[Congressional Record Volume 140, Number 12 (Wednesday, February 9, 1994)]
[Senate]
[Page S]
From the Congressional Record Online through the Government Printing Office [www.gpo.gov]
[Congressional Record: February 9, 1994]
From the Congressional Record Online via GPO Access [wais.access.gpo.gov]
UNANIMOUS CONSENT AGREEMENT
Mr. BYRD. Mr. President, I understand that Senators on both sides
representing the leadership have been called to the White House and
will not be back in the Senate before 6:30. I, therefore, make the
following unanimous-consent request:
I ask unanimous consent that the pending bill and the amendments by
Senators Kerrey and Brown in the first degree and the amendment by
Senator Hatfield in the second degree remain in status quo until the
hour of 6:30 p.m.; that no other amendments be in order; and that at
the hour of 6:30 p.m. there be 15 minutes for debate, 5 minutes to the
distinguished Senators, Messrs. Kerrey and Brown; 5 minutes to the
distinguished Senator from Oregon, [Mr. Hatfield]; and 5 minutes
retaining for myself; and upon the expiration of the 15 minutes that I
have alluded to, the vote then occur on the motion to table, which I
will make before taking my seat.
The PRESIDING OFFICER. Is there objection?
Mr. D'AMATO. Mr. President, reserving the right to object.
Mr. BROWN. Mr. President, reserving the right to object.
The PRESIDING OFFICER. The Senator from West Virginia has the floor.
Mr. BYRD. I yield to Senator Brown, who reserves the right to object.
Mr. BROWN. Mr. President, if the Senator will allow, my impression is
that the Hatfield amendment is a serious amendment. I know it is
heartfelt and would have significant budget impact in terms of savings.
My own hope is that the distinguished Senator might consider allowing
the distinguished ranking member a separate vote on his amendment so it
would not be confused in terms of the amendment offered by Senator
Kerrey and 11 other Senators. I wonder if the distinguished Senator
would consider two motions, one to table the Hatfield amendment and one
to table the Kerrey amendment. By going with those two votes, of
course, which could be stacked, it would allow Members to express their
individual feelings on the measures, which are significantly different.
Mr. BYRD. I respond to the distinguished Senator by saying, no, I
would move to table the underlying amendment, which would carry with it
the Hatfield amendment.
Mr. BROWN. I appreciate the Senator considering it, even though the
results are not what I hoped for.
The PRESIDING OFFICER. Is there objection to the request?
Mr. D'AMATO. Mr. President, reserving the right to object, if I might
make inquiry of the distinguished Senator from West Virginia. I
understand what the Senator's intent is. It seems to me that that might
leave a window for approximately 1 hour. I am wondering if the Senator
might, therefore, amend his request to permit for the laying aside of
those amendments so other amendments at least could be put forth.
I have another amendment I would like to put forth, rather than
waiting until possibly 7 o'clock, and I may or may not even get an
opportunity at that time. And we could have a vote on that at any other
time thereafter.
Mr. BYRD. Mr. President, the Senator has a right to call up another
amendment.
In responding to the Senator, may I ask a question of him? Does his
amendment pertain either to the Kerrey-Brown amendment or to the
Hatfield amendment?
Mr. D'AMATO. No, it does not. That is why I say it could be heard
independently and voted on at some other time. I did not think the
Senator wanted to preclude others but rather wanted to keep the
business going. So that would be my only objection.
Could the Senator provide for an opportunity then to lay aside the
amendments so other amendments could be heard?
Mr. BYRD. Mr. President, I add to my unanimous consent request a
provision that the pending amendments by Senators Kerrey and Brown and
Hatfield be temporarily laid aside so that other amendments may be
introduced in the meantime.
The PRESIDING OFFICER. Is there objection?
Mr. KERREY. Mr. President, reserving the right to object.
The PRESIDING OFFICER. The Senator from West Virginia retains the
floor.
Mr. BYRD. That is all right. I yield. The Senator reserves the right
to object.
Mr. KERREY. I ask the distinguished President pro tempore, by
combining this tabling motion, we are essentially voting on both the
amendment of the Senator from Oregon and the amendment offered by 11
others, is that correct?
Mr. BYRD. The Senator is correct.
Mr. KERREY. I respectfully object.
Mr. BYRD. I hope the Senator will not object because the Senator well
knows I have the strength to stand on my feet and lungs to have the
capacity of carrying on for another hour, if necessary.
I intend to make the motion to table, and I do not want to vote on
that motion at the present time because I want to accommodate the
leaders on both sides who have been called down to the White House and
cannot return until 6:30. I want to protect them.
May I say to the distinguished Senator, he really accomplishes
nothing by making an objection. I could move to table now and put the
Senate into a quorum. I can do various things that will keep us here
until 6:30, and there will not be a vote. In the meantime, the Senator
from New York will not have an opportunity to call up his amendment. We
are simply delaying action on this very important bill, and we must
complete action on this bill this evening in order to go to conference
tomorrow, in order to bring back a conference report tomorrow night or
Friday, in order to fully act on those conference reports in both
Houses, in order that the bill may go to the President for his
signature by Friday.
Mr. KERREY. Mr. President, again reserving the right to object, if
the Senator will yield for a question.
Mr. BYRD. I yield for a question.
Mr. KERREY. I appreciate that the rules allow this procedure to
occur, and not wanting to delay the supplemental is unquestionably
something that affects my judgment to object. But does the Senator
believe that 11 to 18 Members who have worked since last August to
prepare this amendment, hundreds of hours in meetings in good faith,
trying to come to an agreement, not with any effort to hide from anyone
what we were doing--in fact, we have had meetings with the leadership
on both sides, describing what we are doing. Is there an element of
fairness? I know the distinguished President pro tempore is someone who
is guided very often by the question of fairness.
Does it seem fair that a substitute amendment will essentially cloud
the vote? There will be many Members that will come and will vote on
this saying ``no'' and not cite their opposition to the underlying
amendment. They will cite their opposition instead to the amendment of
the distinguished Senator from Oregon and thus it is going to be
difficult, it seems to me, for the American people to judge where in
fact the cards lie.
I am appealing to the fairness, which is legendary, of the
distinguished President pro tempore. We have worked long and hard. We
have disclosed what we are doing. It seems to me, in fairness, we
should have an opportunity to get some fairly direct up or down vote on
this amendment.
Mr. BYRD. Mr. President, on the question of fairness, this Senator
spent most of the afternoon listening to the arguments of the authors
of the amendment. It is not a question of fairness.
This rule on the motion to table has been incorporated in the Senate
rules for 200 years, and prior to that in the various colonial
legislatures and prior to that in the Parliament of England. That rule
has been available a long time.
As one who has had to use the rules here many times, as the majority
leader and as minority leader and as the majority leader again, I am
very familiar with the fact that an amendment in the first degree is
open to an amendment in the second degree.
I am also very familiar with the fact that a motion to table the
amendment in the first degree is perfectly fair. It is within the rules
and it carries with it the amendment in the second degree. That is my
full intention, to have the Senate vote to table both amendments at the
same time.
I have no compunctions about fairness. I will go home with a clear
conscience tonight. The Senator from Nebraska knows the rules. Every
person is assumed to know the law, and all Senators are assumed to know
the rules around here. There is no rule that says, in fairness, one
should not move to table the amendment in the first degree. I have
never heard that. I have been in the Senate now 36 years, and I have
never heard that one sprung on me.
But I must say that I plead my case before the bar of Senatorial
opinion and that is I am being fair. I am using the rules. I know what
I am doing.
So I will either move now and talk until 6:30 on other matters or
have a quorum call and we will not get to call up the amendment by the
Senator from New York.
If it were a question of fairness, may I say to the Senator, if it
were a question of fairness, the Senator from Nebraska would have no
problem with this. It is not a question of fairness.
Sometimes we bend over a little bit too much around here to
accommodate Senators. Their comes a time when a fellow who crawls into
the ring with the champ, if it is Mr. Bowe or whoever it is, he has to
take his chances with same gloves that Mr. Bowe uses. And that is where
we are now. We are in the ring.
Mr. KERREY. I appreciate the response of the distinguished President
pro tempore.
I am not asking for the judgment of the Senate to reach a conclusion
that I know the rules as well as the distinguished President pro
tempore. That is obviously not the case.
But, I would ask, with great respect, if it would be agreeable to
allow perhaps an additional 5 minutes for those of us who would like to
make the final case to speak on that at 6:30.
Mr. BYRD. Mr. President, I revise my request to provide that those
who support the amendment in the first degree may have 10 minutes, 15
minutes?
Mr. KERREY. Ten would be fine.
Mr. BYRD. Ten minutes beginning at the hour of 6:30; that the
distinguished Senator from Oregon [Mr. Hatfield] have 5 minutes at that
time; that I have not to exceed 10 minutes, following the other
Senators; that the vote then occur on the motion to table the
underlying first-degree amendment; that meanwhile, the amendments
retain their status quo; and that they be temporarily set aside to
allow other Senators to offer amendments.
The PRESIDING OFFICER. Is there objection?
Without objection, it is so ordered.
Mr. BYRD. I now make a motion to table in accordance with the
statement I made earlier and in accordance with the order that has been
entered.
The PRESIDING OFFICER. Under the previous order, the motion to table
has now been made and the amendments are temporarily laid aside until
the hour of 6:30.
Mr. D'AMATO addressed the Chair.
The PRESIDING OFFICER. The Senator from New York.
Amendment No. 1442
(Purpose: To extend the RTC Civil Statute of Limitations)
Mr. D'AMATO. Mr. President, I send an amendment to the desk and ask
for its immediate consideration.
The PRESIDING OFFICER. The clerk will report.
The assistant legislative clerk read as follows:
The Senator from New York [Mr. D'Amato] proposes an
amendment numbered 1442.
Mr. D'AMATO. Mr. President, I ask unanimous consent that reading of
the amendment be dispensed with.
The PRESIDING OFFICER. Without objection it is so ordered.
The amendment is as follows:
At the appropriate place insert the following new section:
SEC. . Extension of RTC Civil Statute of Limitations.
Section 21A(b)(14)(C) of the Federal Home Loan Bank Act (12
U.S.C. 1441a(b)(14)(C) is amended by striking clause (i) and
inserting in lieu thereof the following:
``(i) the period beginning on the date the claim accrues
(as determined pursuant to section 11(d)(14)(B) of the
Federal Deposit Insurance Act) and ending on the date the
Corporation is terminated pursuant to section 21A(m)(1);
or''.
Mr. D'AMATO. Mr. President, I have been coming to the floor of the
Senate now every day since it became apparent to me that the
Whitewater/Madison situation was reaching a critical point. It is now
February 9, with the statute of limitations running out on February 28.
Now we lose another day. We still have not received any meaningful
response. We can mark off Wednesday, February 9. We are now down to 19
days, and the stonewalling tactics of the RTC, the four-corner stall,
seems to be working.
More importantly, it becomes more obvious today that there is an
increasing need to see to it that the statute of limitations, as it
relates to this matter, should be tolled. And yet, we are not advised
by the RTC that that is the case.
Mr. President, I read today the headlines of the Washington Times--if
the allegations made hold-up, it will prove to be a very disturbing
revelation.
I ask unanimous consent that the text of this article be printed in
Record.
There being no objection, the article was ordered to be printed in
the Record, as follows:
[From the Washington Times, Feb. 9, 1994]
Rose Firm Shreds Whitewater Records
(By Jerry Seper)
Little Rock's Rose Law Firm--where first lady Hillary
Rodham Clinton, Associate Attorney General Webster L. Hubbell
and former White House Deputy Counsel Vincent W. Foster Jr.,
were partners before they came to Washington--last week
shredded Whitewater Development Corp. records held in its
possession, The Washington Times has learned.
The records, according to an employee of the firm, included
documents showing President and Mrs. Clinton's involvement,
along with partners James B. McDougal and his then-wife,
Susan, in the north Arkansas real estate venture now under
federal investigation.
Special counsel Robert B. Fiske Jr., appointed Jan. 20 by
Attorney General Janet Reno, is looking into allegations that
Mr. McDougal, former owner of Madison Guaranty Savings and
Loan Association, illegally manipulated S&L loans and
improperly diverted money to several powerful Arkansas
politicians, including Gov. Clinton.
Mr. Foster, whose body was found July 20 in a Virginia park
in what federal authorities said was a suicide, was the
Clintons' personal lawyer and represented the couple for the
Rose firm in the Whitewater matter.
``There's absolutely no doubt that the records destroyed
last Thursday were those the firm had on Whitewater,'' said
the employee, who asked not to be named. ``There were a lot
of papers, and the process took quite a long time.
``A bunch of the stuff was there to be read, and it was
felt that this could be very bad,'' the employee said.
A second Rose employee who took part in the shredding
declined comment. In a telephone interview, he would not say
if he had shredded Whitewater documents or witnessed their
destruction, but he declined to say the incident had not
occurred.
``I'm not going to comment,'' said the employee, who
earlier had confided to friends that the shredding had taken
place and that he was ``scared to death'' about it.
``I'm not going to say anything about what happened. I
would just prefer not to say anything about this at all.''
A friend of this employee, who also requested anonymity,
confirmed the conversation in which the employee said he was
frightened. She said she was told there was concern at the
firm about what had happened and anxiety over the possibility
that employees could be fired because the matter had become
known to The Washington Times.
Ronald M. Clark, managing partner at the Rose firm, did not
return telephone calls to his office yesterday seeking
comment about the destruction of the documents.
It's not clear whether the shredding violated state or
federal laws, but a high-ranking Justice Department
prosecutor in an earlier administration said that under
certain interpretations of federal law, the shredding could
be considered obstruction of justice.
``This is outrageous,'' he said. ``If what happened was not
illegal, and there is a question about that, then it
certainly was highly unethical.''
An officer of the FBI describes it as a ``curious thing to
do at this point,'' particularly since the Rose firm had to
be aware that Whitewater was part of an ongoing federal
probe.
``It certainly is no secret Whitewater is under
investigation--it's been on the front page every day,'' he
said. ``Maybe they have taken the position that it's
privileged information and want to protect their client.
``But if they shredded the records with the intent of
preventing their discovery, that might be a different
thing.''
Others recalled that shredding documents during his tenure
at the National Security Council proved costly to Marine Lt.
Col. Oliver North. He was convicted in May 1989 and sentenced
to two years' probation, 1,200 hours of community service and
a $150,000 fine. The sentence was overturned on appeal in
July 1990 by a federal appeals court.
The Fiske inquiry includes a review of money said to have
been funneled by Madison to the Whitewater project, including
a $300,000 Small Business Administration loan obtained by
Mrs. McDougal.
David L. Hale, a former Little Rock municipal judge now
under indictment on unrelated SBA fraud charges, said Mr.
Clinton, then the governor, and Mr. McDougal presured him to
authorize the loan. About $110,000 of it eventually found its
way into the Whitewater account.
Mr. McDougal has denied any wrongdoing.
Federal authorities have said the Clintons are not
``targets'' of the Whitewater-Madison probe, although Mr.
Fiske has said he intends to question both of them under
oath. They also have denied any improprieties.
It was not clear which specific Whitewater documents would
have been kept by the Rose firm, but Mr. Foster personally
handled the Whitewater matter for the Clintons, including:
The December sale of the couple's half-share of Whitewater.
Mr. Foster met with Mr. McDougal in November 1992 to sell
the couple's partnership interests for $1,000 and later
arranged for it to be taken as a capital gain on the
Clinton's personal tax return.
Whitweater's failure to file corporate income tax records
for a three-year period.
The omission was discovered after Mr. Foster met with Mr.
McDougal to execute the Whitewater sale. In December 1992,
Mr. Foster filed corporate tax returns for the Clintons
claiming Whitewater had earned no income.
Mr. Foster also was responsible for the establishment of a
blind trust for the Clintons' assets to satisfy ethical
concerns about the couple's personal business deals. The task
was not accomplished until six months after Mr. Clinton took
office--and three days before Mr. Foster's death.
The Fiske investigation will include a review of the Foster
suicide. Whitewater documents were secretly taken from his
office by White House officials after his body was found.
Last month, after The Washington Times reported that
records had been removed from Mr. Foster's office, the White
House turned over to the Justice Department 10 boxes of what
it said were Whitewater documents. The delivery came in
response to a federal grand jury subpoena the White House had
negotiated with the Justice Department to keep the documents
sealed from public view.
It was not clear whether other records held by the Rose
firm pertaining to the Clintons had also been shredded.
Several federal law enforcement authorities have been
concerned about a possible conflict of interest involving
Mrs. Clinton's ties to an investment group and about a stock
partnership involving Mr. Foster and Mr. Hubbell.
Specifically, these concerns involve:
Value Partners, an investment group that ``sold short'' on
several health care stocks after the Clintons moved into the
White House.
By the time of the sale, Mrs. Clinton had actively taken
charge of the president's health care task force. Selling
short is the practice of selling shares not held for future
delivery in anticipation of buying the shares later at a
reduced price.
In December 1992, Value Partners had $1.2 million invested
in 10 health care stocks, or about 13 percent of its total
portfolio. The conflict focused on allegations that, as the
head of the health care task force, Mrs. Clinton's public
statements about health care and price controls depressed the
price of shares in health care stocks, making the shares
available at a reduced price.
Midlife Investors, a partnership set up in 1983 by Roy P.
Drew, a broker working at the time at the E.F. Hutton office
in Little Rock.
According to the Clintons' joint tax returns, Mrs. Clinton
was a partner in Midlife from 1983 until at least the end of
1991. The address listed for the partnership is the Rose
firm.
Mrs. Clinton, Mr. Hubbell and Mr. Foster each put up
$15,000 naming the others--not their spouses--as
beneficiaries.
The Clintons' tax returns show the partnership never
yielded much taxable dividend income, a finding that surprise
Mr. Drew, now a private consultant. He said it would be ``a
stretch of the imagination'' to believe the venture did not
yield dividends, based on its stock purchases which included
Firestone Tire and Diamond Shamrock.
The Clintons and McDougals were joint partners in
Whitewater and planned to build vacation homes on 42 lots
along the White River in the Arkansas Ozarks. The project
failed.
According to records at the Marion County Courthouse in
Yellville, Ark., the partnership appears to have been
structured to enable the Clintons to receive half the profits
with little or no investment.
Mr. D'AMATO. Let me just show you the headline. ``Rose Firm Shreds
Whitewater Records; Employee Says Paper Detailed Clinton's
Involvement.''
Let me say that I have heard people say, ``Look, we are going to have
a special counsel. He is eminently qualified, a man who is
distinguished, a man of great integrity, Mr. Fiske. Well, let us wait
for this report.''
Well, it is ridiculous to think that his report is going to be done
by the 28th. And what about the civil liability for intentional or
willful conduct? The statute will have run, barring the bringing a
suit.
And so it is the intention of this Senator to offer legislation
picking up on the challenge, of Senator Metzenbaum, our distinguished
colleague from Ohio, who suggested yesterday that we extend the statute
of limitations. That we extend the statute of limitations for all of
the institutions, and I will join with you in supporting that
proposal.''
Mr. President, that is exactly what we seek to do with this
amendment. This amendment would extend the current statute of
limitations to the end of December, 1995. That date has been chosen
because that is when the RTC ceases to exist.
Yesterday on the floor, the Senator said he would join with me in
extending the current statute of limitations. That is what this
amendment does.
It extends the current statute of limitations, not only for Madison,
but uniformly to all of those thrifts until December 31, 1995. It uses
almost the exact language of Senator Metzenbaum, because he sent me a
proposal last evening, sent to our staff, except with a minor change as
it relates to the statute.
By the way, if we are going to go out of session tomorrow we have as
a practical matter, 1 day on Thursday, we come back in on the 22nd,
that gives us 2, 3, 4, 5--6 days, practically, that we will be in
session before the statute runs.
When we begin to get these allegations, evidenced by headlines like
the ``Rose Firm Shreds Whitewater Records,'' when we see we have a
total of some 19 days left and the statute to run--How can the people's
interest be protected in these situations? How is it we can see to it
that what should be done is done?
I have been accused of raising the Madison case and no other. I have
been accused of having voted against extending the statute of
limitations. As I explained yesterday, that is not the case.
The fact of the matter is, I said where there are cases of fraud,
where there are cases of wilful and intentional conduct, certainly we
should extend the statute of limitations.
Indeed, that was the language which the Senate Banking and House
Banking conferees came up with. So what we are doing here --so we can
explain it again--that legislation is simply taking the existing
statute, extending it to the termination date of the RTC, which is
December 31, 1995. It seems to me that, then, protects the interests of
the taxpayers.
My colleague from Ohio brought up the fact there was a bank in
Texas--I am not quite sure of the name--that went into receivership at
the same time; that there was approximately $1.5 billion that the
taxpayers had to pay. He said why do we not include them? This is
exactly what this legislation would do. It would include some 500
institutions that otherwise would have the statute of limitations toll
previously.
It would give the RTC additional time. And what it would do is give
the RTC time to reconsider or evaluate new information. For instance,
in the specific case of Madison--where we are now into the business of
the alleged shredding of documents--we do not know where documents are.
Some have been sent to the Justice Department, some have been sent to
other areas, but we now hear this distressing news. It may or may not
be true. It may or may not be true that these documents were shredded.
But let us see. Let us preserve the taxpayers' rights and let us make
it possible for Mr. Fiske to do his job.
If there are no criminal penalties, or conduct, if there are civil
penalties or civil liability, he then can refer this matter to the
appropriate people.
In the meantime the RTC has sufficient time to carry out their duties
and their responsibilities.
I believe that by doing this we can demonstrate to the American
people that we really care.
I believe that by extending the statute of limitations across the
board we say: Look, we want the regulators to have sufficient time to
see to it that this matter is handled appropriately. We do not want to
have a situation where, day after day, anyone raises the issue that the
statute is being allowed to toll. That simply does not make sense.
I know some of my colleagues are tired of this. But let me tell you,
when 41 Senators need to send a letter of inquiry to the head of the
RTC something is wrong. People have a right to these answers. It would
seem to me if 41 Senators sent the letter yesterday, that by today we
should have received something from Mr. Altman, which raises another
point. I have touched on it and I said I would touch on it tonight.
I do not understand how Mr. Altman can really discharge his duties
when he is a Presidential appointee and we are talking about him being
the top person at an agency that should be engaged in an investigation
of a case that certainly involves the White House directly and
indirectly, and the former law firm of Mrs. Clinton and people closely
associated and connected.
Let us be fair about this. It is not fair for Mr. Altman to be placed
in this situation. We should have a process of recusal.
Mr. Altman has been the titular, or acting head, now for some 11
months. It is wrong. It is inappropriate. And we have to really put a
stop to this fiasco.
I assure my colleagues I am then in a position to say ``fine, we can
give them some time when they come in for review. We do not have to try
to have the Banking Committee have the RTC come in for review on the
22nd or 23rd and ascertain what, if anything, they have been doing in
regard to this matter.''
I see my good friend, the distinguished Senator from Alaska, Senator
Murkowski is here. I know he intends to speak to the issue.
Mr. President, at this point in time I would like to ask for the yeas
and nays.
The PRESIDING OFFICER. Is there a sufficient second? There is not a
sufficient second.
Mr. MURKOWSKI. I ask the Chair--I did not hear his response?
The PRESIDING OFFICER. There is not a sufficient second.
Mr. D'AMATO. Mr. President, I will renew that at another point in
time.
I yield the floor.
Mr. MURKOWSKI addressed the Chair.
The PRESIDING OFFICER. The Senator from Alaska.
Mr. MURKOWSKI. I thank the Chair and I thank my colleague and good
friend, the Senator from New York.
Mr. President, I am pleased to join the distinguished Senator from
New York and the ranking member of the Banking Committee in
cosponsoring this amendment.
I think it has already been said. If we had a response to the letters
that have been sent to the RTC, we would not be here today. I am sure
the Senator from New York would not be offering his amendment, because
the issue would have been resolved. The RTC would have acquiesced in a
responsible way to extend the tolling of the statute of limitations in
this case or it could file appropriate charges in the civil matter
relating to the many questions that are before all of us with regard to
the realization that the taxpayers have lost some $47 million and it is
appropriate the tolling be extended.
I think we would all recognize the distinguished Senator from New
York has come to the floor for more than a week to remind the Senate
that the statute of limitations clock is ticking on several cases that
are currently being investigated by the Resolution Trust Corporation.
Unless the RTC enters into the tolling agreements with the parties
under investigation prior to February 28, RTC will be precluded from
completing these investigations and bringing suit to recover at the
expense of, obviously, the taxpayers.
One of these cases, of courses, involves the failure of Madison
Guaranty, which some have called a private piggy bank for some of the
insiders and some members of the Arkansas political establishment. To
the American public, Madison and Whitewater development have become
synonymous. Just 3 weeks ago, Attorney General Reno finally gave in to
mounting public pressure to appoint a special counsel, a distinguished
gentleman by the name of Robert Fiske, to investigate the entire
Whitewater affair.
Of course it is impossible to know how many months, if not years,
this process will take. No matter what, the cloud of Whitewater will
not lift until the investigation is completed.
Mr. President, from what I know, I do not believe that the President
of the United States, or any members of his family or associates,
should be really concerned about this investigation or the political
influences that have been suggested. I believe it will simply put to
rest all the issues surrounding this affair once and for all.
I think all of us would agree that it is in the best interest of the
executive branch. However, as things stand today on February 9, unless
the RTC enters into a tolling agreement with the parties under
investigation in connection with the Madison affair, the taxpayers of
this country will not be afforded an opportunity to recover funds paid
in to bail out Madison through civil action.
Yesterday, I was pleased to join 39 of my colleagues in a letter sent
to the acting Chief Executive Officer of the RTC, Mr. Roger Altman,
inquiring as to the nature of RTC's efforts to obtain voluntary tolling
agreements relating to the Madison case.
This letter serves as a followup of two other letters that had been
previously sent to Mr. Altman in January. As of today, we still do not
know whether RTC is pursuing this approach. We have asked for
assurances. They have not been forthcoming.
Instead, all the RTC has indicated is that one of the tools available
to them is to seek to toll the statute of limitations. So, obviously,
they have the tools but no commitment on tolling has come from RTC. No
explanation, no response, no indication that they will file civil
claims if such a tolling cannot be obtained.
So we address this timeframe with little, if any, certainty, and the
realization that time is progressing and February 28 is coming. The
Senate will be in recess next week, so we probably only have 5 or 6
days left of time for the RTC to act within the timeframe of the
Senate's schedule.
I assure you, Mr. President, February 28 is not going to pass
unnoticed, thanks in large part to the work of my distinguished
colleague from New York, and that is as it should be. Madison will not
get off the hook quietly if the RTC lets the statute of limitations
expire.
But there is something that we can do to make certain that the
limitation period does not foreclose taxpayers' recoveries. We can
extend the statute of limitation for all cases--all cases--and this is
the point of the amendment of the Senator from New York, to extend the
statute of limitation for all cases involving allegations of fraud or
intentional misconduct. As I said, that is precisely what the Senator's
amendment does.
The issue before the Senate is not the issue of Madison Guaranty. The
investigation of Madison Guaranty should be treated in the same fashion
as any other S&L investigation. There should not be special treatment
afforded Madison. If there was wrongdoing, it should be punished. But
if there is an opportunity to recover funds, the RTC should not be
precluded from taking action because of time constraints. There are
simply too many taxpayer dollars affected by all of these
investigations.
I think it only fair that we give the RTC a full opportunity to
complete this and all of its investigations. I think that is a point
those who have criticized the discussion the Senator from New York and
I have had would agree on: There should be no special treatment, and
this is what the amendment of the Senator from New York simply does.
Mr. D'AMATO. I wonder if the Senator will yield.
Mr. MURKOWSKI. I will be happy to yield for a question.
Mr. D'AMATO. Before I said I will renew my request, Mr. President,
and I renew my request because I am intent on pressing this. I think we
should take this to a vote, so I ask for the yeas and nays.
The PRESIDING OFFICER. Is there a sufficient second?
There is a sufficient second.
The yeas and nays were ordered.
Mr. D'AMATO. I thank the President and I thank my friend for
yielding. I will point out that he has made a very excellent point, and
that point is we do not want any different treatment. We are not asking
that Madison be treated any differently than any other institution but
that there be at least the same treatment.
Mr. MURKOWSKI. I thank my colleague from New York.
Mr. President, I know that there are procedural rules in the Senate
which make it difficult for us to legislate on appropriations bills. I
see the distinguished President pro tempore of the Senate who has led
oftentimes that discussion very eloquently.
But as we all know, the Senate rules are flexible and they can be
waived when a majority of Senators believe the issue is important
enough to justify a waiver. I think it is fair to say in the view of
the Senator from Alaska, this is one of those cases where the rules
ought to be waived.
The underlying legislation we are considering is an emergency bill.
For the most part, it seeks to channel more than $7 billion of Federal
funds to victims of the California earthquake and, as it comes to the
floor, it is not paid for. I expect that it will not be paid for. I
believe that the February 28 deadline also represents a reasonable and
responsible emergency, a foreseeable emergency, but nonetheless an
emergency. If we allow this deadline to pass and if the RTC does not
obtain the tolling agreements, the Government potentially will lose the
opportunity to attempt to recover as much as--it has been estimated--$3
billion for the American taxpayer.
Maybe the Government will not recover that much. Maybe it will
recover only $1 billion or $500 million, but it stands to recover a
substantial amount if, indeed, the extension becomes a reality.
Whatever the amount that is ultimately recovered, we should not allow
the statute of limitations to stand in the way, especially when the
conduct for which we are extending the statute relates to fraud and
intentional misconduct.
Mr. President, I respectfully urge my colleagues to support the
amendment of the Senator from New York.
Mr. BROWN addressed the Chair.
The PRESIDING OFFICER. Does the Senator from Alaska yield the floor?
Mr. MURKOWSKI. The Senator from Alaska yields the floor.
The PRESIDING OFFICER. The Senator from Colorado.
Mr. BROWN. Mr. President, in the interest of expediting our
procedure, I would like to ask unanimous consent that the pending
amendments be set aside, and I would like an opportunity to offer an
amendment on which I would be happy to agree to a time limit. I think
it can be handled very quickly and if, indeed, a vote is appropriate,
it can be joined with the votes pending to follow the vote on the Byrd
motion to table.
The PRESIDING OFFICER. Is there objection?
Mr. METZENBAUM. I object, not because I have any quarrel with my
friend from Colorado, but because I would like to respond to the
Senator from New York and his amendment first. Maybe I can do so
briefly.
The PRESIDING OFFICER. Objection is heard.
Mr. METZENBAUM. Mr. President, I thank the Senator from Colorado. I
do not mean to be rude to him.
I rise to support the amendment to extend the statute of limitations
that pretty much reflects the language that I sent to the Senator from
New York late yesterday pursuant to the debate that we had on the
floor.
Extending the statute will mean that there are about 600 thrift cases
that will be subject to the possibility of bringing action in the
courts of the United States, and I think that is appropriate.
My quarrel with the Senator from New York the last couple of times I
was on the floor with him had to do with the fact that he was speaking
more about one case, Madison. My concern is that we ought to treat all
the savings and loans the same way.
So perhaps out of this rather contentious debate that occurred
between the Senator from New York and myself, we really may wind up
doing the taxpayers a great service. I am frank to say, I said
yesterday that I would send him language to extend the statute, and I
said I would do it before 5 o'clock, which we did. The Senator from New
York received it. The Senator from New York accepted it and has offered
it as an amendment today.
I hope the Senate will see fit to accept it, adopt it, and I hope
that we can retain it in conference.
amendment no. 1443 to amendment no. 1442
(Purpose: To perfect D'Amato amendment No. 1442)
Mr. MURKOWSKI. Mr. President, I send an amendment to the desk, a
perfecting amendment, and ask for its immediate consideration.
The PRESIDING OFFICER. The clerk will report.
Mr. MURKOWSKI. Second degree.
The legislative clerk read as follows:
The Senator from Alaska [Mr. Murkowski] proposes an
amendment numbered 1443 to D'Amato amendment 1442.
Mr. MURKOWSKI. Mr. President, I ask unanimous consent that reading of
the amendment be dispensed with.
The PRESIDING OFFICER. Without objection, it is so ordered.
The amendment is as follows:
Delete lines 3 through 10 of D'Amato amendment No. 1442,
and insert in lieu thereof the following:
``(a) Section 21A(b)(14)(C) of the Federal Home Loan Bank
Act (12 U.S.C. 1441a(b)(14)(C) is amended by striking clause
(i) and inserting in lieu thereof the following:
``(i) the period beginning on the date the claim accrues
(as determined pursuant to section 11(d)(14)(B) of the
Federal Deposit Insurance Act) and ending on December 31,
1995; or.''
Mr. MURKOWSKI. I suggest the absence of a quorum.
The PRESIDING OFFICER. The clerk will call the roll.
The assistant legislative clerk proceeded to call the roll.
Mr. D'AMATO. Mr. President, I ask unanimous consent that the order
for the quorum call be rescinded.
The PRESIDING OFFICER. Without objection, it is so ordered.
Mr. D'AMATO. Mr. President, if I might, the perfecting amendment is
just that. It is a perfecting amendment. It does not do anything to
change the relevant dates or the terms. It is to protect the amendment
from being changed.
Mr. President, I ask for the yeas and nays on the second-degree
amendment.
The PRESIDING OFFICER. Is there a sufficient second?
There is a sufficient second.
The yeas and nays were ordered.
Mr. D'AMATO. Mr. President, let me, if I might, say to the Senator
from Ohio, we may have had our differences, but I absolutely wish to
commend him for moving forward, keeping his word, and being a man of
his word. The Senator from Ohio I think had legitimate concern that I
was looking for some kind of special, preferential treatment, singling
out one institution. And while that was not my intent, it is obvious
that he has had a goal, and his goal has been throughout to see to it
that the RTC does everything to recover as much money as possible
against all of those who may have committed acts that subject them to
civil liability, and to seek civil enforcement, on behalf of the
taxpayers.
It was with that in mind that I believe he made the offer last
evening.
He rightfully pointed out there were a number of institutions, for
which the state of limitations would run on the same date, on the 28th.
The RTC would not be able to bring action even if there were actionable
claims without getting tolling agreements. I believe it was his intent
to see to it that everybody was treated fairly, but, more importantly,
the American taxpayers' rights were preserved.
I thank the Senator from Ohio for coming forth with a solution that I
hope now will give us the time and the opportunity to see that all of
these cases are handled fairly, and, in addition, will give to the
special prosecutor the opportunity to make his report and will make it
less of a time crunch; where there are those of us who may feel the
matter is not being handled appropriately, this will give the RTC
through December of 1995 to handle not only this matter, but as I think
the Senator has indicated previously, other institutions where the
statute will otherwise run soon. Some of them that has chalked up an
astounding loss of something like $1.5 billion, which also would be
tolled.
So I commend my colleague, the Senator from Ohio, and I yield the
floor.
Mr. DOMENICI addressed the Chair.
The PRESIDING OFFICER (Mrs. Boxer). The Senator from New Mexico.
Mr. DOMENICI. I do not have an amendment, I say to the Senator from
Colorado. I will be finished speaking in 3 minutes or less.
Madam President, I rise to compliment the distinguished Chairman of
the Appropriations Committee for some language he put in this bill
relative to disaster relief.
After the floods in the Midwestern United States and before the last
catastrophe and disaster in California, at an appropriations meeting
where we were figuring out what we ought to do for the floods, I raised
the question as to whether we really had adequate laws on the books
with reference to the kinds of problems with which we are confronted.
I happen to know a little bit about it. I think the last time we
changed the disaster laws was, believe it or not, way back when I was
ranking member of a subcommittee called Disaster Relief. I served on
the Public Works Committee with then chairman Burdick.
It strikes me almost intuitively that we need to modernize those
laws, streamline them, to make sure they are not duplications, and
sincerely find out whether the laws are being abused. We understand now
there may be some abuse with reference to illegal aliens getting 18-
month vouchers for rent-free housing. We are not even sure they are
entitled to them, in our interest in providing and quickly.
So I said that day that I thought the time had come for a total
evaluation of disaster programs. I believe the distinguished chairman,
on page 88 of the bill before us, provides for a task force to advise
the U.S. Senate on how to respond to future disasters. I wish the House
would accept this and make it a bicameral task force. The task force
would be set up, and among the things they would do would be evaluate
the types and amounts of Federal financial assistance provided to
individuals, States and local governments, and nonprofit organizations
after disasters strike, as well as relevant insurance coverage and loss
experience.
I believe I am correct in assuming that this actually means they can
look at the current status of disaster relief assistance from the
Federal Government, the entire panorama, and tell us whether we could
do things better, tell us whether there are some of those laws that
ought to be changed so as to make the relief more effective, and in
every respect be considerate of the American taxpayers, so we are
getting the very best benefit out of the money we spend, and we do it
generously for all Americans.
So I am not even going to ask the question. I am just going to assume
I am correct in this as I compliment the chairman. I believe it is
pretty clear that if this task force is created, and I hope it is, it
will look at the current laws, and the administration of them, to see
if we can do better among the various objectives.
I yield the floor at this point, once again thanking the chairman for
his excellent work in this regard.
Mr. BROWN addressed the Chair.
The PRESIDING OFFICER. The Senator from Colorado.
Mr. BROWN. Madam President, in the interest of expediting procedures
on this bill, I would like to ask unanimous consent that the pending
amendment be set aside and I be allowed to offer an amendment. I will
be happy to agree to limiting the time on the discussion of that
amendment and would ask the vote on the amendment be held after the
vote on the Byrd tabling motion.
The PRESIDING OFFICER. Is there objection.
Mr. BYRD. Madam President, reserving the right to object, I hope the
Senator will modify his request to provide only that the pending
amendment be set aside temporarily. I do not want to agree at this time
that the vote will occur on the amendment as the Senator has phrased
it; that would preclude a tabling motion.
Mr. BROWN. I appreciate the distinguished Senator's comment.
Madam President, I would modify my unanimous consent request that the
pending amendment be set aside.
The PRESIDING OFFICER. Without objection, it is so ordered.
Amendment No. 1444
Mr. BROWN. Madam President, I rise and send an amendment to the desk.
The PRESIDING OFFICER. The clerk will report.
The legislative clerk read as follows:
The Senator from Colorado [Mr. Brown] proposes an amendment
numbered 1444:
The amendment is as follows:
On page 81, strike lines 8 through line 14.
Mr. BROWN. Madam President, this amendment deals with a portion of
the bill which would provide additional funding for the Executive
Office of the President. The money involved is a little over $7
million.
The question that is appropriate on this bill is: Should we be adding
this additional funding under an emergency supplemental? As I
understand the Budget Act, it is quite clear that emergency
supplementals must relate to items that, indeed, are emergencies, that
are sudden, that are urgent, that are unforeseen, and that are
necessary. It may well be that the Senate and the House of
Representatives in due course come to the conclusion this is
appropriate money to be funded, that, indeed, the appropriation should
be made.
Madam President, it is very clear that this additional money does not
fit any of those descriptions. The additional $7 million is not sudden.
It relates to a matter that has been around several years. It is not
urgent. It relates to electronic communications management activities.
These are normal activities related to the office. They in no way fit
the definition of either sudden or urgent. They are by no means
unforeseen. I believe the Members of this body, when they look at them,
will conclude also that they are not necessary.
Let me simply say that the President, I believe, acted wisely when
over a year ago he called for a 25-percent cut in the Office of the
Presidency. I believe, unfortunately, this Congress denied him that
cut. The cut was not taken.
What this supplemental suggests is that rather than a cut of 25
percent we are going to have additional funding. We are not only going
to ignore the call for a cut but we are going to have a supplemental to
add funding. It is my belief that this not only violates the spirit of
the President's request originally, but it clearly violates the
dictates of the Budget Act. If emergency supplementals are going to
mean anything, we ought to at least be willing to adhere to the clear
guidelines of the Budget Act.
So I offer this amendment in the hopes that the Congress will clear
the bill of measures that do not fit the definition.
I ask unanimous consent to submit for the Record a piece written by
the Republican leader, Robert Dole, dealing with the whole question of
emergency supplementals at this point.
There being no objection, the material was ordered to be printed in
the Record, as follows:
[From the Washington Times, Nov. 5, 1993]
Congress Loves ``Emergency'' Funding Because Everything Is an Emergency
(By Bob Dole)
A funny thing happened on the way to deficit reduction.
After a recent swing through the West, President Clinton sent
Congress an urgent request for $315 million in unpaid
``emergency'' disaster assistance to replace the Cypress
Freeway in Oakland, Calif. Sen. Pete Domenici, the ranking
Republican on the Budget Committee, protested the timing of
the ``emergency'' funding request on the Senate floor after
learning that the Freeway had been damaged in the Loma Prieta
Earthquake--some four years earlier. Earthquakes are indeed
tragedies, but 4-year-old road damage is hardly an
``emergency.'' The amendment was quietly withdrawn, but not
before many questions had been raised on the use and possible
abuse of the ``emergency'' spending loophole by the Clinton
administration.
In order to rein in runaway spending and impose discipline
on the congressional budget process, the Budget Enforcement
Act of 1990 put in place caps on spending through 1995. These
caps were intended to be ironclad, but as you might expect,
Washington gave itself an ``emergency'' exit. The Budget Act
drafters included an ``emergency requirement'' to allow
Congress and the president to address ``sudden, urgent,
unforeseen, necessary or temporary expenditures''--hurricane
losses, the costs of Desert Storm--without causing a
breakdown in the budget process.
If a funding request is defined as an ``emergency'' by the
president and Congress, the spending does not count against
the Appropriations Committee's spending allocations; it just
gets added to the deficit. Members of Congress often lobby
hard for a presidential ``emergency'' request for their
favorite projects--projects that could always be funded
through the normal appropriations process if they could be
justified on their merits--because an ``emergency''
designation eliminates the painful task of cutting other
programs to stay within spending limits. The Cypress Freeway
isn't the biggest or worst example of using the ``emergency''
funding loophole, but it does provide a good illustration of
some of the complex problems with federal disaster assistance
programs.
The most obvious question is whether the Cypress Freeway
request met the original Office of Management and Budget
criteria for ``emergency'' spending. Certainly the funding
requirement for the Cypress Freeway did not appear--four
years after the earthquake--to be ``sudden, urgent, or
unforeseen''. The need to replace the freeway has been
apparent since its collapse following the 1989 earthquake.
Although it was difficult at the time to estimate the cost of
replacing the structure, precise estimates of the costs have
been available since the Environmental Impact Statement for
the project was completed in September 1991.
If a project is not ``urgent'' or ``unforeseen,'' is it
then reasonable to expect the Appropriations Committee to
find funding within its regular allocation, no matter what
the project costs? If we are serious about controlling
federal spending, the answer must be yes. Otherwise, we can
no doubt expect to see a string of disaster relief amendments
reaching back to the great Chicago fire.
A less easily answered element of the ``emergency''
definition is, was the spending necessary? The original
disaster assistance legislation for the Loma Prieta
Earthquake provided $1 billion for federal highway repair.
California far exceeded that amount, in large part because
the state decided to rebuild the Cypress Freeway in a
different location.
Community pressure in West Oakland, not safety, was the
driving factor in the move. County Supervisor Warren Widener,
a major opponent of the original double-decker Freeway called
the old structure a ``concrete colossus'' that prevented
growth, lowered property values and ``divided the area for 32
years.'' Unfortunately, this neighborhood beauty makeover
increased the taxpayers' bill for the 2.2 mile roadway from
$100 million in 1989 to an estimated $695 million in 1993.
The cost of purchasing the right of way for the new elevated
highway was $230 million--an amount nearly equal to the
president's supplemental request. Despite this outrageous
cost increase, there has been no outcry from local citizens,
no calls for an investigation or impeachment of government
officials, because, as the San Francisco Chronicle has
explained, ``most of the money comes from Washington and is
far removed from local taxpayers' pockets.''
The Cypress Freeway is not an isolated example of
``emergency'' spending. According to the Republican staff of
the Senate Budget Committee, Congress and the president have
declared $74.2 billion in ``emergency'' spending since the
1990 Budget Agreement. Approximately 80 percent of these
expenditures were associated with Desert Storm and Desert
Shield and were largely repaid with allied contributions.
Domestic ``emergencies'' have totaled $14.3 billion, for
disasters ranging from the Midwest floods to Hurricane
Andrew.
The total tab for domestic ``emergencies'' would have
almost doubled if President Clinton had succeeded in passing
his $12 billion ``Economic Stimulus Package.'' This abuse of
the ``emergency'' designation to avoid paying for additional
spending was so egregious that Republicans in the Senate
united to block and eventually kill the bill. Democrats, for
the most part, would not have supported the new spending if
they had been required to cut back the other programs. That
is why very little of the defeat package made it into later
spending bills.
How do we prevent abuse of the ``emergency'' designations
and still leave enough budget flexibility to account for
truly catastrophic spending events, such as the Persian Gulf
conflict? One option might to be required that any disaster
account be funded at a level equal to the average of spending
over the past three years. Any spending beyond this level
could be exempted from the budget enforcement requirements.
A more difficult problem is how to prevent so-called
``gold-plating'' of disaster projects. Clearly, we need to
ensure that federal funds are provided to return structures
to their pre-disaster state; however, it seems to me the
federal government is not obligated to rebuild them to some
post-disaster ideal. Any improvements, beyond what are needed
for safety, should not receive priority over worthwhile
projects simply because of their proximity to disaster. The
best way to ensure that is to deny extraordinary budgetary
treatment to the improvement portion of a project.
I would encourage Office of Management and Budget Director
Leon Panetta--one of the primary backers of the Cypress
request--to look carefully at the ``emergency'' budget
loophole and offer has own suggestions for reform in the
President's next budget submission. If the Clinton
administration is serious about cutting spending, its
officials need to stop their back-door efforts to evade the
very budget rules they worked so hard to put in place.
Mr. BROWN. Madam President, I ask for the yeas and nays on this
amendment.
The PRESIDING OFFICER. Is there a sufficient second?
There is a sufficient second.
The yeas and nays were ordered.
Mr. BROWN. Thank you. I yield the floor.
Several Senators addressed the Chair.
The PRESIDING OFFICER. The Senator from Alaska.
Mr. MURKOWSKI. Madam President, I would offer an amendment that I
send to the desk.
The PRESIDING OFFICER. Is the Senator offering a second-degree
amendment?
Mr. MURKOWSKI. I ask unanimous consent to set the pending amendment
aside.
The PRESIDING OFFICER. Without objection, it is so ordered.
Mr. MURKOWSKI. I thank the Chair.
Amendment No. 1445
(Purpose: Sense of the Senate that Federal spending priorities need to
be reevaluated in light of the recent Northridge earthquake in
California and other frequently occurring natural disasters nationwide
and that, as part of the reevaluation, the Presidential election
campaign fund checkoff should be replaced with a checkoff for Federal
disaster relief assistance)
Mr. MURKOWSKI. Madam President, I send an amendment to the desk and
ask for its immediate consideration.
The PRESIDING OFFICER. The clerk will report.
Mr. BYRD. Madam President, is the Senator offering an amendment to
his own amendment?
Mr. MURKOWSKI. No.
The PRESIDING OFFICER. The Senator just got consent to lay aside the
previous amendment.
Mr. BYRD. Has the clerk stated the amendment?
The PRESIDING OFFICER. The clerk is about to read the amendment.
The clerk will report.
The legislative clerk read as follows:
The Senator from Alaska, [Mr. Murkowski] proposes an
amendment numbered 1445.
Mr. MURKOWSKI. Madam President, I ask unanimous consent that reading
of the amendment be dispensed with.
The PRESIDING OFFICER. Without objection, it is so ordered.
The amendment is as follows:
At the appropriate place insert the following new section:
SEC. . SENSE OF THE SENATE REGARDING DISASTER ASSISTANCE
FUNDING.
(a) Findings.--The Congress finds that--
(1) during the past 5 years, the United States has suffered
a series of natural disasters, including earthquakes, floods,
and hurricanes;
(2) the Federal Government has responded to these events by
providing disaster victims with various types of assistance,
including temporary shelter and financial assistance;
(3) in order to meet the costs of providing such
assistance, the Congress has enacted 6 emergency supplemental
appropriation bills;
(4) the cost of--
(A) the 1993 emergency appropriations Act was
$5,141,000,000,
(B) 2 emergency appropriations Acts adopted in 1992 was
$5,429,000,000,
(C) the 1991 emergency appropriations Act was $943,000,000,
(D) the 1990 emergency appropriations Act was
$2,682,000,000, and
(E) the 1989 emergency appropriations Act was
$2,827,000,000;
(5) the total cost of the emergency appropriations Acts
adopted in response to these disasters is more than
$17,000,000,000;
(6) the Congress has failed to offset the cost of these
emergency appropriations Acts by reducing other discretionary
spending;
(7) the cost of these emergency appropriations Acts has
increased the Federal deficit and added to the
$4,515,000,000,000 national debt;
(8) until 1993, individual taxpayers were permitted to
designate that $1 of their Federal tax liability would go
into the Presidential Election Campaign Fund;
(9) the number of taxpayers providing funding for the
Presidential Election Campaign Fund has been declining in
every year since 1976;
(10) in 1976, slightly more than 1 in 4 tax returns (27.5
percent) contained a checkoff in favor of financing the
Presidential Election Campaign Fund;
(11) in 1992, less than 1 in 5 tax returns (17.7 percent)
contained a checkoff in favor of such financing;
(12) the failure of the overwhelming majority of taxpayers
to support the checkoff has resulted in the Congress raising
the amount of the checkoff from $1 to $3; and
(13) the Congress should reevaluate our Federal spending
priorities in light of the recent Northridge Earthquake in
California and the frequently occurring disasters nationwide,
including replacing the Presidential Election Campaign Fund
checkoff with a checkoff for Federal disaster relief
assistance.
(b) Sense of the Senate.--It is the sense of the Senate
that--
(1) the Presidential Election Campaign Fund checkoff should
be eliminated and replaced with a checkoff to allow funds to
be directed to a dedicated natural disaster trust fund set
aside to assist victims of natural disasters;
(2) such funds should supplement, not supplant, current
appropriations for natural disaster assistance;
(3) caps on allowable discretionary spending should be
reduced by the amount of funds directed into a natural
disaster trust fund; and
(4) any funds set aside for natural disaster assistance
should be spend before the Congress considers additional
emergency spending for natural disaster assistance not
subject to offset.
Mr. MURKOWSKI. Madam President, I thank the Chair.
Madam President, I have a sense-of-the-Senate amendment which I think
addresses something that has been given a lot of thought in this body;
my amendment would replace the Presidential election campaign checkoff
with a checkoff for Federal disaster relief.
The California earthquake brought about the reality that these
natural disasters occur. They are unfunded, and they must be funded. We
really need to reevaluate our spending priorities because we spend
millions and millions of dollars with the recognition that we do have
this reoccurrence; yet, at the same time, we are in a situation where
we do not have the funding and we have to consider it under the merits
of an urgent supplemental. This amendment would allow the American
public to choose whether to spend their dollars on the victims of a
disaster rather than a political process funding political conventions.
I have before me, Madam President, the U.S. individual income tax
reform proposal which currently includes a Presidential election
campaign checkoff for $3. The question before the American public is:
Do you want to have the sole alternative be simply checking off yes or
no as to whether your contribution should go to the Presidential
election campaign, or do you prefer as a consequence of the realization
that these disasters come frequently to be able to check off a new form
which would provide only for Federal disaster relief assistance, and
your $3 would go to this fund?
That is the basis of the amendment of the Senator from Alaska.
We want to add to funds already regularly appropriated for disaster
relief. This is one way to do it. The checkoff would certainly not
cover the cost of an emergency. But it would reduce the deficit by
cutting the amount we spend over and above the spending caps.
We have spend billions in the past to fund natural disasters. And I
know, Madam President, your experience in the devastating earthquake
now, and the realization that costs are going to continue to come in as
a consequence of that earthquake, and the ultimate figure is obviously
in excess of $5 billion. It may be closer to $7 billion or $8 billion.
Since 1989, Congress has spent some $17 billion in emergency relief.
In 1993, there was $5.1 billion for the Midwest flood; in 1992, $5.4
billion for Hurricane Andrew. Then we had other disasters associated at
that time. In 1991, we had $943 million for Hurricane Bob; 1990, $2.6
billion for another California earthquake; 1989, $2.8 billion for
Hurricane Hugo.
Emergency spending adds to the deficit. It simply has to because it
is not budgeted, and there is no identifiable way to pay for it other
than a supplemental. We know that the House has just passed an $8.6
billion relief bill. It is my understanding that they have only paid
for $2.6 billion.
So I think the question before us here is should Congress create a
responsible supplemental trust fund? That is what this is. This is a
checkoff fund where the taxpayer has the alternative of checking off
for disaster relief the $3 rather than just having the choice to check
off for public funding of Presidential elections. This disaster relief
checkoff would make funds available to go to a supplemental disaster
trust fund that Congress would appropriate from when regularly budgeted
FEMA disaster funds are exhausted. The trust fund would be utilized to
the extent that it was available, then you would call upon the
necessity of a supplemental.
Congress could not cut regularly budgeted FEMA disaster funds to
offset funds held in the trust. If the budget caps were lowered by the
amount dedicated to the trust fund, this would reduce the deficit.
Those fortunate years when we do not have a disaster, the deficit would
be reduced because the money is being saved instead of spent.
So we would be building up a reserve, Madam President. It also
reduces the deficit in years that the fund is used because Congress
would not appropriate as much outside the budget and not offset by
cuts.
Regarding the potential funds to be raised, it is interesting to note
that in 1976, 26 percent of the Americans responded to the income tax
checkoff for funding Presidential campaigns. In 1976, 26 percent of the
people responded. But last year, only 17 percent responded. That is
less than 1 in 5. So clearly public acceptance of Federal funding for
Presidential elections is declining.
Last year, about $30 million was raised at the $1 on the checkoff
portion. Our figures indicate that it is very likely that a $3 checkoff
with 60 to 70 percent of the Nation responding because of the
realization that we want to, and we have to help each other out, that
we are looking at a potential there of about $200 million.
How would the checkoff affect the deficit? Appropriators have funded
the disaster relief fund based on a 10-year average that FEMA claims it
has spent on disaster relief. Well, as a consequence, Madam President,
we have seen the entire Nation hit with disasters nationwide. My State
of Alaska has been hit in recent years as well. We have talked about
the California earthquake and the Mississippi floods, and on and on and
on. As a consequence, in the last 5 years, we have spent $17 billion
over and above what we planned for in emergency spending.
Because disaster spending leads to emergency spending outside of the
budget caps, it is unique. Further, funding natural disasters has to be
one of the highest priorities, and it is certainly higher than funding
political conventions and campaigns at a Presidential level.
Mr. McCONNELL. Will the Senator yield?
Mr. MURKOWSKI. I am happy to yield to my friend from Kentucky.
Mr. McCONNELL. First, I commend my friend from Alaska for his
excellent amendment. As the Senator from Alaska knows, I have at
various times over the last few years sought to abolish this fund
altogether. I think the Senator's amendment is right on the mark. It is
about priorities, about setting priorities.
I heard the Senator from Alaska point out the minuscule percentage of
Americans who choose to participate in this checkoff, and I commend the
Senator from Alaska. He is right on the mark. As a matter of fact, this
is one of the few issues--some would argue the only issue--in America
where we have a total and complete annual poll. Every April 15,
American citizens get to decide whether they want to spend a dollar of
taxes they already owe--that they already owe--to this fund. And the
participation, as my friend pointed out, has dropped from 26 to 17
percent.
Mr. MURKOWSKI. To 17 percent; yes.
Mr. McCONNELL. So we have a complete annual poll on the subject of
spending tax dollars for political campaigns. The American people
themselves get to choose to participate, and the support is dropping
dramatically, to the point where last year, the majority around here
raised the checkoff to $3 to make up for the diminishing participation.
They did it in a legislative fashion that made it virtually impossible
for anybody to try to extricate that.
So what do you do? If you have a problem you like, and public support
is dropping, you increase the checkoff to $3. That is what happened
last year.
I just wanted to interject and commend my friend for his amendment,
which is about priorities. Maybe the American people would rather spend
their money--we think we know the answer to this already, because we
have a complete survey every April 15--maybe they would like to spend
their money on something more worthwhile, like disaster. I think it is
an excellent amendment.
Mr. MURKOWSKI. In response to my friend from Kentucky, who has worked
so hard to bring the issue of Federal funding before this body from
time to time, and recognizing the political realities associated with
how various people feel about the issue, and the potential threat that
the funding of elections may, in the minds of some, go far beyond the
Presidential aspect, I think it would be very interesting to see the
response of the public if they did have a choice to provide for the
disaster relief or Presidential elections.
I cannot help but think that a large majority would be moved simply
from a humanitarian aspect. I wonder if my friend from Kentucky would
agree.
Mr. McCONNELL. I say to my friend from Alaska that he is absolutely
right. It occurs to this Senator, given the lack of interest among the
public, 83 percent choosing not to check off a dollar they already owe,
that it would be interesting to contemplate what the American people
might do on this checkoff if it added a dollar to their tax bill,
rather than simply diverting a dollar of taxes they already owe; if the
question on the 1040 were rephrased so that the taxpayer could, out of
his generosity, add a dollar to his tax bill to pay for Presidential
political campaigns. My suspicion is that it would produce almost no
taxpayers.
My friend from Alaska is talking about priorities. I gather what his
amendment is about is giving people a chance to designate money for
something they think is really worthwhile. We know they think the
Presidential election is not worthwhile. We know that from the survey
every April 15.
Mr. MURKOWSKI. The Senator has made the point, and we are not simply
fishing with figures. It represents a substantial decline in the public
willingness to go ahead and check off for contributions for Federal
funding for Presidential elections.
If there are any two public priorities today, I think one is the
obligation we have to help those that suffered from the disaster in
California, because that can happen in any of our States. The other
priority is, if you will, the concern over the increasing deficit and
the fact that we have to address these disasters by a supplemental.
This would provide a contribution to a worthwhile fund which would
ultimately contribute to reducing the deficit.
Mr. PRYOR addressed the Chair.
The PRESIDING OFFICER. The Senator from Alaska still has the floor.
Mr. PRYOR. Madam President, I would like to ask a question.
Mr. MURKOWSKI. Madam President, I will be happy to respond.
Mr. PRYOR. May I ask the distinguished Senator from Alaska, should
his amendment prevail, would we at this time on this evening be
expressing the sense of the Senate that the Presidential checkoff
should be done away with?
Mr. MURKOWSKI. If I can respond to my friend, what we are doing in
the sense of the Senate is specifically addressing the desire of the
Senate to remove, if you will, the current system, which mandates the
checkoff list that is on your individual tax return, which is now
limited to a Presidential election. That would be removed, and it would
be the sense of the Senate that on the 1040 form the alternative for
the taxpayer would be either to check yes or no for $3 to go to a
Federal disaster relief assistance fund.
Mr. PRYOR. I wonder if the Senator might accept an amendment where we
could have a checkoff, say, to fight crime, yes or no; or the next one
would be environmental cleanup, yes or no. How are we going to stop the
endless number of checkoffs?
Mr. MURKOWSKI. The Senator is quite correct. We could go through any
number of items, just as we have come up with the decision some time
ago to have a checkoff for Presidential election campaigns, which was a
decision made by a legislative body, put on, and the taxpayer is faced
with the reality of saying yes or no. That was a decision that was
made, and clearly the American public has found that they are not
supporting that in numbers, as indicated by the fact that 26 percent of
the public in 1976 checked off the contribution for Presidential
campaigns, and now that figure is down to 17 percent.
So, clearly, it is not an issue that is rising in favor. Maybe it
ought to be looked at. The Senator from Alaska proposes this by the
sense-of-the-Senate amendment. It would be the sense of the Senate to
basically substitute this. I think it is meritorious based on the lack
of public support for Presidential election campaigns, as evidenced by
the fact that the percentages have dropped dramatically from 26 to 17
percent.
Mr. McCONNELL. Madam President, the Murkowski amendment is about
priorities. I am no fan of the taxpayer-funded Presidential campaign
system and have for years proposed abolishing it outright. I will soon
be introducing legislation to do just that--abolish taxpayer funded
Presidential campaigns.
But that is not what this effort by Senator Murkowski is about. The
Murkowski amendment is about priorities.
I have offered amendments in the past which raised the question of
priorities. Tax dollars for child nutrition or political campaigns?
Deficit reduction or political campaigns?
For my colleagues who support using tax dollars to fund political
campaigns, these amendments were unpleasant. But these amendments
forcing the Senate to prioritize are necessary. If we are ever to
achieve a balanced budget, we must make the hard decisions on spending.
Senator's decision over whether to support the Murkowski amendment
should not be hard.
If Senators believe American taxpayers should have the opportunity to
check off a few dollars of their taxes to go toward helping victims of
earthquakes, floods, tornadoes, and hurricanes rather than political
campaigns, then they should support the Murkowski amendment.
Let me conclude, Madam President, by thanking my friend from
Kentucky.
The reality is that we cannot adequately plan in any manner or form
for disaster costs associated with disasters of a type that we have
recently seen. Public financing of elections can still occur in the
appropriations process where, in my opinion, they should. I think this
kind of alternative to the American people is overdue.
As a consequence, Madam President, I urge adoption of the amendment
and ask for the yeas and nays.
The PRESIDING OFFICER. Is there a sufficient second?
The yeas and nays were ordered.
Mr. MURKOWSKI. I yield the floor.
Amendment No. 1440
Mr. REID. The proposed rescission of 7.5 percent from the enacted
level for fiscal 1994, if confined to the agencies funded in the
legislative branch appropriations bill, would total $172.7 million.
This reduction, which would be in addition to those already imposed on
the legislative branch for fiscal years 1992, 1993, and 1994, would be
devastating to the Congress, its support agencies, and the other
institutions of the legislative branch.
The Kerrey and others plan also calls for a freeze in so-called
overhead expenditures--rent, communications, printing, and supplies, a
15 percent reduction in all travel accounts in the legislative branch
and a 5 percent pay cut for Members of Congress and senior executive
and congressional officials.
The combined impact of these proposals would place the constitutional
independence and authority of the Congress in serious jeopardy. Nowhere
is the maxim, ``knowledge is power'' more valid than in the legislative
process of today. The policy environment we face daily is characterized
by great complexity, interdependence, and rapid change. This makes
reliable knowledge and analysis absolutely indispensable. The functions
of the institutions making up the legislative branch--with minor
exceptions--focus on meeting this requirement.
Draconian, meat ax cuts of the sort envisioned in the Kerrey plan
cannot eliminate this requirement. They will however change the way it
is satisfied to the detriment of the independence of congressional
decisionmaking. Decimation of the staffing resources within the
legislative branch will force the Congress to depend more and more on
either the executive branch or interest groups for information and
analysis.
legislative branch funds and staff are already being reduced
This is not to say that efficiencies cannot be realized or that
reductions in legislative branch personnel are not possible. In fact we
are already well along in a considered process streamlining and
rationalizing the agencies of the legislative branch.
According to CBO baseline analysis, the Legislative Branch
Appropriations Act for fiscal year 1994--Public Law 103-69--funds the
Congress and associated agencies at a level that is, in the aggregate,
$308,4 million or 12 percent less than program level of fiscal year
1992. In order words, Mr. President, the real level of program activity
and staffing in the legislative branch has already declined
significantly from the levels of over two years ago.
library of congress
Let me just give you a few examples of what this contraction has mean
already. In fiscal 1992 the Library of Congress was operating with
4,748 full time equivalent staffing. This year the Library's full time
equivalent workforce is 4,531, a reduction 227. The effects are already
being felt. The hours of operation for seven reading rooms have been
reduced by 12 percent and a number of reading rooms are now closed on
Sunday. In addition, there will be delays in replacement of aging
machines that provide free reading services to the blind and physically
handicapped.
An additional 7.5 percent cut as envisioned in this proposal would
delay production of bibliographic records for some 28,000 books and
serials and 550,000 other library items would be added to the arrearage
of uncataloged materials. As a consequence, other libraries across the
country will be forced at their own expense to undertake the task of
cataloging these materials with attendant duplication of effort and
waste.
The arrearage of uncataloged materials, totaling 27 million items,
would begin to grow after 3 straight years of decline. Reading room
service would be further cut by reducing general reading room hours
from 68 to 40 hours per week, and last week the Library of Congress
announced the closure of reading rooms on Sundays--a 40 percent
decrease. The Copyright Office will furlough all staff for 56 days. And
the blind and physically handicapped program would eliminate the
production of 260 new braille and audio book titles.
general accounting office
In fiscal year 1992 the General Accounting Office had an authorized
complement of 5,062 full time equivalent permanent positions. This year
the GAO's full time equivalent work force is 4,581, a reduction of 481
staff. An additional 7.5 percent cut would require a furlough of its
entire staff for over 30 days or a reduction-in-force of over 1,000
people. Such drastic action would in effect paralyze GAO for most of
the fiscal year.
It would also require that GAO discontinue its asbestos abatement
project. To terminate the project at this time would mean that GAO
would need to continue to spend $12 million a year to lease space for
employees who could otherwise occupy the main GAO building. Obviously,
the sooner this project is completed the more money the taxpayer can
save.
In addition, GAO has made considerable progress in implementing a
local area network which will significantly increase the efficiency of
agency operations. Budget reductions have already forced the delay of
the roll out of the wide area network. A reduction of this magnitude
would stop the program indefinitely. Since GAO is reducing its
workforce, it is even more important for the remaining staff to have
the advantages of this technology in performing their work.
congressional budget office
In fiscal year 1992 the Congressional Budget Office was operating
with 226 full time equivalent staff. This year the CBO's full time
equivalent staffing is 220. The effects on the operations of the CBO
have already been felt. On October 1, 1993, CBO laid off all their
temporary employees. CBO has also ended its semester and summer intern
programs. These programs have annually employed about 30 undergraduate
and postgraduate students from all over the United States, giving them
a valuable learning experience. In return, these students work on
useful research products usually involving the collection and analysis
of data and are a resource for future recruiting.
An additional 7.5 percent cut would require a reduction-in-force of
35 current staff members by March 1, 1994, significantly reduce
analytical capability in major policy areas such as health and defense
and end support to members in the drafting phase of legislation with
budgetary impact.
architect of the capitol
In fiscal year 1992 the Architect of the Capitol was operating with
2,407 full time equivalent staff. This year the Architect is operating
with 2,347 full time equivalent staff, a reduction of 60 staff years.
In addition, it has been necessary for the Architect to defer a number
of important maintenance, renovation, and improvement projects. For
example, installation of a Capitol complex wide fire signaling system
has been postponed as have roof repairs to the Russell and Dirksen
Senate Office Buildings. Last year it was necessary, for safety
reasons, to dismantle the palm house at the Botanic Garden. Restoration
of that structure and the general renovation of the Botanic Garden has
been indefinitely deferred.
An additional 7.5 percent cut would require a further reduction of
177 full time equivalent staff. Projects that would be deferred or
curtailed would include: construction necessary to meet the
requirements of the Americans with Disabilities Act; modernization of
the electrical system in the Cannon and Russell Buildings; and
replacement of the boilers at the Capitol powerplant.
capitol police
In fiscal year 1992 the Capitol Police were operating with 1,357
full-time equivalent staff. This year the Capitol Police are operating
with 1,298 full-time equivalent staff. A 7.5-percent cut would mean the
abolishment of an additional 120 police positions. This reduction would
curtail street patrols, degrade the level of security within the
Capitol complex, and require the closure of some building entrances.
senate
The contraction in resources over the last 3 fiscal years has also
had an impact on the Senate. In fact, funding for the Senate as a whole
has been reduced in actual dollars for 2 years running. As a result,
the Senate is operating at a level of funding that is $74 million below
its 1992 baseline level.
committees
The committee funding resolution for the current biennium reduced
committee budgets by approximately 10 percent. So, Senate committees
are already under pressure to reduce their operating costs in the face
of the growing workload associated with the President's ambitious
legislative agenda. Fully funding the committee budgets in the
committee funding resolution, with this 10-percent reduction, would
still require a total of $81.5 million. This amendment would reduce the
inquiries and investigations appropriation to $71.2 million, leaving a
shortfall of $10.3 million. This will almost certainly force a severe
retrenchment in committee budgets. If there are committee chairmen who
believe their committees are overstaffed or overfunded, they should
come to the floor now and say so. If not, they should come here and
oppose this amendment.
office of the secretary of the senate
The Office of the Secretary of the Senate is one of the principal
administrative organizations of the Senate as an institution. It
provides essential legislative support services as well as performing
basic financial management functions. It includes, for example, the
Senate Parliamentarians, the legislative clerks, the bill clerks,
executive clerks, and Official Reporters of Debates, the Senate
disbursing office, the Senate library, and the Office of Public
Records.
A 7.5-percent reduction in the salaries appropriation for the Office
of the Secretary would force the following reductions, among others, in
service to the Senate and the general public:
First, the legislative staff would be reduced by 10 positions. This
would impair the Senate's ability to process and print legislation and
produce the Congressional Record and other official publications.
Second, captioning of Senate Chamber proceedings would be degraded if
not eliminated and captioning of other official Senate activities would
not be possible.
Third, the project to modernize the management of the Senate's
finances, known as Financial Management System II, would be eliminated.
The result would be processing and paying Members' official expenses.
Fourth, new programs to reduce the Senate's printing costs, such as
utilizing print-on-demand technology, would be eliminated.
Fifth, Senate Page School would be in jeopardy.
sergeant at arms
The Office of the Sergeant at Arms provides administrative,
logistical, and related support services to Members, the leadership,
and committee offices. A 7.5-percent reduction in the appropriations
for the Sergeant at Arms would force the following reductions, among
others, in service to the Senate:
First, elimination of some State offices.
Second, reduction in the level of support functions provided. For
example: operations at the recording studios would be cut in half,
elevator operators would be eliminated, and the post office operations
would be severely curtailed, if not eliminated.
Third, delay in the deployment of new State office computer systems.
senators' official personnel and office expenses account
In general, the precise effect of these reductions on staffing levels
is hard to access in the Senate, because Senate organizations do not
typically operate with schedules of authorized positions. But one thing
is clear. An additional 7.5-percent reduction in the appropriation for
the Senators' official personnel and office account cannot be made
without a comparable reduction in the allocations for clerk hire,
legislative assistants, and administrative expenses that this
appropriation funds.
This is a point that deserves some elaboration. It is important to
understand--as not many people in this Chamber and elsewhere do--that
the allocation for a Senator's office is separate and independent of
the appropriation that pays the costs of these allocations for all
Senators. This means Mr. President, that reducing the appropriation for
Senator's office accounts does not in itself reduce the allocations
under which Senators are entitled to incur costs. What this will do,
absent a corresponding reduction in the allocation will subject the
Secretary of the Senate and the financial clerk of the Senate to
possible penalties under the Antideficiency Act.
A 7.5-percent reduction in the appropriation for the Senators account
would leave a total of $168.5 million. The full cost of the allocations
for Senators' offices, however, is $210 million. If this amendment is
adopted, the short-fall in funding of the allocation would be $32.5
million. Moreover, this comes at a point that is almost half way
through the fiscal year. So, any reduction in Senators' allocations
made necessary by this amendment will certainly exceed 7.5 percent. In
fact, the cut in Senators allocations would probably approximate 15
percent.
Given the uncertainty of the consequences of such a reduction for
Senators' offices, I think it only fair that the proponents of this
amendment demonstrate their good faith by cutting their own accounts
first. After all, the principal sponsor of this plan, the junior
Senator from Nebraska, is quoted in Roll Call as saying:
``This plan begins with the premise that we should not ask
the American people to accept spending cuts unless we are
first willing to make sacrifices ourselves.''
It should also be pointed out that the fiscal 1994 act contains a
provision--section 307--which requires an FTE reduction of 4 percent in
the legislative branch by the end of fiscal year 1995. This is
equivalent to the executive branch reduction announced by the President
and endorsed by the joint leadership of the Congress for the
legislative branch. A companion provision--section 308--mandates an
administrative cost reduction of 14 percent by fiscal year 1997 for the
agencies of the legislative branch. These two provisions will result in
a reduction of over 900 FTE's, and a combined cost savings of over $40
million.
Finally, the Joint Committee on the Organization of Congress
submitted a series of recommendations relating to the Senate and
legislative branch wide matters. One of the proposals included in that
package is a comprehensive performance review of the legislative branch
patterned after the National Performance Review conducted under the
leadership of Vice President Gore. The objective of this provision is
to establish a process for achieving further efficiencies and
economies, including organizational realignments and personnel
reductions. This in my judgment is a far more rational approach and is
likely to have far more practical results than an arbitrary, pick it
out of the air, 7.5 percent rescission from the fiscal 1994 enacted
level for the legislative branch.
30 percent reduction in the frank
The fiscal 1994 legislative appropriations bill provides $20 million
for the costs of franked mail in the Senate. This is a reduction of $16
million from the budget request. The requested amount is the amount
necessary to cover the costs of one statewide mailing for each Senator,
routine response mail, and mail costs of committees and officers of the
Senate. So mass mailings to every address in a Senator's State are, by
and large, a thing of the past.
Mail, of course, is a valuable channel of communication with our
constituents. And many of us use it to maintain contact with the people
who elected us beyond merely responding to particular individual
letters we may receive. We often know a number of people or groups in
our respective States who have an interest in developments relating to
particular issues. Many of us find it useful to use the mail to keep
these people informed in their areas of interest. Reductions in our
franking allowance, of course, make it more and more difficult to
maintain these channels of communication.
A 30-percent reduction in the franking appropriation for the Senate
would be $6 million. It is hard to generalize about the impact of such
a cut but it is safe to say that there would be some negative effect on
the flow of communication between Senators and their constituents. I
have here a table displaying the allocation of this reduction by State
and ask that it be inserted in the Record. Senators can make their own
judgment as to the wisdom of a further reduction in their mailing
allowance.
There being no objection, the material was ordered to be printed in
the Record, as follows:
Departing Members' Purchase of Office Equipment and Furnishings From
District Offices
This provision is not applicable to the Senate, because
such purchases are not permitted.
----------------------------------------------------------------------------------------------------------------
E
--------------------------------------------------------
No. of Rescission
State Senator CDs Full Funding Current Approp. $6,000,000
Total of $20,000,000 Approp. of
$14,000,000
----------------------------------------------------------------------------------------------------------------
Alabama............... Heflin................ 7 282,555 152,651 107,659
Shelby................ 7 282,555 152,651 107,659
Alaska................ Murkowski............. 1 77,184 41,699 29,409
Stevens............... 1 77,184 41,699 29,409
Arizona............... DeConcini............. 6 276,604 149,437 105,392
McCain................ 6 276,604 149,437 105,392
Arkansas.............. Bumpers............... 4 163,234 88,188 62,196
Pryor................. 4 163,234 88,188 62,196
California............ Boxer................. 52 1,962,726 1,060,371 747,841
Feinstein............. 52 1,962,726 1,060,371 747,841
Colorado.............. Brown................. 6 246,834 133,353 94,049
Campbell.............. 6 246,834 133,353 94,049
Connecticut........... Dodd.................. 6 223,492 120,743 85,155
Lieberman............. 6 223,492 120,743 85,155
Delaware.............. Biden................. 1 97,178 52,501 37,027
Roth.................. 1 97,178 52,501 37,027
Florida............... Graham................ 23 1,079,970 583,458 411,492
Mack.................. 23 1,079,970 583,458 411,492
Georgia............... Coverdell............. 11 465,554 251,518 177,386
Nunn.................. 11 465,554 251,518 177,386
Hawaii................ Akaka................. 2 99,155 53,569 37,780
Inouye................ 2 99,155 53,569 37,780
Idaho................. Craig................. 2 105,200 56,835 40,083
Kempthorne............ 2 105,200 56,835 40,083
Illinois.............. Moseley-Braun......... 20 736,277 397,777 280,537
Simon................. 20 736,277 397,777 280,537
Indiana............... Coats................. 10 374,259 202,195 142,501
Lugar................. 10 374,259 202,195 142,501
Iowa.................. Grassley.............. 5 186,301 100,650 70,985
Harkin................ 5 186,301 100,650 70,985
Kansas................ Dole.................. 4 175,092 94,594 66,714
Kassebaum............. 4 175,092 94,594 66,714
Kentucky.............. Ford.................. 6 247,012 133,449 94,117
McConnell............. 6 247,012 133,449 94,117
Louisiana............. Breaux................ 7 285,562 154,276 108,805
Johnston.............. 7 285,562 154,276 108,805
Maine................. Cohen................. 2 127,405 68,831 48,544
Mitchell.............. 2 127,405 68,831 48,544
Maryland.............. Mikulski.............. 8 322,235 174,089 122,778
Sarbanes.............. 8 322,235 174,089 122,778
Massachusetts......... Kennedy............... 10 408,907 220,914 155,802
Kerry................. 10 408,907 220,914 155,802
Michigan.............. Levin................. 16 618,973 334,403 235,842
Riegle................ 16 618,973 334,403 235,842
Minnesota............. Durenberger........... 8 294,822 159,279 112,333
Wellstone............. 8 294,822 159,279 112,333
Mississippi........... Cochran............... 5 166,632 90,024 63,491
Lott.................. 5 166,632 90,024 63,491
Missouri.............. Bond.................. 9 359,472 194,206 136.966
Danforth.............. 9 359,472 194,206 136.966
Montana............... Baucus................ 1 114,874 62,061 43,770
Burns................. 1 114,874 62,061 43,770
Nebraska.............. Exon.................. 3 105,679 57,093 40,266
Kerrey................ 3 105,679 57,093 40,266
Nevada................ Bryan................. 2 145,593 78,657 55,474
Reid.................. 2 145,593 78,657 55,474
New Hampshire......... Gregg................. 2 117,226 63,332 44,666
Smith................. 2 117,226 63,332 44,666
New Jersey............ Bradley............... 13 519,195 280,498 197,825
Lautenberg............ 13 519,195 280,498 197,825
New Mexico............ Bingaman.............. 3 101,683 54,935 38,743
Domenici.............. 3 101,683 54,935 38,743
New York.............. D'Amato............... 31 1,128,369 609,606 429,933
Moynihan.............. 31 1,128,369 609,606 429,933
North Carolina........ Helms................. 12 476,456 257,408 181,540
Faircloth............. 12 476,456 257,408 181,540
North Dakota.......... Conrad................ 1 85,228 46,045 32,474
Dorgan................ 1 85,228 46,045 32,474
Ohio.................. Glenn................. 19 732,479 395,725 279.090
Metzenbaum............ 19 732,479 395,725 279.090
Oklahoma.............. Boren................. 6 233,914 126,373 89,126
Nickles............... 6 233,914 126,373 89,126
Oregon................ Hatfield.............. 5 205,805 111,187 78,416
Packwood.............. 5 205,805 111,187 78,416
Pennsylvania.......... Specter............... 21 808,740 436,926 308,148
Wofford............... 21 808,740 436,926 308,148
Rhode Island.......... Chafee................ 2 104,089 56,235 39,660
Pell.................. 2 104,089 56,235 39,660
South Carolina........ Hollings.............. 6 241,338 130,384 91,955
Thurmond.............. 6 241,338 130,384 91,955
South Dakota.......... Daschle............... 1 91,396 49,377 34,824
Pressler.............. 1 91,396 49,377 34,824
Tennessee............. Mathews............... 9 338,254 182,743 128,882
Sasser................ 9 338,254 182,743 128,882
Texas................. Hutchison............. 30 1,184,605 639,988 451,360
Gramm................. 30 1,184,605 639,988 451,360
Utah.................. Bennett............... 3 102,868 55,575 39,195
Hatch................. 3 102,868 55,575 39,195
Vermont............... Jeffords.............. 1 79,068 42,717 30,127
Leahy................. 1 79,068 42,717 30,127
Virginia.............. Robb.................. 11 413,699 223,503 157,628
Warner................ 11 413,699 223,503 157,628
Washington............ Murray................ 9 354,038 191,270 134,896
Gorton................ 9 354,038 191,270 134,896
West Virginia......... Byrd.................. 3 122,205 66,022 46,563
Rockefeller........... 3 122,205 66,022 46,563
Wisconsin............. Feingold.............. 9 326,902 176,610 124,557
Kohl.................. 9 326,902 176,610 124,557
Wyoming............... Simpson............... 1 67,971 36,721 25,898
Wallop................ 1 67,971 36,721 25,898
----------------------------------------------------------------------------------------------------------------
Mr. SARBANES. Madam President, I am very disappointed that the Kerrey
amendment proposes closing the Uniformed Services University of the
Health Sciences [USUHS] in Bethesda. This outstanding facility is an
integral part of our efforts to provide top-quality medical care to the
men and women of our armed services.
I want to thank my friend and colleague, Senator Inouye, for his
comments earlier today in support of this fine institution. I commend
him for his longstanding support which has been crucial to the success
of the university. Last November, I wrote to Senator Inouye to outline
my own views on the Uniformed Services University and I ask unanimous
consent that my letter be made a part of the Record following my
remarks.
Madam President, a close review of the facts clearly supports the
continued operation of this respected facility.
The Senate wisely reversed a similar effort in 1990 when the House of
Representatives voted to phase out funding for UHUHS. In my view, there
continues to be a very strong case for maintaining this capability
within the Department of Defense. I urge my colleagues to preserve
funding for this vital part of the Department of Defense.
Since it was founded in 1972, USUHS has graduated more than 1,800
regular medical officers--97 percent of whom are serving today in the
Air Force, the Army, the Navy, or the Public Health Service. Even among
those who have completed their required commitment of 7 years beyond
internships and residencies and could leave for private practice, 89
percent continue to serve our Nation.
Madam President, that is a remarkable statistic. USUHS attracts and
graduates students that have an incredible sense of commitment to
public service. In fact, about 40 percent have some prior military
service. Unlike some of their colleagues in other medical schools, the
typical USUHS student wants to become a public servant and will likely
serve far longer than his or her required commitment.
Madam President, USUHS provides training in military medicine,
disaster medicine, preventive medicine, tropical medicine, and on
survival in extreme environments. I question whether or not any other
medical school in the country could or would assume the critical role
of teaching these specialities that are so important to our men and
women in uniform.
Let me turn for a moment to the cost of educating doctors at USUHS.
When you consider years of service provided and the Federal dollars
that go to medical schools across our Nation, it becomes very clear
that sending a young man or woman through USUHS is no more expensive
than providing them with a Armed Forces Health Professions Scholarship.
Many of the physicians needed by the services can be recruited
through the Scholarship Program. However, USUHS allows us to develop a
group of physician-leaders who are highly educated in military medical
issues.
As I said in my November 19 letter, the Uniformed Services University
serves our Nation by providing medical officers who excel in military
medicine and public health during times of both peace and war. Closure
of the university does not make sense from an economic or policy
perspective.
Madam President, I urge the Senate to follow the wise advice of the
distinguished chairman of the Defense Appropriations Subcommittee and
retain the Uniform Services University of the Health Sciences.
There being no objection, the letter was ordered to be printed in the
Record, as follows:
U.S. Senate,
Washington, DC, November 19, 1993.
Hon. Daniel K. Inouye,
Chairman, Subcommittee on Defense, Committee on
Appropriations, U.S. Senate, Washington, DC.
Dear Mr. Chairman: I am writing to express my strong
opposition to pending proposals to close the Uniformed
Services University of the Health Sciences (USUHS). This
respected facility plays a critical role in training doctors
in military medicine, a specialty not available at any other
medical school in the United States.
The University is named the F. Edward Herbert School of
Medicine in honor of our former Colleague whose vision led to
its establishment in 1972. Since that time, it has graduated
1,836 regular medical officers who are required to serve
seven years of active duty beyond the time they devote to
internships and residencies. Of all graduates, 97 percent are
serving today in the Air Force, the Army, the Navy, or the
Public Health Service. Even more incredible is the fact that,
of those who have completed their required commitment and
could leave for private practice, 89 percent continue to
serve our Nation.
These statistics reflect the high level of commitment that
is characteristic of USUHS students. Approximately 50 percent
of applicants have some type of prior military experience.
After four years at the Bethesda campus, a remarkable 43
percent of graduates have chosen primary care in lieu of
assignments considered more desirable by most medical school
graduates. The number of students pursuing specialized
degrees such as Master's degrees in public health and
tropical medicine is further evidence that these students are
interested in long-term service to our Nation.
In addition to military medicine, the curriculum at USUHS
includes a heavy emphasis on disaster medicine, tropical
medicine, preventive medicine, and on survival in extreme
environments. It is imperative that our Armed Services have
men and women trained in these specialty areas. In their
fourth year, all students also complete advanced trauma life
support, advanced cardiac life support, and a major field
exercise. These additional requirements are one reason why
the USUHS curriculum is about 25 weeks longer than that of
the typical medical school. It is this important training
that prepares USUHS graduates to be the leaders of the
military health corps and the Public Health Service.
While the majority of physicians needed by the services can
be recruited through the Armed Forces Health Professions
Scholarship Program, USUHS provides, at a reasonable cost, a
cadre of physician-leaders who are highly-educated in
military medical issues. Based on data in the ``Journal of
the American Medical Association,'' USUHS graduates cost the
government no more than doctors recruited through the
scholarship program. I understand that the Federal government
spends $98,396 on a scholarship program student for each year
of obligated services. In comparison, USUHS students received
an equal or better level of education for $66,212 per year of
obligated service.
Estimates released on November 15th by the Congressional
Budget Office suggest that the potential savings from closing
the University are greatly overstated. Instead of the $350
million listed in the ``National Performance Review''
proposal, CBO estimates that five-year savings would total
about $100 million. Even if other medical schools could and
would assume the task of providing the specialized education
now available through USUHS, there are serious questions
about whether or not any savings would be achieved in the
longrun.
Complementing the University's emphasis on training doctors
is an extensive program to provide specialized medical
support training to law enforcement officers, firefighters,
and rescue personnel. These programs have been successfully
run with Federal, state, and local governments across the
country. USUHS medical expertise has proved important at
several recent crises including the riots in Los Angeles and
the tragedy at Waco, Texas. The University's Counter
Narcotics Tactical Operations Medical Support program has
provided medical support training to over 1,000 personnel and
is widely regarded as a National standards for tactical
emergency services. At the same time, USUHS is an accredited
sponsor of a number of continuing medical education programs,
including those required for Department of Defense physicians
deployed overseas.
The Uniformed Services University serves our Nation by
providing medical officers who excel in military medicine and
public health during times of both peace and war. I am
concerned that elimination of the University would be a step
backwards in the quality of care offered to our armed
services. Algeria, Belgium, Bulgaria, France, Germany,
Greece, India, Indonesia, Iran, Italy, Japan, Korea, Mexico,
Pakistan, the People's Republic of China, Poland, Russia,
South Africa, Taiwan, and Turkey all recognize this need and
operate government-run military medical schools.
As you may be aware, the Association of American Medical
Colleges recently expressed its strong support for the unique
role that the Uniformed Services University fulfills in our
medical education system. In my view, there is a continuing
role for USUHS even in a changing defense landscape.
Your strong past support for USUHS is very much appreciated
and I urge you to again reject any proposals that come before
the Committee to downsize or close this outstanding facility.
With best regards,
Sincerely,
Paul S. Sarbanes,
U.S. Senator.
Mr. PELL. Madam President, the Kerrey-Brown amendment is indeed
laudable in its intent, whether it would indeed save $94 billion, as
its proponents assert, or a lesser amount as the distinguished Senator
from West Virginia suggests.
All of us want to save and all of us want to reduce the deficit, but
this amendment, I submit, does not seem to proceed from a consistent
basis of selectivity. Rather, it takes a scatter shot swipe at what
appears to be a random collection of Federal programs without regard to
merit or special circumstances.
For example:
It would, in my view, place an inordinate and unfair burden on the
elderly, who already are on notice that they probably will have to
share the burden of health care reform. The Kerrey-Brown amendment
would require 20 percent coinsurance on Medicare lab services and 10
percent coinsurance on home health service for those below 150 percent
of poverty level, which together would raise $30 billion--or 28 percent
of the total savings--on the backs of the elderly.
It would prohibit Pell grants to prisoners, notwithstanding the fact
that such grants are a major force for constructive rehabilitation of
prisoners, at a time when we are trying to pursue all possible avenues
for combatting crime.
It would cut funding for the Economic Development Administration by
10 percent--just as EDA is becoming a key component of the defense
adjustment effort.
I would impose a 1 year freeze on funding the Defense Environmental
Restoration Program--at a time when that program is most needed to
accommodate base closures.
It would eliminate development of a Mag-Lev prototype at a time when
we need to press forward with innovative concepts to promote mobility
in megalopolitan areas and to do so with maximum sensitivity to
environmental concerns.
It would provide for only partial consolidation of overseas
broadcasting, undercutting the consolidation plan just approved by the
Senate when it passed the State Department Authorization Bill.
These are a few of the many provisions of the Kerrey-Brown amendment
which I find to be arbitrary and ill-considered.
As for the second degree amendment introduced by Mr. Hatfield, I must
say that I find his approach also to be arbitrary. While I share his
belief that we could well cut defense spending even further, I believe
we should do so on a more selective basis. I especially believe that it
is imperative that we preserve unique and vital skills found in areas
like the submarine industrial base.
For all of these reasons, Madam President, I support the motion to
table the Kerrey-Brown amendment and the second degree Hatfield
amendment.
Mr. COHEN. Madam President, I am pleased to join Senator Kerrey and
others in offering this amendment.
This amendment is the result of a long process that began last year
when a bipartisan group of Senators met to develop a list of
significant spending cuts.
Many of us felt that the deficit reduction plan passed last year
relied too heavily on tax increases rather than on spending cuts to
meet its goals. History has shown that, without strict limits on
spending, tax increases will simply go to new spending rather than to
reduce the deficit.
In early September, a number of Senators, led by Senator Kerrey,
began discussions about how to craft a list of spending cuts that was
substantial enough to have a real impact on the deficit and balanced
enough to have political support in the Congress. A similar effort, led
by Congressman Penny and Congressman Kasich, was underway in the House
of Representatives.
While there are some important differences between the Kerrey-Brown
plan and the Penny-Kasich plan in the House, both efforts grew out of
the strong conviction that spending cuts must lead the way in reducing
the deficit. Unfortunately, the House defeated the Penny-Kasich plan in
October. The closeness of that vote, however, confirmed our view that
now is the time for serious deficit reduction.
The list of about $100 billion cuts proposed in the Kerrey-Brown plan
was not easy to craft. Many tough decisions were made in developing
this list. Indeed, I do not support each and every cut proposed in this
package. Taken together, however, I think it represents a fair and
balanced approach to deficit reduction. If each Senator took from the
list each cut he did not support, there would probably be little left
to cut. Accordingly, we agreed to stand together in supporting cuts
that, on their own, we may very well oppose.
And, it would be misleading to suggest that serious deficit reduction
could be accomplished without taking some unpopular steps. Indeed,
aversion to unpopular steps has created the fiscal problems this
country faces. In the 1980's, the American people were told that taxes
could be cut and spending increased without increasing the deficit. In
the 1990's, the American people ought not be told that whole new
entitlements can be created without raising taxes on the middle class
or worsening the deficit.
The time for serious deficit reduction is well overdue. There is a
public willingness to do what needs to be done to reduce the deficit.
The grassroots support for groups like the Concord Coalition and United
We Stand demonstrate the strong public sentiments for returning fiscal
responsibility to the Federal Government.
We cannot continue to pass a growing national debt on to future
generations. Every dollar the Federal Government borrows today is a
dollar our children and grandchildren will have to repay. We should be
willing to pay for the level of government services we want to consume.
If today's taxpayers are not willing to pay for these services, the
extent to which the public really wants this perplexing proliferation
of government programs is questionable.
Cutting Federal spending by $100 billion over 5 years will not topple
the government as some suggest. As the corporate sector discovered
throughout the 1980's, belt-tightening is not necessarily a bad thing.
It forces us to focus our efforts and to find ways of meeting these
objectives in more efficient ways. The time has come for serious
rethinking of what the Federal Government can and cannot do. I am
convinced that this process would yield not only lower deficits but
better government.
Finally, since the Senate will soon be considering the balanced
budget amendment, I want to urge all of its supporters to support the
amendment we are offering today. While I believe the time has come to
adopt a balanced budget amendment, that amendment in itself will not
cut a dime of Federal spending. It is merely a procedural tool. The
amendment being offered today, on the other hand, will cut about $100
billion over the next 5 years. I strongly urge cosponsors of the
balanced budget amendment to support the Kerrey-Brown plan.
I would also like to comment on another aspect of this vote. Senator
Hatfield has been successful in amending Kerrey-Brown in a fashion
which seeks to intimidate those who support a strong national defense,
as I do, into voting against the Kerrey-Brown amendment. The Hatfield
amendment should be seen for the nefarious tactic that it is. I regret
that a vote on a serious subject such as restraining government
spending was clouded by the Hatfield substitute. Serious observers of
this debate will understand that a bi-partisan group of Senators is
committed to reducing the deficit through significant spending cuts,
and that any attempt to portray this vote as a blow against a strong
national defense would be highly misleading.
Mr. SASSER. Madam President, I rise to express my opposition to the
Kerrey-Brown amendment. I commend my colleagues for their concern about
the federal budget deficit. I oppose their amendment because it does
little to actually cut that deficit, and because most of the real cuts
it makes would deprive us of funds needed to combat crime and reform
our health care system.
Last year Congress enacted a comprehensive economic recovery plan
designed to reduce the Federal budget deficit and lay the groundwork
for economic growth. Today, we see the fruits of that difficult effort.
There is a new vigor in the economy and the prospects are strong for
long-term sustained growth. In 1993, 1.6 million private-sector jobs
were created--more than the previous 4 years combined. Solid economic
advances were recorded across the board.
A year ago, the deficit for 1995 was projected at $302 billion.
Today, the forecast is for $176 billion. In fact, from 1994 through
1998, there is a 40 percent drop in the projected deficit numbers.
Measured as a percentage of Gross Domestic Product, the 1996 deficit
falls to 2.3 percent--the lowest share since 1979.
The proof is in the numbers--the economic plan was enacted struck the
proper balance between sustained growth and deficit reduction. As Alan
Greenspan recently said, we currently enjoy the best long-term economic
outlook anytime in the last two or three decades, a result he termed an
extraordinary achievement.
I do not take a back seat to any Member in this body when it comes to
proposing specific spending cuts. I have helped lead the fight for cuts
that went beyond the reductions enacted in the economic plan, and I
intend to support some additional cuts this year. But the Kerrey-Brown
amendment does little beyond what has already been proposed, and I
simply cannot support many of the actual additional cuts it does
include.
The distinguished chairman of the Appropriations Committee has
already pointed out in detail the false savings claimed by this
amendment, but let me take a few moments to reinforce his argument.
According to the Office of Management and Budget, $60 billion--or 64
percent--of the savings in the Kerrey plan are already in the 1995
budget. These cuts are needed simply to stay within the existing cap on
discretionary spending.
As my colleagues know, Senators Byrd and Mitchell joined with me in
sponsoring an amendment to the crime bill that uses that roughly $22
billion in savings gained through the planned reduction in the Federal
work force of 250,000 to establish the Violent Crime Control Trust
Fund. That amendment was approved by an overwhelming majority of 94 to
4. Its supporters included Senators Kerrey and Brown. Their amendment,
however, seeks to use those savings for deficit reduction. How can
those who voted for the crime bill amendment vote now to dedicate the
savings to deficit reduction?
Senators Kerrey and Brown argue that if the crime bill becomes law,
its funding provision will supersede this amendment. In the meantime,
of course, Members who vote for both amendments can go home and
claim credit both for fighting crime and for cutting spending. Do we
wonder why the public is cynical about this institution? We took a
stand to provide a stable, real funding source for more police and more
prisons. We should not jeopardize that effort by claiming that same
source of funding for another purpose.
Madam President, this amendment would go beyond the proposed 250,000
in Federal job cuts. Its proposed cuts in administrative overhead would
require--in this year alone--an additional cut of 36,000 jobs. Almost
one-half of those jobs losses would come in the Defense Department.
This President has already taken historic steps to make the Federal
Government more efficient and streamline the bureaucracy. Aiming a meat
ax at Federal employees will hinder, not help, that effort.
And this amendment doesn't only eliminate the jobs of current Federal
employees; it also limits benefits for military and civilian retirees.
The amendment would go beyond the delay in their cost-of-living
adjustments enacted as part of the deficit reduction plan and eliminate
the COLA entirely for certain retirees. Haven't we already asked enough
of the dedicated military retirees who sacrificed so much for their
country?
The Kerrey-Brown amendment also proposes $30 billion in cuts in the
Medicare program , over and above the substantial reductions included
in last year's deficit reduction bill. As my colleagues realize, the
enactment of meaningful and comprehensive health care reform depends in
part on our ability to capture savings from existing Federal health
care programs, including Medicare. I have not cosponsored any
particular health care reform bill, but I am extremely reluctant to
limit our ability at this time to finance any plan that ultimately
comes to this floor for consideration.
I commend the sponsors of this amendment for their effort to identify
wasteful programs. Taken individually, I would support many of the cuts
they propose. Many of their proposals have been or will be adopted. I
invite them to join me in an effort to limit spending for other
programs. But make no mistake, Madam President, this Congress has
already taken difficult and meaningful steps to cut spending and reduce
the deficit. Adoption of this amendment would add little to that
effort, and it would seriously jeopardize vital legislation to control
crime and reform our health care system.
Mr. LAUTENBERG. Madam President, there should be no mistaking my
opposition to the Hatfield amendment to cut $18 billion out of the
defense budget.
One reason I oppose this amendment is because it would cut funding
for the DDG-51 Aegis destroyers. In fiscal year 1994, the Congress
appropriated the administration's full budget request for three
destroyers. I worked hard as a member of the Senate Appropriations
Defense Subcommittee to secure these funds. Although the House of
Representatives initially did not provide funding for all three
destroyers, the Senate position on the program was adopted and full
funding was ultimately provided.
Madam President, the DDG-51 Aegis destroyer program is not the place
to find savings. With the Navy decommissioning surface combat ships at
a rapid pace due to force structure draw-downs, the need to maintain a
strong DDG-51 destroyer program is even more pronounced. With a
markedly diminished fleet, the power and versatility of DDG-51
destroyers will allow maximum fighting capability with a reduced number
of ships and personnel.
With the ever changing security threat, the United States needs to
maintain a strong Naval presence. We need to ensure that our destroyer
fleet is modernized. The DDG-51 Aegis destroyers are an integral part
of the Navy's efforts to modernize its destroyer fleet and keep the
Navy's presence strong.
I urge my colleagues to preserve funding for this important program.
the bipartisan spending cut package
Mr. BUMPERS. Madam President, the bill, as reported by the
Appropriations Committee, already cuts title I of Public Law 480 by 10
percent. Title III is cut by 16 percent. The committee was very
reluctant even to make these cuts, considering that this program is
very important for feeding the world's hungry people. Currently, we are
seeing increased concern about additional famines in Africa.
The Public Law 480 program is a unique foreign aid program which, for
nearly 50 years, has helped hungry and malnourished people in poor
countries, while directly benefiting U.S. agriculture and commerce.
Nearly all of the funds are spent to purchase U.S. commodities and
transportation services. Title I provides for the sale of commodities
on concessional terms to food deficit countries that are potential
markets or emerging democracies and title III provides for the donation
of commodities to the poorest countries.
The Public Law 480 program level was already cut by $101 million in
the 1994 agriculture appropriations bill. Further reductions would
limit the U.S. ability to meet emergency food needs abroad, and
arguably, to fulfill a humane duty by this Nation to help feed people
in nations much less fortunate than we.
The proposal to cut titles I and III by an additional 20 percent
would result in a total reduction in fiscal year 1994 Public Law 480
foreign food assistance of $155.3 million. The title I program, which
provides agricultural commodities to developing countries and emerging
democracies through concessional credit financing, would be reduced by
$99.3 million. The title III program, which provides agricultural
commodity assistance to least developed countries on grant terms, would
be reduced by $56.0 million.
The proposal would result in a total reduction in fiscal year 1994
Public Law 480 commodity assistance of just over 800,000 metric tons.
Title I assistance would decline by 550,000 metric tons, while title
III assistance would be reduced by 250,000 metric tons. U.S. exports of
the following commodities would be the most affected by reduced Public
Law 480 programming: wheat and wheat products, corn and corn products,
rice, vegetable oils, oilseeds and meals, and cotton. Reduced exports
of these commodities could result in lower prices to farmers and higher
costs for the domestic price and income support programs.
In recent years, Public Law 480 title I programming has become
increasingly important to U.S. efforts to assist the Newly Independent
States of the former Soviet Union as well as the countries of Eastern
Europe. These efforts would be impaired by the proposed reduction in
title I programming. Among these countries which have been allocated
title I assistance for fiscal year 1994 are: Albania, Armenia, Belarus,
Bulgaria, Croatia, Georgia, Kyrgystan, Latvia, Lithuania, Moldova,
Poland, Romania, Tajikistan, and Turkmenistan.
The title I program also serves important market development
objectives of the Department of Agriculture, with programming
frequently carried out in conjunction with other USDA market
development activities. The proposed reduction in title I programming
would lessen the effectiveness of these efforts. For example, in the
Philippines, the title I program is an integral part of a livestock
improvement program that relies on title I soybean meal for feed stocks
and GSM-103 intermediate-term export credit guarantees for breeding
animal imports. The aim is to expand the Philippines' privatized
livestock sector and ultimately United States exports of feed grains
and protein meals. In Morocco and Yemen, title I wheat programming
complements market development efforts for wheat that include GSM
export credit guarantees and the Export Enhancement Program to meet EC
competition. In Pakistan, title I assistance is a critical element in
USDA efforts to maintain the largest overseas market for United States
vegetable oil exports.
The title III program provides needed food assistance to countries
which are among the poorest in Africa, Asia, and Latin America and the
Caribbean. The program also helps to support U.S. development
assistance activities through the generation of local currencies when
the food is sold on the local market. United States assistance to these
countries would be impaired as a result of the proposed reduction in
title III programming. Among the countries receiving the largest
allocations of title III assistance are: Bangladesh, Ethiopia, India,
Peru, and Sri Lanka.
The United States has traditionally provided about 60 percent of
total world food assistance and has been a leader in encouraging other
countries to contribute to global food aid efforts. The proposed
reduction in Public Law 480 titles I and III programming is likely to
raise serious questions about the continued U.S. commitment to assist
countries which are unable to meet their food import needs through
commercial purchases.
reduce agricultural research buildings and facilities to requested
level
The Kerrey proposal eliminates funding for all buildings and
facilities through USDA's Cooperative State Research Service.
These research facilities are an investment in the future of
agriculture in this country and in the world. Numerous breakthroughs
have been achieved because of our Federal research facilities,
breakthroughs that have led to a significant increase of food
production in this country, elimination and control of plant and animal
pests and diseases, and a broader knowledge of human nutrition and
health.
As the population of this country, and indeed of the world, continues
to climb, we dare not be shortsighted by making insignificant spending
cuts now in programs that will be instrumental in feeding these
populations in the future.
Furthermore, if we cut back on funding for these projects that are in
the works, and if we are compelled to complete funding for them at some
future point, the costs will surely escalate, and in the long run, the
budgetary impact will be greater than it is today.
Reduce Travel Accounts by 15 Percent for Specific Executive Agencies
and the Legislative Branch
A reduction of 15 percent in travel would severely impact on USDA's
ability to carry out its programs. Travel is an integral part of some
programs. For example: Meat and poultry inspectors travel to plants to
provide inplant inspection of all domestic establishments preparing
meat or poultry products; grain inspectors travel to provide mandatory
inspection and weighing services in the United States and Canada;
Agricultural Stabilization and Conservation Service county office staff
travel is necessary to carry out assistance provided; Farmers Home
Administration county office staff travel is necessary to make and
service loans in rural areas; Rural Electrification Administration
staff travel in connection with making and servicing of rural electric
and telephone loans; Soil Conservation Service staff travel in
connection with providing technical assistance for conservation
activities; and Office of Inspector General travel would be impacted
because auditors travel throughout the United States doing onsite
audits of USDA programs.
terminate the honey program
Already this year, the honey program has received considerable
attention from Congress. The reconciliation bill lowered the spending
caps per producer to $50,000 by 1998. The agriculture appropriations
bill stopped funding for 1994 completely, although presumably,
producers could still acquire loans on honey but no forfeitures of
those loans would be permitted. Now this proposal is to terminate the
program completely.
Why the honey program should be singled out for termination remains
elusive. Like other farm commodities, honey producers in this country
suffer from unfair competition from abroad, most notably China. This
flood of cheap imports undercuts our honey program by undercutting the
price of honey. Without some type of support, our producers cannot
compete and stay in the business. It's like any other farm support
program, the cost of production becomes too expensive for the return
and the business goes under.
As has been pointed out by several of my colleagues on past
occasions, the beekeeping industry's significance to the rest of
agriculture is often overlooked. The program has been effective in
maintaining sufficient honeybee populations to pollinate important
agricultural crops. More than 140 cultivated crops either require or
benefit from bee pollination, including millions of acres of fruits,
vegetables, oilseeds, and legume seed crops. Pollination provided by
honey bees has increased in importance to farmers in recent years as
urbanization and other pressures on the environment have reduced the
availability of other natural pollinators.
require specific ending-stocks-to-use ratios for setting arps for feed
grains
This proposal would require the Secretary of Agriculture to set land
idling requirements under the corn program so that projected stocks of
corn do not exceed 18.6 percent of projected use. This approach to
reducing program costs was considered but rejected during debate on the
reconciliation bill this past summer.
Two major objections can be raised to the proposal. First, estimated
outlay reductions may prove illusory. CBO estimates that the proposal
would reduce outlays by the Commodity Credit Corporation by several
hundred million dollars over the next 5 years. Those estimated savings
occur because the proposal would require the Secretary to target a
lower stock level than is assumed in CBO's baseline. Lower stocks would
be obtained by increasing setaside rates, which would raise market
prices and thereby reduce Government deficiency payments made to
producers.
Given the uncertainties of weather, world market demand, and
secretarial discretion, it is not clear whether the proposed stock
targets would actually change any program provisions. Indeed, it is
possible that the proposed rules could actually result in lower set-
aside rates and higher Government costs in some years.
The estimated savings are entirely dependent on CBO's baseline. The
targeted stock level was not chosen for any policy purpose, but rather
to obtain a certain level of CBO-estimated savings. Against a different
baseline, the savings could be very different or nonexistent.
The second major problem is the potential negative effects on farm
income are large. After a large crop that increases stock levels, the
Kerry proposal would require the Secretary to set land-idling
requirements high enough to reduce stocks to 18.6 percent of use. That
may require much higher set-aside rates than the Secretary would
otherwise choose. While higher set-aside rates do increase market
prices, reduced production and deficiency payments generally mean that
farm income is reduced. Higher grain prices increase the cost of
producing livestock and make it more difficult to sell our grain in
world markets.
Mr. GORTON. Madam President, I cannot support the Kerrey-Brown
amendment despite my longstanding record of voting in favor of budget
reduction efforts. I will briefly review my objections to some of the
amendment's provisions.
First, I cannot support what I see as new taxes on senior citizens.
The Kerrey-Brown amendment means tests several Medicare programs.
President Clinton's budget unfairly affected these same people last
summer. That budget included raises in Social Security taxes on income
beyond $34,000 for single seniors. It is too soon to further increase
the amount of money that the Federal Government takes from these
people, many of modest means.
Second, I cannot support the provision regarding COLA freezes for
current civilian or military retirees. I feel that it is fundamentally
unfair to change the rules of the game after the playing of the game.
We made promises to these people during the time that they worked for
the Federal Government or served in the Armed Forces. In my view, we
should not pull the rug out from under one specific group of people
without asking for across-the-board COLA reductions.
Finally, I am concerned about the proposal to completely defer COLA's
for military retirees before they turn 62. A major draw for those
entering the military at a young age is the possibility to retire from
the military at a relatively young age. The current practice allows
military retirees a chance to start second careers at relatively young
ages. These second careers start, however, only after 20 to 30 years of
service to their country. Clearly, the lure of this benefit makes the
armed services an attractive choice for some of the best of America's
young adults. If we take this away, we do a disservice to those who
might serve and hinder the recruiting activities of the Armed Forces.
Madam President, this Senator has taken the tough votes on the
deficit in the past. I will take them in the future. This amendment is
an unfair attempt to balance the budget on the wrong people.
Mr. DURENBERGER. Madam President, I rise to register my strong
support for the deficit reduction amendment that has been offered by my
distinguished colleagues from Nebraska and Colorado.
As a cosponsor of this amendment, I must also express my deep
disappointment that this body will not have an opportunity to formally
consider such an important and needed proposal as an amendment to a
rescission bill, earlier promised for consideration by this body.
I want to begin Madam President, by applauding the leadership on this
issue exhibited by Senators Kerrey, Brown, and others in this body, as
well as by Congressmen Penny, Kasich, and their allies in the House.
Cutting spending is not something we do either willingly or well in
this body. Politicians have never been very good at saying ``no.'' It
is much easier to promise and deliver new or bigger programs, or, even
better, to make new financial commitments we don't even have to
explicitly renew each year.
So, it is no wonder that our total national debt has now grown to
$4.7 trillion. And, despite all the legislative arms we saw twisted and
broken over this year's budget bill, that huge obligation being placed
on future generations will grow by another trillion dollars in the next
5 years.
I should note, Madam President, that those of us on this side of the
aisle were not asked to help make that number smaller. And, when the
budget bill came to the floor last year, we all voted ``no.''
A few brave colleagues on the other side voted with us and some, like
our distinguished colleague from Nebraska, went along with the
President's plan, but insisted that it not be the last chance we had
this year to do even more. I am disappointed that a commitment to
consider a rescission package has been ignored.
deficit reduction and powerful special interests
As the revised Kerrey-Brown proposal was circulated this week, Madam
President, one could quickly see why it is so difficult to take on the
very tough job of reducing the Federal deficit.
Behind each of the dozens of programs being cut in this proposal is a
long list of well-meaning interest groups, and powerful allies in the
Congress and the administration. In fact, I could tell what programs
were being cut just by looking at my incoming mail and the report my
staff gives me each day on calls coming into my Washington and
Minnesota offices.
an important place to begin to move ahead
Senators Kerrey and Brown have put together a $99.1 billion package
of specific budget cuts. Sure, some are controversial, but the
important thing is that Senators are willing to stand up and support a
significant decrease in the deficit, despite all of the procedural and
substantive reasons not to support this kind of proposal. There are
specific cuts in this package that I would rather not have included,
such as the cut in the legal services program. However, Madam
President, all we need is an opportunity to consider this proposal.
Then we can get down to the business of negotiating to achieve the best
possible combination of cuts. The important thing is that a bipartisan
group of Senators are committed to support $99.1 billion of additional
cuts beyond what we have accomplished last year in the budget process
and in addition to what will be submitted by the President in this
year's budget request.
In my judgment, it is pure folly not to support this proposal just
because there may be a few specific cuts that do not seem justifiable
or which might be used as offsets for other proposals such as health
care reform. The package can be adjusted as needed, as long as we stick
to the $99 billion goal. The real challenge before us is to just find
the opportunity to pursue this needed deficit reduction without the
usual roadblocks.
future generations are watching as we refuse to act
Unfortunately, Madam President, future generations cannot vote and do
not lobby. So, I have not heard from a lot of stakeholders that I
should support deeper cuts in Federal spending. Certainly, no one is
stepping forward and offering to give up their piece of the pie.
That means we need to look to the President and the Congress for
leadership--to place the collective public interest above selfish
individual interests that so often stifle real change.
lessons need be applied from the past
More than 15 years ago I was elected to this body on a wave of anger
that started in places like Minnesota and that produced a Republican
Senate and new Republican President 2 years later. Americans at that
time were angry with a Government that cost too much and delivered too
little.
And, we did deliver on at least half the assignment we were given. We
cut taxes. We put more money in the hands and pockets of Americans.
And, we produced the longest peacetime period of economic recovery in
this Nation's history.
But, any child can understand that if you cut taxes, but do not cut
spending, you only run up the deficit. And, that is exactly what we
did.
It is not that some of us did not try to do otherwise. In fact, three
of our colleagues became household words over a deficit reduction law
that gave many Americans the impression we were cutting spending at the
same time we were cutting their taxes.
But, even before there was Gramm-Rudman-Hollings, Madam President,
there was a little known piece of legislation called Durenberger-
Gorton. It required the President to submit a balanced budget each
year, alongside his usual unbalanced budget. That would at least force
all of us--both Congress and the administration--to see the kind of
tough choices that enacting a balanced budget would require.
the dawn of a new national movement--generational equity
Unfortunately, Durenberger-Gorton was never enacted. And, even
through three or four incarnations of its more famous cousin, deficit
reduction all through the 1980's did little more than place a small
bandage on a deep wound in America's jugular. And, as life continued to
drain from America's future, my generation continued to live for today.
I saw all that happening, Madam President, at about the same time my
own four sons were enacting adulthood. So, this preoccupation with the
intergenerational injustice going on was, for me, as real as watching
my own children being handed a life that held much less promise than
the opportunities I was handed by my parents just 30 years earlier.
My personal turning point in dealing with that injustice was a speech
I gave in the spring of 1984 to graduating seniors--and their parents
and grandparents--at St. Olaf College in Northfield, MN. That speech
was about debt--personal debt, corporate debt, and national debt--and
how it represented an incredible and unfair burden being shifted from
one generation to another.
During the rest of that year, I launched a new national organization
called Americans for Generational Equity [AGE]--an organization to
educate my generation and to give some hope to the next.
Like a lot of good ideas, AGE had trouble in today's conflict-
conscious society in communicating its purpose. Much of the media
immediately saw AGE as a wedge designed to turn one generation against
another. Some interest groups representing older Americans saw AGE as a
threat to the gains their generation had made--a means to shift wealth
from one generation to another in the increasingly zero sum mentality
of the 1980's.
But, despite these obstacles, AGE did have some impact on our
understanding of the deficit and its meaning to future generations.
And, through speeches and publications and conferences, many of us saw
the same intergenerational implications of decisions we make about our
physical infrastructure, how well we take care of our environment, and
what priority we place on investments -- like prenatal care, child
immunizations, Head Start, or WIC -- that we make in our Nation's
youngest citizens.
As I prepared for what I hoped would be a real Senate debate on the
Kerrey-Brown proposal, Madam President, I reviewed some of the speeches
I gave during that period of the mid-1980's.
The only changes needed to use those speeches today are to double or
triple the size of the numbers. And, therein lies the urgency of acting
now -- not next year or in some future year -- to make the kind of real
spending cuts that we as a nation must make.
In one of those speeches--a 1986 talk my staff still calls the ``Fork
in the Road Speech''--I warned of the evils of what was then a $2.1
trillion deficit and spoke optimistically of the new Gramm-Rudman-
Hollings law that would bring the annual deficit down to zero by 1991.
I also suggested four important steps this nation must take -- beyond
Gramm-Rudman--if the goal were to ever be realized.
First, stop pointing fingers up and down Pennsylvania Avenue; stop
blaming past policies; and start aiming ourselves toward a better
government in the future.
Second, enact deeper spending cuts beyond Gramm-Rudman--including an
immediate leveling off in our extraordinary defense build-up, and
additional cuts and reforms or elimination of general government
programs.
Third, reform our entitlement programs--including additional cuts or
reforms in nonmeans-tested programs like Medicare.
And, finally, I said, there is simply no way we can get from a $220
billion deficit to zero without raising more revenue from tax reform
than the President proposes.
That advice is just as valid today, Madam President, as it was in
January 1986. And, the urgency of following that advice today is even
greater.
real reform means agreeing on national purposes
Gramm-Rudman-Hollings is not the only tool we have tried to use in
reducing the deficit, Madam President. We also tried -- and failed --
to pass a balanced budget amendment, a line-item veto, and many other
approaches designed to institutionalize greater discipline and
restraint in Federal Government spending.
And, many of us remember that dramatic evening in 1985 when the now-
Governor of California was wheeled into this Chamber to cast the
deciding vote on a truly courageous deficit reduction package I'm proud
that my party in the Senate was willing to put forward.
We lost that opportunity when the President and Speaker of the House
cut us off at the knees. And, left politically exposed, enough of my
Republican colleagues were turned out of office the next year to make a
former Federal judge from Maine the majority leader of the U.S. Senate.
One reason all these good faith efforts have failed, Madam President,
is that we have not collectively agreed on a meaningful set of national
purposes that could be used as a guide.
Also in an earlier era--during the height of the Reagan revolution--I
outlined my own guideposts for agreeing on national purposes.
``Just because potholes are a problem in every community in
America,'' I was fond of saying in those days, ``does not make `pot
hole filling' a national government responsibility.''
To decide what is, I suggested a series of guideposts that included:
The national government has the responsibility to secure
the national rights and liberties guaranteed by the
Constitution to all Americans.
The national government has the responsibility to defend
American interests and conduct foreign relations in the
community of nations.
The national government has the responsibility to promote
economic growth and regulate interstate commerce.
The national government has a responsibility where
significant savings can be realized by operating a central
program.
The national government has a responsibility where
significant benefits are realized by citizens in more than
one state.
The national government has a responsibility when national
decisions impose extraordinary costs on some states or
regions of the country.
The national government has a responsibility when
competition among the states keeps them from implementing
programs that would make all better off.
The national government has a responsibility to ease the
disparities in fiscal capacity among the states.
And, the national government has the responsibility to
provide for the income security of all Americans.
This kind of a list--used to sort out responsibilities among various
levels of government--is as needed today as it was a decade ago.
And, it is not just needed in cutting Federal spending or eliminating
national Government programs.
Having a firm sense of national purposes must also be at the heart of
any national program to reform health care, reform our Nation's welfare
system, better prepare Americans for school or work, or any number of
other proposals now on the Nation's political and legislative agenda.
let us have the courage to move forward
I believe we can design a $99 billion deficit reduction package that
is based on this proposal, Madam President. I would have preferred a
more appropriate vehicle than this bill, but I would urge my colleagues
to vote in favor of this important proposal.
I personally believe that deficit reduction is an abuse on which the
American people are way ahead of their politicians. Because of the kind
of grass roots leadership and education being done by groups like the
Concord Coalition, I believe there will be a political safety net out
there for those of us willing to take the plunge.
I have just 1 more year to make good on that opportunity, Madam
President, an opportunity I saw a decade ago and an opportunity that
our children must not let us ignore.
Let me conclude with a challenge I set down in a speech I gave to the
Minnesota Jaycees annual convention in 1985.
Dealing with generational equity, I told this group of
young men and women, will take the very patient bringing
together of grandparents and grandchildren, the facing of the
realities of what we are doing to each other in our desire to
have without paying. It doesn't mean that we've got to do
without grandfolks. It does mean that we have a plan now for
the kind of future we have an obligation to pass on to the
next generation.
These are difficult problems requiring tough solutions.
But, history tells us that the safest course at difficult
times in our lives is to tackle our problems head on. In this
nation, there are more than enough ideas, and more than
enough determined individuals like yourselves to meet these
difficult challenges.
We who have lived with these problems desperately need you,
who are unwilling to live with them, to show us the way.
We still face that difficult challenge in 1993, Madam President. And,
all of us need to be willing to pick up that challenge and to show the
way.
I yield the floor.
Mr. BAUCUS. Madam President, today we face a difficult choice. It is
a day when the wrong choice is the easy one, and the right choice is
the painful one.
The bill before us, the emergency supplemental appropriations bill
for 1994, provides aid for earthquake victims in Southern California. I
have serious questions about the way we fund and prepare for disaster
relief in general. But no one disputes that the families overwhelmed by
this disaster need the help of the Federal Government. So I will,
although with some reluctance, vote for the bill as a whole.
I will also vote for an amendment offered by Senator Kerrey of
Nebraska. The bill as is cuts $3.44 billion in previously approved
spending. Senator Kerrey's amendment will cut $7 billion in 1994 above
and beyond the existing cut, and a total of $94 billion over 5 years.
This is a tough, perhaps even drastic amendment. My support for it as
a whole does not indicate enthusiasm for each of its individual cuts.
The cuts in Public Law 480 food aid and the honey program will cause
real pain at home in Montana. Means-testing for Medicare part B will
make wealthy senior citizens pay a bit more. But the amendment spreads
the pain around the country fairly.
More important, we have a drastic problem with the Federal budget
deficit. And if we are to solve it, we need to take some drastic
measures. We all have to grit our teeth and take some pain, and Montana
is no exception.
Madam President, it is time to followup words about wasteful spending
and the budget deficits with acts that eliminate the waste and reduce
the deficit. We must each of us take responsibility for putting the
Federal Government's fiscal house in order. Each Montanan, each
American, each Senator, must take responsibility.
In the next few weeks, the Senate will consider the balanced budget
amendment to the Constitution. One of the most powerful arguments
against this proposal is that it is a gimmick. It is no substitute for
real spending cuts. The votes we cast today on the Kerrey amendment are
the real thing. It is tough, but it is right for America, and right for
Montana.
The PRESIDING OFFICER. The question now recurs on the motion to table
amendment numbered 1440.
Who yields time?
Senators Brown and Kerrey have 10 minutes, collectively; Senator
Hatfield has 5 minutes; and Senator Byrd, not to exceed 10 minutes.
If time is not used, it will be deducted proportionately.
Mr. BYRD. Madam President, I think the order called for those
speakers and the times allotted to them ad seriatim.
The PRESIDING OFFICER. The Chair has so announced.
Mr. BYRD. So the time is now being run and charged against Senators
Kerrey and Brown?
The PRESIDING OFFICER. The Senator is correct.
Mr. KERREY. Madam President, I call my colleagues' attention to the
fact that this is a good faith effort that began last year during the
budget reconciliation debate. Those of us who voted for it can now call
attention to the significant deficit reduction that has occurred since
that piece of legislation was enacted. But, we believe, those of us who
have worked on this since that time, that this is merely one more step.
I voted in 1990 for President Bush's proposal that produced the now
famous summit. I voted for President Clinton's proposal in 1993. Both
of them, in my judgment, were taking steps toward the goal of having
this Nation's fiscal account in balance.
That is where I believe we should be. It is a belief, Madam
President. And I am willing to take action, take votes that will, in
fact, bring this about.
This attempt, this motion to substitute the Hatfield substitute,
creates some confusion because what it does is it presents Members now
with a piece of legislation that has them wondering whether or not they
can vote for deep cuts in defense and then the underlying Kerrey-Brown
bipartisan amendment.
Madam President, I urge my colleagues to vote against this motion to
table. A vote against the motion to table will allow us to vote on
Kerrey-Brown up or down in a clean fashion and on the proposal of the
Senator from Oregon up or down in a clean fashion. It seems to me that
is a fair way to do it and an appropriate way to do it.
If you believe in reducing expenditures of the U.S. Federal
Government, you are going to have two solid proposals to do so. We have
a lousy mechanism that gives us the opportunity to debate in support of
things. We have alluded to it several times. We can come very quickly
to spend money, but when it comes time to spend less money, we have all
kinds of reasons why it cannot be done.
In fact, I think the debate we have heard here today illustrates why
we need to have this sort of thing. It would be very instructive to
find out how well the amendment of the Senator from Oregon would do all
by itself; how well the 11 Members who have signed onto our amendment
would do all by itself. That would be very interesting, very
informative to determine whether or not our spending priorities, in
fact, are right.
I think our spending priorities are not right. Every Member of this
body, or nearly every Member of this body, has stood at home in town
hall meetings saying we need to balance our budget. We are going to
debate a constitutional amendment that requires us to do it. That
constitutional amendment, if we are serious, requires $600 billion over
the next 5 years. This is $90 billion. We have heard that it is not $90
billion; it is $90 billion.
Even the 262,000 personnel reduction is not in law, Madam President.
It is a smokescreen.
To say that we have deluded, we have not. We have disclosed fully
what we intend to do. We are open to the possibility of adding to this.
But what we find, instead, is a confusing motion to table, in my
judgment, that should itself be rejected so that we can have a straight
up-or-down vote on Kerrey-Brown as well as a straight up-or-down vote
on the proposal offered by the Senator from Oregon.
Mr. BROWN addressed the Chair.
The PRESIDING OFFICER. The Senator from Colorado.
Mr. BROWN. Madam President, I simply want to add this statement. The
State of Colorado is a bit unusual in a way because we are blessed with
residents from all over the Nation. People from West Virginia,
Nebraska, Kansas, Iowa, and California come to Colorado. We are lucky
to have them. It is a good cross-section, in a way.
One of the things I have done over the years is hold town meetings.
In that time, I have had over 500 town meetings. There is not a single
time in any one of those 500 town meetings when we brought up the
subject of this debate, when Democrats, Republicans, Independents,
liberals or conservatives have not expressed the need to face up to
this problem.
Madam President, I have yet to find a single person in any of those
500 town meetings who was not willing to agree to a package that cut
spending and got the deficit under control. But what they demanded was
this: They wanted it fair, they wanted it balanced, and they wanted
everybody to contribute. Every single one of them were willing to do
their part.
I believe the American citizens who are watching tonight and will
watch in the future want a package that is fair and evenhanded, that
has real cuts in it, that treats people evenly and fairly.
That is what this does. It is balanced--28 percent discretionary; 37
percent management reforms; 35 percent entitlement savings. It is
balanced in the backing of it--seven Democrats and five Republicans are
the sponsors of it. It is a fair, evenhanded way to do it.
If we do not do it now, if we do not face up to it, when will we do
it? The fact is, delay is all our enemy.
I urge the adoption of the Kerrey-Brown measure. I urge a vote
against tabling that is before us at this time.
I reserve the remainder of my time.
The PRESIDING OFFICER. The Senator reserves the remainder of his
time.
The PRESIDING OFFICER. Who yields time?
Mr. KERREY. Madam President, I ask unanimous consent that Senator
Kempthorne of Idaho be added as a cosponsor of our amendment.
The PRESIDING OFFICER. Without objection, it is so ordered.
Mr. KERREY. How much time does the Senator from Colorado and I have
remaining?
The PRESIDING OFFICER. One and a half minutes remain on the time of
the Senator from Nebraska and 1\1/2\ minutes remain on the time of the
Senator from Colorado.
Mr. KERREY. I ask unanimous consent that time of the Senator from
Colorado be allocated to me.
The PRESIDING OFFICER. Is there objection?
Hearing none, the Senator is recognized for 3 minutes.
Mr. KERREY. Madam President, I am going to talk for 3 minutes. The
Senator from Virginia has asked for a minute or two. If he arrives
before my time expires, he will get that. If not, I will talk for the
time that is left.
I say again that voting against this motion to table is the right
vote. Those who want to cut defense can vote for the amendment of the
Senator from Oregon. And there are some in this body who might think
that that is an appropriate thing to do. I will vote against the
amendment of the Senator from Oregon.
There will be others who do not like certain aspects of the now 12
Members who are on the bipartisan amendment that is called Kerrey-
Brown, and they can vote against that, as well, or vote for it as they
wish.
We do not have a good procedure to bring to the floor this kind of an
amendment. As I have said on a number of occasions, it comes as a
consequence of the culmination of the rescission package in the dire
supplemental that we are even approaching the dire supplemental bill in
this fashion. But it does illustrate the difference. If we want to move
an appropriations bill very rapidly, particularly since we do not have
to pay for it, we will just deficit finance it all. It moves relatively
fast.
There was a swarm of interest last year when we funded the dire
emergency for the Midwest disaster; there is, as I understand it,
another $700 million added to the California disaster.
There is such bipartisan comradery, such ease with which we all get
together and put aside our old differences and show the great spirit
that made this country such a wonderful place to live. But when it
comes time to put an amendment together to reduce spending, there just
is not a procedure for us to do it. We find ourselves saying this is
not the right time, this is not the right way.
Madam President, this has been an eye opener for me because it allows
me to see that we have a flaw in our Budget Act, in the law that
governs the deliberation of our budget. I think we need an expedited
fashion in which to bring this sort of thing to the floor so we could
have an open debate, because in the absence of that open debate I think
we frustrate the will of the people. The close vote on Penny-Kasich
last fall and perhaps the concern about the Kerrey-Brown amendment here
indicates, in my judgment, there is likely to be a majority of people
in this body who are willing to say we are prepared to make tough
choices on entitlements, we are prepared to make tough choices on
domestic discretionary, on the size and efficiency of the Federal
Government. We are prepared to do that for the sake of what we believe
is in the best interests of our country.
Madam President, I do not believe the distinguished Senator from
Virginia is going to make it here. He is a cosponsor of this piece of
legislation. I will, on his behalf, urge my colleagues to vote against
the motion to table offered by the distinguished Senator from West
Virginia.
The PRESIDING OFFICER. The time of the Senator has expired.
Under the unanimous consent agreement, the Senator from Oregon is
recognized for 5 minutes.
Mr. HATFIELD. Madam President, very briefly, I think you would not
find a Member out of the 100-person body who would not be supportive of
the objective that has been stated so clearly by the Senator from
Nebraska, the Senator from Colorado, and their associates. But I point
out again this is not a matter of whether we want to reduce, or we are
capable of reducing the deficit. It is a matter of priorities, of where
we make the cuts. Again, I emphasize the Kerrey-Brown, et cetera,
amendment takes all of the reductions out of the nondefense
discretionary programs.
Conversely, to make my point, my amendment as a substitute takes all
of the reductions, and we get in fact to the same 5-year period, $96
billion as against $94 billion, exclusively from the defense
discretionary funds, including the exotic weapons, the B-2, Trident
submarine, aircraft carriers--all of these weapons systems that were
designed, devised as a strategy during the cold war and during the
threat of the Soviet Union.
I am suggesting that it is a matter of priority. That happens to be
my priority. There may not be another Senator in this body who would
agree to my priorities but those are as much my priorities as the
priorities that have been embodied in the Kerrey-Brown proposal.
What I am suggesting is simply we ought to update the strategy of our
defense and military weapons systems necessary to sustain that defense
under a whole new world of geopolitics. We are still spending more for
defense in our single United States budget than all of NATO--all the
NATO countries, plus Japan, put together. And, therefore, it indicates
the disproportionate share, it seems to me, of our bearing the world's
sense of defense and the world's peacekeeping activity.
So my purpose in offering this is just to illustrate that particular
difference of priority. Not in any way to demean or to denigrate the
pending amendment that I provided my amendment as a substitute to, but
merely to say it happens to be a set of priorities different than the
ones that we heard first proposed.
Madam President, I am going to vote for the Byrd proposal of tabling
the entire package, if you want to call it that. Then I think we have
learned a great deal from this debate and we should go back to the
drafting board and perhaps build a consensus a little broader than
excluding all military reductions in order to reduce the deficit.
The PRESIDING OFFICER. Does the Senator yield time?
Mr. HATFIELD. Madam President, I yield to the Senator from West
Virginia the remainder of my time.
The PRESIDING OFFICER. The Senator from West Virginia is recognized.
Mr. BYRD. I thank the distinguished Senator.
Madam President, we have two amendments now pending: The underlying
amendment by Mr. Kerrey and Mr. Brown and other Senators, and the
amendment in the second degree, the substitute, offered by the
distinguished Senator from Oregon, [Mr. Hatfield].
It is my understanding my motion to table, which has already been
made, will be directed to the underlying amendment and that will carry
with it, if the tabling motion is successful, the amendment in the
second degree, also.
I yield 4 minutes to the distinguished Senator from Georgia.
Mr. NUNN. Madam President, I thank the distinguished Senator from
West Virginia.
I heard the Senator from Oregon say this Kerrey amendment does not
cut defense. He and I are on the same side of this. I plan to vote to
table. But I have a different perception. Because it is my
understanding--maybe I do not understand the Kerrey amendment
correctly--but it is my understanding it takes a very large amount out
of personnel and those personnel cuts have already been taken in the
defense bill. So, again, I may be under a misimpression here. But it
seems to me that a very large part of the Kerrey amendment is a double
counting of cuts that have already been made.
I am not sure where that unwinds. But this really is the third time
we have spent the same money. And in terms of savings, we took the
personnel cuts last year that were anticipated in defense and we said
we were paying for the crime bill with those cuts. That bill has passed
the Senate. It has not passed the House. I do not know how that is
going to be reconciled. I think the President addresses that in his
budget.
The second time these savings are being made on the personnel--and 70
percent of the civilian personnel cuts are in the defense budget--is in
the President's budget. Those reductions are being made in the
President's budget. So this is the third time that I know of we are
doing the same thing; we are cutting the same people. You do not save
the money but one time, but we are claiming it three times.
If I understand also what the chairman of the Appropriations
Committee has said--again, I defer to him on this one--but he has also
said another big hunk of this savings comes out of overhead. Yet the
overhead cuts in this Kerrey amendment, if I understand what the
Senator said correctly, are not as much as the overhead cuts, the same
overhead cuts that are taken out of the President's budget.
So the way I read this amendment, one half--if you count the military
personnel cuts and the overhead cuts--one half of the total 5-year
savings that are claimed here have already been done either by the
President's budget or in the overall defense budget.
So as much as I would like to join my friend from Nebraska in this
kind of effort, and I do think there are enough votes building here to
come up with some overall approach, I would have to oppose the
amendment at this point in time, based on my understanding of what it
does. We cannot cut personnel but one time. We cannot count them but
one time. We are drawing down the defense budget in a very large way.
We have reduced the defense budget every year since 1985. We now have
cut about one-third out of the defense budget. The President's program
calls for, over the next 2 or 3 years, getting that up to about 40
percent--1985 versus 1990, the late 1990's. So we are making
significant cuts in the defense budget. But I think most people in this
body do not want to see the defense budget just ripped apart, leaving
us in the same position we have been in after every war, which in
effect leads to the next vacuum in the world, which leads either to
bloodshed or to the rebuilding of defense, with precious resources
wasted.
So, Madam President, I thank the Senator for yielding. I would like
to at some point join with my friend from Nebraska in taking an overall
approach that would be balanced. But on this particular one, based on
what I know of the amendment now, I cannot support it.
Mr. BYRD. Madam President, I thank the distinguished Senator from
Georgia, Mr. Nunn.
How much time do I have remaining?
The PRESIDING OFFICER. The Senator has 7 minutes and 44 seconds
remaining.
Mr. BYRD. I thank the Chair.
Madam President, as I pointed out earlier in my opposition to this
amendment, a large amount of the claimed saving simply does not exist;
$26.7 billion claimed as savings from cuts in the Federal work force
have already been used in the Senate-passed crime bill to establish a
Violent Crime Trust Fund. The vote on establishing that trust fund,
which will be used to fully fund the crime bill, was 94 to 4. Moreover,
the $21 billion claimed as a result of freezing Federal overhead costs
for 2 years, and then allowing overhead costs to grow by the rate of
inflation for the next 3 years, will not occur.
This is because the President, by Executive order, has already cut
Federal overhead spending for each of the next 5 years.
Furthermore, the $30 billion claimed in the amendment from reforms in
Medicare shall not be used now for deficit reduction purposes. All
pending health care reform measures would use such savings in order to
help finance improved health care for all Americans.
It follows that the overwhelming percentage of savings claimed by
this amendment simply do not exist. Senators should be aware that if
this amendment is adopted--and I hope Senators will listen--Senators
should be aware that if this amendment is adopted, the conference on
this bill will take days, if not weeks, to complete--I hope that
Senators will pay close attention to that--take days, this conference
will, if not weeks. Why? Because virtually every Senate and House
committee will have to be directly involved in the conference,
authorizing committees in addition to the appropriations committees.
This amendment makes changes under the jurisdiction of committees
throughout the House and Senate. It makes changes under the
jurisdiction of the Finance Committee, the Agriculture Committee, the
Labor Committee, the Armed Services Committee, the Governmental Affairs
Committee, the Veterans' Affairs Committee, as well. Each of these
committees would want to have their input in the conference, and they
ought to, on the issues in their jurisdictions, which are of a
nonappropriations nature.
Now the House takes the position--and I honor that position--that in
conference, the House conferees will not sit down with conferees on
appropriations if conferees from authorizing committees are included. I
share that feeling, but that would be most unfair to the authorizing
committees--most unfair--if they were excluded. Each of these
committees would want to have their input on the issues in their
jurisdictions, which are of a non-appropriation nature.
I urge my colleagues not to adopt this amendment. We are sowing the
dragon's teeth if we do so.
Now, hear me, hear me, a letter addressed to Robert C. Byrd, February
9, today, from AARP:
Dear Senator Byrd: Older Americans support deficit
reduction----
And, parenthetically, I do, too, and I am an older American as well.
Provided that the sacrifices called for are fair. The Kerrey
amendment is not fair.
My friend from Nebraska talked to me and talked to the Senate earlier
about fairness; talked about fairness in the use of the Senate rules.
Well, AARP in this letter addressed to me says:
The Kerrey amendment is not fair. It singles out older
Americans for particular pain and adds insult to the injury
inflicted on older Americans in the 1993 budget by the $56
billion in Medicare cuts. Under the Kerrey amendment, nearly
one-third of the proposed savings come at the expense of
older Americans. No other group is asked to bear such a
disproportionate burden of deficit reduction. The plan metes
out particular pain to those who are the most ill by
increasing out-of-pocket costs for home health and laboratory
services.
Worse yet, this amendment comes at a time when millions of
Californians are awaiting disaster relief from the recent
earthquake. Holding victims of the earthquake hostage in
order to move a political agenda is truly a return to the
worst gridlock that Washington has to offer. As a result,
AARP strongly opposes the Kerrey amendment.
Let us be clear about what the Kerrey plan would do to
near-poor older Americans. Those who use Medicare home health
services would have to pay $425 more out of pocket for
coinsurance, on average, in 1994; those age 85 and older,
primarily women, would have to pay $560 more. In effect, the
Kerrey proposal for a 10 percent coinsurance on home health
services is a new ``sick tax'' on the elderly and disabled.
In addition, the Kerrey proposal would income-relate the
Medicare part B premium. Such action does nothing to control
spiraling health care costs, but simply shifts these costs on
to Medicare beneficiaries. Moreover, the proposal is also
unfair in that it treats beneficiaries receiving health care
through Medicare differently from nonbeneficiaries at the
same income levels. Non-Medicare higher-income Americans will
continue to receive significant Government subsidies through
their employers for their health care benefits, since their
benefits remain fully tax deductible for their employers and
do not count as taxable income for employees.
If Congress wants to impose income-related restrictions on
tax subsidized health benefits, then it should do so across
the board for everyone whose health care benefits are
supported by the taxpayers. In short, if income-related
health care for the elderly is a good idea, then it is a good
idea for the rest of society.
As you will recall, we have been down this road before, but
at least the Medicare Catastrophic Coverage Act included new
benefits. The Kerrey amendment does not and the reaction from
seniors will surely reflect this.
For over a decade, we have tried to control rising deficits
by cutting Medicare spending. This has proven to be a
profoundly unsuccessful strategy because it fails to address
the root causes of escalating health care costs that are
driving the deficit. Moreover, it has resulted in more cost-
shifting to the private sector. Only comprehensive health
care reform that addresses health care costs on a systemwide
basis can achieve real and sustainable deficit reduction. The
Kerrey plan will not only fail to achieve real long-term
sustainable deficit reduction but will also jeopardize the
best chance we have to get real long-term deficit reduction
through comprehensive reform of our health care system.
AARP urges you to oppose the Kerrey amendment. If you have
any questions, or if we can be of further assistance, please
call me or ask your staff to call our Federal Affairs
Department at (202) 434-3760. Sincerely, Horace B. Deets.
Well, there is the record from AARP and it opposes the amendment by
Mr. Kerrey.
Finally, Madam President--I hope all Senators will listen to this
because it is going to affect all Senators--it is my understanding that
without additional funds, FEMA will be forced to suspend work on all
non-people-related projects throughout the Nation--not just in
California, but also throughout the Nation--in order to concentrate
their remaining funds on the people-related needs of those affected by
the earthquake.
Madam President, it is my understanding that the grants process for
reconstruction and repair of the highways affected by the earthquake
will cease if this bill is not enacted into law by the end of this
week.
Furthermore, it is not just California. There is nearly $1 billion in
here for Midwest flood victims--Midwest flood victims.
Madam President, I ask for order in the Senate.
The PRESIDING OFFICER. The Senate is not in order. The Senator has
just 10 seconds remaining.
Mr. BYRD. I ask that the time to secure order not come out of my
time.
The PRESIDING OFFICER. That is the regular order. The Senate will be
in order.
Mr. BYRD. I thank the Chair. Madam President, I hope that Senators
will vote for my motion to table the amendment. This bill needs to go
to conference fast--tonight or tomorrow. I ask for the yeas and nays on
the motion to table.
The PRESIDING OFFICER. Is there a sufficient second?
There is a sufficient second.
The yeas and nays were ordered.
The PRESIDING OFFICER. All time has expired.
Mr. KERREY addressed the Chair.
The PRESIDING OFFICER. The Senator from Nebraska.
Mr. KERREY. Madam President, I wonder if the distinguished President
pro tempore will give me 60 seconds to make one last statement.
Mr. BYRD. Madam President, I do not have any time left, do I? But I
ask unanimous consent----
The PRESIDING OFFICER. All time has expired.
Mr. BYRD. I ask unanimous consent that the Senator from Nebraska may
have 1 minute.
The PRESIDING OFFICER. Without objection, it is so ordered.
Mr. KERREY. Madam President, I merely say to my colleagues who are
deciding to vote, I think their concerns about the supplemental are
appropriate.
The distinguished Senator from Georgia raised concern about double
counting. We have declared and disclosed the possibility of that double
counting. Since nothing has been enacted, we include it. It was
disclosed all the way along that if the crime bill is enacted, we will
allow that money to go to it. We have made no intent to double count.
I urge my colleagues to listen to what the distinguished President
pro tempore said both in the beginning and the end. In the beginning,
there is nothing to this amendment, and in the end, there is so much
that we are standing here with a letter from AARP saying vote against
it.
It is a tough amendment. It requires us to have the courage, in my
judgment, to finally say no to some people in order to get not only
health care costs under control but get our deficit under control.
The PRESIDING OFFICER. All time has expired. The question is on
agreeing to the motion of the Senator from West Virginia [Mr. Byrd], to
lay on the table amendment No. 1440, offered by the Senator from
Nebraska [Mr. Kerrey].
The yeas and nays have been ordered. The clerk will call the roll.
The bill clerk called the roll.
Mr. FORD. I announce that the Senator from New Jersey [Mr. Bradley]
is necessarily absent.
I also announce that the Senator from Maryland [Ms. Mikulski] is
absent because of illness.
I further announce that, if present and voting, the Senator from
Maryland [Ms. Mikulski] would vote ``aye.''
Mr. SIMPSON. I announce that the Senator from Texas [Mr. Gramm] and
the Senator from Texas [Mrs. Hutchison] are necessarily absent.
The result was announced--yeas 65, nays 31, as follows:
[Rollcall Vote No. 35 Leg.]
YEAS--65
Akaka
Bennett
Biden
Bingaman
Bond
Boxer
Breaux
Bryan
Bumpers
Burns
Byrd
Campbell
Coats
Cochran
Conrad
D'Amato
Daschle
Dodd
Dole
Domenici
Dorgan
Feinstein
Ford
Glenn
Gorton
Harkin
Hatch
Hatfield
Heflin
Helms
Hollings
Inouye
Jeffords
Johnston
Kennedy
Kerry
Leahy
Levin
Lott
Lugar
Mathews
McConnell
Metzenbaum
Mitchell
Moseley-Braun
Moynihan
Murkowski
Murray
Nunn
Pell
Pressler
Pryor
Reid
Riegle
Rockefeller
Roth
Sarbanes
Sasser
Shelby
Stevens
Thurmond
Wallop
Warner
Wellstone
Wofford
NAYS--31
Baucus
Boren
Brown
Chafee
Cohen
Coverdell
Craig
Danforth
DeConcini
Durenberger
Exon
Faircloth
Feingold
Graham
Grassley
Gregg
Kassebaum
Kempthorne
Kerrey
Kohl
Lautenberg
Lieberman
Mack
McCain
Nickles
Packwood
Robb
Simon
Simpson
Smith
Specter
NOT VOTING--4
Bradley
Gramm
Hutchison
Mikulski
Mr. HATFIELD. Mr. President, I move to reconsider the vote by which
the motion to lay on the table was agreed to.
Mr. BYRD. I move to lay that motion on the table.
The motion to lay on the table was agreed to.
____________________