[Congressional Record Volume 153, Number 128 (Saturday, August 4, 2007)]
[Extensions of Remarks]
[Page E1750]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




     THE AMERICANS SAVING THROUGH HEALTH RESEARCH BONDS ACT OF 2007

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                           HON. STEVAN PEARCE

                             of new mexico

                    in the house of representatives

                         Friday, August 3, 2007

  Mr. PEARCE. Madam Speaker, I rise today, along with my colleague 
Representative Emanuel Cleaver, to introduce innovative legislation to 
help millions of Americans save for their futures and at the same time 
lead to a healthier America.
  This bill, the Americans Saving Through Health Research Bonds Act of 
2007, would establish a new series of U.S. Savings bonds for 
individuals, where a small portion of the return would be sent directly 
to the National Institutes of Health to fund medical research.
  Under this bill, when an individual redeems a ``Healthy Bond'', 
rather than taxing the interest earned, 10 percent would be sent to the 
NIH Institute of their choice for medical research. Like the successful 
semi-postal fundraising stamp program, these funds will supplement the 
work done at NIH researching cures for the diseases which plague 
mankind.
  Let me show you how this bill works. In FY2006, the Treasury 
Department redeemed $14.5 billion in bonds, of which $7.9 billion was 
payments on interest. If 20 percent of those had been Health Research 
Bonds instead, that would have generated $158 million in new National 
Institutes of Health money. If only 5 percent had been Health Research 
Bonds, that would have generated $39.5 million in new NIH funding.
  The NIH provides top-notch researchers nationwide with the support 
they need to conduct cutting-edge medical research.
  This bill would give the American people the option to invest their 
own stake in the important breakthroughs being made in today's medical 
research.
  But the bright future open to us by funding increased health care 
research is not the only concern this bill would address.
  In 1982, the average American saved 9.75 percent of his income. 
Twenty-five (25) years later, the shift from using credit to buy asset-
building items like homes to using credit to improve one's lifestyle 
has drastically reduced the rate of savings in America to almost 
negative one percent.
  Madam Speaker, the future is unpredictable enough. No one should have 
to learn the hard way that long-term savings and investment are 
necessary for retirement.
  Quality of life begins with financial stability. We must give our 
constituents the tools they need to ensure that their financial 
security remains secure in the future.
  When Federal Reserve Chairman, Ben Bernanke, gave his report on the 
state of the U.S. economy to the House Financial Services Committee in 
February, he emphasized the need to make sure more individuals have 
access to retirement and private savings plans. Doing so, he said, 
would ensure that ``we help people finance a reasonable retirement.''
  As people live longer and retire earlier, the costs of retirement are 
growing. Although more than half of Americans save and invest in the 
private market, only 1 in 4 people believe they have saved enough for 
retirement.
  Savings bonds are a proven, reliable, and secure source of future 
income for Americans.
  Today, Americans face an array of financial choices, whether they be 
monthly budgeting, planning for retirement, saving for college or 
purchasing a home. Under the weight of these choices many people do not 
know where to begin saving.
  Madam Speaker, my legislation would help people to build assets that 
will meet a variety of needs over the course of their lives. What's 
more, this bill piggy-backs on the long-held American tradition of 
allowing individuals to attend to their personal financial health yet, 
in the spirit that makes our country so great, would give Americans the 
opportunity to do some good in the process.
  The small percentage of the return that would go to NIH will give 
Americans their own reward for funding health research. NIH's 27 
Institutes and Centers have been at forefront of some of our Nation's 
most significant medical discoveries, and in 2006 it was responsible 
for nearly one-third of the funding received by U.S. medical research.
  Moreover, the NIH has the flexibility and resources to perform a wide 
array of disease research, from the rarest genetic condition to the 
common cold.
  In partnering on this important legislation with a number of leading 
medical groups, I have garnered support from some of America's most 
respected minds in health care. Upon introduction this legislation is 
endorsed by the American Association of Medical Colleges.
  Madam Speaker, the bottom line is this bill would help our 
constituents feel at ease knowing that they are saving for their 
futures on more than one front. As well as securing their financial 
future, they will know that the money that goes to NIH for medical 
research will have a lasting impact on their children, grandchildren, 
and generations to follow.
  I urge all of my colleagues to support this bill to create a 
partnership between saving for future retirement and fighting disease.

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