[Congressional Record Volume 151, Number 112 (Friday, September 9, 2005)]
[Senate]
[Pages S9887-S9888]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




 MAKING APPROPRIATIONS FOR SCIENCE, THE DEPARTMENTS OF STATE, JUSTICE, 
   AND COMMERCE, AND RELATED AGENCIES FOR FISCAL YEAR 2006--CONTINUED

  Mr. LIEBERMAN. Mr. President, I ask unanimous consent that we return 
to the pending matter and that the pending amendments be set aside so I 
may introduce another amendment.
  The PRESIDING OFFICER. Without objection, it is so ordered.


                           Amendment No. 1678

  (Purpose: To provide financial relief for individuals and entities 
                     affected by Hurricane Katrina)

  Mr. LIEBERMAN. Mr. President, I have an amendment which I send to the 
desk.
  The PRESIDING OFFICER. The clerk will report the amendment.
  The legislative clerk read as follows:

       The Senator from Connecticut [Mr. Lieberman] proposes an 
     amendment numbered 1678.

  Mr. LIEBERMAN. I ask unanimous consent the reading of the amendment 
be dispensed with.
  The PRESIDING OFFICER. Without objection, it is so ordered.
  (The amendment is printed in today's Record under ``Text of 
Amendments.'')
  Mr. LIEBERMAN. Mr. President, this amendment is an attempt to make 
sure, to the best of our ability, that people, families, individuals 
already devastated personally, psychologically, and physically by 
Hurricane Katrina are not lastingly devastated financially as well.
  Where hundreds of thousands of people were forced out of their homes, 
forced out of their neighborhoods, forced out of their communities, 
forced out of work, our Government, it seems to me, must do everything 
it can to help them rebuild their lives from whatever they can salvage 
from this enormously powerful and destructive storm.
  This amendment that I propose this morning is based on title IV of 
the Katrina Emergency Relief Act of 2005, which has been introduced by 
my colleagues Senator Reid of Nevada and Senator Landrieu of Louisiana.
  This amendment has seven main provisions, all of which are aimed at 
enabling the Federal Government to extend a hand--not a handout--to the 
people who have been so shaken from their normal lives by this storm 
and give them the help to rebuild those lives in the best tradition of 
American community responsibility for one another, and individual 
opportunities.
  There are seven parts. Let me quickly enumerate them.
  First, this amendment will waive the caps and cost sharing under the 
Stanford Act, Individuals and Household

[[Page S9888]]

Program, that provides aid to those whose needs cannot be met through 
insurance or other assistance. Presently, these grants may not exceed 
$26,200 per individual or household. This provision would waive those 
caps on home repair, rent, temporary housing, or home replacement.
  ``Other Needs'' assistance under this IHP, so-called Individuals and 
Households Program, also addresses medical, dental, and even funeral 
expenses. The States are required to provide 25 percent of the amount 
provided for some of these grants. Given the overwhelming nature of 
this episode and the terrible financial impact on the States, this 
provision would also waive the State contribution.
  This is an opportunity to take care of some basic human needs, get 
some help for dental, medical, funeral, and household needs.
  Second, this amendment will temporarily reinstate the Mortgage and 
Rental Payments Program, or coverage for rental or mortgage payments 
for those in danger of defaulting on their mortgage and losing their 
homes resulting from the financial hardship resulting from the 
disaster. The program had been eliminated in the Disaster Mitigation 
Act of 2000 because FEMA said the program was difficult to administer. 
But it was revived after September 11, with good cause, and it should 
be revived again with, unfortunately, a similarly good cause in the 
wake of Katrina.
  Three, the amendment calls for a 6-month moratorium on the imposition 
of any penalties or additional accrued interest for people whose lives 
have been shaken by Hurricane Katrina and who fail to make timely 
payments for student loans, Small Business loans, or other loans made, 
subsidized, or guaranteed by the Federal Government. This will allow a 
breather for these people whose lives have been totally altered, 
removed from their homes, from their workplaces, their neighborhoods, 
and it will give them a 6-month breather on any penalties or accrued 
interest if they can't make payments for that period of time. This 
amendment also authorizes the President to extend that moratorium for 
an additional 6 months.
  Four, this amendment eases bankruptcy provisions that otherwise are 
scheduled to take effect about a month and a half from now. History 
shows that bankruptcies often double in the wake of a disaster. This 
easing will go simply to people affected by Hurricane Katrina in the 
three Gulf States that were hit. Without this provision, many families 
hurt by this hurricane could wind up without access--not just hurt but 
devastated financially--to the bankruptcy laws under the new law.
  Fifth, this amendment would extend and expand benefits under the 
Disaster Unemployment Assistance Program. It would extend the 
application period from 30 to 90 days. I know the Department of Labor 
and State officials are trying very hard to tell people they have a 
right to apply for this special form of unemployment assistance, to get 
some money coming in to support their families. There is a 30-day 
period because everybody is spread so far apart. Normally in a 
disaster, the disaster occurs and people go back basically to where 
they were. Now they are spread all over the country. This would extend 
the application period from 30 to 90 days.
  In addition, it would expand the program to include individuals 
eligible for State unemployment insurance and those who suffer from the 
secondary economic effects of the disaster.
  Finally, it would extend the duration of benefits for victims who 
otherwise qualify from 26 to 52 weeks and create an enhanced minium 
benefit level.
  We have been reading stories that an amazing number of the people who 
were dislocated by Hurricane Katrina and now are in other States are 
already out looking for work and finding it. This is for the people who 
haven't been able to find it, and it will give them some assistance for 
their families.
  Estimates suggest that as many as a half million workers will be left 
jobless by Hurricane Katrina, and that unemployment may soar to 25 
percent or more in some of the regions affected as a result. The 
families, therefore, will desperately need this extended lifeline this 
amendment will provide.

  Six, the amendment would suspend the tax and penalties on withdrawals 
from qualified retirement plans so that those who have suffered losses 
as a result of Hurricane Katrina can use money that otherwise would be 
in their retirement plans and for which they would be penalized for 
early withdrawal. They can now rebuild their lives and not suffer 
adverse tax consequences. Individuals who access funds in these 
accounts would have 5 years to repay the money to the account.
  In addition, the amendment calls on the Secretary of the Treasury to 
suspend tax payment, return filing, and other time-limited actions 
required of taxpayers for a period of not less than 6 months. In other 
words, it would give these people not a free pass but a little bit of 
space before they have to go back to fulfilling all the obligations 
required, without diminishing those obligations.
  I know by administrative action the Treasury Secretary has already 
said for people in these areas who would be paying estimated tax 
payments--I believe on September 15--they will not have to pay until 
the end of October.
  Seven, we must feed the victims. It is as elemental as that.
  We all saw the devastation this hurricane wreaked in terms of 
displaced families, destroyed livelihoods, and flooded homes. We also 
know how it affected the fundamental need for water and food. Across 
Connecticut and across America, I am sure the power of this act of 
nature was stunning. Of course, loss of life filled us with grief. But 
what really angered and in some sense embarrassed a lot of people 
across this country was to see our fellow human beings and fellow 
Americans trapped by this disaster without adequate access to food or 
water.
  This amendment provides additional funding to purchase and distribute 
food and temporarily suspend food stamp requirements that, frankly, 
don't make sense in the wake of this disaster. I am thinking of a 
requirement that says a victim has to show proof that his or her car 
was worth less than $4,600. It is probably hard for a lot of people who 
would otherwise qualify for food stamps to be able to make that 
showing. We ought to suspend it.
  Those are the seven parts of this proposal in this amendment. When 
all is said and done, the first step in rebuilding for most of these 
people will be to get back on a firm financial footing again. That is 
exactly the intent of this proposal. It is to give these people a 
breather, to give them a little temporary help. It is our Nation's way 
and our Federal Government's way of doing what neighbors and 
individuals are doing all over America, which is to reach out. I think 
it is the most generous expression of caring for one another I have 
ever seen in the history of this country, and it is our Government's 
way of trying to do the same so that people, once back on their feet, 
can begin to walk and then run to a better life.
  I thank the Chair. I yield the floor. I suggest the absence of a 
quorum.
  The PRESIDING OFFICER. The clerk will call the roll.
  The legislative clerk proceeded to call the roll.
  Ms. MURKOWSKI. Mr. President, I ask unanimous consent that the order 
for the quorum call be dispensed with.
  The PRESIDING OFFICER (Mr. Isakson). Without objection, it is so 
ordered.

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