We have a come a long way since Alan Shepard became the first
American in space in 1961. I urge you, my colleagues, to work together
to ensure that our 50 years of leadership in space is not abandoned.
America is looking to us for leadership.
Mr. Etheridge. I thank the gentleman for his comments that
are well taken by this Committee, and appreciate it very much
and it will be entered into the record.
Mr. Posey. Thank you.
Mr. Etheridge. Thank you. If the gentle lady from Illinois
would like to go ahead we will move her up in the order since
our previous speaker is not here. Mrs. Halvorson, you are
recognized for five minutes.
STATEMENT OF HON. DEBORAH HALVORSON, A REPRESENTATIVE IN
CONGRESS FROM THE STATE OF ILLINOIS
Mrs. Halvorson. I appreciate that, Mr. Chairman. Thank you
Mr. Chairman, Ranking Member Ryan, and Members of the Committee
on the Budget for the opportunity to testify today regarding
the budget resolution for fiscal year 2011.
I just want to take a few minutes to talk about funding for
the water infrastructure in the fiscal year 2011 budget.
My district covers parts of eight counties in Illinois and
includes urban, suburban, and rural communities. Whenever I am
back in my district and visiting all of these communities, one
of the issues I fear or hear--I fear I hear because it is all
the same--I hear about most often is water infrastructure.
Mayors and other local elected officials tell me about the
urgent need to upgrade existing waterways and drinking water
systems in their communities. So the need is especially urgent
in smaller towns in the rural areas of my district.
As Members of Congress it is our responsibility to stand up
for the needs of our constituents and the communities we
represent, and that is why there are most urgent needs.
Water infrastructure is not a Democrat or a Republican
issue, it is an area where we can come together across the
aisle and deliver real results. My office receives more funding
requests for water infrastructure than any other project. These
projects include replacement of wastewater treatments plants
and drinking water systems and installation and upgrade for
collector sewers, storm sewers, and sewer pipes. The towns in
my district urgently need to complete these projects, but lack
financial resources to do so. That is why federal funding for
water infrastructure is so critical.
And I was pleased that the American Recovery and
Reinvestment Act included $6 billion in total funding for the
Clean Water and Drinking Water State Revolving Funds. These
programs help states optimize or capitalize low interest loans
to help the communities fund much needed water infrastructure
improvements.
Congress should build on the progress made by the Recovery
Act by continuing to fund EPA's water infrastructure programs
at robust levels.
The President's fiscal year 2011 budget proposal increases
funding for STAG by approximately 14 percent, but it reduces
the budget authority for Clean Water SRF and Drinking Water SRF
compared to fiscal year 2010 levels.
So I urge the Committee on the Budget to at least maintain
budget authority for these programs at 2010 levels, or even
consider including an increase.
While I understand the need to bring some fiscal discipline
to our budget process, we can't ignore our country's
infrastructure needs.
So I look forward to working with you and making this
happen. Thank you, Mr. Chairman, for allowing me to be here and
thank you for considering my requests.
[The prepared statement of Deborah Halvorson follows:]
Prepared Statement of Hon. Deborah L. Halvorson, a Representative in
Congress From the State of Illinois
Thank you Chairman Spratt, Ranking Member Ryan, and members of the
Committee on the Budget for the opportunity to testify today regarding
the Budget Resolution for Fiscal Year 2011.
I want to take a few minutes to talk about funding for water
infrastructure in the Fiscal Year 2011Budget.
My district covers parts of eight counties in Illinois and includes
urban, suburban, and rural communities.
Whenever I'm back in my district and visiting all of these
communities, one of the issues I hear about most often is water
infrastructure.
Mayors and other local elected officials tell me about the urgent
need to upgrade aging wastewater and drinking water systems in their
communities.
The need is especially urgent in smaller towns in the rural areas
of my district.
My office receives more funding requests for water infrastructure
than any other project.
These projects include replacement of wastewater treatments plants
and drinking water systems and installation and upgrade of collector
sewers, storm sewers, and sewer pipes.
The towns in my district urgently need to complete these projects,
but lack the financial resources to do so.
That's why federal funding for water infrastructure is so critical.
I was pleased that the American Recovery and Reinvestment Act
included $6 billion in total funding for the Clean Water and Drinking
Water State Revolving Funds.
These programs help states capitalize low interest loans to help
communities fund much need water infrastructure improvements.
Congress should build on the progress made by the Recovery Act by
continuing to fund the EPA's water infrastructure programs at robust
levels.
The President's Fiscal Year 2011 Budget proposal increases funding
for STAG by approximately 14%, but it reduces budget authority for
Clean Water SRF and Drinking Water SRF compared to Fiscal Year 2010
levels.
I urge the Committee on the Budget to at least maintain budget
authority for these programs at 2010 levels, or even consider including
an increase.
While I understand the need to bring some fiscal discipline to our
budget process, we can't ignore our country's infrastructure needs.
Failure to address them will result in public health hazards in
communities in my district and throughout the country.
It will also hinder the ability of these communities to attract new
economic development.
Robust investment in modern water infrastructure will help these
communities provide a good quality of life and economic opportunity for
their citizens.
Chairman Spratt and Ranking Member Ryan, thanks again for your
consideration of my input, I yield back the balance of my time.
Mr. Etheridge. I thank the gentle lady for her testimony
and certainly those are issues that are critical not only to
her district but to this country.
Mrs. Halvorson. Thank you.
Mr. Etheridge. And with that the Committee will stand in
recess.
[Recess.]
Mr. Etheridge. The Committee now resumes and we welcome the
gentleman from California, the Chairman of the Veterans
Committee, Mr. Filner, for such comments that he will make and
you are recognized for five minutes.
STATEMENT OF HON. BOB FILNER, A REPRESENTATIVE IN CONGRESS FROM
THE STATE OF CALIFORNIA
Mr. Filner. Thank you, Mr. Chairman, and we appreciate of
course the work that this committee does for all of us in the
Congress.
Our Committee, the Committee on Veteran's Affairs supports
the President's historic budget request with an additional
recommendation of $571 million for needed investments in VA
infrastructure and to address concerns raised during our budget
hearing last month.
This year's budget, as you know, is the first submitted in
accordance with the advanced appropriations legislation that
was enacted last year, and that we all supported. The
President's request for VA medical care, which was appropriated
last year, requests $48.2 billion, an increase of 8.3 percent.
This year's budget requests the same funding level for fiscal
year 2011, and includes an estimate for VA medical care for
fiscal year 2012 of an additional $2.8 billion above the levels
of fiscal year 2011 levels.
We recommend an additional $221 million for medical care in
the Medical Facilities account to fund non-recurring
maintenance at the levels that we had in fiscal year 2010
levels.
We are also recommending $60 million above the President's
request in order to provide for increases due to biomedical
inflation and to ensure that VA research receives the
appropriated support it needs and does not need to rely on
over-optimistic estimates of so-called third-party funding.
For our construction accounts, the Committee is
recommending an additional $165 million for Minor Construction,
that is for projects under $10 million, and we recommend $90
million for Grants for Construction of State Extended Care
Facilities. This additional funding will help reduce the
backlog of our Priority 1 projects, that is those high-priority
projects where state monies are already in place, and we also
recommend an additional $5 million for the Grants for
Construction of State Veterans Cemeteries.
In addition, we recommend an additional $12 million for the
Inspector General, $18 million for additional vocational
rehabilitation and employment counselors, and $3 million in
additional funding for the Education division.
Overall, the President's budget requests a total funding
level of $60.3 billion, which is nearly an 8 percent increase
over fiscal year 2010. We recommend a total funding level of
$60.9 billion, and the Independent Budget, which is a budget
put together by the various veteran service organizations as a
way to have that outside input, has recommended slightly
higher, $61.5 billion.
And this is important, Mr. Chairman. Building on our
commitment to increase investments to bolster VA construction
and infrastructure spending, the Committee's Views and
Estimates will also include a recommendation, sort of off
budget, of an additional $700 million in infrastructure
spending if Congress moves forward with a new round of
legislation to address the economic crisis in jobs.
This additional funding, I want to point out, would be
targeted to projects already identified and almost shovel ready
by the VA and meet current needs, and that is if we pass a
stimulus bill. We have, I think, a very good already identified
set of projects that could use, as we said so, $700 million.
We support the President's budget with additional
investment spending, and we also want to work closely with you
of course and the Appropriations Committee as you move forward
to ensure the fiscal year 2012 funding is sufficient.
We thank you for all the work that you do on behalf of the
Congress and the United States.
[The prepared statement of Bob Filner follows:]
Prepared Statement of Hon. Bob Filner, a Representative in Congress
From the State of California
The Committee on Veterans' Affairs supports the
President's historic budget request and recommends an additional $571
million for needed investments in VA infrastructure and to address
concerns raised during our budget hearing last month.
This year's budget is the first submitted in accordance
with the advance appropriations legislation that was enacted last year,
and that we all supported.
The President's request for VA medical care, which was
appropriated last year, requests $48.2 billion, an increase of $3.7
billion or 8.3%. This year's budget requests the same funding level for
FY 2011 and includes an estimate for VA medical care for FY 2012 of an
additional $2.8 billion above FY 2011 levels.
The Committee is recommending an additional $221 million
for medical care in the Medical Facilities account to fund non-
recurring maintenance at FY 2010 levels.
The Committee is also recommending $60 million above the
President's request in order to provide for increases due to biomedical
inflation and to ensure that VA research receives the appropriated
support it needs and does not need to rely on over-optimistic estimates
of third-party funding.
For the VA's construction accounts, the Committee is
recommending an additional $165 million for Minor Construction (which
provides funding for projects costing less than $10 million). We
recommend $90 million for Grants for Construction of State Extended
Care Facilities. This additional funding will help reduce the backlog
of Priority 1 projects (those high-priority projects where State monies
are already in place). We also recommend an additional $5 million for
the Grants for Construction of State Veterans Cemeteries.
The Committee is also recommending an additional $12
million for the Inspector General and $18 million for additional
vocational rehabilitation and employment counselors and $3 million in
additional funding for the Education division.
Overall, the President's budget requests a total funding
level (with collections) of $60.3 billion, a $4.3 billion increase over
FY 2010 (a nearly 8% increase). The Committee is recommending a total
funding level of $60.9 billion. The Independent Budget has recommended
$61.5 billion
Building on our commitment to increase investments to
bolster VA construction and infrastructure spending, the Committee's
Views and Estimates will also include a recommendation of an additional
$700 million in infrastructure spending if Congress moves forward with
a new round of legislation to address our economic crisis. This
additional funding would be targeted to projects already identified by
the VA and meet current needs.
The Committee's recommendation supports the President's
budget, adds additional investment spending and provides the VA the
resources it needs in the coming year. We will also work closely with
you and our colleagues on the Appropriations Committee as the process
moves forward to ensure that FY 2012 funding is sufficient to meet the
health care needs of veterans.
The Committee's recommendation, and the President's
budget, makes needed investments to VA's infrastructure and research
efforts to improve health care quality and access while we take steps
to ensure that the historic funding increases provided to veterans'
programs since the start of the 110th Congress are spent wisely.
Thank you, Mr. Chairman and Members of the Committee.
Mr. Etheridge. Thank the gentleman. And as someone who
represents your great post at Fort Bragg and Pope Field and a
VA center rather adjacent to it, we thank you for your
testimony, and certainly there is a great need for our men and
women who are returning and those who have served this country
over the years. Thank you, and we appreciate your testimony.
Mr. Filner. Thank you, sir.
Mr. Etheridge. We now would recognize the gentle lady from
Ohio, Ms. Sutton, for five minutes. Thank you for being here
this morning.
STATEMENT OF HON. BETTY SUTTON, A REPRESENTATIVE IN CONGRESS
FROM THE STATE OF OHIO
Ms. Sutton. Thank you, Mr. Chairman, for the opportunity to
testify before the Budget Committee today. I am very proud to
have served on the Budget Committee in 2007 in my first year of
Congress, and I am pleased to join you today to speak about the
budget issues of importance to Ohio's 13th Congressional
District.
The budget is a moral document that reflects the priorities
and values of our nation, and the 2011 budget builds on the
Recovery Act by focusing on long-term economic recovery and job
creation, which is critically important to the people that I
serve.
Today I would like to discuss a few of the programs that
are vital to those I represent.
I urge the Committee to support the $420 million, the same
level as enacted last year, for the Staffing for Adequate Fire
and Emergency Response Grant Program, and $420 million for the
Assistance to Firefighters Act Grants. Now more than ever these
grant opportunities are important to prevent the layoffs of
needed firefighters and to ensure that our fire departments
will have the equipment necessary and the training necessary to
keep us in our communities safe.
And I support the President's request for an almost 50
percent increase in community-oriented policing services, also
known as COPS funding, which will add an additional 50,000
police officers to our streets. Every day our first responders
are in our communities providing essential services and keeping
our families safe.
We need a budget that recognizes, Mr. Chairman, the need
for job creation that will provide funding for research and
development and support programs to ensure that our workers
have the education and skills necessary for the jobs of the
future. And I support the President's increase of 6.4 percent
for research and development.
To give an example of how important this is to our district
and to our future, the University of Akron is a world leader in
polymer research, and now is the home of the nation's first
bachelor's degree program in corrosion engineering, and the
cost of corrosion in the United States is an astounding $260
billion a year. That is right, we lose $276 billion a year to
corrosion, and we can mitigate it thanks to the research and
the investments that are going on in this area.
Research investments in these areas lead to job creation,
marketable technologies. And in the case of corrosion
mitigation, immense savings for the U.S. government and
taxpayers.
With the Recovery Act the U.S. had made significant
progress on battery materials, including the development of new
lithium ion batteries, and we should continue to provide robust
funding for advanced battery manufacturing in the United States
to further help jump start a new multi-billion dollar industry
which will provide great potential for those I represent.
I also urge the Committee to support an additional $25
million for the Advanced Technology Vehicles Manufacturing
Incentive Program. This program provides low cost loans to auto
companies for investments in engineering, component production,
and the retooling of existing factories to manufacture new
advanced technology vehicles such as hybrids, plug in hybrids,
advance diesel and fuel cell cars. Clean energy means American
jobs now and in the future. It is not a question of jobs or the
environment, it is a question of jobs and the environment. We
must take care of both.
Manufacturing in the United States creates jobs, and I urge
the Committee to fully fund the Manufacturing Extension
Partnership. This program has helped create or retain over 419
jobs in my district alone over the last four years, and it is
the only national initiative to support, strengthen, and grow
U.S. manufacturing.
During these challenging economic times state and local
organizations also need resources to invest in and expand
economic opportunities for low income families, and the
Community Development Block Grants provide those resources. I
cannot stress enough the positive impact these grants have had
in my congressional district, and I urge the Committee to
support the President's request of $4.4 billion for the
Community Development Fund.
I am also pleased to support an increase of 20 percent
since 2009 in funding for the Veterans Administration, and I
support the President's request for $800 million in funding to
help end veteran homelessness.
I was inspired to go into public service by the work of
Mitch Snyder who fought tirelessly to end homelessness for our
veterans. No American, especially a veteran, should ever have
to live without a roof over his head or her head. The nearly 1
million veterans in Ohio and 24 million nationwide deserve
nothing less than our full support, and I support the
President's request of $5.2 billion for mental healthcare for
veterans, an increase of 8.5 percent over the 2010 enacted
level.
Far too many of our servicemembers return from Iraq and
Afghanistan with post traumatic stress disorder and traumatic
brain injury. Taking care of our servicemembers, veterans and
their families, especially in times of war, is of the utmost
importance.
And Americans need quality, affordable healthcare
regardless of income, age, employment, gender, or pre-existing
condition. In Ohio alone there are over 1.3 million people
without health insurance, and since I was here last year that
number has increased by 100,000 people. Our nation, our
businesses, and our citizens cannot continue to function in our
dysfunctional healthcare system, and as one who has served on
this esteemed Committee I know it is difficult to balance the
competing priorities before you, but I urge you, as you do so,
keep the needs of working families in mind as you make those
decisions. We cannot afford to turn our backs on hard-working
Americans and those who want to work during these challenging
economic times.
Thank you for the opportunity to appear before you today,
Mr. Chairman.
Mr. Blumenauer [presiding]. Without objection the Committee
stands in recess subject to the call of the Chair.
[Recess.]
Mr. Blumenauer. Mr. Walz, welcome.
STATEMENT OF HON. TIM WALZ, A REPRESENTATIVE IN CONGRESS FROM
THE STATE OF MINNESOTA
Mr. Walz. Thank you, Mr. Chairman, I appreciate the
opportunity for being here. I wanted to thank you as the acting
Chairman, Chairman Spratt, and Ranking Member Ryan for the work
you do. Critically important and I personally, as a
constituent, am happy for the work you do.
I want to just mention a couple things. Last year I came
and testified especially dealing with veterans' issues, and I
will talk a little bit more in the future. Many, many good
things are happening, even at a time of great economic
distress. And I think about a year after I was here last time
testifying watching the changes that we have made, just
yesterday in my home State of Minnesota they released numbers,
15,600 new jobs created in January. That is the largest
increase in over five years.
While things are not out of the woods yet, there are signs
that things are starting to move in the right direction.
This budget has to continue to balance our short-term focus
on economic recovery, while at the same time bringing about
long-term economic transformation that will put us back on a
path of fiscal responsibility.
I am personally encouraged by the comments the President
has made in his budgets on both of these fronts, and I
appreciate that he recognizes we need to make tough choices to
get our house back in order.
I want to take a minute to touch on something, it has
become a hot topic nowadays, it is something that I have been
concerned about quite a while, and I know this Committee has,
and that is the issue of debt and deficit. I am pleased this
year that we passed, and the President signed into law,
statutory PAYGO. This was the same policy that was in effect
the last time we had a balanced budget under President Clinton,
and I believe it is a good first step.
I am also pleased that the President's proposal saves $23
billion in fiscal year 2011 by cutting or eliminating 120
programs that aren't performing. It also invests increased
oversight and accountability and reduces improper payments at
all levels of government. This has the potential to save tens
of billions of dollars.
While I believe it is a good first step, I believe there is
much more to be done. I believe the only way we will ever find
solutions to the pressing and difficult question is to put our
partisanship aside and work across the aisle to solve this,
that is why I am pleased the President has established a
bipartisan Deficit Commission.
I would also like to personally thank Speaker Pelosi for
her commitment to bringing these recommendations for a vote on
the House floor, it is something I believe needs to be done.
Ultimately, we can't wait to kick this one down the road and it
needs to be solved now.
The second thing I would like to touch on and thank this
Committee and all of Congress, as a Member of the House
Veterans' Affairs Committee and a 24 year veteran myself, the
commitment that has been made over the past two congresses to
providing the highest quality of care and access to our
veterans is unprecedented. Anyone can stand around and say they
support veterans and stand in front of them at ceremonies, but
standing behind them fulfilling our moral obligation is
something that this Congress is beginning to do.
That budget is not just a fiscal document, it is a moral
document, and it is never more true than with our veterans. I
have consistently said I believe we need to balance our budget.
We can't do it on the backs of veterans.
The President's proposal continues the recent record of
strong funding for our veterans and improved access to care. It
continues our investment ensuring that soldier's transition
seamlessly from the DoD to the VA when they return home, and
makes sure the VA works more efficiently for future
generations.
I am looking forward to continuing to work with Secretary
Shinseki and Gates to make sure that our servicemen and women
can get the best care possible.
One area that we could be doing more is in the VA Office of
the Inspector General. The VA's OIG has the weakest oversight
of any agency due to the lack of funding. At the same time
every one dollar that the OIG spends it nets $38 in savings
through reducing fraud, waste, and abuse. If we could plus up
that budget making sure the OIG had the resources necessary, we
will make sure that the resources this Congress puts forward
will be delivered towards veterans.
Again, Mr. Chairman, I thank you for the work you do in
this Committee, look forward to working with colleagues on
tackling this, and I am absolutely convinced that this budget
is going in the right direction. Thank you.
[The prepared statement of Tim Walz follows:]
Prepared Statement of Hon. Timothy J. Walz, a Representative in
Congress From the State of Minnesota
Chairman Spratt, Ranking Member Ryan, members of the Committee on
the Budget, thank you for the opportunity to testify here today. I
appreciate the very important work that you do and I am honored to be
able to contribute in a small way today by sharing with you some of the
issues that are important to me and that I am focused on this year.
Last year, I commented that Congress was crafting and considering a
budget in the midst of the worst economic crisis in a generation. Now,
a year later, we are starting to see signs of economic recovery. Just
yesterday, my home state of Minnesota that we've created 15,600 jobs in
January, the largest increase since 2005 and our unemployment rate
continues to drop.
These are all encouraging signs, but we are not out of the woods
yet.
This budget has to continue to balance our short term focus on
economic recovery, while at the same time bringing about a long-term
economic transformation that will put us back on the path to fiscal
responsibility. I am encouraged by the commitments the President's
budget makes on both of these fronts and I appreciate that he
recognizes that we need to make tough choices to get our fiscal house
back in order.
I want to take a minute to touch on something that has become a
very hot topic in Washington these days, but something that I have been
concerned about for quite some time and that is our debt and deficit.
I am pleased that this year, we passed and the President signed
into law statutory PAY-GO.
This was the same policy that was in effect the last time we had a
balanced budget under President Clinton and I believe it is a good
first step to put us back on the road to fiscal discipline.
I am also pleased that the President's proposal saves $23 billion
in Fiscal Year 2011 by cutting or eliminating 120 programs that just
are not smart investments. It also invests in increased oversight and
accountability to reduce improper payments at all levels of government.
This has the potential to save taxpayers tens of billions of dollars
per year.
While I believe these are all good first steps, I believe we will
have to do more. I believe the only way we will ever find solutions to
this pressing and difficult issue is to put partisanship aside and work
across the aisle to make hard, but necessary choices.
That is why I am pleased the President has established a bi-
partisan Deficit Commission. I have personally asked Speaker Pelosi to
commit to bringing the recommendations the commission gives us to a
vote on the House floor and I am please she has done so.
Ultimately, we cannot wait for our kids and our grandkids to solve
this problem. When I think about my own kids and the students I taught
at Mankato West High School, I know we cannot just kick the can down
the road.
The second thing I want to touch on is veterans' issues. As a
member of the House Veterans' Affairs Committee and a 24-year veteran
myself, ensuring that our veterans have access to the highest quality
benefits and care is one of my top priorities.
Of course, anyone can say they support veterans but looking at our
funding priorities is how you tell whether we're putting out money
where our mouth is and fulfilling our moral obligation to our veterans.
Our budget is not just a fiscal document, it is a moral document and
that is especially true when we are talking about our nation's
veterans.
I have consistently said that while I believe we need to balance
our budget, we must not do it on the backs of our veterans.
The President's proposal continues the recent record of strong
funding for our veterans community to improve access to care and
eliminate the claims backlog. It continues our investment in ensuring
that soldier's transition seamlessly from DOD to the VA when they
return home and that the VA works more efficiently for future
generations. I am looking forwarding to continuing to work with
Secretary Shinseki and Secretary Gates to make sure that our servicemen
and women get the best possible care.
One area where we could be doing more is with VA Office of the
Inspector General. VA's OIG has the weakest oversight to agency staff
ration in the federal government. At the same time, every $1 spent on
the OIG nets $38 in savings through reducing waste, fraud, and abuse.
By investing more in OIG, we could not only make the VA more efficient,
but we could free up additional funding to ensure that we fulfill our
responsibility to those who have put their lives on the line in service
our country.
Thank you again for the opportunity to testify here today and thank
you again for the work you are doing on behalf of our country.
Mr. Blumenauer. Thank you. Deeply appreciate your time and
your testimony. Congressman McMahon.
STATEMENT OF HON. MICHAEL McMAHON, A REPRESENTATIVE IN CONGRESS
FROM THE STATE OF NEW YORK
Mr. McMahon. Thank you, Mr. Chairman, and I want to thank
you for providing me this opportunity to testify before you
today. And I want to give you a special thanks and also to
Chairman Spratt for your continued leadership and your work to
help get us back on a path towards fiscal responsibility
through your work here on the Budget Committee.
As you know, Mr. Chairman, I have been an outspoken
advocate for addressing the mental health needs of our
returning soldiers, all of our returning warriors. The brave
men and women in our armed forces continue to be placed in
harm's way in Iraq, Afghanistan, and other foreign theaters.
And we know that the least we can do to thank these brave
warriors, the sailors, the airmen, the soldiers, the marines,
is to take care of them when they get home.
I applaud the President's latest budget for taking steps in
addressing the needs of our veterans' mental health, but it
doesn't go far enough. In December 2009, I, along with my good
friend Congressman Tom Rooney, sent a letter to the President
recommending a $750 million increase in veterans' mental health
funding for fiscal year 2011.
I come here today, Mr. Chairman, to urge this Committee to
incorporate in your budget resolution an increase in support
for veterans' mental health by $750 million above what was
allocated by the Congress in fiscal year 2010, and to work with
the appropriators to accomplish this critical funding level.
Over the last year, I have worked closely with the
Administration to promote better healthcare for our
servicemembers, including improved mental health counseling and
a targeted response by the United States Department of Defense
to deal with the record numbers of suicides by active duty
servicemembers. President Obama, The Department of Defense, and
the Department of Veterans' Affairs have all stated that the
mental health of our vets is one of their top priorities.
My first piece of legislation in Congress was H.R. 1308
that we introduced, the Veterans' Mental Health Assessments and
Screenings Act. This bill mandates in person post-deployment
mental health screenings for all servicemembers returning from
active duty to defeat the stigma of seeking help for Post
Traumatic Stress Disorder and Traumatic Brain Injury.
Despite the wide, bipartisan support this bill received and
its inclusion in the fiscal year 2010 Defense Authorization,
the rates of suicide are growing.
As Members of Congress, we have unfortunately become
accustomed to hearing about the lack of assistance our
servicemen and women receive as they silently suffer from
invisible injuries such as PTSD and TBI. Last year there were
over 340 active duty and reservist suicides; we lost more
veterans to suicides in 2009 than we lost men and women in
combat. This is a disgrace, Mr. Chairman. It is unacceptable to
those who lay their lives on the line for our country, to their
families, and ultimately to the American people, and this
problem will only get worse as tens of thousands of our troops
come home from Iraq and Afghanistan in the next few years.
We worked to secure additional support for mental health
funding in last year's defense budget, increased the mental
health force in the military, and formed the Invisible Injuries
Caucus to get our colleagues more involved on these issues, but
we have been told time and time again that the main obstacle
that stands in the way of bringing down the rate of solider
suicides is the need for additional resources from Congress to
hire more mental health professionals for screenings and
treatments.
Increased funding will allow the Department of Defense to
move away from numerous pilot programs and provide a consistent
and comprehensive post deployment screening program
administered by trained mental health professionals.
I commend the Administration for showing a commitment to
our active duty Members with their fiscal year 2011 budget
request that focuses on overhauling the transition process from
the military to civilian life.
The President's proposal will provide some funds for our
local VA hospitals and equip them with resources and staff to
address veterans' needs. It also will help expand inpatient,
residential, and outpatient mental health programs with an
emphasis on integrating mental health services with primary and
specialty care. But with two active wars, the mental health
needs of our vets are growing so fast that the President's
proposal barely scratches the surface on giving our vets the
care they so rightfully have earned and deserve.
The additional $750 million I am requesting now will allow
the DoD and VA to be proactive in screening for PTSD and
intervening early on in order to prevent chronic problems and
reduce the skyrocketing rate of soldier suicides.
Through all of this, I think we can agree that prevention
is the key, so I look forward to crafting an enhanced suicide
prevention campaign targeted at educating active duty members,
veterans and their families. Education is the only way we can
reduce the stigmas associated with seeking help with mental
injuries. It is one of our most solemn obligations as Members
of Congress to improve the lives of the men and women who have
sacrificed so much for our country.
Our budget is a statement about priorities. As you prepare
the budget resolution, Mr. Chairman, that will guide the debate
in the months ahead, I urge you to increase the budget by $750
million to fund veterans' mental health. Our servicemen and
women have defended their country with honor and we owe them
the best benefits and services available.
I thank you for your attention and for your dedication in
putting together that list of priorities so important for our
Nation known as our budget.
Thank you, sir.
[The prepared statement of Michael McMahon follows:]
Prepared Statement of Hon. Michael E. McMahon, a Representative in
Congress From the State of New York
Chairman Spratt, Ranking Member Ryan, thank you for providing this
opportunity for me to testify before you today. I would like to offer a
particular thank you to Chairman Spratt for your continued leadership,
and your work to help get us back on a path towards fiscal
responsibility.
As you know, I have been an outspoken advocate for addressing the
mental health needs of our returning soldiers. The brave men and women
in our armed forced continue to be placed in harm's way in Iraq,
Afghanistan, and other foreign theaters. And we know that the least we
can do to thank these brave soldiers, sailors, airmen, marine is to
take care of them when they get home.
I applaud the President's latest budget for taking steps in
addressing the needs of our veterans' mental health. But it doesn't go
far enough. In December 2009, I, along with my good friend Congressman
Tom Rooney, sent a letter to the President recommending a $750 Million
increase in veterans' mental health funding for FY 2011.
I come here today to urge this committee to incorporate in your
budget resolution, an increase in support for Veterans' Mental health
by $750 million above what was allocated by the Congress in FY 2010,
and to work with the appropriators to accomplish this critical funding
level.
Over the last year, I have worked closely with the Administration
to promote better healthcare for our service members, including
improved mental health counseling and a targeted response by the United
States Department of Defense to deal with the record numbers of
suicides by active duty service members. President Obama, The
Department of Defense, and the Department of Veterans' Affairs have all
stated that the mental health of our vets is one of their top
priorities.
My first piece of legislation in Congress was HR 1308, the
Veterans' Mental Health Assessments and Screenings Act. This bill
mandates in person post-deployment mental health screenings for ALL
service members returning from active duty to defeat the stigma of
seeking help for Post Traumatic Stress Disorder (PTSD) and Traumatic
Brain Injury (TBI).
Despite the wide, bi-partisan support this bill received and its
inclusion in the FY10 Defense Authorization, the rates of suicide are
growing.
As members of Congress, we have unfortunately become accustomed to
hearing about the lack of assistance our service men and women receive
as they silently suffer from invisible injuries such as PTSD and TBI.
Last year, there were over 340 active-duty and reservist suicides;
we lost more veterans to suicides in 2009 than we lost men and women in
combat.
This is a disgrace. It is unacceptable to those who lay their lives
on the line for our country, to their families and, ultimately to the
American people.
And this problem will only get worse as tens of thousands of our
troops come home from Iraq and Afghanistan in the next few years.
We worked to secure additional support for mental health funding in
last year's defense budget, increased the mental health force in the
military and formed the Invisible Injuries Caucus to get our colleagues
more involved on these issues.
But we have been told time and time again that the main obstacle
that stands in the way of bringing down the rate of solider suicides is
the need for additional resources from Congress to hire more mental
health professionals.
Increased funding will allow the DoD to move away from numerous
``pilot programs'' and provide a consistent and comprehensive post
deployment screening program administered by trained mental health
professionals.
I commend the administration for showing a commitment to our active
duty service members with their FY2011 budget request that focuses on
overhauling the transition process from the military to civilian life.
The President's proposal will provide some funds for our local VA
hospitals and equip them with resources and staff to address veterans'
needs. It also will help expand inpatient, residential, and outpatient
mental health programs with an emphasis on integrating mental health
services with primary and specialty care.
But with two active wars, the mental health needs of our vets are
growing so fast that the President's proposal barely scratches the
surface on giving our vets the care they so rightfully have earned and
deserve.
The additional $750 I am requesting now will allow the DoD and VA
to be proactive in screening for PTSD and intervening early on in order
to prevent chronic problems and reduce the skyrocketing rate of soldier
suicides.
Through all of this, I think we can agree that prevention is the
key, so I look forward to crafting an enhanced suicide prevention
campaign targeted at educating active duty members, veterans and their
families. Education is the only way we can reduce the stigmas
associated with seeking help with mental injuries.
It is one of our most solemn obligations as Members of Congress to
improve the lives of the men and women who have sacrificed so much for
our country. Our budget is a statement of our priorities.
As you prepare the budget resolution that will guide the debate in
the months ahead, I urge you to increase the budget by $750 million to
fund veterans' mental health. Our service men and women have defended
their country with honor and we owe them the best benefits and services
available.
Thank you again for the opportunity to testify.
Mr. Blumenauer. Thank you. We deeply appreciate your time
and your insights.
Mr. McMahon. Likewise.
Mr. Blumenauer. Congressman Tonko.
Mr. Tonko. Chairman Blumenauer.
Mr. Blumenauer. How are you?
Mr. Tonko. Very well, thank you.
Mr. Blumenauer. Welcome.
STATEMENT OF HON. PAUL TONKO, A REPRESENTATIVE IN CONGRESS FROM
THE STATE OF NEW YORK
Mr. Tonko. Thank you very much. Chairman Blumenauer, I want
to thank you for offering me this opportunity to speak here
this afternoon. I represent the twenty first Congressional
District of New York, also known as the Capital Region. The
area is home to many towns which saw a boom during the first
industrial revolution. However, since those times, we have seen
a dwindling population in response to more and more companies
closing or moving overseas.
In recent years, one of our prime focuses has been
promoting research companies and funding to help revive the
Capital Region and all of Upstate New York. Even with the
recent revival, we still have work to do when it comes to
transforming our region back into an innovation powerhouse, as
it was when GE was founded in Schenectady, NY or ``the electric
city.''
To successfully accomplish this goal, we must see
additional federal funding in the areas of energy, of
infrastructure, of community development, and certainly of
public health programs. It is time that Washington fully
invests in the sciences and works to truly promote an energy
agenda. It is often quoted that ``a crisis is a terrible thing
to waste.''
Mr. Chair, we have a crisis in this country. Our country's
energy system is in shambles and it is time for us to lay out
the blueprint for a bold new vision here in the United States.
I believe that the budget should do much more to provide
funding to the Department of Energy to increase funding for
research, development, demonstration and deployment of energy
efficiency, renewable energy, smart grid, and advanced vehicle
technologies.
I would recommend that the House budget resolution include
robust funding for Function 270, consistent with the
President's budget proposal. We need to drill and mine energy
efficiency like we currently drill for oil and mine for coal;
investment focused on demand-side energy solutions rather than
simply through supply-side, which can be carried out by
increased funding in areas such as the Energy Efficient Block
Grant Program.
As we did during the Space Race so many years ago, we must
turn towards innovation and leadership on the energy front to
lead the world again. We can effectively become the standard
bearer in energy policy and energy sources by ensuring that we
increase funding for research and development to put
investments towards advanced energy programs, including
advanced battery and storage programs.
For decades, upstate urban cores in New York State, once
the center of bustling economic and manufacturing activity,
have been slowly eroding away. Urban areas in my congressional
district, such as Albany, Troy, Schenectady, and Amsterdam, to
name a few, served as the engine for our upstate's economy and
growth. However, for decades these cities have sat in a state
of disrepair as the population moves away and businesses have
dwindled.
For the sake of our economy, environment,and the
preservation of culture and architecture, we must commit
funding to rebuild our aging infrastructure and funding to
preserve our most historical places.
Water and sewer infrastructure investments are crucial to
redevelop our urban centers. Many of the towns in my district
have water and sewer infrastructure which is over 80 years old.
For safety, security, and developmental needs, it is critical
that we replace these systems. Local taxpayers cannot bear the
entire burden of upgrading this essential infrastructure. Many
are living in communities that have seen a declining tax base.
New systems encourage both economic and population growth in
urban areas that would then rebuild that declining tax base.
Besides rebuilding aging infrastructure in our urban areas
we must also preserve sites that are historically significant.
Doing so will increase community spirit as well as generate
much needed tourism dollars.
A new U.S. Cultural and Heritage Tourism Marketing Council
and the U.S. Department of Commerce study revealed that
cultural heritage travelers contribute more than $192 billion
annually to the United States economy.
That is why for the fiscal year 2011 budget I support
increased funding for the National Heritage Area Program
through the Heritage Partnership Program of the National Park
Service. Increased funding, which is at least equal to last
year's level would preserve the ability of the National
Heritage Areas to continue their work to sustain partnerships
that foster job creation and economic, cultural, historic,
environmental, and community development.
In addition to providing increased funding for fiscal year
2011, I want to take this time to encourage my colleagues in
Congress to work with me to find additional revenue streams for
these vital programs, ongoing revenue streams that will provide
stability and certainty to the work they do.
I also ask that the committee reject the language in the
President's fiscal year 2011 budget proposal as it would impose
stifling limitations on NHAs, the Heritage Areas.
Most alarming is the language that would change the current
distribution of funds used to support all 49 congressionally
authorized National Heritage Areas by eliminating support to 22
of them.
I also consider the arts a very important part of not only
the education of our children, but also our American cultural
fabric. This sector of the economy has traditionally been
supported by philanthropic donations, as well as by state and
federal dollars. Unfortunately, because of the economic
downturn, many art programs have seen their donations plummet,
forcing them to lay off employees and reduce services.
This is why I ask that Congress respectfully increase
support for the Office of Museum Services within the Institute
of Museum and Library Services program. Museums are a vital
part of our communities and our educational infrastructure.
Each year museums provide more than 18 million instructional
hours to schoolchildren and educators and spend more than $14.5
billion in their communities. They are economic engines
employing more than a half million Americans, spurring local
tourism and contributing to the cultural fabric of our nation.
Lastly, we must increase federal funding for the Community
Mental Health Services Block Grant, which is the single largest
federal funding source for mental health programs. It is
dedicated to improving state and local mental health safety net
systems and serves over 6 million Americans each year. In these
difficult economic times more Americans are losing their health
insurance coverage and more states are facing major deficits
and impending budget cuts. Adults and children with mental
health issues are accessing the public mental healthcare system
in greater numbers, and state mental health authorities are
reporting an increased demand for their services. At the same
time, many states are being forced to cut mental healthcare
funding because of the economic downturn.
Just as we should make federal investments into programs
that can improve our economy, we must also make investments
into programs that improve the health of our nation and her
people.
Again, I want to thank you Chairman, and the entire
committee, for the opportunity to allow me to come before you
today and present some of my highest priorities.
Thank you.
[The prepared statement of Paul Tonko follows:]
Prepared Statement of Hon. Paul D. Tonko, a Representative in Congress
From the State of New York
Chairman Spratt, Ranking member Ryan, respected members of the
committee, I want to sincerely thank you for giving me the opportunity
to speak here today. I represent the twenty first congressional
district of New York, also known as the Capital Region. The area is
home to many towns which saw a boom during the first industrial
revolution. However, since those times, we have seen a dwindling
population in response to more and more companies closing or moving
overseas. In recent years, one of our prime focuses has been promoting
research companies and funding to help revive the Capital Region and
all of Upstate New York.
Even with the recent revival, we still have work to do when it
comes to transforming our region back into an innovation powerhouse, as
it was when GE was founded in Schenectady, NY or ``the electric city.''
To successfully accomplish this goal, we must see additional federal
funding in the areas of energy, infrastructure, community development,
and public health programs.
It is time that Washington fully invests in the sciences and works
to truly promote an energy agenda. It is often quoted that ``a crisis
is a terrible thing to waste.'' Mr. Chairman, we have a crisis in this
country. Our country's energy system is in shambles and it is time for
us to lay out the blueprint for a bold new vision here in the United
States.
I believe that the budget should do much more to provide funding to
the Department of Energy to increase funding for research, development,
demonstration and deployment of energy efficiency, renewable energy,
smart grid, and advanced vehicle technologies. I would recommend that
the House Budget Resolution include robust funding for Function 270--
consistent with the President's budget proposal.
We need to drill and mine energy efficiency like we currently drill
for oil and mine for coal; investment focused on demand-side energy
solutions rather than simply through supply-side, which can be carried
out by increased funding in areas such as the Energy Efficient Block
Grant Program.
As we did during the Space Race so many years ago, we must turn
towards innovation and leadership on the energy front to lead the world
again. We can effectively become the standard bearer in energy policy
and energy sources by ensuring that we increase funding for Research &
Development to put investments towards advanced energy programs--
including advanced battery and storage programs.
For decades, upstate urban cores, once the center of bustling
economic and manufacturing activity, have been slowly eroding away.
Urban areas in my district, such as Albany, Troy, Schenectady and
Amsterdam, to name a few, served as the engine for our upstate's
economy and growth. However, for decades these cities have sat in a
state of disrepair as the population moves away and businesses have
dwindled. For the sake of our economy, environment and the preservation
of culture and architecture, we must commit funding to rebuild our
aging infrastructure and funding to preserve our most historical
places.
Water and sewer infrastructure investments are crucial to redevelop
our urban centers. Many of the towns in my district have water and
sewer infrastructure which is over 80 years old. For safety, security
and developmental needs, it is critical that we replace these systems.
Local taxpayers cannot bear the entire burden of upgrading this
essential infrastructure. New systems encourage both economic and
population growth in urban areas.
Besides rebuilding aging infrastructure in our urban areas, we must
also preserve sites that are historically significant. Doing so will
increase community spirit as well as generate much needed tourism
dollars. A new U.S. Cultural and Heritage Tourism Marketing Council and
the U.S. Department of Commerce study revealed that cultural heritage
travelers contribute more than $192 billion annually to the U.S.
economy.
That is why for the fiscal year 2011 budget I support $18 million
for the National Heritage Area Program through the Heritage Partnership
Program of the National Park Service (NPS). This funding, which is
equal to last year's level, would preserve the ability of the National
Heritage Areas (NHAs) to continue their work to sustain partnerships
that foster job creation and economic, cultural, historic,
environmental, and community development. I also ask that the committee
reject the language in the President's FY 2011 budget proposal as it
would impose stifling limitations on NHAs. Most alarming is the
language that would change the current distribution of funds used to
support all 49 congressionally authorized National Heritage Areas by
eliminating support to 22 of them.
I also consider the arts a very important part of not only the
education of our children, but also our American culture. This sector
of the economy has traditionally been supported by philanthropic
donations, as well as by state and federal dollars. Unfortunately,
because of the economic downturn, many art programs have seen their
donations plummet, forcing them to lay off employees and reduce
services. This is why I ask that Congress increase support for the
Office of Museum Services (OMS) within the Institute of Museum and
Library Services (IMLS) program.
Museums are a vital part of our communities and educational
infrastructure. Each year, museums provide more than 18 million
instructional hours to schoolchildren and educators and spend more than
$14.5 billion in their communities. They are economic engines--
employing more than a half million Americans, spurring local tourism
and contributing to the cultural fabric of our nation.
Lastly, we must increase federal funding for the Community Mental
Health Services Block Grant (CMHSBG), which is the single largest
federal funding source for mental health programs. It is dedicated to
improving state and local mental health safety net systems and serves
over six million Americans each year.
In these difficult economic times, more Americans are losing their
health insurance coverage, and more states are facing major deficits
and impending budget cuts. Adults and children with mental health
issues are accessing the public mental health care system in greater
numbers, and state mental health authorities are reporting an increased
demand for their services. At the same time, many states are being
forced to cut mental health care funding because of the economic
downturn. Just as we should make federal investments into programs that
can improve our economy, we must also make investments into programs
that improve the health of our nation.
Again, I want to thank Chairman Spratt, Ranking Member Ryan and the
rest of the committee for allowing me to come in today.
Mr. Blumenauer. We appreciate your presentation and your
thoughtfulness, it is very helpful.
Mr. Tonko. Thank you, Chairman.
Mr. Blumenauer. Congressman Quigley.
STATEMENT OF HON. MIKE QUIGLEY, A REPRESENTATIVE IN CONGRESS
FROM THE STATE OF ILLINOIS
Mr. Quigley. Thank you, Mr. Chairman. Never been on this
side of pushing the buttons.
I want to thank the Chairman and Members of the committee
for the opportunity to testify today.
Our nation is on an unsustainable fiscal path. Taking into
account widely expected policy changes the CBO projects that by
2035 the public debt will be almost twice the amount of our
entire GDP. By 2050 it projects that the public debt will be
more than three times the amount of GDP. While there are those
who hold great disdain for our government, I think that our
government's mission matters. Government can improve people's
lives and keep them safe. Government's mission matters and that
is precisely why our national debt is so troubling.
If we can't get our finances in order how can we ask
taxpayers to trust us with their hard earned dollars? How can
we ask taxpayers to tighten their belts when your balance sheet
is so unbalanced?
To earn the public's trust, our government needs to be more
transparent, more accountable, and more honest, and it all
begins with our budget. We need to fix the short side of
accounting that massively underestimates the cost of spending
programs. The ten-year budget window is too easily gamed. A
measure for which costs escalate in year 2011 can be called
budget neutral while it was not.
We need to consider the net present value of spending
measures that escalate in cost outside the budget window. We
also need to adopt accrual, a standard for private business as
well as state and local governments. Like what is done in the
financial report of the U.S.
By taking into account the promises made yesterday to spend
tomorrow we can provide a more accurate picture of our fiscal
position.
If Greece were obligated to use full and honest accounting
to budget its 2001 currency swap deal with Goldman Sachs it
would not have been able to hide its deteriorating finances
behind an upfront payment on the exchange.
Similar budgetary gimmickry here at home prevents us from
properly evaluating our own finances. We also need to expand
the scope of the budget to include implicit government
guarantees of GSEs like Fannie Mae and Freddie Mac, as well as
other financial exposures. We need to bring tax expenditures
onto the federal budget by recording them as simultaneous
collections and outlays. Only by capturing the scope of tax
expenditures, nearly $1.2 trillion in redistributed revenue,
can we gain an honest and accurate picture of government.
These are only the first steps, but unless we reinvent the
way government does business and get our finances in order we
won't be nearly as successful in achieving our other
priorities.
Finally, we need debt reduction targets in place to
demonstrate our seriousness about tackling the debt problem.
Even if we can't agree on how to reduce our debt to GDP ratio,
we should all come to a consensus on achievable targets.
That is why next week I am introducing a ``Sense of the
House'' Resolution establishing sustainable debt and deficit
targets. I urge you to join me in co-sponsoring this
resolution, especially if you believe that government's mission
matters. The best way to achieve better healthcare coverage or
a stronger national defense is to restore the public's trust in
government, and that means making government more transparent,
more accountable, and more honest.
Again, thank you for your time.
[The prepared statement of Mike Quigley follows:]
Prepared Statement of Hon. Mike Quigley, a Representative in Congress
From the State of Illinois
Mr. Chairman--thank you for the opportunity to testify today.
Our nation is on an unsustainable fiscal path.
Taking into account widely expected policy changes, the CBO
projects that by 2035 the public debt will be almost twice the amount
of our entire GDP.
By 2050, it projects that the public debt will be more than three
times the amount of GDP.
While there are those who hold great disdain for our government--I
believe that government's mission matters.
Government can improve people's lives and keep them safe.
Government's mission matters, and that's precisely why our national
debt is so troubling.
If we can't get our finances in order, how can we ask taxpayers to
trust us with their hard-earned dollars?
How can we ask taxpayers to tighten their belts when our balance
sheet is so unbalanced?
To earn the public's trust, our government needs to be more
transparent, more accountable, and more honest.
And it all begins with our budget.
We need to fix the short-sighted accounting that massively
underestimates the cost of spending programs.
The 10 year budget window is too easily gamed--a measure for which
costs escalate in year 11 can be called budget neutral, but it is not.
We need to consider the net present value of spending measures that
escalate in cost outside the budget window.
We also need to adopt accrual accounting--the standard for private
business as well as state and local governments, and what's used in the
Financial Report of the U.S.
By taking into account the promises made yesterday to spend
tomorrow, we can provide a more accurate picture of our fiscal
position.
If Greece were obligated to use full and honest accounting to
budget its 2001 currency swap deal with Goldman Sachs, it wouldn't have
been able to hide its deteriorating finances behind an upfront payment
on the exchange.
Similar budget gimmickry here at home prevents us from properly
evaluating our own finances.
We also need to expand the scope of the budget to include implicit
government guarantees of GSEs like Fannie Mae and Freddie Mac, as well
as other fiscal exposures.
And we need to bring tax expenditures onto the federal budget--by
recording them as simultaneous collections and outlays.
Only by capturing the scope of tax expenditures--nearly $1.2
trillion in redistributed revenue--can we gain an honest and accurate
picture of government.
These are only first steps.
But unless we reinvent the way government does business and get our
finances in order, we won't be nearly as successful in achieving our
other priorities.
Finally, we need debt reduction targets in place--to demonstrate
our seriousness about tackling the debt problem.
Even if we can't all agree on how to reduce our debt to GDP ratio,
we should all come to a consensus on achievable targets.
That's why, next week, I'm introducing a ``Sense of the House''
resolution establishing sustainable debt and deficit targets.
I urge you to join me in cosponsoring this resolution, especially
if you believe that government's mission matters.
The best way to achieve better health care coverage or a stronger
national defense is to restore the public's trust in government--and
that means making government more transparent, accountable, and honest.
Thank you for your time.
Mr. Blumenauer. Thank you. Great observations and we
appreciate you joining us. Congressman McGovern.
STATEMENT OF HON. JAMES McGOVERN, A REPRESENTATIVE IN CONGRESS
FROM THE STATE OF MASSACHUSETTS
Mr. McGovern. Thank you very much. And Mr. Chairman, I want
to thank the committee for this opportunity to testify about
the fiscal year 2011 budget resolution.
As a member of the Budget Committee, I understand the
difficult fiscal and budgetary constraints facing us this year
and in the immediate future. It is important, therefore, that
we outline clearly in the budget resolution the most important
priorities for our country and its economic recovery, and for
our people, especially those who are most vulnerable.
Mr. Chairman, as you know, I am committed to ending hunger
in America and around the world. I believe we can end hunger,
but we haven't yet mustered the political will to do so.
We need to fully fund the President's Global Food Security
Initiative, and that means robust funding for the International
Affairs 150 account. Domestically, despite the budgetary
difficulties facing us, increasing funding for programs like
school breakfasts and lunches, and after school and summer
meals is something we simply must do. It is an investment in
the health of our nation, not just the physical health of our
citizens, but our economic health. Hunger and poor nutrition
among children translates into lost productivity and
significant healthcare costs throughout the lifetime of an
adult.
Mr. Chairman, we need to take dramatic action and address
the growing number of children who rely on discounted and free
meals during the school year and summer months.
I commend President Obama for including a $1 billion
increase in funding for the Child Nutrition Programs in his
fiscal year 2011 budget. It is a bold step, it is a necessary
step if we are indeed going to provide more breakfasts, more
after school snacks, and more summer meals to children.
Along with expanding these programs so they reach currently
eligible children, we must also focus on improving the
nutritional quality of the food served at school and provided
through all our federal child nutrition programs.
While the USDA has laid out principles for the Child
Nutrition Reauthorization Act, it has not yet provided the kind
of detailed legislative language or a detailed budget estimate
for these improvements. In fact, our colleague on the Budget
Committee and Chair of the Agriculture Appropriations
Subcommittee, Congresswoman Rosa DeLauro, recently asked
Secretary Vilsack how much his proposals would cost and if they
fit within the $1 billion increase in the President's budget.
Unfortunately, Secretary Vilsack at this time could not provide
a specific line by line response, precisely because the
Department has yet to release a detailed cost estimate.
Two years ago this committee built into the budget
resolution a reserve fund for the Farm Bill. That reserve fund,
initially set at $20 billion, was used to enact a $4.9 billion
increase in the Food Stamp Program, now called SNAP.
The fiscal year 2010 budget resolution included a similar
deficit-neutral reserve fund for the Child Nutrition
Reauthorization Bill.
I respectfully request that this committee include this
language in the fiscal year 2011 budget resolution so we can
provide the best improvements possible to this important set of
programs.
Mr. Chairman, we owe it to our children to properly invest
in the Child Nutrition Programs. We owe it to our nation to
clearly signal that ending child hunger and improving child
nutrition and health are national program and budget
priorities.
The Institute of Medicine has called for significant
improvements in these programs, and ultimately we can address
hunger, improve nutrition, and help combat obesity and
associated health problems by starting with our young children
in schools.
Let me conclude, Mr. Chairman, by focusing on just one more
issue confronting our budget decisions, namely the wars in Iraq
and Afghanistan.
Before this Congress takes up the President's fiscal year
2010 supplemental appropriations request and the fiscal year
2011 budget, the total cumulative appropriations for the Afghan
and Iraq wars is $1.08 trillion according to the Congressional
Research Service. This figure does not include the costs to
support our returning veterans with benefits and healthcare, or
the interest on the war-related debt or aid to our allies. In
constant 2008 dollars this war spending exceeds what we spent
on any prior war in the history of the United States of America
with the exception of World War II.
Mr. Chairman, in a nutshell, these wars are bleeding our
nation's fiscal and economic health dry. They are robbing us of
the resources we need to invest in the economic recovery of
America, in a 21st Century infrastructure, in national
priorities such as education and healthcare, in our own
homeland security, and in taking care of our most vulnerable
children, seniors, neighbors, and veterans.
Mr. Chairman, we must find a way to pay for these wars and
to end them. Compared to the Bush Administration's handling of
these war costs, I commend President Obama for including in his
regular fiscal year 2011 budget request a greater portion of
spending related to our policy in Iraq and Afghanistan,
especially on the non-military side of the ledger.
Unfortunately, most of our military operations continue to be
deficit-funded and placed on the taxpayer credit card.
I strongly urge this committee to include provisions in the
fiscal year 2011 budget resolution that preclude escalating war
spending, require payment and offsets for war spending, and
help pave the path to bring our servicemen and women home as
soon as possible.
Thank you, Mr. Chairman, for the opportunity to bring these
priorities to the attention of the Committee.
[The prepared statement of James McGovern follows:]
Prepared Statement of Hon. James P. McGovern, a Representative in
Congress From the State of Massachusetts
Mr. Chairman, I want to thank the Committee for this opportunity to
testify about the Fiscal Year 2011 Budget Resolution. As a member of
the Budget Committee, I understand the difficult fiscal and budgetary
constraints facing us this year and in the immediate future. It is
important, therefore, that we outline clearly in the Budget Resolution
the most important priorities for our country and its economic
recovery, and for our people, especially those who are most vulnerable.
Mr. Chairman, as you know, I am committed to ending hunger in
America and around the world. I believe we can end hunger, but we
haven't yet mustered the political will to do so. Despite the budgetary
difficulties facing us, increasing funding for programs like school
breakfasts and lunches, and after school and summer meals is something
we simply must do. It is an investment in the health of our nation--not
just the physical health of our citizens, but our economic health.
Hunger and poor nutrition among children translate into lost
productivity and significant health care costs throughout the lifetime
of an adult.
Mr. Chairman, we need to take dramatic action and address the
growing number of children who rely on discounted and free meals during
the school year and summer months.
I commend President Obama for including a one billion dollar
increase in funding for the Child Nutrition Programs in his FY 2011
Budget. It is a bold step--it is a necessary step--if we are indeed
going to provide more breakfasts, more after school snacks and more
summer meals to children. Along with expanding these programs so they
reach currently eligible children, we must also focus on improving the
nutritional quality of the food served at school and provided through
all our federal child nutrition programs.
While the USDA has laid out principles for the Child Nutrition
Reauthorization Act, it has not yet provided the kind of detailed
legislative language or a detailed budget estimate for these
improvements. In fact, our colleague on the Budget Committee and Chair
of the Agriculture Appropriations Subcommittee, Congresswoman DeLauro,
recently asked Secretary Vilsack how much his proposals would cost and
if they fit within the $1 billion increase in the President's budget.
Unfortunately, Secretary Vilsack could not provide a specific line-by-
line response precisely because the Department has yet to release a
detailed cost estimate.
Two years ago, this Committee built into the budget resolution a
reserve fund for the Farm Bill. That reserve fund--initially set at $20
billion--was used to enact a $4.9 billion increase in the Food Stamp
program, now called SNAP. The FY 2010 Budget Resolution included a
similar deficit-neutral reserve fund for the Child Nutrition
Reauthorization bill. I respectfully request that this Committee
include this language in the FY 2011 Budget Resolution so we can
provide the best improvements possible to this important set of
programs.
Mr. Chairman, we owe it to our children to properly invest in the
Child Nutrition Programs. We owe it to our nation to clearly signal
that ending child hunger and improving child nutrition and health are
national program and budget priorities. The Institute of Medicine has
called for significant improvements in these programs. Ultimately, we
can address hunger, improve nutrition and help combat obesity and
associated health problems by starting with our young children in
schools.
Let me conclude, Mr. Chairman, by focusing on just one more issue
confronting our budget decisions--namely the wars in Iraq and
Afghanistan. Before this Congress takes up the President's FY 2010
supplemental appropriations request and the FY 2011 budget, the total
cumulative appropriations for the Afghan and Iraq wars is $1.08
trillion dollars, according to the Congressional Research Service. This
figure does NOT include the costs to support our returning veterans
with benefits and health care, or the interest on war-related debt or
aid to our allies. In constant 2008 dollars, this war spending exceeds
what we spent on any prior war in the history of the United States with
the exception of World War II.
Mr. Chairman, in a nutshell, these wars are bleeding our nation's
fiscal and economic health dry. They are robbing us of the resources we
need to invest in the economic recovery of America, in a 21st Century
infrastructure, in national priorities such as education and health
care, in our own homeland security, and in taking care of our most
vulnerable children, seniors, neighbors and veterans.
Mr. Chairman, we must find a way to pay for these wars and to end
them. Compared to the Bush Administration's handling of these war
costs, I commend President Obama for including in his regular FY 2011
Budget Request a greater portion of spending related to our policy in
Iraq and Afghanistan, especially on the non-military side of the
ledger. Unfortunately, most of our military operations continue to be
deficit-funded and placed on the taxpayer credit card.
I strongly urge this Committee to include provisions in the FY 2011
Budget Resolution that preclude escalating war spending, require
payment and offsets for war spending and help pave the path to bring
our servicemen and women home as soon as possible.
Thank you, Mr. Chairman, for the opportunity to bring these
priorities to the attention of the Committee.
Mr. Blumenauer. Thank you for your testimony, I deeply
appreciate it. We will take a 15 second recess.
[Recess.]
Mr. McGovern [presiding]. The Budget Committee will
reconvene, and we are happy to welcome the Honorable Dina Titus
from Nevada, and we very much appreciate you being here and
look forward to hearing your testimony. You may proceed.
STATEMENT OF HON. DINA TITUS, A REPRESENTATIVE IN CONGRESS FROM
THE STATE OF NEVADA
Ms. Titus. Thank you, Mr. Chairman for this opportunity to
testify about my priorities for the fiscal year 2011 budget
resolution.
Like all Americans, my constituents in Southern Nevada have
been struggling. Our state has the highest foreclosure rate and
the second highest unemployment in the nation, and our state
legislature just finished a special session where they were
forced to make another round of drastic cuts to education and
other state agencies.
Las Vegas is no long recession proof. It used to be that if
you had two nickels to rub together you would come to Las Vegas
in hopes of changing your luck. That is not true anymore. If
people don't have disposable income in Iowa and Georgia they
can't come to Nevada for fun and for business.
So it is very clear to me that job creation must be the
central focus of the 2011 budget resolution. We need to put
Americans to work in clean energy jobs and other emerging
fields so that the United States can position itself as a
leader in this global economy.
It is my strong belief that the 2011 budget should
incentivize domestic manufacturing of clean energy technologies
like solar, wind, and geothermal. A focus on domestic
manufacturing ensures that we don't trade a dependence on
foreign oil for a reliance on clean energy exports from
countries like China. We need to make the mirrors, make the
windmills here in this country. And although we have started to
see signs of growth in our economy, we will not be fully
recovered until Americans are back to work.
I also strongly believe that the budget resolution must
work to reign in the deficit and restore fiscal responsibility.
All across Southern Nevada my constituents are tightening their
belts, and they expect the U.S. Congress to do the same.
Under the President's budget request we see deficits
decline from 10.6 percent of GDP in 2010 to 3.9 percent in
2014, and non-security discretionary spending is frozen for
three years. This is an important start, but I believe we need
to do more. We should work together in a bipartisan way to
reduce the deficit, to cut programs that don't work, and to
eventually balance the budget.
I urge your committee to draft a budget resolution that
reduces the deficit even further so that we don't saddle the
next generation of Americans with unmanageable debt.
Now, I recognize that we must make difficult choices in
order to reduce the deficit and improve the economy. For
instance, it is time we stopped funding defense acquisition
programs that the Department of Defense doesn't even want.
I do remain concerned, however, about President Obama's
proposal to reduce the itemized deduction rate for families
with incomes over $250,000. This is a proposal that Congress
has already rejected last year. And I am particularly concerned
with the impact this provision could have on the already
devastated housing market in my congressional district.
The Mortgage Interest Deduction is an important incentive
that encourages Americans to buy homes. In fact, some people
consider the Mortgage Interest Deduction to be the single most
important tax incentive facilitating home ownership in the
United States. I am concerned that reducing the value of this
incentive would lead to the further deterioration of the
housing market. It is evident that the housing market is
closely tied to the national economy as a whole.
The housing market in my congressional district in Southern
Nevada, previously one of the fastest growing markets in the
country, is currently in shambles. Today, 70 percent of
homeowners in Nevada owe more on their homes than the houses
are worth. We can't afford to let prices drop any further by
making it less attractive to buy a home in Nevada.
Last, but certainly not least, I want to applaud the
President for killing the Yucca Mountain program once and for
all in his budget request. For years Nevadans have fought
against this disastrous plan to store nuclear waste in our
backyard. We are not a dump site. The President's budget
fulfills a promise he made to Nevadans, and I could not be more
supportive of his proposal to terminate funding for the Yucca
Mountain program.
So I thank you again, Mr. Chairman, for this opportunity to
express my views about the President's fiscal year 2011 budget
request, and I look forward to working with you to ensure that
Congress passes a responsible budget that puts our economy back
on the right track.
[The prepared statement of Dina Titus follows:]
Prepared Statement of Hon. Dina Titus, a Representative in Congress
From the State of Nevada
Thank you, Chairman Spratt and Ranking Member Ryan, for this
opportunity to testify about my priorities in the Fiscal Year 2011
budget resolution. Like all Americans, my constituents in Southern
Nevada have been struggling. Our State has the highest foreclosure rate
and the second highest unemployment in the nation, and our state
legislature just finished a special session where they were forced to
make another round of cuts to education and other state agencies. If
there is one thing we can all agree upon, it is that the status quo is
unacceptable.
It is clear to me that job creation must be the central focus of
the 2011 budget resolution. We need to put Americans to work in the
clean energy sector and other emerging fields so that the United States
can position itself as a leader in this global economy. It is my strong
belief that the 2011 budget should incentivize domestic manufacturing
of clean energy technologies like solar, wind, and geothermal. A focus
on domestic manufacturing ensures that we don't trade a dependence on
foreign oil for a reliance on clean energy exports from countries like
China. Although we have started to see signs of growth in our economy,
we will not have fully recovered until Americans are back to work.
I also strongly believe that the budget resolution must work to
rein in the deficit and restore fiscal responsibility. All across
Southern Nevada, my constituents are tightening their belts, and they
expect the United States Congress to do the same. Under the President's
budget request, we see deficits decline from 10.6 percent of GDP in
2010 to 3.9 percent in 2014, and non-security discretionary spending is
frozen for three years. This is a start, but we must do more. We should
work together in a bipartisan way to reduce the deficit, cut programs
that don't work, and eventually balance the budget. I urge the
committee to draft a budget resolution that reduces the deficit even
further, so that we do not saddle the next generation of Americans with
unmanageable debt.
I recognize that we must make difficult choices in order to reduce
the deficit and improve the economy. For instance, it's time we stop
funding defense acquisition programs that the Department of Defense
doesn't want. I remain concerned, however, about President Obama's
proposal to reduce the itemized deduction rate for families with
incomes over $250,000--a proposal this Congress rejected last year. I
am particularly concerned with the impact this provision could have on
the already devastated housing market in my Congressional District.
The Mortgage Interest Deduction is an important incentive that
encourages Americans to buy homes. Some consider the Mortgage Interest
Deduction to be the single most important tax incentive facilitating
home ownership in the United States. I am concerned that reducing the
value of this incentive would lead to the further deterioration of the
housing market. It is evident that the housing market is closely tied
to the national economy as a whole. The housing market in my
Congressional District in Nevada--previously one of the fastest growing
markets in the nation--is currently in shambles. Today, 70 percent of
homeowners in Nevada owe more on their homes than they are worth. We
can't afford to let prices drop any further by making it less
attractive to buy a home in Southern Nevada.
Last, but certainly not least, I want to applaud the President for
killing the Yucca Mountain program once and for all in his budget
request. For years, Nevadans have fought against this disastrous plan
to store nuclear waste in our backyard. The President's budget fulfills
a promise he made to Nevadans and I could not be more supportive of his
proposal to terminate funding for the Yucca Mountain program.
Thank you again, Mr. Chairman, for the opportunity to express my
views about the President's FY 2011 budget request. I look forward to
working with you to ensure that Congress passes a responsible budget
that puts our economy back on the right track.
Mr. McGovern. Thank you very much for your excellent
testimony, and we certainly will consider all of the issues
that you raised and we appreciate you being here. Thank you.
Ms. Titus. Thank you.
Mr. McGovern. The Budget Committee with stand in a brief
recess.
[Recess.]
Mr. McGovern. The Budget Committee will reconvene. We are
delighted to welcome the Honorable Bill Owens from New York,
and we look forward to hearing your testimony.
STATEMENT OF HON. WILLIAM OWENS, A REPRESENTATIVE IN CONGRESS
FROM THE STATE OF NEW YORK
Mr. Owens. Chairman Spratt and Ranking Member Ryan, thank
you for the opportunity to address the committee today, and
thank you, Mr. Chairman.
There are several issues specific to my Upstate New York
district that I would like to bring to your attention.
I appreciate the difficulties you face in crafting a budget
this year, and I am grateful for the opportunity to speak on
behalf of my constituents.
First, New York's North Country is the proud home of the
10th Mountain Division at Fort Drum, an installation recently
named one of the top ten communities for military families in
the world. The division is the most deployed in the Army.
Today, two-thirds of the combat teams stationed at Fort Drum
are fighting in Iraq and Afghanistan. The families of these
soldiers depend on Congress to provide the services they need
to endure these frequent deployments. When our soldiers come
home they deserve to return to installations with sufficient
funding to support their training and transition to garrison
life.
Earlier this year Fort Drum learned that their budget would
be slashed 30 percent, forcing the base to cut contracts with
businesses in the community and eliminate services for
soldiers. The fiscal year 2011 budget includes only a very
modest increase in these funds over fiscal year 2010 levels,
and I am concerned this increase does not reflect recent
adjustments the Army has had to make in base funding by
shifting $500 million to worldwide base operating funds from
other operational accounts. Although this shift negated further
cuts, it has left many military communities uneasy about the
future.
Ensuring adequate operational funding for our Army
installations is critical to easing the burden on both our
soldiers and the greater communities they reside in. I urge the
committee to carefully consider the base operation support
budget for the Army.
In addition to being home to a major Army installation, the
23rd district of New York shares an extensive border with
Canada. To better secure this border, GSA has completed the
planning phase of a new land port entry in Alexandria Bay, New
York. Each day this port of entry receives 484 trucks and
facilitates trade of nearly $19 million worth of cargo.
Future tenants of the expanded Alexandria Bay facility will
include many of the agencies that protect our borders from
terrorists and facilitate the flow of cargo.
GSA requested $171.5 million to continue the Alexandria Bay
project in fiscal year 2011, but the President did not include
the request in his budget.
Upstate New York began suffering from economic difficulties
long before the current recession, and its communities rely
heavily on trade with Canada. Expansion of the Alexandria Bay
facility is critical to creating jobs and to securing our
northern border, and I urge you to include funding for this
project in your fiscal year 2011 budget.
I think it is important to note that the trade between
Quebec and New York is over $80 billion a year, and between
Canada and the United States in excess of $365 billion a year.
Finally, I urge you to support the President's request for
a $36 billion increase to the nuclear loan guarantee program.
There has been a serious effort in my district to utilize this
program for the construction of a third reactor at the Nine
Mile Point nuclear power plant in Oswego County, New York.
Completion of this effort would create 4,000 construction jobs
and nearly 400 permanent positions at the plant, but funding
for this project is unavailable due to the relatively small
pool of funds in the program.
With the increase requested by the President there is new
hope for this significant piece of economic development to
succeed in Central New York. This is exactly the type of
investment we need replicated across the country to create
jobs, move our local economies forward, and make clean energy a
reality for America's future.
Again, thank you for the opportunity to address the
committee, and I would be happy to answer any questions.
[The prepared statement of William Owens follows:]
Prepared Statement of Hon. William Owens, a Representative in Congress
From the State of New York
Chairman Spratt and Ranking Member Ryan, thank you for the
opportunity to address the committee today. There are several issues
specific to my Upstate New York district that I'd like to bring to your
attention. I appreciate the difficulties you face in crafting a budget
this year, and I'm grateful for the opportunity to speak on behalf of
my constituents.
First, New York's North Country is the proud home of the 10th
Mountain Division at Fort Drum, an installation recently named one of
the top ten communities for military families in the world. The
division is the most deployed in the Army. Today, two-thirds of the
combat teams stationed at Fort Drum are fighting in Iraq and
Afghanistan. The families of these soldiers depend on Congress to
provide the services they need to endure these frequent deployments.
When our soldiers come home, they deserve to return to installations
with sufficient funding to support their training and transition to
garrison life.
Earlier this year, Fort Drum learned that their budget would be
slashed 30 percent, forcing the base to cut contracts with businesses
in the community and eliminate services for soldiers. The FY11 budget
includes only a very modest increase in these funds over FY10 levels,
and I'm concerned this increase does not reflect recent adjustments the
Army has had to make in base funding by shifting $500 million to
worldwide base operating funds from other operational accounts.
Although this shift negated further cuts, it has left many military
communities uneasy about the future. Ensuring adequate operational
funding for our Army installations is critical to easing the burden on
both our soldiers and the greater communities they reside in. I urge
the committee to carefully consider the base operation support budget
for the Army.
In addition to being home to a major Army installation, the 23rd
district of New York shares an extensive border with Canada. To better
secure this border, GSA has completed the planning phase of a new Land
Port of Entry in Alexandria Bay, New York. Each day this port of entry
receives 484 trucks and facilitates trade of nearly $19 million worth
of cargo. Future tenants of the expanded Alexandria Bay facility will
include many of the agencies that protect our borders from terrorists
and facilitate the flow of cargo.
GSA requested $171.5 million to continue the Alexandria Bay project
in FY11, but the President did not include the request in his budget.
Upstate New York began suffering from economic difficulties long before
the current recession, and its communities rely heavily on trade with
Canada. Expansion of the Alexandria Bay facility is critical to
creating jobs and to securing our northern border, and I urge you to
include funding for this project in your FY11 budget.
Finally, I urge you to support the President's request for a $36
billion dollar increase to the nuclear loan guarantee program. There
has been a serious effort in my district to utilize this program for
the construction of a third reactor at the Nine Mile Point nuclear
power plant in Oswego County, New York. Completion of this effort would
create 4,000 construction jobs and nearly 400 permanent positions at
the plant.
But funding for this project is unavailable due to the relatively
small pool of funds in the program. With the increase requested by the
President, there is new hope for this significant piece of economic
development to succeed in Central New York. This is exactly the type of
investment we need replicated across the country to help create jobs,
move our local economies forward and make clean energy a reality for
America's future.
Again, thank you for the opportunity to address the committee, and
I'd be happy to answer any questions.
Mr. McGovern. Thank you very much, Mr. Owens for your
excellent testimony. You are a valued member of this house and
we appreciate your words, and you can be assured that we are
going to carefully consider everything you said.
Mr. Owens. Thank you very much, Mr. Chairman.
Mr. McGovern. Thank you very much. The Budget Committee
will now stand in a brief recess.
[Recess.]
Mr. McGovern. The Budget Committee will reconvene, and we
are delighted to have with us the Honorable Betsy Markey from
Colorado, and we look forward to your testimony. The floor is
yours.
STATEMENT OF HON. BETSY MARKEY, A REPRESENTATIVE IN CONGRESS
FROM THE STATE OF COLORADO
Ms. Markey.*. Thank you, Chairman McGovern, thank you for
allowing me to share my thoughts before the Budget Committee on
the proposed fiscal year 2011 budget.
I believe the President's budget makes some positive steps
toward putting us on a sustainable path, and I am pleased to
have the opportunity to engage in an open dialogue on the
programs I support and on cuts that would have a negative
impact on Colorado's Fourth District.
I am concerned about the President's elimination of the
Resource Conservation and Development Program from the budget.
The RC&D Program provides support to authorized multi-county
areas in the form of Natural Resource Conservation Service
staff coordinators and technical advisors. These coordinators
assist local conservation councils of private and public
sectors volunteers in developing programs to conserve and
develop natural resources, and improve economic and
environmental conditions in rural America.
The RC&D Program should be promoted, not eliminated because
it fulfills a vital national goal through coordination of local
organizations and national agencies.
Regrettably, the Administration's budget proposal also
makes significant reductions to clean water programs that are
vital to many rural communities trying to improve their clean
and wastewater infrastructure.
The fiscal year 2011 budget eliminates the Army Corps of
Engineers water and wastewater treatment project funding, which
will allow organizations to focus on its core competencies;
however, that elimination could be catastrophic when combined
with the large cuts to the EPA's Clean Water State Revolving
Fund and Drinking Water State Revolving Fund.
Additionally, the President's budget has terminated all
vector-borne disease funding through the Centers for Disease
Control and Prevention. This Fort Collins, Colorado-based
division will have to contend with other disease research for a
small portion of the emerging infectious disease budget. The
loss of a dedicated budget will result in the termination of
existing research and prevention programs, which include the
state-coordinated West Nile Surveillance Program and the highly
successful Dengue Research Program.
CDC research has helped to detect dengue transmission in
Florida and discovered the risk posed to blood supplies in
Puerto Rico. The CDC Vector-Borne division's research saves
lives in communities throughout the United States and around
the globe, and I encourage the continued funding of this
important division at its fiscal year 2010 level.
The proposed Department of the Interior's Bureau of
Reclamation Budget includes only $3 million in funding
desperately needed to at long last complete the Arkansas Valley
Conduit. This piece of the larger Fryingpan-Arkansas Project
was first authorized in 1962, but has not received sufficient
federal support.
I strongly support more complete funding in the fiscal year
2011 budget for the completion of this project, about which
President John Kennedy said, ``This is an investment in the
future of this country, an investment that will repay large
dividends. It is an investment in the growth of the West.''
I applaud President Obama's commitment to the veterans of
the United States as demonstrated by his increasing the
Department of Veterans Affairs fiscal year 2011 budget for
healthcare and compensation. I especially appreciate the
increased focus on the needs of the growing number of women
veterans and their unique needs.
In addition, the investments in the high quality delivery
of health care and benefits through increased technology usage
will allow the VA to stay on the leading edge of medical
service for veterans for years to come.
The President's proposed education funding reflects one of
my top priorities, which is making college affordable for all
students. With three of my own children around college-age, I
understand how challenging it is for families to balance
college costs with household necessities. For this reason, I am
very pleased to see that President Obama has supported making
permanent the $5,550 Pell Grant maximum award, and I support
the President's proposal to put the Pell Grant Program on firm
financial footing. Ensuring access to higher education for
Americans of all incomes is essential to our Nation's future.
I am disappointed though to see that the Department of
Education budget cuts funding for the Reach Out and Read
program. Reach Out and Read distributes books to children
through pediatricians' office. In my district alone, Reach Out
has helped nearly 10,000 children through 27 clinics. I have
had the privilege to read to children at these clinics and have
seen firsthand the benefits of this program. Many of these
children receive new books only when they go for their annual
checkup. As literacy is an essential building block for
educational success, I urge the continued funding for Reach Out
and Read.
Finally, I support President Obama's goal to increase the
number of graduate fellowships in science, especially the
investments in researchers pursuing clean energy careers;
however, I would also encourage the Administration to invest in
vocational education and in community college programs in
renewable energy and energy efficiency.
We have a unique opportunity at this time to change the way
we power this country, but we need to invest in training and a
green workforce to create jobs and deploy new energy
strategies. The men and women graduating from these
institutions will be the technicians building wind-turbine
blades and servicing solar and geothermal installations. We
need to invest in both innovation and implementation to create
the clean energy economy of tomorrow.
To the Members of the Committee, I appreciate the
opportunity to share my priorities and concerns in the fiscal
Year 2011 budget. Thank you.
[The prepared statement of Betsy Markey follows:]
Prepared Statement of Hon. Betsy Markey, a Representative in Congress
From the State of Colorado
Chairman Spratt and Ranking Member Ryan, thank you for allowing me
to share my thoughts before the Budget Committee on the proposed Fiscal
Year 2011 Budget. I believe that the President's budget takes some
positive steps toward putting us on a sustainable path, though I know
that we have many difficult choices ahead. I am pleased to have the
opportunity to engage in an open dialogue on the programs I support,
and on cuts that would have a negative impact on the Fourth District of
Colorado.
I am concerned about the President's elimination of the Resource
Conservation and Development Program from the budget. The RC&D Program
provides support to authorized multi-county areas in the form of
Natural Resource Conservation Service staff coordinators and technical
advisors. These coordinators assist local conservation councils of
private and public sectors volunteers in developing programs to
conserve and develop natural resources, and improve economic and
environmental conditions in rural America. The funding provided by this
program can go a long way in rural areas, such as in Southeast
Colorado, where the Southeast Colorado RC&D Council has developed
programs to decrease contaminants in vital area watersheds and to
implement renewable energy resources in area farms. The RC&D program
should be promoted, not eliminated because it fulfills vital national
goals through coordination of local organizations and national
agencies.
Regrettably, the Administration's budget proposal also makes
significant reductions to clean water programs that are vital to many
rural communities trying to improve their clean and wastewater
infrastructure. The Fiscal Year 2011 Budget eliminates the Army Corps
of Engineers water and wastewater treatment project funding, which will
allow that organization to focus on its core competencies. However,
that elimination could be catastrophic when combined with the large
cuts to the Environmental Protection Agency's Clean Water State
Revolving Fund and Drinking Water State Revolving Fund. With Army
Engineer projects being eliminated, it is important that these EPA
funds be protected to allow states to develop and improve their water
infrastructure.
Additionally, the President's Budget has terminated all vector-
borne disease funding through the Centers for Disease Control and
Prevention. This Fort Collins, Colorado-based division will have to
contend with other disease research for a small portion of the Emerging
Infectious Disease budget. The loss of a dedicated budget will result
in the termination of existing research and prevention programs, which
include the state-coordinated West Nile Surveillance program and the
highly successful dengue research program. Dengue is a virus that
threatens more than one-third of the global population and is endemic
to Puerto Rico, Guam, Samoa, and many areas of Latin America. CDC
research has helped detect a dengue transmission in Florida and
discovered the risk posed to blood supplies in Puerto Rico. The CDC
Vector-Borne division's research saves lives in communities throughout
the United States and around the globe and I encourage the continued
funding of this important division at its FY2010 levels.
The proposed Department of the Interior Bureau of Reclamation
budget includes only $3 million in funding desperately needed to at
long last complete the Arkansas Valley Conduit. This piece of the
larger Fryingpan-Arkansas Project was first authorized in 1962 but has
not received sufficient federal support. I strongly support more
complete funding in the Fiscal Year 2011 Budget for the completion of
this project, about which President John Kennedy said, ``This is an
investment in the future of this country, an investment that will repay
large dividends. It is an investment in the growth of the West, in the
new cities and industries which this project helps make possible.''
I applaud President Obama's commitment to the Veterans of the
United States as demonstrated by his increasing the Department of
Veterans Affairs Fiscal Year 2011 Budget for health care and
compensation. I especially appreciate the increased focus on the needs
of the growing number of women veterans and their unique needs. In
addition, the investments in the high-quality delivery of health care
and benefits through increased technology usage will allow the VA to
stay on the leading edge of medical service for veterans for years to
come.
The President's proposed education funding reflects one of my top
priorities, which is making college affordable for all students. With
three of my own children around college-age, I understand how
challenging it is for families to balance college costs with household
necessities. For this reason, I am very pleased to see that President
Obama has supported making permanent the $5,550 Pell Grant maximum
award and I support the President's proposal to put the Pell grant
program on ``firm financial footing.'' Ensuring access to higher
education for Americans of all income levels is essential to our
nation's future.
I am disappointed to see that the Department of Education budget
cuts funding for the Reach Out and Read program. Reach Out and Reach
distributes books to children through pediatricians' office. In my
district alone, Reach Out has helped nearly ten thousand children
through 27 clinics. I have had the privilege to read to children at
these clinics and have seen firsthand the benefits of this program.
Many of these children only receive new books other than when they go
for their annual checkup. As literacy is an essential building block
for educational success, I urge the continued funding for Reach Out and
Reach and commend the program for its past efforts.
Finally, I support President Obama's goal to increase the number of
graduate fellowships in science, especially the investments in
researchers pursuing clean energy careers. However, I would also
encourage the Administration to invest in vocational education and in
community college programs in renewable energy and energy efficiency.
We have a unique opportunity at this time to change the way we power
this country, but we need to invest in training a green workforce to
create jobs and deploy new energy strategies. The men and women
graduating from these institutions will be the technicians building
wind-turbine blades and servicing solar and geothermal installations.
We need to invest in both innovation and implementation to create the
clean energy economy of tomorrow.
To the members of the committee, I appreciate the opportunity to
share my priorities and concerns in the Fiscal Year 2011 Budget.
Mr. McGovern. Well thank you very much, we appreciate you
being here, you are a valued member of this institution, and we
will consider all of your suggestions, you have our word on
that. Thank you.
Ms. Markey. Thank you very much, Mr. Chairman.
Mr. McGovern. The Budget Committee will stand in a brief
recess.
[Recess.]
Mr. McGovern. The Budget Committee will reconvene. We are
honored to have with us the Honorable Gabrielle Giffords of
Arizona, and we look forward to your testimony, and we welcome
you to the Budget Committee.
STATEMENT OF HON. GABRIELLE GIFFORDS, A REPRESENTATIVE IN
CONGRESS FROM THE STATE OF ARIZONA
Ms. Giffords. Thank you so much for having me at the Budget
Committee, Congressman McGovern. I really appreciate also
Chairman Spratt and Ranking Member Ryan for today's testimony.
I think it is important today to have the opportunity to
testify before the House Budget Committee on what I consider to
be a dangerous deficiency in the funding of our border security
programs proposed in the President's fiscal year 2011 budget.
As one of only ten members of Congress in a district that
represents the U.S. Mexico border I am extremely concerned
about stemming the flow of illegal immigrants, drugs, guns, and
money across our southern border. Addressing this problem has
been one of my top priorities in the United States Congress, in
fact that is what my constituents sent me here to do.
The region they represent is the nation's largest and most
porous sector of the U.S. Mexico border. More drugs are seized
and more illegal immigrants are apprehended in the Tucson
sector of the Border Patrol than anywhere else in the United
States.
Last week I had an eye opening meeting with the President
of the Tucson Secretary of Border Patrol Council and his
executive committee. These dedicated agents told me that in no
uncertain terms they will be severely hindered in doing their
job of securing our border if the President's proposed budget
is actually adopted, and that is why I am here today. We need
to listen more closely to the men and women who are actually
serving on the front lines of our border security crisis, not
the folks here in Washington who are making decisions for them.
Every day our border patrol agents risk their lives in
carrying out their mission in some of the harshest working
conditions in the nation. I believe that they deserve our
gratitude, they deserve our respect, but they also deserve
being supported in our Congressional budget.
We all know that our economy is going through a challenging
time, but this should not prevent us from giving the border
patrol agents the critical resources they need to keep our
communities safe.
We all know that our budget is a reflection of our
priorities, and I don't think that any Member of Congress would
dispute that our most important priority to members is to keep
our homeland safe and secure.
Let me tell you a little bit about your southern Arizona
district. Every day the residents of my district live with the
harsh reality that the federal government has not done enough,
even though they talk about border security on a daily basis,
they actually haven't done enough to keep Southern Arizona's
borders secure. Senior citizens in Green Valley have voiced
their concerns for their safety because of the spillover of
drug violence that is played out in their neighborhoods. We
have ranchers and farmers in Douglas and Nogales area that are
forced to contend with the impact of drug smugglers and tens of
thousands of illegal immigrants every single year that cross
through their property, their land. And residents of Tucson, my
hometown, are constantly confronted with the immense toll
brought by narco-terrorists who smuggle drugs and illegal
immigrants into the Tucson area across the deserts, and then
they end up setting up these drug clearinghouses within our
communities that lead to drug addiction in the areas, home
invasions, kidnappings, some of the highest in the world in the
State of Arizona, and increased violence.
So in a word the situation is completely intolerable. The
federal government cannot secure the border until we dedicate
sufficient funding to prevent illegal drugs and immigrants from
entering the country and force the laws that currently exist
within our borders.
My first concern in the President's budget is he has
proposed to scale back several border security programs that
have proven to be effective. The border patrol would lose 181
agents under this proposal. And if this wasn't bad enough, 52
Air Interdiction agents and 18 Marine Interdiction agents would
also be eliminated. So this would lead to a total of 251 agents
who are heavily involved with our nation's interior security.
Again, a giant step in the wrong direction.
I am also deeply concerned with the inadequate funding of
the State Criminal Alien Assistance Program, or SCAAP, in the
President's fiscal year 2011 budget proposal. In fact, I have
testified before your committee in the past about the same
thing under the previous president.
SCAAP was created to reimburse states and localities for
the arrest, incarceration, and transportation costs associated
with illegal immigrants who commit crimes in our communities.
If you want to know how vital this program is talk to Pima
County Sheriff, Clarence Dupnik, or Cochise County Sheriff,
Larry Dever, or Santa Cruz County Sheriff, Tony Estrada. They
are going to tell you that these funds are a life line for the
cash strapped law enforcement agencies that are already hard
hit by the problems along the U.S.-Mexico border.
Regrettably, the President's budget contains only $330
million for SCAAP, woefully below the $950 million required to
fully fund this essential program to our border communities.
Passing this extraordinary cost burden on to your
localities and states is simply wrong and it is completely
unfair. Funding cuts for these critical programs are a real
safety and security threat for Arizona, as well as all border
states, but frankly for the entire nation.
As Members of the Budget Committee you have the authority
to make decisions that will keep our border secure, and I urge
you to take bold action to correct these deficiencies.
I appreciate your time and your attention to this matter,
it means a lot to my constituents in Southern Arizona, I
believe it means a lot to the people of this country. Thank
you.
[The prepared statement of Gabrielle Giffords follows:]
Prepared Statement of Hon. Gabrielle Giffords, a Representative in
Congress From the State of Arizona
Thank you Chairman Spratt and Ranking Member Ryan.
I really appreciate the opportunity to address the House Budget
Committee about what I consider to be a dangerous deficiency in the
funding for border security programs proposed in the President's fiscal
year 2011 budget.
As one of only ten members with a district on the U.S.-Mexico
border, I am extremely concerned about stemming the flow of illegal
immigrants, drugs, guns and money across our southern border.
Addressing this problem is one of my top priorities in Congress.
That's what my constituents sent me here to do.
The region I represent is the nation's largest and most porous
sector of the U.S.-Mexico border. More drugs are seized and more
illegal immigrants are apprehended in the Tucson sector of the Border
Patrol than anywhere else in the country.
Last week I had an eye opening meeting with the President of the
Tucson Sector Border Patrol Council and his Executive Committee.
These dedicated agents told me in no uncertain terms that they will
be severely hindered in doing their job of securing the border if
President Obama's proposed budget is adopted.
This is why I am here today.
We need listen to the men and women who are actually serving on the
front lines of our border security crisis. Not bureaucrats in
Washington.
Every day our Border Patrol agents risk their lives in carrying out
their mission in some of the harshest working conditions in the nation.
They deserve our respect and gratitude. They deserve being supported in
our Congressional budget.
We all know that our economy is going through a challenging time
but this should not prevent us from giving Border Patrol agents the
critical resources they need to keep our communities safe.
This is a matter of priorities and nothing is more important to any
Member of Congress than the security of our homeland.
Let me tell you about my southern Arizona district:
Every day the residents of my district live with the harsh reality
that the federal government still has not done enough to secure our
southern border.
Senior citizens in Green Valley have voiced concerns for their
safety because of the spillover of drug-fueled violence that is played
out in their neighborhoods.
Ranchers near Douglas and Naco are forced to contend with the
impacts of drug smugglers and tens of thousands of illegal immigrants
crossing their land.
And residents of Tucson--my hometown--are constantly confronted
with the immense toll brought by narco-terriorists who smuggle drugs
and illegal immigrants across the deserts that surround Arizona's
second largest city, and set up drug clearing houses within our
communities which lead to drug addiction, home invasions, kidnappings
and increased violence.
In a word, this situation is intolerable.
The federal government cannot secure the border until we dedicate
sufficient funding to prevent illegal drugs and immigrants from
entering the country and enforce the laws within our borders.
1. My first concern is that the President's budget proposal scales
back several border security programs that have proven to be effective.
The Border Patrol would lose 181 agents under this proposal. And if
this wasn't bad enough, 52 Air Interdiction agents and 18 Marine
Interdiction agents also would be eliminated.
This is a total reduction of 251 agents who are heavily involved
with our nation's interior security. This is a giant step in the wrong
direction.
2. I am also deeply concerned with the inadequate funding for the
State Criminal Alien Assistance Program or SCAAP in the President's
fiscal year 2011 budget proposal.
SCAAP was created to reimburse states and localities for the
arrest, incarceration and transportation costs associated with illegal
immigrants who commit crimes in our communities.
If you want to know how vital this program is,
talk to Pima County Sheriff Clarence Dupnik,
talk to Cochise County Sheriff Larry Dever and
talk to Santa Cruz County Sheriff Tony Estrada.
They will tell you that these funds are a lifeline for their cash
strapped law enforcement agencies that are hard hit by the crisis on
our border.
Regrettably, the President's budget contains only $330 million for
SCAAP, woefully below the $950 million required to fully fund this
essential program.
Passing this extraordinary cost burden to our localities and states
is simply wrong.
Funding cuts for these critical programs are a real safety and
security threat for Arizona as well as all Border States.
As Members of the Budget Committee you have the authority to make
decisions that will keep our border secure, and I urge you to take bold
action to correct these budget deficiencies.
Thank you for your attention to this important matter to southern
Arizona and our nation.
Mr. McGovern. Thank you very much, and we appreciate your
testimony, you raise some very important issues, and we will
carefully consider ways that we can help, but thank you so much
for being before this committee.
Ms. Giffords. I appreciate it.
Mr. McGovern. The Budget Committee will stand in brief
recess.
[Recess.]
Mr. McGovern. We are honored to have the Honorable Rush
Holt of New Jersey, and we look forward to your testimony, and
the floor is yours. Thank you for being here.
STATEMENT OF HON. RUSH HOLT, A REPRESENTATIVE IN CONGRESS FROM
THE STATE OF NEW JERSEY
Mr. Holt. Mr. Chairman, thank you. Thank you for having me.
I appreciate the opportunity to testify on the 2011 budget, and
in particular its investment in science and science education.
We know that investing in innovation creates jobs, it is
the engine that drives our country. Economic growth comes from
new ideas and a smart, well trained workforce. Nothing else,
that is it.
Our current economy is the result of investments that our
country made two or three decades ago, and so I am here to urge
you, my colleagues, to make the investments that will propel
our country forward for the next several decades.
The challenges of the 21st Century require that we think of
our system of innovation, beginning with basic research and
ending with the manufacture of goods and services and creation
of these new things as fundamental to our nation's
infrastructure.
In the 20th Century construction of the interstate highway
system and electrification in rural America were indispensable
elements of our infrastructure. These investments were
responsible for extraordinary economic growth in the last
century, and in this century our nation must invest in new
types of infrastructure to keep America competitive.
The increased research investment will create new
technologies to save energy, new forms of renewable energy, new
advanced vehicle technologies that will keep our environment
cleaner and our economy more vibrant.
The President's budget request recognizes the centrality of
science and innovation. I don't need to go through the details
of what is in the budget, you know that, but I strongly urge
the committee to compliment the research and development under
function 250 by supporting the President's proposed increase
for funding for the research, development, demonstration, and
deployment of energy efficiency, renewable energy, smart grids,
and advanced vehicle technologies.
This budget seems to me to reverse years of neglect for
science and make a significant down payment on the President's
plan to double basic research funding over the next ten years.
I support the goal to make permanent the R&D tax credit,
which is an important instrument.
In today's tight budget environment I applaud the
Administration for proposing historic increases in the federal
government's commitment to science education. I am pleased to
see $300 million in the Department of Education budget for
improving teaching and learning in science and math. I am still
reviewing the proposal, and I hope that they can find ways to
pay more attention to the training and professional development
of teachers. Still the dollar amount is good, and so what the
Budget Committee will be dealing with is certainly on the right
track.
These are troubled economic times, I don't need to tell
anyone here, and science is the ideal investment because it
provides jobs now, and I don't mean just people in lab coats, I
am talking about lab techs, I am talking about electricians who
wire the labs, I am talking about all of the other associated
jobs that go with it, and the work lays the foundation for
future economic growth, so science is not simply a luxury to be
funded in strong economic times. This is a particularly good
time. It was part of the ARRA, a large and important part, and
we see that it, as intended, provided jobs in the short term,
it is providing jobs in the midterm, and if the research pans
out, as it always does usually in unpredictable ways, jobs for
the long term as well.
The report by the Information Technology and Innovation
Foundation estimated that each additional $1 billion investment
in research would create approximately 20,000 American jobs per
year.
So if I may, I would like to submit for the record a fuller
testimony, and I would be happy to answer question.
[The prepared statement of Rush Holt follows:]
Prepared Statement of Hon. Rush D. Holt, a Representative in Congress
From the State of New Jersey
Thank you Chairman Spratt, Ranking Member Ryan, and distinguished
Members of the Budget Committee. I appreciate the opportunity to
provide testimony on the proposed Fiscal Year 2011 budget and its
investment in science and science education.
We know that investing in innovation creates jobs and is the engine
that drives our economy. We are living off of the investments that our
country made two or three decades ago. Today, I urge my colleagues to
make the investments that will propel our country forward for the next
several decades.
Indeed, the challenges of the 21st century require that we think of
our system of innovation, beginning with basic research and ending with
the manufacture of advanced goods and creation of new services, as
fundamental to our nation's infrastructure. In the 20th century,
construction of the interstate highway system and electrification in
rural America were indispensible elements of our infrastructure. These
investments were responsible for extraordinary economic growth in the
last century. This century, our nation must invest in a new type of
infrastructure to keep America competitive in a global economy.
important increases in president's request
I am pleased President Obama's budget request recognizes the
centrality of science and innovation for our future prosperity.
The President's budget requests $31.4 billion for budget function
250, which summarizes our investment in basic research, which is a 1.4
percent increase over last year. Recognizing that this budget function
does not capture all research spending, the President estimates that
$61.6 billion of his budget is for non-defense research, which is a 5.6
percent increase. These investments in basic science include $7.4
billion for NSF, $5.1 billion for the DOE Office of Science, and $920
million for the National Institute of Standards and Technology (NIST)
laboratories. I am pleased that this budget would reverse years of
neglect for science and make a significant down-payment on the
President's plan to double basic research funding for these agencies
over the next 10 years. I urge you to make this necessary investment in
innovation.
I also support the budget request in its goal to make permanent the
R&D tax credit. This tax credit has been successful, returning $2 in
private research investment for every dollar spent. As important as the
R&D tax credit has been, it has never been a permanent part of the tax
code and is expired currently. While Congress has extended the credit,
making the R&D tax credit permanent will strengthen the incentive for
businesses to invest in long-term research, because corporate leaders
will know their research investments will be rewarded year after year.
This would create jobs now, give businesses the confidence to expand
their research operations, and encourage companies to further invest in
innovation.
education and training
In today's tight budget environment, I applaud the Obama
Administration for proposing historic increases in the federal
government's commitment to science education. I was pleased to see $300
million in the Department of Education budget for improving teaching
and learning in science and math. While I am still reviewing the
proposed initiative to replace the Mathematics and Science Partnerships
program, we must recognize that great teachers are made, not born. I
feel strongly that any new program must continue to support
professional development activities for science and math teachers as
they seek to improve their craft. In addition, any new program must
ensure that professional development programs are widely available
across the country, not just to a few schools that compete successfully
because they are already top notch.
Improving our children's abilities in science and math is critical
for our economy, our national security, and our democracy. Everyone,
from scientist to teacher to parent to businessperson, should be
concerned with how well we educate our children in these areas.
research creates jobs and lays the groundwork for the future
In these troubled economic times, science is the ideal investment
because it provides jobs now while laying the foundation for our future
economic growth. Science is not simply a luxury to be funded during
strong economic times. A report by the Information Technology and
Innovation Foundation estimated that each additional $1 billion
investment in research would create approximately 20,000 American jobs
a year. This investment would provide jobs not just to scientists but
even more to research students, electricians who wire the labs, lab
technicians who run the instrumentation, construction workers who will
renovate the buildings, and many more.
I look forward to working with the Congress to make this necessary
investment for our economy and creating jobs for American workers.
Mr. McGovern. Without objection. Well thank you very much,
we appreciate you being here, you have raised some important
issues, and I agree with you that investments in science not
only have an immediate payoff in terms of job creation, but
also a long term impact, and I think what you have said today I
think will resonate with this committee, and we appreciate you
being here.
Mr. Holt. Thank you, Mr. Chairman.
Mr. McGovern. Thank you. Right now we will turn to the
Honorable Tom Perriello of Virginia. We welcome you to the
Committee and you may proceed.
STATEMENT OF HON. THOMAS S.P. PERRIELLO, A REPRESENTATIVE IN
CONGRESS FROM THE STATE OF VIRGINIA
Mr. Perriello. Thank you very much Mr. Chair and all the
members of the committee.
We are embarking on our constitutional duty, and I think as
we do so we can keep two principals in mind. One, wherever
possible we need to focus on investments rather than
expenditures, things that give us a return on that investment
in both a public and financial sense.
Second, we need to think in terms of rebuilding America's
competitive advantage. While we are on our way out of one of
the worst recessions of the last century, we also must realize
this isn't as simple as getting back to where we were a couple
of years ago.
For many in the working and middle class of this country we
have seen our purchasing power disappear, we have seen jobs go
overseas, and we must take this opportunity to take a look more
broadly at the incentives we are sending in our system and
whether we are rewarding innovation as opposed to bailing out
failure, and whether we are rebuilding a competitive advantage
so that this is an area where every business in the world wants
to locate.
In order to do so we need to make investments in several
years. One in infrastructure, a second is education in
workforce development.
On the infrastructure side we must have a budget that
begins to fill the enormous gap of the last 30 years in
addressing our infrastructure. Sometimes that is the highway
and bridges that people see, sometimes it is rail, and that
must include both passenger and freight. These things increase
significantly the efficiencies of our companies in our economy,
increase safety, and increase quality of life so that people
can spend more time with their families. But it also is the
next generation of technology, including smart technology,
broad band access, and other issues. And as we pursue this we
need to make sure these technologies are not only available to
those in areas of high population density such as our urban and
suburban cores, but also those areas of lower population
density like our rural communities and small towns.
In addition, we must look at the issue of education in
workforce development. We must focus on the issue of earlier
childhood development, understanding that we have already
betrayed the promise of the American dream to so many children
before they show up in kindergarten to begin their education.
We must make sure that we are helping every child born in this
country to reach their full potential as human beings.
We must also understand while we continue to fight hard to
make a college education accessible to all Americans who want
it, but we must also treat with equal dignity those American
youth who decide they do not want to go to college but want to
learn a trade, learn skills, enter the workforce and maybe
someday own their own business, understanding that the
strongest path from poverty in the middle class in this country
is still to learn a trade and become the small business owner.
In this way we must not only be preparing using our middle
and high school years to prepare kids for college, we must be
preparing them for the 21st century workforce they are walking
into.
We must take a broad and aggressive view of what it means
to train and develop that workforce using our public schools,
using our community college system, vocational and skill
training programs, and having those fully integrated.
We also must take this same mentality of investment over
expenditure when we look at our foreign policy, understanding
that the cheapest wars are the wars we never have to fight in
the first place because of investments we have made in our
diplomatic and intelligence core.
We must understand as we move forward in the 21st century
that with the threat of non-state actors and state actors alike
we must make unprecedented investments in the kind of
intelligence and diplomacy efforts that will help us not only
prevent wars, but when such time comes that such wars are
necessary we have given our troops all of the information they
need to fight as efficiently and effectively as possible.
We also must understand why we look for good reason at the
sectors of the next economy, such as high-tech, biomed and
other areas, that we don't forget the enormous role that
forestry and agriculture still play in the country. This is
still one of the areas that we out compete the rest of the
world, and as we head into the 21st century we must make sure
that we are helping those sectors to out compete again in the
decades ahead.
A big portion of this will involve investments in the new
energy economy. The new energy economy offers the chance not
only to reduce the huge electric bills that our farmers pay,
but take them off of the grid all together. That is what true
independence looks like, that is what the new economy looks
like, but we don't get from here to there with speeches, we get
there with investment and with innovation.
We need to think of this as a moment for us to take leaps
of technology. Computers that once took up an entire warehouse
now fit into the palm of our hands. The digesters that can help
convert cow manure or poultry waste into the energy of the
future will not occur immediately, they will occur by us
investing in the path breaking technology to get there.
So whether it is smart technology or high speed rail,
whether it is old school highways or whether it is
intelligence, I hope this budget will continue to emphasize
rewarding innovation instead of bailing out failure, and
understanding we must rebuild America's competitive advantage.
Thank you for your time.
[The prepared statement of Tom Perriello follows:]
Prepared Statement of Hon. Thomas S.P. Perriello, a Representative in
Congress From the State of Virginia
Chair Spratt, Ranking member Ryan, and respected members of the
committee, thank you for today's opportunity for all members of the
House of Representatives to have their voices heard on this year's
budget resolution. A year ago, this Congress acted boldly to pass the
American Recovery and Reinvestment Act to stem the economic crisis and
put Americans back to work. Although much has been done, there is still
work to in investing in America, creating jobs, and boosting the
economy. Investments in transportation infrastructure provide some of
the highest benefits per dollar in putting people back to work and
creating economic growth.
However, as the American people enter 2010, we continue to face a
severe economic crisis. Although our efforts toward recovery have
produced meaningful and tangible results, our families, businesses, and
communities continue to suffer from high unemployment, lost savings,
and tightened budgets. In Virginia's 5th district, unemployment is at
the highest in the state, with rates reaching as high as 20% in
Martinsville. With these challenges in mind, I thank the House Budget
Committee for your commitment to job creation and economic growth in
the Fiscal Year 2011 budget.
There are many areas of infrastructure that have been underfunded
and neglected for too long. Highways and bridges are in need of repair.
Public transit services and jobs are being cut across the nation.
Improving public transportation not only creates the immediate direct
benefit of employing workers, but a multitude of indirect benefits
through the benefits of mobility provided to all Americans. Better
transportation makes it easier for laid off and unemployed workers to
find jobs without the need to move, saving them an expensive upfront
cost of new employment.
I recognize that in light of the limits of these grim economic
times, we must carefully prioritize the programs that will receive
strong investments in the next fiscal year; however, I feel that it is
of highest importance that we continue to support efforts that will
continue to promote recovery. With that in mind, I ask that this
commitment to jobs be bolstered by a serious effort to shore up our
nation's crumbling infrastructure. As a member of the Transportation
and Infrastructure Committee, I am especially committed to supporting
transportation projects, which are vital to job protection and
creation. Investing in transportation is particularly beneficial to
those who have been hit hardest by the recession, including low-wage
workers and workers without college degrees.
By adequately funding these programs we will continue the critical
work begun by Congress last year. We must seize this opportunity both
to put Americans back to work as soon as possible and to lay the
foundation for our future. The surest way forward for Virginia's 5th
district and for our nation is to make sure our citizens can obtain and
keep jobs that help them support their families.
Mr. McGovern. And thank you very much for your thoughtful
testimony, and we appreciate your contribution to this
Congress, and you can be assured that every member of the
committee will carefully consider what you have said here
today. Thank you.
Mr. Perriello. Thank you.
Mr. McGovern. It is now my pleasure to welcome the
Honorable Carolyn McCarthy from New York, and the floor is
yours. I should say we have seven minutes and 44 seconds left.
STATEMENT OF HON. CAROLYN McCARTHY, A REPRESENTATIVE IN
CONGRESS FROM THE STATE OF NEW YORK
Ms. McCarthy. I will make it quick. I want to thank the
Chairman for allowing me to testify in front of this Committee.
Going back in January of 2008 we were able to pass
unanimously here in the House and in the Senate H.R. 2640. This
is the bill that would basically be helping our states be able
to upgrade their computer systems, for people that should be
able to buy guns and people that shouldn't be able to buy guns,
and I think that is an important piece.
Millions of criminal records are currently missing from the
databases that make up NICS due to funding restrictions and
technology use, which is not at the level it should be.
With that being said, we have seen unfortunately many
horrific crimes in the last several years on people that have
bought guns that shouldn't have been able to buy them, Virginia
Tech being one, a shooting in my own district going back a
number of years ago, and then last year in a Baptist church.
What we are looking for today is to continue to put the
money forth. I know the money is very tight in the budget right
now, and I know everybody is under restraint, but if you look
at how much money we can actually save on life and certainly
injuries from those that are doing these shootings we could
save a lot more money on the end.
Unfortunately we are seeing every day that more and more
people are slipping through the NICS system. The NICS system
does work, but a program is only as good as the information
that they have in it.
So I am hoping that the budget will see clear that the NICS
Improvement Act of 2007 corrects the primary flaw of the
thousands of individuals precluded from purchasing firearms
from doing so. These numbers prove that NICS works well and
will continue to work; however, since NICS is only as good as
the information as I said, it is estimated that almost than 40
million records are missing from the various databases that
make up NICS.
By providing this funding we will move one step closer to
bringing the records of millions of barred individuals into
NICS. That certainly makes it safer for all Americans. This
does nothing against anyone's ownership as far as guns, just
saying that you have to go through the NICS systems, and those
that have been adjudicated not to be able to buy a gun have to
be into those systems.
So I ask certainly the Budget Committee to see their way as
much as they possibly can for $375 million in the fiscal year
2011 of the budget resolution under the Department of Justice
to order to fully fund the NICS Improvement Act, and I thank
you for your time.
[The prepared statement of Carolyn McCarthy follows:]
Prepared Statement of Hon. Carolyn McCarthy, a Representative in
Congress From the State of New York
Thank you Chairman Spratt, Ranking Member Ryan, and Members of the
Budget Committee.
I appreciate your allowing me to testify today in support of
including necessary funding in the Fiscal Year 2011 Budget Resolution
under the Department of Justice to implement H.R. 2640, the NICS
Improvement Amendments Act of 2007, Public Law Number 110-180.
H.R. 2640 was signed into law on January 8, 2008, after having
passed both the House and Senate unanimously.
I know the budget is especially tight this year, Mr. Chairman, but
fully funding this program is so important because currently the
National Instant Criminal Background Check System, or NICS, is deeply
flawed.
NICS is a national database system that flags individuals precluded
under current law from purchasing and possessing firearms.
MILLIONS of criminal records are currently missing from the
databases that make up NICS due to funding restrictions and technology
issues at the state level.
Many states have not automated individuals' records concerning
mental illness, restraining orders, or misdemeanor convictions for
domestic violence.
Simply put, NICS must be updated on the state level so that it can
properly function on the federal level.
The shooting that occurred last year at First Baptist Church in
Merryville Illinois and sadly occurs in communities around the country,
reminds me of a similar shooting that took place in my district at Our
Lady of Peace Church in Lynbrook NY in 2002.
Peter Troy purchased a twenty-two caliber semi-automatic rifle. He
had a history of mental health problems and his own mother had a
restraining order against him as a result of his violent background.
Four days later, Mr. Troy walked into Our Lady of Peace Church in
Lynbrook New York and opened fire, killing the Reverend and a
parishioner.
It was illegal for him to purchase a gun, but for many reasons he
was able to slip through the NICS system.
The breakdown in the system is further underscored by the
circumstances surrounding the shootings that took place at Virginia
Tech in April of 2007
The shooter in the Virginia Tech massacre was also prohibited from
legally purchasing a firearm.
Unfortunately, flaws in the NICS system allowed his record to slip
through the cracks and he was able to purchase two handguns, and used
them to brutally murder THIRTY TWO individuals.
He passed a Brady background check because NICS did not have the
necessary information.
Sadly, this same scenario, continues to happen every day.
The NICS Improvement Amendments Act requires all states to provide
NICS with the relevant records needed to conduct effective background
checks.
It is the state's responsibility to ensure this information is
current and accurate. They must update their records to ensure violent
criminals do not have access to firearms. And then, they must share the
information with NICS.
However, I recognize many state budgets are already overburdened.
This law distributes grants to states to update their records and
provide those records to NICS.
States will receive the funds they need to make sure relevant
records are up-to-date.
While NICS has flaws, the NICS Improvement Amendments Act of 2007
corrects the primary flaw and will prevent thousands of individuals
precluded from purchasing firearms from doing so.
Approximately NINE-HUNDRED AND SIXTEEN THOUSAND individuals were
precluded from purchasing a firearm for failing a background check
between November 30, 1998, when NICS began operating, and December 31,
2004.
During this same period, nearly FORTY NINE MILLION Brady background
checks were processed through NICS.
These numbers prove that NICS works and will continue to work.
However, since NICS is only as good as the information it contains, we
must ensure that NICS has the most up-to-date records to stop
criminals, those adjudicated as mentally ill, and those under a
restraining order from purchasing firearms.
It has been estimated that more than 40 million records are missing
from the various databases that make up NICS.
By providing this funding, we will move one step closer to bringing
the records of millions of barred individuals into NICS.
This law imposes no new restrictions on gun owners and does not
infringe on the 2nd Amendment rights of law-abiding citizens. It simply
makes improvements to a program that saves lives.
I respectfully request that you include $375 million in the Fiscal
Year 2011 Budget Resolution under the Department of Justice in order to
fully fund the NICS Improvement Amendments Act of 2007.
Thank you for your time and I would be happy to answer any
questions you may have.
Mr. McGovern. Well thank you very much, and I certainly
agree with you and I hope that the rest of my colleagues do,
but I appreciate you being here. Thank you.
Ms. McCarthy. Thank you.
Mr. McGovern. Mr. Green. We are happy now to welcome the
Honorable Gene Green from Texas. Thank you for being here.
STATEMENT OF HON. GENE GREEN, A REPRESENTATIVE IN CONGRESS FROM
THE STATE OF TEXAS
Mr. Green. Thank you, Mr. Chairman, and I know we just have
a few minutes before votes, and I would like to ask unanimous
consent to place my full statement in the record.
Mr. McGovern. Without objection.
Mr. Green. But also insert in the record a letter that 19
Democrats sent to Chairman Spratt concerning the energy taxes
increases in the President's budget.
I want to thank you for allowing me to present my views on
the 2011 budget resolution. The committee is faced with many
difficult choices as it crafts this year's budget.
Energy provisions particularly are a concern because the
President's budget includes several tax increases aimed at
America's natural gas and oil industry. Without increasing
supply from our vast North American natural gas resources, or
we make it more expensive and difficult to produce natural gas
domestically, it will actually hinder our ability to meet our
potential climate change goals while also increasing the
natural gas prices for American consumers and business. Any
climate change policy will inevitably rely on clean natural
gas, which emits half the carbon dioxide emissions of coal, as
a short-term bridge fuel while our economy transforms to lower-
carbon energy standards.
Ninety percent of the oil wells drilled within America are
by independent producers. They produce 82 percent of American
natural gas and 68 percent of American oil. The average
independent producer has 12 employees. The definition of a true
small business, and that is why these taxes would hit those
definitely small business, and we need them producing.
The second issue, Mr. Chairman, is the NASA budget proposal
under the President's act. I have concerns about the
President's proposal to cancel NASA's Constellation Program,
which includes the Orion Crew Capsule, Altair Lunar Lander, and
the Ares I and Ares V rockets. These programs, which together
comprise our human spaceflight program, were authorized in both
2005 and 2008 by Republican and Democratic Congresses,
respectively.
It is under the Constellation Program that NASA is
currently developing new launch vehicles and spacecraft travel
to the moon, Mars and other destinations.
Not only does canceling the Constellation Program
jeopardize America's leadership role in human space
exploration, but it will have detrimental effects on our
economy.
And I know not in my district, but in a neighboring
district, the Johnson Space Center in Houston has the lead to
manage the Constellation Program and several of its major
elements. Without Constellation, the Johnson Space Center would
lose anywhere from 4,000 to 7,000 high-tech jobs. And these are
4,000 direct jobs and an additional 2,315 indirect. Loss of the
income and expenditures could be as high as $567 million.
With the loss of these direct jobs these scientists and
researchers will go somewhere else, and there are other
countries in the world who would like to eclipse us in our
effort in NASA both for the science, but also in the effort to
learn about our own planet.
Given our current economic downturn the possibility of
losing these jobs in our area, plus in other parts of the
country from NASA installation, it just doesn't fit in to what
we are trying to do, expand our economy particularly with high-
tech.
And with that, Mr. Chairman, I appreciate the ability to
put my whole statement in the record.
[The prepared statement of Gene Green follows:]
Prepared Statement of Hon. Gene Green, a Representative in Congress
From the State of Texas
Chairman Spratt, Ranking Member Ryan and Members of the Committee:
I am pleased to be here today to provide my views on the Fiscal
Year 2011 Budget Resolution.
This committee is faced with many difficult choices as it crafts
this year's congressional budget.
Democrats and Republicans must work together to produce a budget
that simultaneously helps meet our economic, health care, energy, and
social challenges.
energy provisions
Unfortunately, the President's budget again includes several tax
increases aimed at America's natural gas and oil industry.
Without increasing supply from our vast North American natural gas
resources, or if we make it more expensive or difficult to produce
natural gas domestically, it will actually hinder our ability to meet
any potential climate change goals while also increasing natural gas
prices for American consumers and business.
Any climate change policy will inevitably rely on clean natural
gas--which emits half the carbon dioxide emissions of coal--as a short-
term ``bridge'' fuel while our economy transforms to lower-carbon
energy sources.
Natural gas is also required to make energy-efficient products,
make wind turbine blades and solar panels, provide back-up power for
intermittent renewable energy sources, and to run biomass facilities.
Most importantly, now is not the time to weaken economic
opportunities in our domestic energy industry with punitive tax hikes.
America's independent producers are responsible for 90% of the
wells drilled in America, and they produce 82% of American natural gas
and 68% of American oil.
The average independent producer company has 12 employees--the
definition of a true small business. Increasing costs on the energy
industry and on U.S. companies operating abroad will jeopardize these
small business jobs, export production overseas, and increase our
reliance on foreign sources of energy.
nasa
Additionally, Mr. Chairman, I have concerns about the
Administration's proposal to cancel NASA's Constellation Program, which
includes the Orion Crew Capsule, the Altair Lunar Lander, and the Ares
I and Ares V rockets.
These programs, which together comprise our human spaceflight
program, were authorized in both 2005 and 2008 by Republican and
Democratic Congresses respectively.
It is under the Constellation program, that NASA is currently
developing new launch vehicles and spacecraft capable of travel to the
moon, Mars and other destinations.
Not only does cancelling the Constellation Program jeopardize
America's leadership role in human space exploration, but it will have
detrimental effects on our economy.
Take, for example, the Johnson Space Center in Houston, Texas. The
Johnson Space Center has the lead to manage the Constellation Program
and several of its major elements, including the Orion Crew Exploration
Vehicle and the Altair Lunar Lander.
Without Constellation, the Johnson Space Center could lose anywhere
from 4,000 to 7,000 high-tech jobs.
If the JSC loses 4,000 direct jobs, an additional 2,315 indirect
jobs would be lost, totaling 6,315; loss of income and expenditures
locally would be over $567 million.
If the JSC loses 7,000 direct jobs, an additional 4,052 indirect
jobs would be lost, totaling 11,052; loss of income and expenditures
locally would total almost $1 billion.
Additionally, the aerospace industry would lose as many as 20,000--
30,000 jobs nationally in either of these scenarios.
Given our current economic downturn, we cannot take the possibility
of these job losses lightly and the Johnson Space Center is just one
example of what the cancellation of this program would do to other NASA
centers nationally.
Finally, it will take years for the commercial spaceflight industry
to get up to speed to reach the level of competence that exists at NASA
today.
Our government has already invested literally years and billions of
dollars into this program. We should build upon these investments and
not abandon them.
Our country can support the commercial spaceflight industry, but
not at the expense of our human spaceflight program, which for years
has inspired future generations and driven technology that enhances our
quality of life.
That is why it is my hope, Mr. Chairman, this Committee and this
Congress will continue to support NASA's Constellation Program and to
support balanced energy policies that promote economic growth and will
help us meet our clean energy goals.
Thank you.
[Additional submission of Mr. Green follows:]
[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]
Mr. McGovern. Without objection. We appreciate your
excellent remarks, and we certainly will consider all of your
suggestions. Thank you for being here.
Mr. Green. Thank you.
Mr. McGovern. The Budget Committee will now stand in a
short recess.
[Recess.]
Ms. Kaptur [presiding]. The hearing will come back to
order. We want to welcome the members. This is a member day for
testimony, and we apologize for keeping you waiting a few
moments, and we would like to begin with our esteemed colleague
from the State of California, Congresswoman Lynn Woolsey.
STATEMENT OF HON. LYNN WOOLSEY, A REPRESENTATIVE IN CONGRESS
FROM THE STATE OF CALIFORNIA
Ms. Woolsey. Thank you, Madam Chairwoman. Thank you for
allowing me to testify today. I appreciate the hard work of
this Committee, and I look forward to working with the
Committee to develop a fiscal year 2011 budget that addresses
the immense challenges facing our country.
Madam Chairwoman, the Congressional Progressive Caucus
supports creating jobs and investing in our economy by reducing
wasteful Cold War spending, by getting our troops safely home
from Iraq and Afghanistan, by cutting waste, fraud, and abuse,
and offering a robust public option in the health reform bill.
Like you, the CPC is very concerned about the state of the
economy, and our approach is to cut wasteful defense spending
so that we refocus the budget so that it is in line with the
values of our nation's working families.
The CPC budget, meaning the Congressional Progressive
Caucus budget, reinvests in the middle class with aggressive
job creation programs and support for projects so we will get
America moving again toward a prosperous and secure future.
To accomplish this goal, Madam Chairwoman, the CPC budget
cuts defense spending in three ways. First by safely
redeploying our troops from Iraq and Afghanistan, next reducing
our nuclear weapons arsenal, and thirdly removing funding for
outdated Cold War-era weapon systems. The United States doesn't
just lead the world in defense spending; we almost outspend the
rest of the world combined. That is right, a full 43 percent of
the world's defense spending comes from the United States, and
the U.S. alone, and when you add in what our NATO allies spend
we are well over 50 percent.
Our annual defense budget dwarfs that of our biggest
rivals. We spend four times as much as China, and eight times
as much as Russia. The President himself has said, Madam
Chairwoman, that we need to reform our defense budget so that
we are not paying for Cold War-era weapons systems that we
don't use. And I couldn't agree more.
For the past several years the Progressive Caucus has
introduced an alternative budget that does just that. We can
see immediate savings by eliminating over $60 billion in
unneeded spending at the Pentagon, much of which is spent on
systems like the V-22 Osprey and the Virginia Class Submarine,
which were built to fight the next generation of Soviet
weapons.
Madam Chairwoman, we are building weapons to beat weapons
that have never even been built. We can save $15 billion a year
by reducing the number of nuclear warheads in our arsenal from
10,000 to 1,000, which is still more than we will ever need,
and more than enough to blow up the world many times over.
Missile Defense has never been proven and just doesn't make
sense in facing our current military challenges. We can save
another $8 billion by drastically scaling back the Ballistic
Missile Defense System. The Cold War has been over, Madam
Chairwoman, for almost twenty years, it is time these weapons
programs are ended.
Current events and modern warfare have passed these weapons
by. It is time that the DoD take stock with a critical eye and
spend money only on what it needs, not on what it wants.
Along with scrapping these weapons, we can achieve a
massive reduction in the Pentagon's budget by ending the
occupations of Iraq and Afghanistan. By bringing our troops
safely home now and not increasing our military presence we can
save $159 billion next year.
The initial invasion of Iraq made no sense, most of us
agree to that, and with the current financial problems we are
facing it makes even less sense. We have already spent over
$700 billion in Iraq, and the cost is estimated to be $3
trillion in the end even if we act now.
In Afghanistan we have spent more than $250 billion, and
the date for redeployment keeps getting pushed back with more
and more men and women in uniform being put in harm's way and
killed at record rates.
Madam Chairwoman, I thank this Committee for the language
included in previous budgets that instructs the GAO to continue
to search to find fiscal waste, fraud, and abuse at the
Pentagon, and I look forward to continuing to work on this
issue with the committee.
We must get defense spending under control if we are going
turn our economy around. So please consider making the
aforementioned defense spending cuts a part of the Democratic
budget for the fiscal year 2011.
I thank you again for allowing me to come before your
committee to express my views, and I look forward to any
questions you or our colleagues may have.
[The prepared statement of Lynn Woolsey follows:]
Prepared Statement of Hon. Lynn C. Woolsey, a Representative in
Congress From the State of California
Chairman Spratt, Ranking Member Ryan, and Members of the Budget
Committee, thank you for allowing me to testify today. I appreciate
your hard work, and look forward to working with you to develop a
Fiscal Year 2011 budget that addresses the immense challenges facing
our country.
Mr. Chairman, the Congressional Progressive Caucus (CPC) supports
creating jobs and investing in our economy by reducing wasteful Cold
War spending, getting our troops safely home from Iraq and Afghanistan,
cutting waste, fraud, and abuse, and offering a robust public option in
the health reform bill.
Like you, the CPC is very concerned about the state of the economy,
and our approach is to cut wasteful defense spending refocusing the
budget so that it's in line with the values of our nation's working
families.
The CPC budget reinvests in the middle class with aggressive job
creation programs and support for projects that will get America moving
again toward a prosperous and secure future.
To accomplish this goal, the CPC budget cuts defense spending in
three ways: by redeploying our troops from Iraq and Afghanistan,
reducing our nuclear weapons arsenal, and removing funding for outdated
Cold War-era weapons systems.
The United States doesn't just lead the world in defense spending;
we almost outspend the rest of the world combined.
That's right, a full 43% of the world's defense spending comes from
the U.S., and the U.S. alone, and, when you add in what our NATO allies
spend, we are well over 50%.
Our annual defense budget dwarfs that of our biggest rivals * * *
we spend four times as much as China, and eight times as much as
Russia.
The President himself has said that we need to ``reform our defense
budget so that we're not paying for Cold War-era weapons systems we
don't use.''
And I couldn't agree more. For the past several years, the
Progressive Caucus has introduced an alternative budget that does just
that.
We can see immediate savings by eliminating over $60 billion in
unneeded spending at the Pentagon, much of which is spent on systems
like the V-22 Osprey and the Virginia Class Submarine, which were built
to fight the next generation of Soviet weapons. Mr. Chairman, we're
building weapons to beat weapons that have never even been built.
We can save $15 billion a year by reducing the number of nuclear
warheads in our arsenal from 10,000 to 1,000 * * * which is still more
than we'll ever need, and, more than enough fire power to blow up the
world many times over.
Missile Defense has never been proven and just doesn't make sense
in facing our current military challenges. We can save another $8
billion by drastically scaling back the Ballistic Missile Defense
System (BMDS).
The Cold War has been over for almost twenty years, it's time these
weapons programs are ended. Current events and modern warfare have
passed these weapons by. It's time that the DoD take stock with a
critical eye and spend money on only what it needs, not what it wants.
Along with scrapping these weapons, we can achieve a massive
reduction in the Pentagon's budget by ending the occupations of Iraq
and Afghanistan. By bringing our troops safely home now and not
increasing our military presence, we can save $159 billion next year
alone.
The initial invasion of Iraq made no sense, and with the current
financial problems we are facing it makes even less sense. We've
already spent over $700 billion in Iraq, and the cost is estimated to
be $3 trillion even if we act now.
In Afghanistan, we've spent more than $250 billion and the date for
redeployment keeps getting pushed back with more and more men and women
in uniform being put in harm's way and killed at record rates.
Mr. Chairman, I thank this committee for the language included in
previous budgets, instructing the GAO to continue its search to find
fiscal waste, fraud, and abuse at the Pentagon, and I look forward to
continuing to work on this issue with the Committee.
Mr. Chairman, we must get defense spending under control if we are
going turn our economy around. Please consider making the
aforementioned defense spending cuts a part of your budget for Fiscal
Year 2011. Thank you again for allowing me to come before your
committee to express my views. I look forward to any questions you or
our colleagues may have.
It's time to reinvest in our nation's security and prosperity and
reject cold war thinking. I ask that you support this common sense
approach.
Ms. Kaptur. Thank you very much Congresswoman Woolsey, and
thank you for your superb work on your own subcommittee, but
also as a co-chair of the Congressional Progressive Caucus. You
make a really valuable and vital contribution to our
deliberations, and we will take in the committee heed of your
words and attempt to shape a budget that is balanced. Thank you
so very much.
Ms. Woolsey. Thank you.
Ms. Kaptur. We would like to hear now from Congressman John
Mica of Florida. Welcome.
STATEMENT OF HON. JOHN L. MICA, A REPRESENTATIVE IN CONGRESS
FROM THE STATE OF FLORIDA
Mr. Mica. Well thank you so much and appreciate the
opportunity to appear before the Budget Committee. And I was
thinking I don't think I have come before the Budget Committee
well in more than a decade. Usually if I have some
recommendation we submit it, but I thought it was incumbent as
the Ranking Member of the Transportation and Infrastructure
Committee to express my concern about a budget proposal which I
think needs the attention of this committee and the attention
of Congress, and I would to submit a longer statement if I may
for the record.
Ms. Kaptur. Without objection your entire statement will be
included in the record. For some reason, Congressman, we don't
have a statement in the record currently, and so we thank you.
Mr. Mica. Okay, well we will provide you that, then I have
a statement--actually a statement by Congressman Elijah
Cummings who is Chairman of the Coast Guard and Maritime
Subcommittee, and I would like that and also myself and Mr.
LoBiondo as Ranking Member of the full committee on the Coast
Guard Subcommittee, we have a letter to Mr. Obey, the
Appropriations Committee, if we could either reference those or
put them in the record I would be grateful.
Ms. Kaptur. Without objection they will be placed in the
record.
Mr. Mica. And if I might I would just take a minute or two
and summarize my concerns today. One of our six subcommittee
areas and areas of jurisdiction, even though we split some
jurisdiction with Homeland Security, is the United States Coast
Guard. These incredible men and women are our first line of
domestic defense, national security, and maritime safety.
The Obama Administration proposed cutting almost 1,100
positions from the Coast Guard. In addition to that, they are
proposing cutting some assets which we think are extremely
important.
One of the assets are five domestic helicopters that are
used, and those helicopters actually, although the five they
are talking about are used domestically outside of Florida,
would result in two net decrease in Florida's patrolling for
drugs, illegal immigrants, and guarding our coastline which is
an important responsibility.
And then I just got some horrible news just a few minutes
ago from the staff director of our Coast Guard Subcommittee,
that one of the five helicopters that they were scheduling to
decommission crashed. We don't know if there is a loss of life.
They are survivors, but these assets are extremely important
and we lost one of them just within hours of my presentation
here.
But this is not the time to be cutting those assets, and
this is not a bipartisan statement, Mr. Cummings' statement
which I ask to be part of the record, and I think every
Democrat when they came before us, the Administration, to
account for the budget just in the last few days they all spoke
unanimously for restoration of some of the proposed cuts.
And again, you have the Republican side of the aisle, and
Mr. Oberstar, our Chairman, also asked me at a hearing a few
hours ago to relay his concern and support for restoration.
So there are the five helicopters, 1,100 positions, and
almost a quarter of a billion dollars will be taken from
customs and border protection funds in the proposal, so we
think that that is not wise.
Now, I didn't come just to tell you to add money without
having a positive solution. The budget does include a provision
for expanding TSA bureaucracy by 4,500 positions bringing the
total number of TSA employees to well over 60,000.
Now you are looking at the individual who was primarily
responsible for the creation of TSA working in a bipartisan
fashion after 9/11. We never intended an agency that started
out with 16,500 screeners to get to this number, nor did we
intend for the bureaucracy now. The latest figures that I have
are there are 8,700 administrative staff in TSA across the
country and over 3,000 administrative staff, and all of these
making on average over $100,000 in just Washington, D.C.
So I would strongly recommend that we do not have to deploy
these additional folks, that there could be some efficiency,
and our committee would work with the Budget Committee and the
Committees of Jurisdiction and Appropriations to ensure that we
have better utilization of funds in the Transportation Security
Administration and not cut the positions in the Coast Guard.
So that is a positive alternative that we would ask you to
look at in the appropriate committees of jurisdiction.
So those are two of my major concerns. I know you have very
important responsibilities and difficult choices at a time when
our nation is facing fiscal constraints and huge deficits, but
on a positive note we hope that this can be looked at and we
can work with you.
Mr. Cummings, Mr. Lobiondo, I know myself and others have
all pledged to do whatever it takes to try to find the
resources to at least keep the coast guard whole. Thank you.
[The prepared statement of John L. Mica follows:]
Prepared Statement of Hon. John L. Mica, a Representative in Congress
From the State of Florida
Mr. Chairman, protection of the nation's borders, ports and
waterways could be severely undermined by funding cuts to the Coast
Guard and Customs and Border Protection proposed by the Obama
Administration.
The Administration is gutting some of our frontline defenses
against terrorism by cutting over 1,000 positions from the Coast Guard
and Customs and Border Protection. The Administration proposes to cut
funding needed to secure our borders within the Customs and Border
Protection by more $225 million.
At the same time, the Administration proposal expands the bloated
bureaucracy of the Transportation Security Administration (TSA) by
another 4,500 employees bringing the total number of TSA employees to
more than 60,000.
The American people expect the federal government to live within
its means, but this is not a simple question of cutting the federal
budget. We cannot compromise on our capability to ensure the safety and
security of our ports and borders in favor of more bureaucracy.
TSA's growth is out of control with more than 3,000 administrative
staff in Washington with average annual salaries of over $100,000, and
another 8,700 administrative and management staff across the country.
Instead of shortchanging border and port security, we could save money
by cutting excessive administrative positions at TSA by 25 percent.
We can further save money at TSA by eliminating the redundant and
enormously wasteful practice of rescreening all international
passengers arriving for domestic flights at the almost 100 domestic
airports with direct international service. I believe TSA could make
much better use of its personnel and resources, not to mention
providing better security for passengers, by ensuring that passenger
screening conducted at international departure airports is equivalent
to that conducted in the United States. This would free up thousands of
security screeners to be used in a more efficient and effective manner.
TSA also maintains that each new Advance Imaging Technology (AIT)
station requires 3 FTEs per shift and there may be 2 or 3 shifts per
day. Increasing the number of AITs to 1800 will cost more than an
additional $2 billion dollars.
Without an Administrator for the past year, TSA desperately needs
leadership and redirection of its resources. I cannot believe that TSA
needs so many new positions to man new airport screening equipment
while the Coast Guard starves.
We cannot justify cutting resources to protect our borders and
ports while growing the top-heavy, inefficient bureaucracy at TSA.
I urge you to provide sufficient budget authority to restore the
cuts proposed for the Coast Guard. Specifically,
Restore $ 5.5 million for the 5 H-65 helicopters the
budget proposes to eliminate. The service has spent considerable time
and money modernizing and re-engineering the H-65 fleet, and sidelining
these crucial assets is a mistake. Laying up these aircraft will reduce
U.S. anti-drug surveillance in the transit zone used by those smuggling
drugs and migrants in the Caribbean and the waters around my home state
of Florida. The loss of the helicopters would also reduce the Coast
Guard's hard-won ability to board suspected terrorist vessels at sea.
Provide $108 million to fund long lead funding for
National Security Cutter (NSC) # 6. The budget includes funds to build
NSC #5, but without long lead funding for materials the shipyard cannot
continue the seamless production of the next cutter in the planned
series of 8 vessels.
Provide $18.2 million to maintain all 12 Maritime Safety
and Security Teams (MSSTs). MSSTs patrol our harbors daily, and provide
the front line defense against terrorist attacks. These teams deter and
respond to terrorist activities in and around U.S. ports and provide
additional response capability for natural disasters and maritime
accidents The terrorists in New York harbor won't wait as the Coast
guard repositions assets from Boston.
Restore funds for port, waterway and coastal security
proposed to be cut by more than $100 million.
I also urge you to include budget authority for Coast Guard
programs directly to the Coast Guard budget. The Administration
requests funds as part of the Navy and National Science Foundation
(NSF) budgets that are intended to be transferred at a later date to
the Coast Guard to cover Coast Guard operations. Those funds should be
provided directly to the Coast Guard. The NSF funds are for polar
icebreaking activities, and the Navy funds for overseas operation in
support of the Department of Defense.
It is said, ``Eternal vigilance in the price of freedom.'' We must
provide our first responders with the tools they need to remain
vigilant and keep us free.
[Additional submissions of Mr. Mica follow:]
[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]
Ms. Kaptur. Thank you so very much for your testimony. You
are ranking on that subcommittee, are you not?
Mr. Mica. I am ranking on the full committee.
Ms. Kaptur. As well as on the full committee?
Mr. Mica. Well, Mr. Oberstar and I sit on all six
subcommittees, and I have six very competent ranking members on
that committee, but again, this isn't a partisan issue, this is
something the whole committee agrees on, including the
subcommittees.
Ms. Kaptur. Well I wanted the record to note, Congressman
Mica, the importance of your position on that committee.
Mr. Mica. Thank you, thank you.
Ms. Kaptur. And for you to take time to come here today and
both you and Congresswoman Woolsey have made proposals, but you
have also provided suggestions for offsets and we greatly
appreciate that, and we appreciate the time you have given
today.
Mr. Mica. Thank you.
Ms. Kaptur. And all of those materials will be placed in
the record, and believe me, will be shared with our colleagues
as well as the staff.
Mr. Mica. Thank you.
Ms. Kaptur. Thank you so have much. And now we would like
to turn to Congresswoman Laura Richardson from California.
STATEMENT OF HON. LAURA RICHARDSON, A REPRESENTATIVE IN
CONGRESS FROM THE STATE OF CALIFORNIA
Ms. Richardson. Chair Kaptur, Chairman Spratt, Ranking
Member Ryan, and members of the committee, before I begin my
comments let me also associate myself with our Ranking Member
Mica in his comments about the Coast Guard. I serve on that
committee as well, and I am in full agreement and attest to the
bipartisan effort that he brought it in.
Thank you for convening this hearing and allowing me and
our colleagues the opportunity to share with the committee our
budgetary priorities for fiscal year 2011.
I ask for my entire statement to be included in the record
of this hearing.
Ms. Kaptur. Without objection it will be included.
Ms. Richardson. Thank you. I represent the hardworking and
hard pressed men and women, children, and businesses of the
37th Congressional District who are going through the toughest
economic times in recent memory. The unemployment rate in
California still hovers around 12 percent, but in some areas of
my district, such as Compton, it is closer to 20 percent.
The foreclosure rate for California is 1 in 185, which is
twice the national average which is 1 in 405. And in my
district in Carson, the foreclosure rate is 4 times that, 1 in
96.
In a light of those thoughts is why I come to you, it is
our budgetary response to these four greatest challenges that I
approach you today; creating jobs, stemming foreclosures,
aiding state and local governments, and strengthening the
safety net that I wish to discuss with you.
Number one, priority for jobs for Americans. I applaud the
President's inclusion in the jobs package for fiscal year 2011
of the 100 billion to fund it; however, I think we need to do
more for young people, seniors, and small businesses that have
been particularly hit.
One of the things I tried to show some leadership on with
older Americans. The President is suggesting that we would
increase from full year 2009 the Senior Community Service
Employment Program. Increase it to $825 million.
I would support this of being a minimum of $700 million
over the next five years.
The next area would be jobs for recent college graduates.
We are finding many college grads, even though they have done
what their parents asked them to do, which was to go to school
and get an education, they are finding out that they cannot
compete in the workforce. And so I support the President's
efforts of $33 billion to encourage small businesses to hire
new employees at a $5,000 new hire tax credit, I would only
suggest that we would increase that by another $2,500 if a
small business hires a recent college grad.
The third area would be in help for small businesses. I
support the President's request to permanently eliminate the
capital gains taxation on small businesses which is a cost of
$8.1 billion and for $17.5 billion in the SBA Section 7(a) loan
guarantees to provide small businesses with access to credit
needed to expand and create jobs.
The second area is investment in transportation and
infrastructure. When it comes to creating jobs there is no more
effective way, and we found this in our own stimulus, despite
us fighting for more money in transportation and
infrastructure, we have found that for the small amount that
was received it has generated the greatest amounts of jobs.
When you consider for every dollar that is invested in
infrastructure at least $1.63 is reflected and generated in
economic activity.
We must pass the Surface Transportation Reauthorization
Bill and provide funding for projects critical to our national
greatness.
Some of those problems are in my district, the Gerald
Desmond Bridge located in Long Beach, California that carries
ten percent of our entire nation's cargo. And I will repeat
that, ten percent of our entire nation's cargo.
We are fortunate in California, we are seeing a move
towards high speed rail, but more needs to be done.
The other area of infrastructure would fall under housing.
The need for housing and redevelopment assistance is great in
my district and in my state and across the nation.
So with that I would support Community Development Block
Grants, the Neighborhood Stabilization Fund, that we would do
above and beyond the $4.84 billion that the President
requested.
And then in the last section of transportation and
infrastructure talking about aid to state and local
governments, I strongly support President Obama's budget
request of $266 billion for temporary provisions to speed
economic recovery. I urge that a larger portion of this funding
be used to extend the Recovery Act's State Fiscal Stabilization
Fund.
The State Fiscal Stabilization Fund has saved about $2.1
million that otherwise would have been lost. This funding is
vital, it is an effective program, and it should be increased
for fiscal year 2011.
The next area I wanted to mention was Native Americans. I
find that perhaps nowhere in America are we seeing some of the
greatest challenges than the unemployment within the Native
American community. An average unemployment rate of 22 percent,
huge disparities in healthcare, education, housing, and crime.
I therefore am pleased that the President's budget requests
$2.7 billion in total budget authority for fiscal year 2011. I
am also pleased that it includes a focus for Indian Affairs on
their core programs and services vital to Indian Country.
I have spent most of my time now talking about what I
support in the budget, now I would like to tell you what I
don't support.
In terms of Homeland Security, I am the Chair of the
Homeland Security Emergency Preparedness and Communications,
and Response Subcommittee. In addition, my district is home to
many high value terrorist targets, such as the Port of Long
Beach, I have over six refineries and so on.
I am deeply troubled by the proposed cut of $77.5 million.
That is nearly 50 percent in funding for international cargo
screening. That is a complete slap in the face to the
objectives and the goals of the 9/11 Act of achieving 100
percent cargo screening by 2012.
I am concerned about the steps that have been brought
forward and I think they should be resoundingly rejected.
I am also concerned about the proposed cuts of $200 million
in funding for Staffing for Adequate Fire and Emergency
Response Program and Assistance to the Firefighter Grant
Program that will severely limit the ability of local fire
departments to remain ready and first respond.
Also you should consider additional funding for Fire
Station Construction Grant Program. Many of us in our districts
have old fire stations and they are not gender equal, and those
are serious things that need to be changed in our fire
stations.
Finally, as I close, a budget is a record of our
expenditures, our outlays, and revenue receipts, but it is more
than that, it is an expression of our cherished values and a
contract between generations.
I thank you for your time.
[The prepared statement of Laura Richardson follows:]
Prepared Statement of Hon. Laura Richardson, a Representative in
Congress From the State of California
Chairman Spratt, Ranking Member Ryan, and Members of the House
Budget Committee: Thank you for convening this hearing and allowing me
and our colleagues the opportunity to share with the Committee our
budgetary priorities for Fiscal Year 2011. I ask that my entire
statement be included in the record of this hearing.
Coming as we do from all regions of the country and both sides of
the aisle, the testimony you hear today is a fair reflection of the
collective hopes and dreams of the American people. This Committee has
the daunting task of crafting a budget resolution that expresses the
values and reflects the character of our country.
I am here to speak for the people I represent, the hard-working and
hard pressed men, women, children, and businesses of the 37th
Congressional District of California.
Mr. Chairman, my state and my district have experienced, and still
are going through, the toughest economic times in recent memory. The
unemployment rate in California still hovers around 12 percent but in
some areas of my district, like Compton, it is closer to 20 percent.
The foreclosure rate for California (1/185) is more than twice the
national average (1/405). In the City of Carson, also in my district,
the foreclosure rate is 4 times the national average (1/96).
Across the country, in every state and local government, we observe
a familiar pattern: rising unemployment and job loss leads to increased
foreclosure rates, which in turn result in decreased revenues for state
and local governments, who resort to cutting essential social and
public services to balance their budgets which exacerbates the economic
hardships on our hard-pressed families.
It is the budgetary response to these four great challenges--
creating jobs, stemming foreclosures, aiding state and local
governments, and strengthening the safety net--that I wish to discuss
with the Committee today.
number #1 priority: jobs for americans
That is why creating jobs--good paying jobs with benefits to
sustain families--must be our central objective.
I applaud the President for including a ``jobs package'' in the
FY2011 budget and for requesting $100 billion to fund it, but I believe
that given the scale of the challenge, at least triple that amount
($300 billion) is required.
The current economic downturn has been particularly hard on young
people, seniors, and small business.
Older Americans
When older Americans, those 50 and older, lose their jobs, they
remain unemployed for much longer periods than younger counterparts.
Many get discouraged and leave the labor market altogether. If they are
fortunate enough to secure a replacement full-time job, invariably the
pay is less, the hours are fewer, and the benefits are minimal or non-
existent.
One way to provide targeted and immediate relief for jobless older
Americans is to fully fund the Senior Community Service Employment
Program. I applaud the President for providing $825 million for this
program in FY2010, up from $500 million in FY09. I strongly urge that
funding for this vital program be maintained at not less than $700
million for the next five years. And I will soon introduce legislation
that will make this program more accessible by lowering age and income
eligibility requirements.
Jobs for Recent College Graduates
According to a recent report by the Project on Student Debt, recent
college graduates carry an average of $23,200 in student loan debt.
Combined with an unemployment rate of nearly 11 percent, more and more
young people are returning home to live with their parents instead of
striking out to make their mark in the world. They need jobs, not an
allowance from Mom and Dad, who are struggling financially themselves.
The President's recent proposal to provide a $33 billion proposal
to encourage small businesses to hire new employees by giving them a
$5,000-per-new-hire tax credit is a step in the right direction but I
believe we can and should do more. I will soon be introducing
legislation to establish a program called ``America RISING,'' which
stands for:
``America Realizing the Informational Skills and Initiative of New
Graduates''
Under this program funding would be provided to establish and pay
the salary for two years of a cadre of recent college graduates to be
deployed to work with small or disadvantaged business enterprises or
major corporations which have operations located in enterprise zones or
in areas where the local unemployment rate exceeds the national average
by more than two percentage points.
The benefits of such a program are two-fold. First, it provides
jobs for young persons with marketable skills. Second, it will provide
a much needed infusion of human capital and technological expertise
that will enable small businesses to become more competitive.
Help for Small Business
As a member who spent 14 years working in the business world before
coming to Congress, I understand that small business is the backbone of
our economy. The 26.8 million small businesses in the United States
represent more than 99.7 percent of all employers, employ just over
half of all private sector employees, and generated 64 percent of the
net new jobs created since 1995.
Clearly, if we are to grow our way out of this economic mess, small
business is going to help lead the way. I therefore support the
President's request to permanently eliminate capital gains taxation on
small businesses (cost: $8.1 billion) and for $17.5 billion in SBA
Section 7(a) loan guarantees to provide small businesses with access to
the credit needed to expand and create new jobs.
As a New Democrat and a former business owner, I am a strong
proponent of fiscal responsibility and deficit reduction. However, in
light of the present crisis, I believe that providing expanded access
to credit for small business is so critical that I support using a
portion of the remaining TARP funding for this purpose. We have already
helped companies deemed ``too big to fail.'' Now it is time to provide
help for small business so that they do not remain ``too small to
succeed.''
investment in transportation and infrastructure
When it comes to creating jobs, there is no more effective means
than investing in infrastructure. It has been demonstrated time and
again that for every dollar invested in infrastructure, at least $1.63
is economic activity is generated.
Our most recent example of effective investment in infrastructure
is the Recovery Act, which thus far has created nearly one million jobs
over the first year of investment while at the same time improving the
lives of virtually every American who can enjoy the roads, bridges, and
transit systems that were built or improved through this funding.
I come from the district that embodies the nation's transportation
needs, with the largest ports in the country, three airports, major
freight rail lines, and 40% of the nation's goods moving along our
rails and four major interstate highways. And as a member of the
Transportation & Infrastructure Committee I understand how sound
transportation and infrastructure investments will make our nation
globally competitive and enhance the quality of life in our
communities.
The President's budget requests a 2% increase in infrastructure
funding. This amount is too paltry to permit us to do anything but
tread water when we need to be heavily investing in our nation's
infrastructure and moving forward.
Congress must act boldly and decisively. We must pass a surface
transportation reauthorization bill and provide funding for projects
critical to national greatness. One such project is the Gerald Desmond
Bridge located in Long Beach, California. The Desmond Bridge may not be
as famous or glamorous as the Golden Gate or the Verrazano, but it
carries a larger percentage of the nation's cargo--10 percent--than any
other bridge.
That is why it is so shocking and short-sighted that we have not
rebuilt this 40 year-old bridge, which is now reduced to wearing a
``diaper'' to catch the concrete and debris that falls daily from its
underside. It is imperative that programs such as the Projects of
National Significance and the Freight Improvement Program receive ample
funding so essential projects like the rebuilding the Desmond Bridge
can be completed.
Our infrastructure needs were also on clear display last week when
we learned that over $60 billion of projects applied for $1.5 billion
of TIGER grant funding. Put another way: for every dollar provided, $40
of need went unmet, including every project in my district, one of the
most infrastructure-intensive in the nation.
When it comes to transportation funding, we must be forward-
thinking and pro-active to position our country to compete and win in
the global economy. Nowhere is this more important than in the area of
high-speed rail. As the founding co-chair of the California High-Speed
Rail Caucus, I applaud the President for requesting $1 billion for rail
in the budget since this is more than is typically provided. I also
appreciate very much the $2.25 billion grant for high-speed rail
development California received under the Recovery Act.
But a larger commitment is needed. It will cost about $40 billion
to bring high-speed rail to California. But with it will come a
revolution in travel and a model for the rest of the country. The
benefits include a cleaner and quieter environment, reduced traffic
congestion, and 450,000 new jobs in California to build the line. High-
speed rail is the wave of the future and we must make a real commitment
to it to remain competitive. After all, China is spending an estimated
$100 billion annually to construct its national high-speed rail
network. This nation simply cannot afford to fall behind its leading
economic competitor in the 21st century.
housing
The needed for housing and redevelopment assistance is great in my
district, my state, and across the nation. California trails only
Nevada in the rate of housing foreclosures, and is projected to lose
1.9 million homes to foreclosure projections between 2009 and 2012.
Therefore, it is imperative that we substantially increase funding for
foreclosure relief programs such as the Community Development Block
Grants (CDBG) and the Neighborhood Stabilization Fund (NSF) above the
$4.84 billion requested in the President's budget.
I do not support the President's decision to request a reduction in
funding for the Section 202 Housing for the Elderly program and the
Section 811 Housing for Persons with Disabilities Program, which funds
the new construction of housing for those groups. Our seniors and the
disabled are among the most vulnerable populations in society and we
cannot neglect their housing needs.
aid to state and local governments
I strongly support President Obama's budget request of $266 billion
for temporary provisions to speed economic recovery and urge that a
larger portion of this funding be used to extend the Recovery Act's
State Fiscal Stabilization Fund. This fund helps states maintain
education and other services such as public safety and law enforcement
during the recession.
With tax revenue still declining as a result of the recession and
budget reserves largely drained, the vast majority of states have made
spending cuts that hurt families and reduce necessary services. These
cuts, in turn, have deepened states' economic problems because families
and businesses have less to spend.
At least 45 states and the District of Columbia have enacted severe
cuts in all major areas of state services, including health care (29
states), services to the elderly and disabled (24 states and the
District of Columbia), K-12 education (29 states and the District of
Columbia), and higher education (39 states).
In California, for example, the Governor has proposed the following
cuts in services:
additional deep reductions to Medi-Cal (Medicaid)
services, including increased co-payments and reduced eligibility for
immigrants;
a $1.5 billion reduction in K-12 and community college
funding in 2010-11;
a 5 percent to 10 percent cut to state employee salaries;
a reduction in Supplemental Security Income/State
Supplementary Program (SSI/SSP) grants by $15 per month;
the elimination of the state's CalWorks (TANF) program and
a number of other human service programs; and
the elimination of funding to respond to enrollment growth
in the state's public universities.
State Fiscal Stabilization Fund dollars provided by the Recovery
Act Federal help to reduce the extent, severity, and economic impact of
these cuts. And they have saved about 2.1 million jobs that otherwise
would have been lost. Funding for this vital and proven effective
program should be increased for FY2011 because the budget pressures
facing state and local governments have not abated and, in fact, are
increasing.
homeland security
I am the Chair of the Homeland Security Emergency Preparations,
Communications, and Response Subcommittee. In addition, my district is
home to many high-value terrorist targets, such as the Port of Long
Beach. I am therefore, deeply troubled by the proposed cut of $77.5
million (nearly 50 percent!) in funding for international cargo
screening. This decrease reflects an emphasis on remote screening of
freight instead of physical inspection. The 9/11 Act established the
goal of 100 percent cargo screening by 2010; the proposed budget cut
will not bring a closer to achieving this national objective.
I am also concerned about the proposed cut of $200 million in
funding for the Staffing for Adequate Fire and Emergency Response
(SAFER) Program and the Assistance to Firefighter Grant (AFG) Program.
I oppose these reductions because they will severely limit the ability
of local fire departments to meet community needs and maintain the
readiness of local first responders during all types of emergencies.
I also strongly believe that we should substantially increase
funding for the Fire Station Construction Grant Program so cities like
Compton in my district can have the resources needed to protect the
local citizenry and to assist in the protection of a vital national
asset like the Alameda Corridor which splits the city down the middle
while it transports the nation's cargo to and from the Ports of Long
Beach and Los Angeles.
Finally, I would also like to stress the importance of full funding
for the State and Regional Preparedness Program, which provides grants
to fund programs such as the Citizens Corp and Interoperable Emergency
Communications Grants. A recent GAO report stated that only about half
of American households had disaster supplies in their home and a
household emergency plan. Clearly there is more that must be done to
get our people in an optimal state of readiness. Thus, I cannot support
the proposed request to decrease preparedness funding by 13.33% or
$313.7 million.
native americans
Perhaps nowhere is the need more urgent need than in Indian
Country, which is grappling with an average unemployment rate of 22
percent, which is higher than any state. Addressing the disparities in
health care, education, housing, and crime in Indian Country also
remains a challenge. I therefore am pleased that the President's budget
requests $2.7 billion in total budget authority for FY2011. I am also
pleased that the FY2011 request for Indian Affairs focuses on core
programs and services that are vital to Indian country such as the $19
million to reduce crime and an additional $29.9 million is included to
strengthen Indian Affairs' commitment to tribal self-determination
under the Advancing Nation to Nation Relationships initiative.
education
Nothing is more crucial to our nation's long-term future than an
educated citizenry. That is why I am pleased that the president's
budget increases discretionary funding for the Department of Education
(ED) by $3 billion, $49.6 billion up from $46-7 billion in FY2011.
My education priorities are as follows:
Title I. Increase by $2.5 billion to ensure that
disadvantaged students can receive all the services necessary to
succeed.
Improving Teacher Quality State Grants. Increase by $230
million to be used to for a variety of purposes, including reducing
class size.
21st Century Community Learning Centers (Afterschool).
Increase by $220 million, from $1.13 billion to $1.35 billion to serve
one million more children, as outlined in the President's education
plan.
Career and Technical Education State Grants. In increase
by $280 million, from $1.16 billion to $1.44 billion.
Enhancing Education Through Technology (EETT)--Maintain
FY2009 funding level of $700 million to modernize the classroom and
instruction, and to bring innovation to our education system.
IDEA Special Education. In increase by $2.9 billion to
keep the program on track toward full funding.
international affairs
Finally, I wish to briefly address the Function 150--International
Affairs budget and say that I strongly support the President's request
for $58.5 billion, an increase of $6.1 billion or 11.6% over total FY10
spending.
Although America's domestic needs are great, it is in our interest
and consistent with our tradition and character to be engaged in the
world. Whether it is providing diplomatic, development, peacekeeping,
security, and humanitarian assistance, or combating human trafficking
and modern day slavery, American leadership and involvement is
indispensable.
The $58 billion requested for the International Affairs budget is
to be sure a lot of money. But to put it in perspective:
The entire International Affairs Budget is just 1.4% of
the total FY 2011 Budget.
The International Affairs Budget represents only 6.7% of
the budget for security agencies, which includes defense, intelligence,
homeland security, and veterans appropriations.
Even at this level of funding, the International Affairs
Budget represents only 0.36% of GDP.
I recently returned from the Winter Meeting of the Inter-
Parliamentary Union in Vienna, which I attended as part of the Helsinki
Commission Congressional Delegation chaired by Congressman Hastings and
Senator Cardin of Maryland. While there the members of the delegation
met with our European counterparts to discuss many of the most pressing
global issues of the day, including piracy in the Gulf of Aden and
modern day slavery. We were all impressed by the importance our
counterparts placed on the importance of American engagement to the
success international engagement and collective action, and its
capacity to promote and foster democratic values, sustainable
development, and human rights.
The amount we spend on the International Affairs budget to maintain
that leadership, less than 2 cents on the dollar, is a bargain and one
of the best investments we can make.
conclusion
In conclusion, let me say that while a budget is a record of
expenditures, outlays, and revenue receipts, it is much more than that.
It is an expression of our most cherished values, a reflection our
character, and the fulfillment of the social contract among
generations, tying the present to the past and future. In a budget we
commit ourselves to the actions needed to keep faith with our
obligation to our forefathers and to generations unborn to do all we
can to make this a more perfect union. It is in that spirit that I have
suggested the priorities outlined above.
Thank you for listening.
Ms. Kaptur. Thank you very much Congresswoman Richardson. I
know it took extra effort to prepare such an excellent
submission, and we thank you very much for coming over to the
committee today and entering all these proposals as part of the
official documents that we will use as we move toward a budget
for 2011. Thank you so very much.
We would now like to welcome Congressman Gary Peters from
the State of Michigan, from the Livonia area if I remember
correctly? Am I getting close?
Mr. Peters. You are getting close. Oakland County. Oakland
County, Michigan.
Ms. Kaptur. Oakland County. Sorry, there we go. All right,
Oakland County. Welcome very much Congressman Peters, you can
proceed.
STATEMENT OF HON. GARY PETERS, A REPRESENTATIVE IN CONGRESS
FROM THE STATE OF MICHIGAN
Mr. Peters. Well thank you, Madam Kaptur, and I would like
to thank Chairman Spratt and Ranking Member Ryan and other
members of the Budget Committee for an opportunity to testify
here today.
While I believe that the Recovery Act and other measures
were necessary to prevent the economic downturn of 2008 from
escalating into another Great Depression, we must now confront
a growing problem that could prevent us from being able to
respond to a future crisis, economic or otherwise, and that is
our budget deficit and growing national debt.
I believe that fiscal restraint should not be a partisan
issue, and that we must work together to find every opportunity
to slash spending and forge a path towards a balanced budget
and a shrinking national debt.
While the need to control spending and reign in budget
deficits is undeniably urgent, the reality remains that far too
many of our friends, family, and neighbors are still looking
for work. Any new investments should focus squarely on job
creation, and be paid for through cuts to outdated or wasteful
programs.
Investments that particularly target our manufacturing
sector will be especially critical, as a healthy manufacturing
base is necessary to ensuring the security and prosperity of
the American middle class and vital to our overall economic
recovery.
I was pleased to see the President is proposing a $5
million increase for the Manufacturing Extension Partnership.
The Manufacturing Extension Partnership is a national program
credited with creating and retaining over 55,000 jobs per year
in the manufacturing industry, delivering $1.44 billion in cost
savings annually, and a $10.5 billion increased or retained
sales in one year.
Additionally, I am heartened to see the Administration's
focus on boosting exports to help fuel economic growth of
manufacturers and our economy as a whole. The 20 percent
increase in the budget for the Commerce Department's
International Trade Administration will help promote exports
from small businesses, eliminate barriers to sales of U.S.
products, and improve the competitiveness of U.S. firms.
The budget also makes important investments in the Export-
Import Bank to expand U.S. small businesses use of the Bank's
financial export assistance.
I am also pleased the Administration has provided for an
increase in advanced vehicle technologies. The President
requested 325 million for the Advanced Vehicle Technologies
Program. It represents a $13 million increase over fiscal year
2010 funding.
The State of Michigan, the domestic auto manufacturers, and
many other companies in the state and across the country are
investing heavily in new technologies that will help renew our
manufacturing sector and auto industry, and I am pleased that
the determination is beginning to be matched at the federal
level to achieve the technological change being demanded.
As our economy continues to recover we must ensure all
Americans will have the opportunity to pursue newly created
jobs. And I believe the high price of child care is a
significant roadblock to employment. This is why I have
introduced legislation last year that would increase the
Dependent Care Tax Credit, thereby making child care more
affordable for millions of American families.
I am encouraged that the President has proposed expanding
the Dependant Care Tax Credit, which would increase tax relief
for child care from $1,200 to $2,100 for middle-class families.
However, while I believe smart investments in targeted
areas can be part of a responsible budget strategy, we need to
go beyond the reductions in the President's budget and make
larger cuts in certain areas.
For example, the President's budget includes increases in
the Weatherization and Intergovernmental Activities Program.
The Weatherization Assistance Program was funded in the
Recovery Act, but progress has been unexpectedly slow due to
delays in establishing prevailing wage rates for cities to
perform the work. Michigan had only completed weatherization of
1.15 percent of its planned units as of the program's one year
anniversary. Given this fact, I question if an additional $90
million is really needed to support administrative costs at the
federal Weatherization office.
There is also over $7 billion in funding in the Recovery
Act for deployment of broadband technology through the
Department of Agriculture's Rural Utilities Service and the
Department of Commerce's National Telecommunications
Information Administration. While these agencies will be
distributing millions in broadband funding in the coming year,
the fiscal year 2011 budget adds $418 million for new loans and
grants for rural communities. Before spending almost half of a
billion in new broadband funding, I believe that we should
complete distribution of funding under the Recovery Act and
then determine if these programs were successful.
While deployment of broadband to all Americans is
important, we should not be spending taxpayer dollars
installing 1990's technology in rural areas that barely
qualifies as broadband.
Finally, I believe the Department of Agriculture's budget
presents opportunities to make cuts and save taxpayers money.
There is little need to fund both the Market Access Program and
the Foreign Market Cooperator Program independently. Additional
funding from the Administration's Export Promotion Initiative
further enhances the expediency of cutting a redundant program
and streamlining our government's efforts in growing our export
markets.
The elimination of commodity storage payments and for
peanuts and cotton is another example of cutting outdated
special interests. Though they once may have been necessary,
eliminating this program ends another niche government expense
that has outlived its need.
We must continue to look for opportunities to cut spending
and use these savings to invest in targeted job creation.
Thank you, Madam Chair for this opportunity.
[The prepared statement of Gary Peters follows:]
Prepared Statement of Hon. Gary C. Peters, a Representative in Congress
From the State of Michigan
Mr. Chairman, Thank you for the opportunity to testify today. While
I believe the Recovery Act and other measures were necessary to prevent
the economic downturn of 2008 from escalating to another Great
Depression, we must now confront a growing problem that could prevent
us from being able to respond to a future crisis, economic or
otherwise, and that is our budget deficit and growing national debt. I
believe that fiscal restraint should not be a partisan issue, and that
we must work together to find every opportunity to slash spending and
forge a path toward a balanced budget and a shrinking national debt.
While the need to control spending and reign in budget deficits is
undeniably urgent, the reality remains that far too many of our
friends, family, and neighbors are still looking for work. Any new
investments should focus squarely on job creation, and be paid for
through cuts to outdated or wasteful programs. Investments that
particularly target our manufacturing sector will be especially
critical, as a healthy manufacturing base is necessary to ensuring the
security and prosperity of the American middle class and vital to our
overall economic recovery.
I was pleased to see the President is proposing a $5 million
increase for the Manufacturing Extension Partnership. The Manufacturing
Extension Partnership is a national program credited with creating and
retaining over 55,000 jobs per year in the manufacturing industry,
delivering $1.44 billion in cost savings annually, and $10.5 billion in
increased or retained sales in one year.
Additionally, I am heartened to see the Administration's focus on
boosting exports to help fuel economic growth of manufacturers and our
economy as a whole. The 20% increase in the budget for the Commerce
Department's International Trade Administration will help promote
exports from small businesses, eliminate barriers to sales of U.S.
products, and improve the competitiveness of U.S. firms. The budget
also makes important investments in the Export-Import Bank to expand
U.S. small business use of the Bank's financial export assistance.
I am also pleased the administration has provided for an increase
in advanced vehicle technologies. The President requested $325M for the
Advanced Vehicle Technologies Program--a $13M increase over FY10
funding. The State of Michigan, the domestic auto manufacturers, and
many other companies in the state and across the country are investing
heavily in new technologies that will help renew our manufacturing
sector and auto industry, and I am pleased that determination is
beginning to be matched at the federal level to achieve the
technological change being demanded.
As our economy continues to recover, we must ensure all Americans
will have the opportunity to pursue newly created jobs. I believe that
the high price of child care is a significant roadblock to employment.
This is why I introduced legislation last year that would increase the
Dependent Care Tax Credit, thereby making child care more affordable
for millions of American families. I am encouraged that the President
has proposed expanding the Dependant Care Tax Credit, which would
increase tax relief for child care from $1,200 to $2,100 for middle-
class families.
However, while I believe smart investments in targeted areas can be
part of a responsible budget strategy, we need to go beyond the
reductions in the President's budget and make larger cuts in certain
areas.
For example, the President's budget includes increases in the
weatherization and intergovernmental activities program. The
Weatherization Assistance Program was funded in the Recovery Act, but
progress has been unexpectedly slow due to delays in establishing
prevailing wage rates for cities to perform the work. Michigan had only
completed weatherization of 1.15% of its planned units as of the
program's one year anniversary. Given this fact, I question if an
additional $90 million is really needed to support administrative costs
at the federal Weatherization office.
There was also over $7 billion in funding in the Recovery Act for
deployment of broadband technology through the Department of
Agriculture's Rural Utilities Service (RUS) and the Department of
Commerce's National Telecommunications Information Administration
(NTIA). While these agencies will be distributing billions in broadband
funding in the coming year, the FY 2011 budget adds $418 million for
new loans and grants for rural communities. Before spending almost half
of a billion in new broadband funding, I believe that we should
complete distribution of funding under the Recovery Act and determine
if these programs were successful. While deployment of broadband to all
Americans is important, we should not be spending taxpayer dollars
installing 1990's technology in rural areas that barely qualifies as
broadband.
Finally, I believe the Department of Agriculture's budget presents
opportunities to make cuts and save taxpayers money. There is little
need to fund both the Market Access Program and the Foreign Market
Cooperator Program independently. Additional funding from the
Administration's Export Promotion Initiative further enhances the
expediency of cutting a redundant program and streamlining our
government's efforts in growing our export markets.
The elimination of Commodity Storage Payments for peanuts and
cotton is another example of cutting outdated special interests. Though
they once may have been necessary, eliminating this program ends
another niche government expense that has outlived its need.
We must continue to look for opportunities to cut spending and use
these savings to invest in targeted job creation. Thank you, Mr.
Chairman.
Ms. Kaptur. Congressman Peters, I want to thank you for
your excellent testimony and for coming here today to give a
very balanced statement. I know you are a new member, and for a
new member to find the Budget Committee and to provide such
comprehensive testimony is truly admirable and a sign of the
good work that you are doing for your district in the State of
Michigan as its representative here in Washington.
We will place your entire statement in the record, and we
will take care to note its recommendations as we move forward
with the new budget, and we thank you so very much for being a
part of the testimony today.
Mr. Peters. Thank you, Madam Chair.
Ms. Kaptur. Thank you for taking the time and making such
as excellent effort.
I would like to know say that the committee is now
adjourned. We thank everyone for participating.
[The prepared statement of Hon. Russ Carnahan, a
Representative in Congress from the State of Missouri,
follows:]
[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]
[The prepared statement of John Lewis follows:]
[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]
[The prepared statement of Melissa L. Bean follows:]
Prepared Statement of Hon. Melissa L. Bean, a Representative in
Congress From the State of Illinois
Chairman Spratt and Ranking Member Ryan, thank you for the
opportunity to submit testimony today on the Fiscal Year 2011 Budget
Resolution. As a non-committee member, I particularly appreciate this
open forum for new ideas and the ability to weigh in on this critical
framework for our national spending priorities.
Today, our nation is faced with economic challenges not seen in
decades. Our recent efforts to combat this recession include both short
and long-term investments that support sustainable growth. As a result
the deficit for last fiscal year represented 10.6 percent of our
nation's GDP; this year's projected deficit is 8.3 percent; and
deficits continue to be expected for many years to come. In the short
term, we know our budget deficit stems from a significant decrease in
revenues combined with Recovery Act tax cuts and investments all
related to the recession. However, according to projections, outlays
will continue to outpace revenues over the mid-term and long-term, even
after the economy has recovered.
This path is unsustainable, and this Congress must begin making the
difficult decisions required to put our fiscal state back on track. In
this light, I would like to express my support for the President's
three year freeze on non-security discretionary spending, as well as
the $23 billion in savings he has identified through terminations,
reductions, and savings. Since coming to Congress, I have routinely
supported across-the-board cuts to non-security discretionary spending
as a first step toward bringing our fiscal house in order. However,
focusing on this small sector of the budget isn't enough; significantly
more cuts are needed. Our budgetary situation is so challenging that
even if we cut all discretionary spending--meaning we disband the
military; stop all infrastructure projects; stop testing drugs, food
and toys for safety; ground all airplanes; stop patrolling the border;
end support for higher education in the form of direct loans or special
needs assistance; and allow dire consequences to occur--even if we did
that, our nation would still be facing a deficit!
If we are to truly address this fiscal crisis, we must reform our
entitlement programs which is why I am a strong supporter, and original
cosponsor, of H.R. 1557, The SAFE Commission Act, championed by
Representative Jim Cooper. This bipartisan commission would be
responsible for taking an honest look at our entitlement programs and
developing concrete legislative proposals for fixing a broken system.
The bill would then require Congress to vote up or down on the
recommendations. Until Congress is ready to tackle these greatly needed
reforms, and takes such difficult votes instead of running from them,
we cannot expect to restore our nation's deteriorating fiscal
credibility.
Again, I appreciate the opportunity to voice my concerns about the
important work before us. There is much work to be done. I look forward
to working with my colleagues on both sides of the aisle to address the
budget challenges we face as a nation. Americans are counting on us to
fulfill our responsibility in this regard. Thank you.
[The prepared statement of Vernon J. Ehlers follows:]
Prepared Statement of Hon. Vernon J. Ehlers, a Representative in
Congress From the State of Michigan
Thank you, Mr. Chairman, for the opportunity to testify as the
Committee considers a fiscal year 2011 Budget Resolution.
As you begin the budget process, I strongly urge you to give high
priority to scientific research and development and math and science
education in the General Space, Science and Technology function (250)
of the budget. I will focus my comments on two areas covered under this
function: the National Science Foundation and the Department of
Energy's science programs. I will also address the science and
technology portion of the Commerce account within function (370).
I am pleased that the President's fiscal year 2011 budget request
provides substantial funding levels for the National Science Foundation
(NSF), the Department of Commerce's National Institute of Standards and
Technology (NIST), and the Department of Energy's Office of Science.
Starting in 2006, the Congress and Administration jointly committed
themselves to ``doubling the basic science research budget.'' Though
the fiscal year requests have included the establishment of a doubling
track for the NSF, NIST's laboratories and research, and the Department
of Energy's Office of Science, Congress has been unable to set the
final doubling numbers into law. This year, I ask that the President's
request for science be granted, starting with the preparation of the
House budget allocations for Function 250 and Function 370.
background
On a bipartisan basis, Congress has recognized that innovation is
critical to our national competitiveness and that scientific research
and development is the key to increased innovation, economic vitality
and national security. I am very appreciative that this committee has
been historically supportive of this goal.
Since the passage of the America COMPETES Act, Congress has
struggled to fully fund the authorized funding levels for the COMPETES
agencies. We must commit to steady and sustained growth in research
budgets and work within the annual budget and appropriations process to
maintain a consistent and predictably strong funding pathway for these
agencies.
To elucidate the importance of science and technology funding, I
would like to talk about our economic competitiveness, and articulate
how the DOE Office of Science, NSF, and NIST are addressing this issue.
department of energy's office of science
Our country faces a number of challenges related to energy supply,
development, and sustainability. The Department of Energy's Office of
Science funds 40 percent of all federal basic research investments in
the physical sciences as well as 14 percent of investments in
mathematics and computing, environmental sciences, and engineering.
Research in these areas has led to many new economic and medical
advancements including, among others, new energy sources, the Internet,
cell phones and laser surgery. To overcome our substantial energy
challenges, the federal government must continue to support research in
alternative energy sources, nanotechnology and supercomputing.
The Office of Science is not only important to the future of U.S.
science, but also to our competitiveness and energy security. I
respectfully request that the Committee provide the Office of Science
with a budget that reflects the critical role that it plays in
maintaining our economic and military pre-eminence.
national science foundation
The National Science Foundation (NSF) is the only federal agency
dedicated solely to supporting basic scientific research and education.
NSF funding accounts for one-fifth of all federal support for basic
research and 40 percent of physical science research at academic
institutions. Nearly 90 percent of these awards are made through a
competitive, merit-review process that ensures that excellent and
innovative research is being supported. Furthermore, NSF consistently
receives the highest rating from OMB for the efficiency and excellence
of its programs.
The Administration's FY 2011 budget request for NSF of $7.4 billion
is a 7.5 percent increase over FY 2010 appropriations. Providing a
budget that allows for the President's requested level of NSF funding
is extremely necessary for FY 2011 and I ask you to enhance the
function 250 allocation accordingly.
national institute of standards and technology
The National Institute of Standards and Technology (NIST) is the
nation's oldest federal laboratory, and the only laboratory with the
explicitly-stated mission to promote U.S. innovation and industrial
competitiveness. NIST provides high-quality, cutting-edge research in a
number of scientific and technical fields, and it plays a critical role
in keeping our nation competitive. Since 1997, NIST researchers have
been awarded three Nobel Prizes, demonstrating the high-quality work
this agency is supporting.
Perhaps no other group has been impacted as greatly by the current
economic recession than the small and medium-sized manufacturers in our
nation. The Hollings Manufacturing Extension Partnership (MEP) program
helps small and medium-sized manufacturers stay competitive by helping
them become more innovative, and the Technology Innovation Program
(TIP) is NIST's only external research grant program, funding high-
risk, high-return technology research and development focused on
national priorities. Both of these programs run on an efficient cost-
shared basis with industry. Without a doubt, these two programs provide
invaluable assistance to the sectors of our economy that are currently
fighting to stay competitive in the global economy.
The President's FY2011 budget includes $130 million for the
Hollings Manufacturing Extension Partnership Program and $80 million
for the Technology Innovation Program. Given our current economic
situation, I am concerned that many states and other partners in these
programs will struggle to match the federal funds required to
participate in the MEP program, and therefore I ask that the committee
work to improve the allocation for the science and technology portion
of function 370 accordingly. Both the MEP and TIP have historically had
strong, bipartisan Congressional support, and I respectfully ask that
this support be reflected in the Budget Committee's recommendations.
conclusion
Thank you in advance for your efforts to undertake this important
job. I believe that you can send a strong signal about the importance
of fundamental science and education to the Appropriations Committee by
making function 250 and the science and technology portion of function
370 top priorities in the FY 2011 budget.
Thank you again for allowing me to testify.
[The prepared statement of Marcia L. Fudge follows:]
Prepared Statement of Hon. Marcia L. Fudge, a Representative in
Congress From the State of Ohio
Thank you, Chairman Spratt and Ranking Member Ryan, for allowing me
to address the urgent funding needs of the Eleventh Congressional
District of Ohio.
workforce investment
Cuyahoga County in Northeast Ohio has been hit hard by the current
Great Recession. While the Department of Labor lists our unemployment
rate at 9 percent, it doesn't include the chronically unemployed. When
you take into account this group of constituents, my county actually
faces 18-20 percent unemployment which is devastating. I strongly
support increased funding for programs under the Workforce Investment
Act that will not only assist dislocated workers but are designed to
serve the chronically unemployed, the hard-to-serve, and individuals
with multiple barriers to successful employment. These barriers
included such things as felony convictions, job dislocation, chronic
unemployment and lack of soft skills and other inhibitors to job
success. I applaud the President's budget request of additional career
development and job training funding, but we need more workforce
dollars applied to programs that have models of serving the chronically
unemployed. Specifically, we need more dollars for programs like the
Pathways to Green Jobs initiative that serves the chronically
unemployed in my District. This 350 hour curriculum includes remedial
math and English, technical skills and soft-skills to help the
chronically unemployed have a real path to employment. I submit to this
Committee that we can and must provide targeted investments for
chronically unemployed. Otherwise, we give up on America's economic
advancement.
housing
Congress must also continue its fight against foreclosures which
devastate our communities. I applaud the President's announcement of
the $1.5 billion ``innovation fund'' that supports ``states hardest hit
by this housing crisis'' in creating tailored foreclosure mitigation
plans. But I ask: Why was Ohio excluded from the list of recipients?
Long before the federal government recognized the foreclosure
crisis, Ohio grappled with escalating foreclosure rates resulting in
displaced families, blighted communities, and low property values. Long
before foreclosures became ``hot news'' in the media, Ohio wrestled
with predatory lending and lax regulatory oversight. And while our
fight against foreclosure continues, we have been ravaged by this
epidemic. We were excluded from this program because recipients were
not selected by foreclosure intensity rather more recent trends in
foreclosure numbers. Selection was contingent upon more recent
declining home values over 20 percent which really does not help a
long-suffering state like Ohio. which has been long-suffering. Because
of the selection criteria, states like Ohio have once again been
penalized.
I urge the Administration to reassess program criteria to include
Ohio and other similarly excluded states. I challenge this committee to
ensure that foreclosure related funding is included in the budget and
truly helps all of the hardest hit states.
small business administration
I fully support President Obama's budget request for $28 billion in
loan guarantees for small business to create jobs. We all know that
small businesses spur local and regional economic development. With
this assistance, small businesses can continue to operate and expand.
I strongly support the President's $25 million microloan fund which
provides smaller loans to entrepreneurs excluded from traditional
business loans. The maximum microloan amount will be increased to
$50,000. These funds will help businesses make investments in
information technology and employees.
Another initiative that will enhance small business participation
in regional economic development. This includes technical assistance to
companies with growth potential which are located in distressed inner
city areas. Connecting these companies to other regional businesses
will help facilitate growth and revitalize our communities.
childhood obesity
The budget request has a wonderful and appropriate focus on
childhood nutrition. As is the case with many of my colleagues who
represent urban areas, I am concerned about the disproportionate impact
of childhood obesity in low-income communities.
U.S. health care costs, due to obesity, are $150 billion a year.
Half of this amount is paid through Medicaid and Medicare. With nearly
$1 of every $6 of our economy spent on health care, we cannot afford to
sell junk food or unhealthy meals in schools. Meals must meet national
nutrition guidelines. Many children in my District depend on food
served in schools. I am not willing to gamble with their health by
serving unhealthy foods. Removing these foods from our schools is a
low-cost way to address the high-cost of obesity.
Money should be used for childhood nutrition and programs that make
healthy food accessible for children who live in food deserts. Food
deserts are places where few supermarkets exist that sell fresh fruits
and vegetables and small corner stores selling unhealthy foods and
heavily advertise alcoholic beverages are plentiful. Programs that get
kids moving and encourage a healthy lifestyle are extremely important.
The National Youth Sports Program is an example a program that promotes
healthy living for children. We need to support such programs.
community development block grants (cdbg)
As the former mayor of Warrensville Heights, Ohio and on behalf of
local leaders in general, I want to focus on the administration's full
funding of Community Development Block Grants. The fiscal year 2011
budget provides $3.9 billion to fund this program. As legislators, our
number one priority is economic development. To accomplish this, we
must support programs that help improve and grow our economy.
Historically, for every $1 of funding through CDBG, nearly $3 is
leveraged for economic development projects. When a city needs a
grocery store or more affordable housing, this block grant funding
meets those needs. This is one of the few programs directly funding the
locality. It does not get tied up in state government or federal
affairs. The money immediately goes to the areas where local leaders
can help expand economic opportunities for their citizens. For that
reason, we need more funding for CDBG.
In Cleveland, Community Development Block Grant dollars have gone
to assist our Housing Trust Fund. Every dollar leverages five dollars
of private investment. In 2008, Housing Trust Fund dollars were
committed to projects that supported nearly 700 energy efficient
housing units.
Community Development Block Grants will also support Housing
Services for low to moderate income families. These funds are a
critical source of assistance for seniors and low income families
needing home repairs. This year, over $2.2 million is expected to be
used for home repair assistance from CDBG funds.
This grant will also help community based organizations.
Approximately $8 million supports a network of organizations providing
housing services, neighborhood safety programs, and community outreach.
Chairman Spratt and Mr. Ryan, thank you again for this opportunity.
I trust you will keep Ohioans of the Eleventh Congressional District
and all Americans in mind as you carefully craft our Nation's fiscal
year 2011 budget.
[The prepared statement of Phil Hare follows:]
Prepared Statement of Hon. Phil Hare, a Representative in Congress From
the State of Illinois
Chairman Spratt, Ranking Member Ryan, and Members of the House
Committee on the Budget, thank you for allowing me this opportunity. I
appreciate being able to express some of the concerns and priorities of
my constituents in West Central Illinois.
As a member of the House Transportation and Infrastructure
Committee I have chosen to limit my remarks today to the topics that
fall under that purview. I appeared before this committee in March of
2009 and stressed the need for a budget resolution that reflected a
``jobs'' focus, most notably one with a strong infrastructure
influence. I again echo this sentiment and believe that infrastructure
investment is by far one of the best job creators and economic growth
engines. The American Reinvestment and Recovery Act (ARRA) of 2009 was
a landmark investment in repairing our economy that was largely
forgotten by the last Administration. But now, however, the Budget
Committee has a genuine opportunity to craft a budget which reflects
the number one priority of the 111th Congress, the President, and the
American people: jobs. I firmly believe that investing heavily in
infrastructure is the most effective way to put Americans back to work
and protect families in every corner of this nation.
As we all know, the President's budget is merely a blueprint for
Congress; simply a list of priorities by the Administration for the
fiscal year to come. While I applaud the President's bold leadership
over the course of the first year of his term, I question the federal
funding proposed for highway projects. One critical aspect, which
immediately caught my eye is that the President's budget zeroes out
Surface Transportation Priority Projects. In almost all of our
congressional districts we are faced with crumbling infrastructure, all
of which affects commuters, pedestrians, businesses; almost every
aspect of our economy. In my district--where the intersection of heavy
trucking, passenger rail, and interstate commerce meets the Midwest's
extreme weather patterns every season--the infrastructure is in need of
dire attention. The job opportunities to make our roads safer for all
Americans using transportation all begin at the first phase of becoming
a reality: the federal budget. The economy has shown signs of life as
far as recovering from major damage, but I think we can all agree that
the economy is far from stabilized. We must tackle the jobs issue head-
on by providing budget funding for the thousands of shovel-ready
projects currently authorized by Congress. Without a robust
transportation projects budget for the upcoming year, many of my
constituents will not have an adequate family budget. In the Department
of Transportation's Fiscal Year 2011 Budget Summary, Transportation
Secretary Ray LaHood states, ``We will invest in our Nation's
infrastructure--creating jobs in support of the economy while
delivering projects that can best leverage our federal investment.'' I
could not agree with this statement more. Now is the time to put our
money where our mouth is and put the unemployed back on the job site.
The President's budget blueprint proposes $1 billion to continue
our nation's pursuit of high-speed rail service. While the Recovery Act
provided a major boost to our infrastructure-building sector, the
President's budget is not consistent with the Administration's own
``Vision for High-Speed Rail in America'' plan. I understand that we
are all tightening our belts and using fiscal restraint for unwarranted
spending wherever possible, but the benefits of investing in rail
improvements and expansion are worth the taxpayers' dollars in the long
run. High-speed rail creates good-paying jobs, creates less greenhouse
gas emissions compared to individual vehicles on the road, bypasses
traffic jams, increases travel and tourism possibilities, and creates
economic development opportunities at every stop on the route. In my
district, there is a large demand for both passenger rail and high-
speed rail by constituents, state and local officials, and businesses.
Another critical issue for my constituents is adequate funding for
flood control and water resource management projects along the
Mississippi River. Billions of dollars in commercial goods are
transported along the Mississippi River and our failure to adequately
invest in our waterway infrastructure has been harmful to the economic
prosperity of my district. The entire western border of my district
rests on the Mississippi River, and the existing infrastructure
operated by the Army Corps of Engineers is literally crumbling. A
robust increase in spending for the Corps' many projects is badly
needed. As you know, the Water Resources Development Act, WRDA, was
last enacted in the 110th Congress and contained thousands of the
Corps' projects. From dredging to levee repairs to lock and dam
improvements to flood control, I humbly ask that the Fiscal Year 2011
Budget Resolution adequately fund the waterways projects currently
authorized by Congress. The residents of Keithsburg or Gulfport, two
towns in my district, which were completed wiped out by recent
Mississippi River flooding know all too well the importance of waterway
infrastructure projects and I ask this Committee to also acknowledge
the importance of these investments as well.
Again, let me thank Chairman Spratt and Ranking Member Ryan for the
opportunity to express the concerns and priorities of the residents of
Illinois' 17th Congressional District. I greatly appreciate this
opportunity and look forward to working with this Committee to advance
a responsible Budget that adequately prepares this nation for the
future while addressing the challenges we currently face.
Thank you.
[The prepared statement of Sheila Jackson-Lee follows:]
Prepared Statement of Hon. Sheila Jackson-Lee, a Representative in
Congress From the State of Texas
nasa
Mr. Chairman, I have concerns about the Administration's proposal
to cancel NASA's Constellation Program, which includes the Orion Crew
Capsule, the Altair Lunar Lander, and the Ares I and Ares V rockets.
These programs, which together comprise our human spaceflight
program, were authorized in both 2005 and 2008 by Republican and
Democratic Congresses respectively. It is under the Constellation
program, that NASA is currently developing new launch vehicles and
spacecraft capable of travel to the moon, Mars and other destinations.
Not only does cancelling the Constellation Program jeopardize America's
leadership role in human space exploration, but it will have
detrimental effects on our economy.
Take, for example, the Johnson Space Center in Houston, Texas. The
Johnson Space Center has the lead to manage the Constellation Program
and several of its major elements, including the Orion Crew Exploration
Vehicle and the Altair Lunar Lander.
Without Constellation, the Johnson Space Center could lose anywhere
from 4,000 to 7,000 high-tech jobs. If the JSC loses 4,000 direct jobs,
an additional 2,315 indirect jobs would be lost, totaling 6,315; loss
of income and expenditures locally would be over $567 million. If the
JSC loses 7,000 direct jobs, an additional 4,052 indirect jobs would be
lost, totaling 11,052; loss of income and expenditures locally would
total almost $1 billion.
When speaking of the decision to cancel the Constellation Program,
Administrator Bolden stated that ``NASA intends to work with the
Congress to make this transition smooth and effective, working
responsibly on behalf of the Taxpayers.'' To the contrary, I believe
that the best use of taxpayers' money is to continue the investment in
NASA to build America's scientific future. That future will create
jobs. Finally, I would like to reiterate that the present
Administration's plan for the Constellation Program would cause drastic
job loss across America and would place America in a behind the edge
position as it relates to competitiveness in scientific research.
NASA and the space industry are critical to Houston's economic
success in both the short and long term. According to the Bay Area
Houston Economic Partnership, NASA accounts for nearly 16,800 direct
federal jobs and serves as the engine for another 3,100 civilian jobs
that together supply more than $2.5 billion in payroll into Houston's
regional economy. As you are aware, the Johnson Space Center is the
primary location for training Astronauts for spaceflights and this
move; yet, the proposed budget will effectively cancel America's human
spaceflight program.
In his statement announcing NASA's budget, Administrator Bolden
stressed that changes in the FY 2011 budget would be ``good for NASA,
great for the American workforce, and essential for our nation's future
prosperity.'' While I seek the same objectives, I strongly disagree
with the closing of this project and I believe it will hurt America's
scientific progress.
Additionally, the aerospace industry would lose as many as 20,000--
30,000 jobs nationally in either of these scenarios.
Given our current economic downturn, we cannot take the possibility
of these job losses lightly and the Johnson Space Center is just one
example of what the cancellation of this program would do to other NASA
centers nationally.
Finally, it will take years for the commercial spaceflight industry
to get up to speed to reach the level of competence that exists at NASA
today. Our government has already invested literally years and billions
of dollars into this program. We should build upon these investments
and not abandon them. Our country can support the commercial
spaceflight industry, but not at the expense of our human spaceflight
program, which for years has inspired future generations and driven
technology that enhances our quality of life.
That is why it is my hope, Mr. Chairman, this Committee and this
Congress will continue to support NASA's Constellation Program and to
support balanced energy policies that promote economic growth and will
help us meet our clean energy goals.
Thank you.
[The prepared statement of Bennie G. Thompson follows:]
Prepared Statement of Hon. Bennie G. Thompson, a Representative in
Congress From the State of Mississippi
Chairman Spratt, Ranking Member Ryan, and Members of the Committee,
thank you for the opportunity to testify on the budget priorities for
Fiscal Year (FY) 2011. As Chairman of the Committee on Homeland
Security, I would like to focus my remarks on the Department of
Homeland Security's FY 2011 Budget Request.
On February 1, 2010, President Barack Obama requested just over $56
billion for the Department of Homeland Security (Department or DHS) as
a part of his FY 2011 budget request. Overall, under the President's
proposal, the Department's budget is slated to increase by about 2%
over last year's enacted funding level. Given the current fiscal
environment, the President is to be commended for showing an ongoing
commitment in enhancing our Nation's preparedness, response, and
recovery capabilities.
The Department's missions--both homeland security and non-homeland
security--require a budget request that is far-reaching and that
necessarily addresses:
the security of Americans who travel by air, rail, and
sea;
the capacity of communities to be prepared for and respond
to terrorism and other hazards; and
the ability of operators of critical infrastructure and
DHS to find innovative approaches to foster resiliency in the face of
an ever-evolving terrorist threat.
In general terms, I support the President's overall budget request
for the Department as it provides the operational resources to DHS to
execute the five (5) homeland security missions that were identified in
the first-ever Quadrennial Homeland Security Review (QHSR) that the
Secretary of Homeland Security Janet Napolitano transmitted to Congress
on February 1, 2010. In addition to supporting the Department's non-
homeland security missions, the budget is focused on funding activities
that support the following five homeland security mission areas: (1)
preventing terrorism and enhancing security; (2) securing and managing
our borders; (3) enforcing and administering our immigration laws; (4)
safeguarding and securing cyberspace; and (5) ensuring resilience to
disasters. A budget request based on this conceptualization of homeland
security is a step in the right direction as the Congress considers
next year's funding for the Department.
In reviewing this budget request, I am pleased to see Secretary
Napolitano tackle the issue of over-reliance on contractors at the
Department in an effort to develop a balanced workforce. Since its
inception in 2003, contractor-dependence has stood in the way of the
Department becoming the Federal agency that the Congress envisioned and
what the American people deserve. The Secretary is to be commended for
taking on this challenge that for so many years went unaddressed by her
predecessors and for setting a goal of converting 3,300 contractor
positions to departmental positions by the end of this year. While this
is a step in the right direction, a great deal more work will need to
be done to achieve a balanced workforce insofar as the Department
relies on approximately 200,000 contractors to operate. This figure is
roughly half of all the personnel that work at DHS.
While I support the substance presented in the majority of this
budget request, I do have some concerns about certain proposals.
First, while I understand that reducing personnel at the U.S.
Border Patrol and U.S. Coast Guard will bring short-term savings to the
Department, I am concerned about the approach taken to achieve these
savings. Reduction-in-force activities may result in loss of years in
knowledge and experience. This, in turn, may result in a reduction of
the Department's resources and capabilities to fulfill all its
missions.
Second, I am also greatly concerned that the budget seeks to
consolidate a number of important free-standing grant programs into the
State Homeland Security Grant Program. I worry that this consolidation
will make it more difficult for local communities to receive much-
needed funding. It also troubles me that for the second year in a row,
the budget decreases funding for the Assistance to Firefighters (FIRE)
and SAFER grant programs. These cuts could not come at a worse time
insofar as State and local communities are struggling financially to
maintain the capability gains that have been achieved in recent years.
Third, I am particularly disappointed the Centers of Excellence and
other University Programs--including the Minority Serving Institutions
program--that have been in place since DHS was established, would be
cut by nearly 20% under this budget. I strongly believe that these
programs are the breeding grounds for the next generation of homeland
security leaders and experts.
Before I conclude, I would like to bring to your attention one
operational area in the budget that I believe deserves particular
attention--international maritime cargo screening. I find it
incredulous that this budget seeks to decrease funding for
international cargo screening programs by almost 48%. It is hard to
believe that the resources for this operational area, which were short-
shrifted by the previous Administration, are being further downscaled
under this budget. As you know, under the Implementing Recommendations
of the 9/11 Commission Act, the Department is responsible for ensuring
that 100% of cargo that enters into the United States is scanned.
In addition to the areas I highlighted, I urge this Committee to
provide adequate resources to the Department of Homeland Security for
FY 2011 to promote management and oversight of this diverse agency,
fulfill all its missions, and support activities in the following
areas:
aviation and surface transportation security;
maritime security;
emergency management;
infrastructure protection;
intelligence and information sharing;
science and technology;
bio-preparedness; and
nuclear detection.
In closing, I appreciate the opportunity to share my views on the
President's Budget Request and I look forward to working with you to
ensure that the Department has the resources it needs. Thank you.
[Whereupon, at 3:12 p.m., the Committee was adjourned.]