[Congressional Record Volume 148, Number 83 (Thursday, June 20, 2002)]
[House]
[Pages H3770-H3771]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                              {time}  1830
             GOVERNMENT UNABLE TO ACCOUNT FOR $17.3 BILLION

  The SPEAKER pro tempore (Mr. Grucci). Under the Speaker's announced 
policy of January 3, 2001, the gentleman from North Carolina (Mr. 
Jones) is recognized for 60 minutes.
  Mr. JONES of North Carolina. Mr. Speaker, I will not take the full 
hour that has been allotted to me. I will only take 5 or 6 minutes. I 
came to the floor of the House because 2 weeks ago I had been listening 
to a radio talk show host in North Carolina. It was actually Jerry Agar 
at WPTF in Raleigh. He was talking about the fact that he just could 
not believe a New York Post article that said that the Federal 
Government had lost $17.3 billion.
  I was just really outraged at the time. I took my car phone and 
called my office and I said, ``Please check this New York Post article. 
Let's verify what Mr. Agar was saying.'' Sure enough, what we found 
out, the New York Post, and not only the Post but also the London Times 
had both written articles to the fact that based on the Department of 
Treasury-released report, the 2001 financial report of the United 
States Government, the report, on page 110, revealed that the Federal 
Government has unreconciled transactions totaling $17.3 billion for 
fiscal year 2001.
  Mr. Speaker, I am one of many on both sides of the political aisle 
that just really thinks this is unacceptable and outrageous that the 
hard-working American people who pay their taxes and think that we are 
the public guardian of the American people's taxes, yet the government 
cannot account for $17.3 billion.
  On June 6, I wrote a letter to Secretary Paul O'Neill. The last 
paragraph says, ``Mr. Secretary, I believe someone must answer to the 
American people for this loss of tax dollars, and I look forward to 
your answer regarding these unreconciled transactions.'' I, quite 
frankly, hope that by the time we return after the July 4 break, which 
will be in about 1 week, or 8 days, and we are out for about 6 days, 
that when we come back, that I will have an answer from Secretary 
O'Neill as to where the taxpayers' money totaling $17.3 billion has 
gone. If not, then I intend to write the Budget chairman and also the 
oversight chairman on the Government Operations and ask them to please 
make an inquiry in behalf of the taxpayers of America.
  There are a multitude of reasons why I am alarmed by the fact that 
this has been lost, again primarily because it is the taxpayers' money. 
We all know that this is a tight budget year. We have a war on 
terrorism that is costing about $1.8 billion a month. We must fight 
that war and win that war for the American people, and certainly we 
must be very frugal and wise with the taxpayers' money, and certainly 
must account to the taxpayer every dollar and every dime that we spend. 
That is one reason that I am really pushing hard for the Secretary of 
Treasury to give me an answer to where this $17.3 billion has gone, 
because, quite frankly, we have an obligation to the taxpayer, and we 
have an obligation as Members of the House of Representatives to make 
sure that we can answer the questions of our constituents about a 
multitude of issues, and certainly as to where $17.3 billion has gone.
  I use for an example that I have put in a bill, H.R. 3973, that many 
of my colleagues, both Democrat and Republican, have signed this bill 
that would help ensure that when a military person is killed, whether 
it be accidental or it should be in wartime, that the Congress years 
ago decided that the family should get what is called a death gratuity. 
Initially it started off at about $3,000. In 1986, the Congress decided 
to add 3- to the 3-, which would make it 6-. But on the second $3,000, 
the bill was not sent to Ways and Means, so, therefore, there is a tax 
on the second 3- of the $6,000 death gratuity that is given to the 
family of a man or woman in the military.
  I am just incensed that there would be any tax on this death 
gratuity, so I have put a bill in, and again I have got very strong 
bipartisan support, to eliminate this tax so that when the family 
receives the death gratuity from the United States Government, there 
would be no tax to the family.
  I use that for an example because, Mr. Speaker, to eliminate this tax 
over a 10-year period would only cost $8 million, that is over 10 
years, to make sure that the family of the military person that has 
been killed would not pay a tax on it.
  Then I come back to the fact that we have lost $17.3 billion. My 
point is to say that I intend to come to this floor at least once a 
week, and maybe more often than that, to say to Secretary O'Neill, we 
need as a Congress, not just Congressman Walter Jones, but we as a 
Congress, we need an answer so that we can say to our constituents who 
are

[[Page H3771]]

paying these taxes that we want to know where $17.3 billion has gone.
  I have just a couple of more points, and then I will yield back my 
time. I am one of many, both Republican and Democrats, who work here 
very hard. We heard, the hour before my time, in talking about housing. 
There are just a lot of responsibilities that we do have to the 
taxpayers of this country to make sure that the government does operate 
in a very efficient manner, and where we can be of assistance to the 
people throughout this country, we certainly need to meet that 
obligation. Again, the May 2002 report from the Department of Treasury, 
2001 financial report of the United States Government, anybody that 
might be listening tonight or anybody that would like to check can go 
on the Internet and look up that document, 2001 financial report of the 
United States Government, look on page 110. And I am going to repeat it 
again, the Federal Government has, and I quote, unreconciled 
transactions totaling $17.3 billion.
  Just a quick example. According to the London Times, $17.3 billion is 
enough to buy a fleet of B-2 bombers with spare change for fuel. $17.3 
billion is the equivalent of two aircraft carriers and two air wings. 
We all know that if this money, if it had just been $200 that might 
have been lost by a company, the company president would have 
immediately called the CPA and said, ``Come in here and check the books 
of this company. I don't know where we have lost this money.'' Then if 
he could not find it, he might even call the local police and ask them 
to come in to help investigate.
  I want to say again that I am certain that Secretary O'Neill will 
answer my letter and give me an explanation so I can say to the 
taxpayers of the Third District of North Carolina as well as the 
taxpayers of America that we know where this $17.3 billion has gone.
  Mr. Speaker, again, I want to thank you for this time and just to say 
that I will promise the people of the Third District of North Carolina 
and the people of America that I will work with my colleagues on both 
sides of the political aisle and make sure that we get an explanation 
as to where the $17.3 billion has gone; that we appreciate the hard-
working people of America, and we want to make sure that even though we 
have many contentious and heated debates, and that is the way it should 
be, this is a Republic, it is a democratic country, and we have a right 
to disagree, but when it really comes down to trying to protect the 
taxpayers' money, we work together in a bipartisan way.
  Therefore, if I have not gotten an answer when we come back after 
July 4, I will be asking the committees of jurisdiction to please 
request that Secretary O'Neill comes before the committee and explains 
where this $17.3 billion has gone.
  I conclude tonight, Mr. Speaker, because I have three military bases 
in my district, Camp Lejeune Marine Base, Cherry Point Marine Station 
and Seymore Johnson Air Force Base.
  I certainly want to close by asking God to please bless our men and 
women in uniform and their families. We are very fortunate to have the 
dedicated men and women in uniform as well as their families.

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