[Congressional Record Volume 147, Number 6 (Saturday, January 20, 2001)]
[Senate]
[Pages S65-S66]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]



                       NOMINATION OF PAUL O'NEILL

  Mr. GRASSLEY. Mr. President, I rise to comment on the Senate's 
procedure for consideration of the nomination of Paul O'Neill for 
Secretary of the Treasury. Under regular order, the nomination for 
Secretary of the Treasury, which is under the jurisdiction of the 
Senate Finance Committee would be considered by the committee after 
referral to the committee. The process usually involves a hearing and a 
vote on the nomination. In this case, a hearing in anticipation of the 
nomination was held. The nomination, however, was not fully considered 
by the committee. The committee agreed to be discharged only because of 
highly unusual circumstance. The circumstances arise from the fact that 
all Senate committees, including the Finance Committee, are not yet 
composed and organized. Moreover, the Secretary of the Treasury is a 
critical Cabinet position and expeditious consideration of the 
nomination is in the best interests of the Nation.
  Mr. President, I want to make it clear that the Finance Committee 
will insist on its jurisdictional prerogatives. This nomination 
presents a highly unusual and compelling procedural exception.
  Mr. BAUCUS. Mr. President, I rise today to enthusiastically support 
the nomination of Mr. Paul Henry O'Neill to be the 72d Secretary of the 
Treasury. Mr. O'Neill is no stranger to policymaking, having served a 
number of years at the Office of Management and Budget. He has 
impressive credentials, both in and out of government, and an 
unchallenged reputation for hard work, straight talk and tough-
mindedness. He is an extremely strong candidate and a very able 
individual.
  I am also pleased that the Senate will vote today to confirm his 
nomination. I believe it is important for our country to have a 
Treasury Secretary in place as the new administration takes over. The 
next administration will inherit the strongest economy in a generation, 
and the Treasury Department will face extraordinary challenges in 
keeping the economy going. Eight years ago, the nation's economic 
growth was low, interest rates and unemployment were high, and Federal 
budget deficit and national debt was growing at an unfathomable rate.
  Today, we have experienced the longest economic expansion in history, 
with record low unemployment, low interest rates, higher family 
incomes, and record budget surpluses. Inflation is in check, and we are 
beginning to pay down the national debt--something I know Mr. O'Neill 
has advocated. Putting the nation's fiscal house in order didn't happen 
overnight. Nor did it happen by chance--tough decisions were made and 
difficult votes taken.
  In light of this, I am concerned about how we handle the upcoming 
debate about the budget and taxes. We should proceed carefully, and 
make certain that our decisions do not put in jeopardy the 
accomplishments made over the past 8 years. In any event, with Mr. 
O'Neill, the President and the country have found the right person for 
the job. Mr. O'Neill has my support, and he has my vote. I look forward 
to working with Secretary O'Neill, and the new administration, to 
address the many challenges that lie ahead.
  Mr. DOMENICI. Mr. President, the American economy has changed 
dramatically in the past decade. International economic policy now has 
a direct effect on our domestic economy. The information age has 
transformed America's economic future. Budget surpluses now suggest the 
very real possibility of paying down the national debt. This new 
economy requires a new kind of Treasury secretary. It requires someone 
who is experienced and knowledgeable in both the domestic and the 
international marketplace. It requires someone who has demonstrated 
exemplary leadership in both government and private enterprise. 
Experience and leadership Paul O'Neill will bring these vital skills to 
the Department of Treasury.
  Paul O'Neill's outstanding career in both the public and private 
sectors has clearly demonstrated his ability to serve as our Nation's 
next Treasury Secretary. In 1967, he stated as a policy analyst for the 
Office of Management and Budget. However, his skill and intelligence 
were quickly noted by OMB Director George Shultz, who promoted him to 
serve as Associate Director with responsibility for social programs. At 
OMB, Paul O'Neill gained a reputation for his sharp analysis and his 
keen understanding of a wide variety of issues. In fact, he displayed 
such strong leadership and gained such respect from both parties that 
in 1976, President Jimmy Carter asked him to serve as his Deputy 
Treasury Secretary. However, Paul O'Neill decided to continue his 
career in the private sector. He went to work for the International 
Paper Company, a global paper corporation, of which he eventually 
became President. In 1987, he became the chairman and chief executive 
of the Alcoa Corporation, where he has worked since.
  Paul O'Neill's service to Alcoa is a shining symbol of his 
outstanding abilities. His vision and hard work transformed the 
troubled industrial company into a profitable international enterprise. 
As chief executive, he embraced new technologies and gave Alcoa the 
ability to prosper in the new economy, even as the national aluminum 
industry was facing economic troubles. Most importantly, Paul O'Neill 
demonstrated his leadership at Alcoa by garnering the respect and trust 
of his employees. In fact, the President of the Untied Steelworkers of 
America praised his nomination and called him ``a man you can trust and 
believe.'' I am certain that his integrity and leadership will earn 
Paul O'Neill the trust of the American people and of the world's 
economic leaders.
  In recent years, Paul O'Neill dedicated his time to leading several 
commissions on improving health care, education, and the local 
government of his hometown, Pittsburgh. Our nation

[[Page S66]]

will be fortunate to have a Treasury Secretary with such board and 
varied expertise, and these experiences will prove vital in leading a 
progressively diverse economy. I believe that Paul O'Neill will be an 
exemplary Treasury Secretary. He has already spoken of his dedication 
to paying down our national debt, fundamentally reforming the tax code, 
and ensuring that America's industries can compete in the new global 
economy. I am certain that his experience and leadership will be great 
assets in achieving these important goals.
  Mr. President, it is my great honor to support Paul O'Neill to head 
the Department of the Treasury.
  Mr. DODD. Mr. President, I would like to take a few brief moments to 
comment on the nomination of Paul O'Neill to be the Treasury Secretary 
of the United States. I first want to commend President Bush on 
choosing such a highly qualified candidate to take over the many 
responsibilities demanded of the United States Treasury Secretary. I 
fully support Mr. O'Neill's nomination, and I look forward to working 
with him in the new administration.
  Mr. O'Neill brings to the position of Treasury Secretary a broad 
range of experience both in the public and private sector. He began his 
career as an engineer with Morrison-Knudsen, Inc. in Anchorage, Alaska 
and then went on to serve as Deputy Director of the Office of 
Management and Budget under the Ford administration. In 1977, Mr. 
O'Neill became the vice president of International Paper and in 1985 
assumed the position of President. This path ultimately led him to 
aluminum giant Alcoa where, as chairman, he has been credited with the 
company's revival in the face of the industry's struggles nationwide. 
Based on his past accomplishments, I believe Mr. O'Neill will bring 
valuable insights to the critically important post to which he has been 
nominated.
  I noted with interest Mr. O'Neill's comments during his confirmation 
hearing about the role tax cuts should play in our economy, namely, 
that they are not the sole means by which to stimulate a slowing 
economy. This is an important cautionary note that we all should heed 
as we move forward on the issue of tax cuts. While I support tax relief 
and reform, I also believe that our Nation's tax policy should be 
guided by three main principals. First, it should be fair. Those who 
need tax relief the most should receive the most relief. Second, any 
tax reform must be consistent with our commitment to maintain a 
balanced budget and reduce our national debt. In my opinion, this is 
the best gift we can give to future generations of Americans. And 
finally, we must leave room to meet our existing obligations, like 
defense, education, law enforcement, Medicare, and Social Security, as 
well as the new challenges that most certainly lie ahead.
  The goal of this new Congress and administration must be to maintain 
and build upon the prosperity achieved over the past eight years. We 
now have the lowest unemployment rate in 30 years. The national poverty 
rate is at its lowest mark in 20 years. The economy has created 22 
million new jobs since 1993. We have moved from record deficits to 
record surpluses. And October 2000 marked this country's 115th 
consecutive month of economic expansion--the longest period of economic 
growth in our nation's history. Our future policy decisions should 
reflect a commitment to foster this progress and growth in the coming 
years.
  And while Mr. O'Neill will be inheriting a strong economy, there 
still remain a number of challenges that I believe will deserve special 
attention so as to keep our economy moving in a positive direction. One 
of the most critical tasks to be faced is the aging of America, and 
specifically, the stability of Social Security. As new levels of demand 
are placed on Social Security, we must look to reasonable and balanced 
proposals that will ensure a financially secure foundation for current 
and future retirees.
  We must also strive to maintain the United States position as a trade 
leader in an ever-increasing global marketplace. It is in our best 
long-term economic interests to remain an active trading partner with 
our allies and to be open to the opportunities that exist in emerging 
markets. At the same time, we must remain aware of the needs and job 
security of American workers and the goods they produce. Furthermore, 
emphasis should be placed on maintaining the competitiveness of our 
financial institutions.
  And one of the biggest challenges will be how to expand our nation's 
prosperity to more Americans--Americans who have yet to reap the 
benefits of our dynamic economy and who strive to achieve more 
financial security for themselves and their families.
  In closing, I once again wish to express my support for Mr. O'Neill's 
nomination. He has presented himself as a fair and honest candidate who 
has expressed a willingness to work with all Members of Congress on our 
nation's most important priorities. I remain hopeful that we will be 
able to do so, and urge my colleagues to support this nominee.

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