[Congressional Record Volume 153, Number 63 (Thursday, April 19, 2007)]
[House]
[Pages H3682-H3688]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
A QUARTERLY REPORT CARD
The SPEAKER pro tempore (Mr. Patrick J. Murphy of Pennsylvania).
Under the Speaker's announced policy of January 18, 2007, the gentleman
from California (Mr. McCarthy) is recognized for 60 minutes as the
designee of the minority leader.
Mr. McCARTHY of California. Mr. Speaker, tonight we are going to open
something new. If you are like in my house, every 3 months if you have
kids in school, in my house it is Connor and Megan, they just got their
report card, and that is what tonight is about, a quarterly report,
what has gone on in this 110th Congress.
Well, tonight we are going to hear from the freshman class of
Republicans, and our goal here is to put the people before politics.
Much like what we have seen, we want to find solutions. We want to
move America in the right direction. We want to tell you first and
foremost what has gone on here for the last 100 days, give us a report
card, tell us where we are going, and the most important thing, we want
to bring accountability back to America.
So tonight we are going to start off, and we have got an interesting
freshman class. We have got people from all walks of life. This is a
microcosm of society, just much like America is. So our first speaker
is going to be the president of the Republican class. He comes from
Idaho. He served in the legislature. From Boise, Idaho, we have Mr.
Bill Sali.
Mr. SALI. Mr. Speaker, I thank Congressman McCarthy. I appreciate the
opportunity to give this report on this first quarter. I think it is
very apt for us to let the folks back home know exactly what is going
on from a Republican perspective.
In the first quarter of the new Congress, the new Democrat majority
has made its priorities clear by acting to impose higher taxes, more
government spending and by attacking key aspects of the Idaho way of
life.
In the last 3 months, the majority has acted to impose the largest
tax increase in more than a decade. In fact, within the first month of
Congress this new majority passed H.R. 6, a bill to increase by $7.7
billion over a 10-year period, an increase that will effectively affect
the price of gas at the pump and further our addiction on foreign oil.
Instead of higher taxes and continued increasing reliance on foreign
oil, my constituents need lower fuel prices, but in the first three
months in Congress, this new majority has done nothing to lower fuel
prices but to the contrary has acted to actually increase the price of
gas.
In the same 3 months, the new majority has passed a budget that
includes almost $400 billion in increased Federal spending, a budget
that failed to address the explosive growth in entitlement spending,
spending that will consume over 60 percent of the Federal budget in 15
years.
The Democratic majority has focused in the Natural Resources
Committee on what they call the evolving West. Those of us who are
actually from the West are calling it the war on the West. The majority
has had countless hearings primarily to paint an inaccurate picture of
the West and its issues.
The reform of Federal forest land management policies should be their
focus in these hearings. We have forests that are overgrown and are
fire hazards to our communities. We lack access to our lands, and we
are under constant attack from radical environmentalists. We need
better forest management, and the Federal Government needs to be a
better landlord instead of an absentee one.
This should be the focus of their agenda in the Natural Resources
Committee if they really want to help us in the West.
The priorities of this new majority were further illustrated when
they mandated the Commander in Chief, withdraw troops on an
unprecedented
[[Page H3683]]
and arbitrary timeline without any consideration of what is actually
happening on the ground. The same new majority conditioned financial
support for our troops on funding of unrelated and various pork barrel
projects, including $5 million to study tropical fish and $74 million
for peanut storage.
In a time of runaway deficit spending, something needs to change
dramatically. The change the new majority proposed in the first three
months, however, is to proceed in the wrong direction, the direction of
debt, deficit and defeat.
{time} 2215
We need to balance the budget. To do so, we must cut Federal
spending. Congress' ongoing spending habits continue at the expense of
our children, and we owe it to Americans and we owe it to our children
and our grandchildren to cut spending.
That is why I stood with my Republican colleagues and supported an
alternative budget plan to balance this Federal budget by 2012 in just
5 years. Together with a balanced budget, I also joined my colleagues
cosponsoring legislation to make permanent numerous tax cuts, numerous
tax credits that affect average American families. The American
taxpayer will work through April 30 this year just to pay their share
of taxes.
Well, change, indeed, must occur. My priorities for change are these:
spending must be reduced, tax burden on American families and small
businesses must be reduced, our natural resources in the West must be
responsibly managed, the constitutional authority of the President must
be respected. Unfortunately, the priorities of the new majority, as
evidenced over the last 3 months, are not my priorities, and they are
not the priorities that the people of Idaho hold.
Mr. McCARTHY of California. Thank you, Congressman Sali, for that
update because that is what the American people want to hear. They want
to hear about accountability.
As we know, we have been here 4 months; we have cast more than 200
votes. We have something to show where we are going, and pretty much
what it is going to be is a report card, a quarterly report for across
America.
The next speaker we have tonight, for those that live in Nevada, they
know this person well. He has already made a very big name for himself.
He was the secretary of State for three terms. He was able to work in a
bipartisan manner, bring Republicans and Democrats together. He is
still doing it here. He is putting partnership, not partisanship,
forth.
The one thing I have seen from this Congressman, Congressman Dean
Heller, he represents the largest part of Nevada. There are only three
Members of Congress who are serving from there. He represents about
two-thirds of the State, even more.
He serves on Natural Resources, he serves on Small Business,
something he knows well, creating small businesses, and he also got put
on Education and Labor, caring about the education in America.
Let's hear from you a quarterly report on what you have seen in the
first 100 days and what you think reflects on your district,
Congressman Dean Heller.
Mr. HELLER of Nevada. I want to thank you for the time and the
opportunity to serve with you here in this Congress. I certainly
appreciate our freshman class, the work they are putting in it, the
voices they have and the changes they are bringing into this Congress.
It really is an honor to be part of this freshman class serving on my
side of the aisle.
I would like to change direction. You talked a little bit about
Nevada and the State of Nevada. My district is more than 1,000 square
miles. To give you an idea of every time I go home, I travel about
1,000 miles just in visiting neighborhoods, going to Elko or going to
White Pine County and visiting Ely or Tonopah. It is a lot of travel;
but it is very critical, as we take these messages back and talk to the
people here, what's going on in Washington, D.C., as reflects what is
going on in our districts.
I tell you, it is a pleasure and an honor to serve here in this
Congress. It is maybe 20 after 10:00 here in Washington D.C., but it is
prime time in Nevada right now. My friend from California, it is prime
time in your district too, so it is a pleasure to be speaking to your
constituents and mine as well.
I tell you, I want to go in a little bit different direction here. It
is an issue that is very, very pertinent, very important for the State
of Nevada. This is an issue that was discussed this morning in an
Appropriations subcommittee on the Department of the Interior, and that
is the issue of wildfires. Living and serving in a district as rural as
my particular district, which I think is the largest non-at-large
district in the Congress, wildfires are a critical issue.
But before I get there, I want to give a little bit of background.
First I want to begin with an explanation to those who are viewing this
that 85 percent of Nevada is controlled by the Federal Government. A
lot of people don't quite understand that, but 85 percent of the land
in Nevada is owned by the Federal Government.
As some of you may know, this does present many unique challenges to
the communities that I represent. Opportunities, for example, economic
growth, development, are stifled by the lack of private lands.
Additionally, local governments are prevented from collecting taxes
on the Federal lands in their communities, thereby inhibiting their a
ability to provide funds for important services, such as education,
emergency care, fire and rescue, transportation, obviously including
roads, streets and roads.
I would challenge any State to take 85 percent of their private lands
and make it public lands. Take 85 percent of your private lands and put
it in the hands of the Federal Government and take the revenues with
it. Imagine your inability to have the money necessary for your
educational system, the money that is necessary for your infrastructure
for roads, money necessary for emergency care, and fire and rescue.
That is what we are dealing with in the State of Nevada.
For generations, my constituents have relied upon the land for their
livelihood. For the most part, they have been very good stewards. In
areas where good stewardship was not exercised, Nevada has done the
very best it can to restore those lands back to health.
Nevadans have an acute awareness of the importance of our Nation's
Federal lands. For generations, my constituents have been the stewards
that have kept important areas in Nevada accessible to the rest of the
Nation.
I am greatly concerned by several aspects of the administration's
proposed funding levels for fiscal year 2008. Not only did the
administration request a substantial decrease in PILT funding, which is
Payment in Lieu of Taxes, but funding for other functions is
unfortunately low, including zeroing out the Range Improvement fund,
which is an important program. It gets dollars to the ground to improve
range land health.
One area where I wish to draw particular attention, and I mentioned
earlier, is the funding relating to wildfires, particularly in range
land areas.
Last year, in Nevada, Nevada alone, over 1.2 million acres, or over
1,500 square miles, were destroyed, causing devastating impacts on the
wildlife, livestock and Nevada families. Let me put that in perspective
for a minute, 1,500 square miles, clearly much bigger than the
District, almost the size of Delaware. In fact, I think it is larger
than the size of Delaware, burned in the State of Nevada; the size of
Rhode Island, burned in the State of Nevada. You take those States,
that is how much land is burning in Nevada each year.
Most of the damage to private individuals is caused by fires that
spread from Federal lands onto private property. In a State where a
mere 15 percent of the land is available for private ownership, we
simply cannot afford this kind of loss. Additionally, it is
unconscionable that unlike other disasters, those who are victims of
Federally fueled devastation received little or no assistance from the
Federal Government.
This is a glaring problem, and I certainly do hope to work with my
colleagues, especially the freshman class here, in the future to right
this particular wrong. In order to mitigate the disastrous wildfires we
have seen in the past, we need to have a healthy range land, which
means dedicating funds to range land restoration and management.
[[Page H3684]]
A healthy range land will support wildlife, wild horses, livestock,
recreation and a variety of other multi-uses. We do not have to choose
between those functions if we work to restore our range lands.
To achieve a healthy range, we need to advance commonsense solutions
that will protect communities, people in our natural resources. This
includes the responsible management of wild horses and burro
populations.
It is vital that we use active management to remove excess hazardous
fuels, such as pinon juniper, cheatgrass and other invasive species.
They fuel wildfires like we saw in Elko County and other parts of
Nevada last year.
Since coming to Congress, I have had the opportunity to meet several
times with my constituents who have traveled from rural Nevada to
Washington D.C., to discuss the devastating impacts of wildfires and
what we can do to mitigate and prevent them. To a person, they all
expressed the dire need to restore range land health.
As I finish, I want you to know that I agree with my constituents. It
is my hope that my colleagues will recognize the importance of
adequately funding management of our public lands for the purpose of
environmental health and multiple use.
I appreciate the time you have given me to discuss this issue that is
critically important for the State of Nevada. I am certain for the
President of our freshman class coming from Idaho, it is a pertinent
issue for his district also.
Mr. McCARTHY of California. Thank you, Congressman Heller. One thing,
as constituents know, this is an individual that believes in solutions,
trying to find commonsense solutions for problems out there, and just
what you talked about today.
I know you tell me many times we serve here Monday through Friday and
you fly back home, you will travel 1,000 miles in that car that weekend
just because your district is so large. Last night I saw you were late
past 10:00 to do a tele-town hall just trying to listen to your
constituents. That is what this is really all about, finding
accountability and listening to constituents. I appreciate your
service.
Now we are going to go across the country and hear from Florida. If
you happen to be down in Clearwater or Palm Harbor, you know who this
individual is. He is already making a very big name for himself here in
the 110th. If you happen to be a veteran in America today, you know him
because of his service. He serves on Veterans' Affairs, and he serves
on Homeland Security. He has been doing a tremendous job.
We now want to hear from the 9th District of Florida, Gus Bilirakis.
Mr. Bilirakis, could you give us an update of the 110th Congress.
Mr. BILIRAKIS. Like all of us, I came to this body seeking to make a
difference for my constituents and all Americans alike. We have chosen
a life in public service and promised to fight for what we believe in.
That is what we are doing. We promised to fight to give future
generations the opportunity we have. We promised to fight to continue
the prosperity of this great Nation.
Unfortunately, as I reflect back on the first quarter of the 110th
Congress, I do believe that the Democrat leadership has broken their
promise to the American people. Supporting our courageous men and women
in the military and addressing the gulf States homeowners' insurance
crisis are two of the most important issues my constituents raised to
me.
Despite many Members' requests to address these vital matters in a
timely, bipartisan manner, our pleas have fallen on deaf ears. It is
with great disappointment that I go back to my district with the
expectations of the American people so far unfulfilled.
Regardless of the individual opinions regarding the war in Iraq,
every American supports our brave men and women who serve this country
with great honor and distinction.
Just as we are forever indebted to yesterday's servicemembers who
wore this country's uniform, we will never be able to fully repay
today's gallant heroes. I am so very proud to serve on the veterans
committee.
We task the members of our Armed Forces with extraordinary
responsibilities. The very least we can do is provide them with the
necessary tools and resources to accomplish their mission. Nearly a
month has gone by since the House approved its version of the Iraq
emergency supplemental appropriations bill, a bill so bad that USA
Today editorialized against it and said: ``It is hard to say which is
worse, leaders offering peanuts for a vote of this magnitude, or
Members allowing their votes to be bought for peanuts.''
It is bad enough that the bill contained pork projects intended to
secure Members' votes. It is equally as troubling that we have been
delayed in going to conference with the Senate to work out a bipartisan
compromise worthy of our men and women in uniform. The American Legion
and the VFW have urged this Congress to pass a clean supplemental
funding bill, which will get our troops the resources they need as
quickly as possible. I am so proud of the American Legion and VFW for
stepping up. They continue to be our heroes. Every day we fail to act
is another day we dishonor our troops' sacrifices and valor.
The other vital issue to many Americans, particularly in my district
and in the State of Florida, the Gulf Coast States, is the skyrocketing
cost of homeowners' insurance. Many of our States are plagued by
natural disasters that cost millions, if not billions, of dollars in
damage. It is a terrible situation.
{time} 2230
As a result, homeowners' insurance rates have simply become
unaffordable in many areas of our country. In my State, in far too many
instances these rates have tripled forcing many to leave the areas they
call home. For others in the gulf coast region, this has become the
most financially crippling problem we have faced in years.
My constituents have entrusted me to bring this issue into the
national debate and come up with a solution. Yet as we approach the
beginning of another hurricane season, this body has failed to act.
Earlier this month, it was predicted we would have a very active
hurricane season. Many of us who represent coastal States have tried to
bring this issue to the forefront, both Democrats and Republicans, but
our attempts seem to have been in vain so far. As the result of an
apathetic Democratic leadership, my constituents have been abandoned by
the very people they have entrusted to protect them, and what a shame
that is.
Along with the numerous bills introduced in the House which would
help alleviate this crisis, I introduced H.R. 913, the Hurricane and
Tornado Mitigation Investment Act. My bill would provide tax incentives
for individuals to better protect their property against these deadly
storms. As a result of strengthening their homes and businesses to
better withstand these disasters, homeowners' insurance would drop and
many constituents would continue raising their families in the place
they call home.
I can't tell you how many times I have talked to my constituents,
people who have lived in Florida for over 20-25 years and wanted to
raise their kids in Florida or retire in the State of Florida, and they
are forced to leave the State. And I know there are other States in
that position as well. I implore this Congress to consider my and other
insurance-related bills to help these Americans in their time of need.
When the Democrat leadership took the House gavel and control of
Congress in January, they accepted it in partnership not partisanship.
It is my sincere hope that we soon will debate serious topics that
address the needs of this country in a bipartisan manner rather than
political posturing.
Mr. Speaker, I look forward to working with my colleagues on both
sides of the aisle to continue the prosperity of this great Nation.
May God bless our troops. We owe them so much, and may He continue to
watch over the United States of America.
Mr. McCARTHY of California. Thank you, Mr. Bilirakis.
Promises made and promises kept. You promised to do something about
the insurance problem in Florida, and you have introduced legislation
to do that.
You brought up a good point about what has happened in the first 100
days. The President asked for a security supplemental, one for our men
and women in uniform, to make sure that they are
[[Page H3685]]
protected. But what happened when he asked for $100 billion? He got
$121 billion. Where did the $21 billion come from? They gave money to
peanuts and shrimp. That is pork. That is not what the American people
want. They want accountability.
When it comes to accountability and a hardworking freshman Member,
you don't have to look beyond Michigan 7 with Congressman Tim Walberg.
You serve on the Agriculture Committee and Education and Labor, and you
are doing a great job. Can you give us an update on the first 100 days?
Mr. WALBERG. Thank you, Congressman McCarthy. I certainly appreciate
the opportunity to bring not only an update on Michigan, but to talk to
the American public about concerns that I have about the budget and
what goes on in these great halls.
Indeed, it has been a wonderful privilege to serve here. As I
listened to colleagues on the other side of the aisle in the hour
preceding, I would agree that it is a privilege to serve with men and
women of sincerity, of character and commitment and of passion. And
although we have disagreements, we serve in a body that has tremendous
impact and tremendous history.
Yet even as I say that, I recognize that we are simply temporary
custodians of the seats we hold in Congress, representing districts of
people, taxpayers, citizens with great concerns. But even more
importantly, as I have heard discussed maybe a bit too often about the
extent of abilities that reside here in the Halls of Congress in each
of our Members and the background and the training and the expertise
that we share, yet I think that misses the point because indeed the
greatness, the ideas, the generation of the economy and impact upon
this world does not necessarily come from us, although we are part of
it, but it flows from the people we represent.
That's the greatness of this country that allowed great men who
journeyed from afar like de Tocqueville, to say America is great
because America is good. But when America ceases to be good, it will
cease to be great. I think de Tocqueville understood that goodness was
not simply in the high morals of a country that he noticed here, it
wasn't simply in the great work ethic of the people he saw on these
shores. And as he walked across Michigan and came away, and it is
reported that he called our State the Wolverine State because he
indicated that any citizen who could put up with the swamps and the
mosquitoes of Michigan at that time had to be a wolverine in tenacity.
Hence, the Wolverine State.
Yet our great country of citizens have to be tenacious as well when
we have a government that has grown too large, too grand, and too
costly for them to keep up. The greatness of this country is not big,
expansive, expensive government, but rather, the greatness of this
country is its people.
And so this week we came to Tuesday, April 17, and it was imperative
to us, and it was significant in its gravity that it was tax day again,
a day that strikes fear and even anger in the hearts and minds of many,
if not most, of our taxpayers. We sat here in Congress in these
hallowed halls of constitutional responsibility having just come
through passing the largest tax increase in the history of our country,
$400 billion over the next 5 years. And we let our taxpayers go through
another tax day paying more for big government.
Right now, taxpayers in south central Michigan, the district I am
privileged to represent as the temporary custodian of its seat in
Congress, people who are hardworking, people who have committed
themselves to the task of being good stewards of the wonderful
resources we have in the Great Lakes State, of being the former arsenal
of democracy, of being a major manufacturing State and agricultural
State and State of higher education, and yet a State that is struggling
right now, I am sad to say, because of an administration that continues
to push higher taxes and more excessive government regulation. We are
saddled again with looking at what Congress has potentially done to us
by passing this massive spending package called a budget with a $400
billion tax increase over the next 5 years.
Taxpayers in my district of south central Michigan are making tough
choices every day to ensure their family budgets are balanced. They do
so by cutting spending and having fiscal discipline, a concept we would
do well to emulate.
It is time we make these same commonsense choices on a Federal level.
The budget proposal introduced by my colleagues on the other side of
the aisle and, in fact, passed by them imposes the largest tax
increases, as I said, in American history: $400 billion over the next 5
years, $400 billion that the taxpayers of this country will pay, that
the businesses will have impact upon them and their ability to give
jobs and security to the taxpayers and their workers.
Like the Democrats', as I would call it, ``insecurity supplemental''
that telegraphed their plan for defeat to our enemies, this budget
telegraphs their plan for economic failure if we continue down that
path for this great country. Their plan institutes a $3,000 tax
increase for the typical Michigander in my district and embraces a
spend now-reform later mentality.
You just have to go to some of the basic concepts of their proposal.
The Democrat budget would hit 115 million taxpayers with an almost
$1,800 tax increase in 2011. In addition, 26 million small business
owners would see their tax bill rise by almost $4,000 that year.
Marriage penalty relief would be eliminated for 23 million taxpayers,
who would see their taxes increase on average by $466 by 2011. Raising
taxes on families with children, it would hurt 31 million taxpayers who
would see their taxes increase on average by $859 by 2011.
Those are just highlight scenarios of what is going on with that tax
increase.
Congress needs to pass a balanced budget bill without raising taxes.
We need to make tax relief permanent for hardworking American families
and implement a commonsense policy for the future. That is why I was
proud to support the Republican alternative budget proposal.
The benefits of our proposal, just a few highlights, 113 million
taxpayers will see, if this were passed, their taxes decline by an
average of $2,200. A family of four earning $40,000 will receive tax
relief of over $2,000. More than 5 million individuals and families
will see their income liabilities completely eliminated. Forty-five
million families with children will receive an average tax cut of
almost $3,000. Fifteen million elderly individuals will receive average
tax relief of almost $3,000. Twenty-seven million small business
owners, the breadbasket of the economy in my district, will save on
average $4,700. A total of 7.6 million new jobs would be created under
this proposal. An average of 168,000 new jobs a month could be created
as well.
I think the message is clear, Mr. Speaker. This is the direction we
need to go for this great country that has taken on challenges not only
within our borders, but to continue doing what we are accustomed to
doing as the greatest and most benevolent nation on this Earth because
of what we have done to encourage wealth and prosperity and
responsibility and accountability and benefits from all of that. That
blessing that goes beyond our shores and makes an impact upon people
that I had the privilege of seeing, whose beneficiaries came from
sources that I talked with in Walter Reed Hospital today, the young men
and women who served valiantly for us, who sacrificed for us to
continue the progress and continue the benevolence of this great
people.
Mr. Speaker, the American people long for a Congress that puts our
fiscal house in order on a Federal level, but they want it done without
expanding the size and scope of Federal Government.
They are asking for the greatness to continue within the people of
this great country which would include this great government if we
would indeed recognize where that greatness comes from.
So what a privilege again to be a temporary custodian of this seat in
Congress, but what a huge responsibility to stand firmly for principles
that will, if enacted, as we have seen historically 100 percent of the
time, expand the economy, expand the opportunity, and offer freedom,
opportunity and prosperity for our citizens and others all around this
Earth.
Thank you for the opportunity, Mr. Speaker, and the gentleman from
California, Congressman McCarthy, thank
[[Page H3686]]
you for putting this Special Order together this evening.
Mr. McCARTHY of California. I thank you, Mr. Walberg. You raised a
good point. It has only been 100 days, and in less than 100 days, the
largest tax increase in America has taken place.
During the campaign, you heard from both parties, you heard what
people said they would do. In less than 100 days, they were broken.
If you happen to be sitting at home and you are married, you have
some children, you are going to pay more. If you are elderly, you are
going to pay more. If you happen to maybe seek the opportunity of
America, worked hard, made a business, saved, bought some land and went
forward, you happened to pass away, this majority party, the Democrats,
want to take 55 percent of that. That is the difference.
I appreciate your principled view, let people keep their hard-earned
money, and make sure that you bring accountability back.
Now we want to go to another place in middle America because that is
where solutions are. We want to get an update from Ohio. In Ohio, you
can find a lot of individuals, but you can't find someone who works
harder. Congressman Jim Jordan, along with his wife, Polly; I think
they hold the American dream.
{time} 2245
They are doing a fantastic job of raising their own children. They
reach out into this community. They help others and make sure they are
able to have a place to stay, a place a work and place for education.
But Jim, Congressman Jordan is the only Republican freshman to get
placed on Judiciary. Why? Because of his work, not only as an attorney,
but his work in the Senate in Ohio, that stood out across this Nation.
And I want you to give us an update. Talk a little further more about
taxes and what this 100 days have meant to America and how much this
Democratic Party is going to reach into your pocket.
Mr. JORDAN of Ohio. Well, I thank the gentleman for yielding some
time and for his work in putting this together and his passion and
intensity and energy that he brings to the Congress and what he has
done in our freshman class. I appreciate the remarks of the previous
speaker. He talked about Tax Day, and he is right on target when you
think about the amount of money government takes.
And I just want to start with a question. And there is probably a few
people watching, probably mostly in the gentleman from California's
district. Most people in Ohio are smart enough to get in bed at this
hour. But there are a few people watching out there. And I just want to
ask those Americans who are watching, do you think government has
enough of your money already, or do you think they need more? And my
guess is the vast majority of people in California who are watching, or
in Ohio who are sleeping, understand that the government, the billions
and billions and the trillions and trillions that the government takes
in already is probably enough.
And the gentleman from Michigan was great in outlining what is at
stake and what the Democrats want to do, because the Democrats
obviously think different. The American people think, you know what,
the government probably takes enough of my money. But based on what
took place 2 weeks ago with the budget that was passed by the majority
party, over the next 3 years the spending they want to do is going to
take more and more money out of the private sector, where good things
happen in our economy, where jobs are created, where prosperity takes
place, more and more money out of the private sector and more money
from the families across this great country, in Ohio, in the Fourth
District, and across the Nation as whole.
So I just want to provide some perspective and context and framework
for why that is a bad thing. And I think we just start with this basic
premise: the stakes are high today. It is important that the elected
officials, the politicians here in Congress, get it right for a change.
There was a point in the past where, in spite of bad policies that the
politicians may have enacted, America, because we were so uniquely
positioned coming out of World War II, we were the economic superpower.
We were the economy that was growing. It didn't really matter if bad
public policy was put in place. We were going to excel. We were going
to prosper in this world market in spite of the things that the
politicians might have done.
But today the stakes are high and the competition is stiffer. And I
just want to give some facts and figures and I will yield back to the
gentleman from California. But recognize the framework we are in.
Today, China has 1.4 billion people. India has close to 800 million
people. Those two countries, over two billion people. United States of
America, we just hit 300 million population last summer. Those two
economies, China and India, over two billion people combined in those
two countries, China's economy is growing at approximately 10 percent
annual growth rate. India is growing at about 7, 7\1/2\ percent annual
growth rate, quickly moving towards middle class. The competition is
stiffer. And it is important today when you think about those numbers,
those facts, those figures, that we in elective office do the policies
right.
Raising taxes on business owners, raising taxes on families, $400
billion, as the gentleman from California pointed out, doing those
things makes it tougher for our families, our small business owners,
our economy to compete in that world market. And that is why it is
important we not go along with these tax increases. That is why it is
important we try to keep those tax cuts that are in place, so that
family and businesses can prosper. It is that fundamental. The
gentleman from Michigan was exactly right. And he ticked off, he read
off the tax increases that will happen under the Democrats budget plan.
And it is important we not go there.
I always come back to, you know, the very first thing we did in this
Congress, the majority party, the Democratic Party enacted some PAYGO
rules, which sound great. But what those PAYGO rules did was make it
easier to raise taxes.
The last thing this Congress did before we went home for Easter break
to see our constituents and visit our districts, the last thing we did
before we went home for the Easter break was raise taxes. So they
started off the Congress by making it easier to raise taxes. The last
thing we did before we went home for break was raise taxes. And so that
should tell you what is at stake here and why it is important that we
fight for the American families, like the gentleman from California has
been doing, and it has been a pleasure to serve along with him in that
regard. And I will yield back some time and we can discuss some of this
maybe as we move along.
Announcement by the Speaker Pro Tempore
The SPEAKER pro tempore (Mr. Patrick J. Murphy of Pennsylvania). The
Chair must remind Members that remarks in debate should be addressed to
the Chair and not to a viewing audience or fellow Members.
Mr. McCARTHY of California. Mr. Speaker, one thing we know on this
floor, and you brought up a very good point, Mr. Speaker, as we talk,
we listen to other Members here, the largest tax increase in American
history happened within the last 100 days. And, Mr. Speaker, when we
think about is America taxed enough, I simply, and I think about the
average American, they wake up in the morning and they take a shower,
they pay a tax on that water. They maybe stop off at Starbucks or
someone else, and get a cup of coffee. They pay a tax on that coffee.
They stop off, fill their car up so they can make it to work, drop
their children off at school, they pay a gasoline tax. They go to work,
for the first 3 hours they are paying the Federal and State tax. They
go home, they turn on the TV, maybe to watch a little C-SPAN, Mr.
Speaker, if anybody at home is watching this, they are paying a cable
tax.
Maybe their business says they have got to get up and try to find
more opportunity because the world is being very competitive, so they
have got to get on a plane. They pay an airplane tax. They rent a car.
They pay a rental tax. They stay at a hotel, they pay an occupancy tax.
Lo and behold, God forbid they get very successful and they save some
money, and they put it away and they want to give their children, their
grandchildren some opportunity for the future. This majority party
wants to take 55 percent of that.
[[Page H3687]]
Now, I don't know, Mr. Speaker, if this majority party was on that
plane, was working hard to make sure those people earn that money, but
I don't think they need to pay them. I think America is taxed enough.
And I will tell you, we need to go firsthand in that Budget Committee
to see where the fight was, to see what was said and what went on. And
the only freshmen Republican to get appointed to that was my good
friend from Nebraska, Adrian Smith. Adrian, can you give us an update
on the Budget Committee and where it is going.
Mr. SMITH of Nebraska. Mr. Speaker, I am honored to be a part of this
discussion here this evening, and certainly I consider it a great
privilege to serve on the Budget Committee.
As witness after witness after witness told the Budget Committee that
we should address the entitlement challenges we face and reform
entitlements so that we can have a safety net, so that we can have an
economy to preserve that safety net, we need to adopt some changes. And
yet the budget that has been presented and is moving through the Halls
of Congress does not address entitlement reform. That is my concern.
That was the major thrust of the Budget Committee hearings, certainly,
as I said, witness after witness addressing that.
But I stand here before you this evening concerned about the future.
When I get asked why I would want to serve in Congress, I say it is
because I care about the future. I care about the direction in which
our country is heading. I believe that we need to encourage prosperity,
not penalize it. And yet our tax policies are bound to penalize
prosperity with the current budget.
We heard in the Budget Committee that we need to increase spending.
More of the same. And, certainly, the supplemental, as so many folks
know, this emergency supplemental spending bill contains items that are
far from emergency in nature. I am afraid that there were too many
politics being played in terms of funding the very necessary functions
of our military so bravely serving overseas.
I am concerned about our future, and that is why I went to Iraq. I
learned in Iraq that there are some bright spots. Certainly we have a
lot of work to do. But it comes back to the economy. I am encouraged
when I learn that there are more than twice as many merchant vessels
traveling the one single waterway into Iraq from the gulf. I am
encouraged when I see a developing police force perhaps in Ramadi. That
is what contributes to the fundamentals of a sound economy with the
rule of law.
But as we balance our policies overseas with our domestic policies
here at home, we have to be mindful again of the future, the future
that I believe can be bright with the sound, solid economy.
My friends so very eloquently pointed out the estate tax, commonly
called the death tax. I can't help but think back to when I was
visiting a business in my district, actually the Nation's largest
producers of natural wool yarn. I didn't prompt this discussion
whatsoever. But the second generation owner, or manager in this case,
of this company said, Adrian, one thing you can do in serving in
Congress is to reform or repeal the death tax. It will devastate us.
``Devastate'' was her word.
Now, one might think that the Nation's largest producer of natural
wool yarn would be big business, big corporations, all these big
companies that people want to beat up on who provide jobs. No, this is
a family-run operation with about 45 employees that just reinvested
many dollars so they could double their output, so that they could take
new customers because before they invested in some expansion, they
couldn't take new customers. And yet our tax policies will penalize
them.
And, quite honestly, I don't care how large an estate one might have,
I think it is wrong, fundamentally wrong, and actually unconscionable
that the government would lay claim to 55 percent of an estate. Some
people say, well, these wealthy folks can plan around it. Some can.
Boy, you had better plan your debt too, as so many folks cannot.
But it all comes back to the economy. And I believe in Republican
budget principles that are sound, through promoting enhanced
prosperity, by balancing the budget and continuing the tax relief,
through making needed reforms to entitlement programs, as our Budget
Committee witnesses pointed out, increasing accountability through
budget and appropriation reforms to help end Washington waste, fraud
and abuse.
When we look, Mr. Speaker, at what is before us with the budget, it
is the largest tax increase in American history: $400 billion, that is
with a B, $400 billion tax increase. And my friends and I, Mr. Speaker,
believe that that will be damaging to our economy. And I say that
because of the facts. The facts point out that when tax relief was
brought about in 2003, the unemployment rate went down. GDP went up.
Jobs were created. And I find that exciting.
When I entered politics a few years back, I never thought that I
would become so enthused about economic principles about good, sound
tax policy, but I have seen what tax policy can do over these last few
years, that tax relief can create jobs. Tax relief can leverage a
family's dollars, hard earned dollars in our economy so that we can
have good, thriving businesses in all of our districts, large and
small, rural and urban. We need a good sustainable farm bill that
builds on the future, that uses our experiences from the past, Mr.
Speaker, in realizing that we need to build our markets with our
trading partners. And we can expect good, sound trade policy, not
giving away everything, and so that we can help our energy markets, we
can help our agriculture markets.
And especially I find it so exciting about the future when we see
agriculture and energy coming together. I think we need to be careful
when we talk about energy. As I was reading an article the other day,
Time magazine, I had an article that said eating a T-bone steak is as
egregious in our environment as driving a Hummer vehicle. I found that
to be quite surprising, honestly. I certainly represent an area that
probably contains more cattle than any other district in the United
States. And I don't bring up this issue because of that, but I think
that as we address our energy needs and looking to the feature, we need
good commonsense policies.
{time} 2300
And that is what I want to work on because I do care about the
future. I care about entitlement reform. I care about a balanced budget
so that we can encourage our coming generations to focus on the future,
so that they can see even more opportunity and that their prosperity is
not punished through bad tax policy.
Mr. McCARTHY of California. Congressman Smith, I appreciate that. And
you point out a very good point. During the Republican majority, we
lowered taxes, and what happened? We heard from the Democrats that the
world was going to collapse because we were going to let people keep
the money they earned.
Revenues to the Treasury went up. Why? Because they invest it. More
small business, more ownership. The stock market at an all-time high?
Why? Because people got the independence. They actually invest and
create jobs.
And that is what this House should be about, the power of the idea,
the power of opportunity. Not to take. But in these first 100 days, the
largest tax increase in history.
And I will tell you, as I walk these halls and I see these marble
stairways, and you see as you walk that they are molded out by other
feet that have walked before you, you think of how long a history that
is. But just in the last 100 days history was broken. Why? Because this
new Democrat majority went back to their old ways.
But they didn't just go back. They went further. They broke every
record of every Democrat majority in the past. They raised taxes $400
billion. That is not a sound bite. That is exactly what happened on
this floor, and that is what this is all about. That is what a
quarterly report is about. Just like when I open the report card for
Connor and Megan in my house, I want to know how my children are doing.
And as we end up here tonight and we close, Mr. Speaker, I would just
like to hear the time report from the Members that are still with us.
If we could just go around and they could give final statements just to
sum up the first 100 days, this first quarter in this House of
Congress.
[[Page H3688]]
I will yield to Congressman Jordan.
Mr. JORDAN of Ohio. Mr. Speaker, again, I thank the gentleman for
yielding.
And you talked about a $400 billion tax increase. I just come to the
question, how many Americans think that government can spend money
better than the private sector? How many Americans think that the
government can spend money better than the small business owners in our
communities? How many Americans think that government can spend that
money better than the families that live in our districts and make this
country great? That is the fundamental question.
And the gentleman from Nebraska was right on target when he talked
about families. So often we get so focused on the numbers, the budgets,
capital gains, dividends, tax rates, tax brackets, all this fancy
political speak, and we forget in the end it is about people. It is
about moms and dads having more money in their pockets to spend on
piano lessons for Sally, soccer lessons for Johnny.
Saving for college is a huge thing. And I have got one in college,
and I am paying them right now, writing those checks. That is what it
is about. In the end, it is about families.
Jefferson had a great line. When you think about the size and scope
of government, how big this government is going to grow under this
proposal, Jefferson said, ``When the people fear the government, there
is tyranny. When the government fears the people, there is liberty.''
Just ask yourself this question, as government begins to grow: If
tomorrow you are at home and you get a knock at your door and you
answer the door and the gentleman identifies himself and says, ``I am
from the IRS,'' is your first response, ``Oh, joy, one of my public
servants is here to help me today''? Of course it is not.
We have to understand that. If we want families to have the liberty
and freedom they need to do what is best for their kids and their
grandkids, we need to let them keep more of their money. And that is
what our struggle is when we go forward, to try to make sure we can
allow families to keep more of their money.
I know that is why I came to Congress and I know that is why the
gentleman from California came to Congress and the gentleman from
Michigan and the gentleman from Nebraska as well. So that is what we
need to do, and that is what we are going to continue to do as we move
forward.
Mr. McCARTHY of California. I thank you for your service. We will
just hear the last bit from the Congressman from Michigan, Congressman
Walberg.
Mr. WALBERG. Mr. Speaker, I thank the gentleman from California for
yielding and for putting this together.
And I would agree with my colleague from Ohio. And it is tough for a
Michigander to agree with anyone from the Buckeye State. We have
wonderful rivalries that go on. But he is absolutely correct. We are
talking about the future. We are talking about our kids.
I have a grandson, Micah, that I want to invest for by leaving a
country that he indeed can have invested in for himself from his
parents and the opportunity for them to use their resources to provide
for him and provide for others in the process.
I have become greatly concerned with the concept that we have heard
from the other side of the aisle too often about investing in our great
economy. And ``investing'' in their vernacular means tax increases,
spending more of government dollars which, in fact, are taxpayers'
dollars.
We need to get away from that and allow our taxpayers, the generator
of the economy, of a small business, of the manufacturer, the
entrepreneur to be able to invest in themselves to make this great
country stand not on its government but stand on its independence, its
freedom. Because, Mr. Speaker, I am sure you and I would agree on this,
that our responsibility here, as Members of Congress, is to fight for
and defend and continue the freedom of this great country. And that
comes with the ability for people to invest, to save, to spend, to
enjoy their property, to be responsible and experience the virtues of
hard work, of loyalty, of faithfulness.
I believe Jonathan Witherspoon said, ``A republic must either
preserve its virtue or lose its liberty.''
It is a virtue for this country to reward its citizens for being
responsible. It is a virtue for this country to applaud people who work
hard, who save, invest, who create the economy. And it is a virtue for
that same group of people, our citizens, to say to a government, we
respect you for leaving that responsibility to us. That is freedom.
And, Mr. Speaker, I am deeply, deeply indebted to the people of my
district for giving me the privilege to fight for that very thing along
with colleagues like you have heard tonight on this floor.
Mr. McCARTHY of California. Thank you, Congressman. We appreciate
your principled belief to represent your constituents, those
hardworking individuals from Michigan that are trying to create
opportunity, trying to put their children through college, trying to
have that home ownership, and at the same time taking care of their
parents as they are getting older.
But this Congress says ``no.'' They want to take money out of their
pocket and pass the highest tax increase.
Congressman Smith, if you could just sum up tonight on what you see
the future holding.
Mr. SMITH of Nebraska. Mr. Speaker, although we are coming to an end
to this time of discussion, I think that we all hope that promoting
prosperity that has taken place over the last few years will not come
to an end. And I want to very quickly point out that this is what is
about to come to an end, even though it has been working, even though
we have been creating jobs, even though the deficit has been cut in
half actually. Despite many of these spending measures, the deficit has
been cut in half over the last couple of years. But we are about to see
an end to tax relief for the average family of four earning $40,000 a
year of $2,052 in taxes. Taxes are going to go up.
The Republican budget focuses on promoting prosperity through the tax
relief of $4,712 in average taxes paid by 27 million small businesses.
These are small businesses. These aren't necessarily the wealthiest of
the wealthy. These are common, everyday Americans working hard and
growing our economy.
I hope that we can come back to a budget that promotes prosperity by
keeping the death tax at zero through 2012, perhaps even beyond,
because I believe that the government should not have the right to take
55 percent of an estate. That would be 55 percent of a ranch or a farm
in my district, where we are encouraging young farmers and ranchers to
engage in the business, to engage in the economy. And yet they would
have to come up with cash to inherit the farm or ranch? Unconscionable.
I believe that we can do better. That is why I like to focus on the
future and I like to focus on the future through building our economy
with sound tax policy, availing capital to our entrepreneurs so that
our entrepreneurs can be creative, can pursue innovation and grow jobs,
becoming prosperous. And they will pay taxes. They will pay a fair
amount of taxes all along the way. But let's not take too much of it
and punish them.
Mr. McCARTHY of California. Well, Congressman Smith, we appreciate
your comments. And we come to a close tonight of the first quarterly
report from the freshman Republicans. We will continue, Mr. Speaker, to
bring this. We want to put people before politics. We want the people
to know, Mr. Speaker, what happens on this floor. When they sit at
home, we want them to know about the largest tax increase in history,
$400 billion. We want them to know, as generation to generation, that
someone who happens to be in my district who maybe wants to continue
the ranch and someone passes away, that they have to sell half the
ranch to just try to keep business the way it was, because government
and this majority party wants to take 55 percent of it.
Mr. Speaker, we feel that is wrong, and that is why we want to tell
it directly to the people.
We appreciate the time we have had, Mr. Speaker.
____________________