[Congressional Record Volume 155, Number 20 (Monday, February 2, 2009)]
[Extensions of Remarks]
[Pages E175-E176]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




             AMERICAN RECOVERY AND REINVESTMENT ACT OF 2009

                                 ______
                                 

                               speech of

                           HON. RUSH D. HOLT

                             of new jersey

                    in the house of representatives

                      Wednesday, January 28, 2009

       The House in Committee of the Whole House on the State of 
     the Union had under consideration the bill (H.R. 1) making 
     supplemental appropriations for job preservation and 
     creation, infrastructure investment, energy efficiency and 
     science, assistance to the unemployed, and State and local 
     fiscal stabilization, for fiscal year ending September 30, 
     2009, and for other purposes:

  Mr. HOLT. Mr. Chair, I rise this evening in support of the American 
Recovery and Reinvestment Act of 2009 (H.R. 1). America is in the midst 
of the worst economic storm since the Great Depression. Millions of 
people are hurting across the United States and in my home state of New 
Jersey. New Jersey's unemployment rate has risen to 7.1 percent from 
4.2 percent just a year ago. Our nation's economy is in recession, and 
we must respond with every tool in our tool box to help put Americans 
back to work and rebuild our struggling economy.
  We could let the free market continue to spiral downward or we could 
pass a bill with a smaller price tag, ignoring the lessons learned from 
Congress's previous attempt at stimulating the economy through rebate 
sent out in spring of 2008. We can no longer wait to act. The time has 
come for a bold, national, response. Economists have predicted that the 
unemployment rate will skyrocket to over 12 percent this year. The 
package we are considering today has the potential to create 3 to 4 
million much needed new jobs in the short term.
  The House approved the American Recovery and Reinvestment Act, 
comprehensive legislation that through targeted, job-creating spending, 
responsible investments in the nation's social safety net to help 
Americans weather the difficult months ahead, and tax cuts for 95 
percent of Americans will help the United States climb out of the 
current recession. Importantly, this bill includes critical investments 
in research and development, which lay the ground work for innovation 
and sustainable, long-term economic growth. It is unfortunate that not 
one member of the minority saw fit to approve this important bill.
  In the short term, the American Recovery and Reinvestment Act would 
help create up to 1.5 million new construction jobs by providing $30 
billion to states for transportation, infrastructure, and energy 
efficiency improvements. This would translate to approximately $777 
million for ready-to-go road and bridge modernization projects in my 
home state of New Jersey. Infrastructure improvements would serve a 
dual purpose; creating 835,000 jobs and helping to address the backlog 
of needed improvements to our nation's transportation network that 
total $61 billion, according to the U.S. Department of Transportation. 
This bill would also invest $10 billion in public transportation, $333 
million to relieve congestion on our roadways in New Jersey. This bill 
would also create an additional 375,000 jobs by investing $19 billion 
for clean water, environmental restoration, and flood control projects.
  H.R. 1 will fund a number of additional projects that my Central New 
Jersey constituents refer to as ``green stimulus.'' Investment in 
``green stimulus'' can create good American jobs that cannot be 
outsourced, while reducing our reliance on foreign fuels, 
protecting our environment and slowing the rate of global warming. 
Specifically, this legislation would provide $32 billion to transform 
the nation's energy transmission, distribution, and production system 
so they can handle renewable energy sources. This legislation includes 
more than $26 billion in incentives to promote renewable energy and 
help low and middle income Americans weatherize their homes. These 
incentives include the renewable energy production tax credit, the 
energy research and development tax credit, and the consumer energy-
efficiency tax credits.

  Responding to the nation's rising unemployment rate, this bill would 
devote $4 billion to job training programs and would extend 
unemployment benefits through December 31, 2009, increasing benefits by 
$25 per week for individuals looking for work.
  The current economic downturn has hit hard public school districts, 
which are being forced to make painful cuts in services. The American 
Recovery and Reinvestment Plan makes sound investments in public 
education. The legislation would provide $20 billion to states to 
rebuild the nation's crumbling schools. In particular, the bill 
includes a provision from a bill that I authored, the School Building 
Enhancement Act, which would give schools grants to increase their 
energy efficiency helping them to save thousands of dollars annually on 
their energy costs.
  Additionally, to ensure that families can send their children to 
college, this bill would increase the maximum Pell Grant by $500, to 
$5,350 and would help 4 million more students attend college with a new 
$2,500 college tuition tax credit for families.
  I am deeply gratified that the Economic Recovery and Reinvestment Act 
reflects a profound commitment to renewing our nation's innovation 
infrastructure. In crafting this package, Congress has recognized that 
research and innovation are not merely luxuries to be undertaken only 
in time of economic prosperity. The truth is that scientific research 
is perhaps the most powerful economic engine, creating jobs in the 
short-term and building our economy for the long-term.
  All together, the recovery package includes nearly $16 billion to 
support scientific research and facilities, including $3 billion for 
the National Science Foundation, $2 billion for the Department of 
Energy's Office of Science, and $3.5 billion for the National 
Institutes of Health. There is no doubt that these funds will create 
jobs. Lab technicians will be hired to carry out projects that 
previously went unfunded. Electricians will be put to work wiring new 
laboratory equipment. And construction workers will begin refurbishing 
our neglected laboratories and building the facilities that will 
transform science for the twenty-first century.
  Of course, the ideal project is one that keeps on giving, and that is 
exactly what scientific research does. The innovation and discoveries 
that come from research form the

[[Page E176]]

roots from which our economy grows and prospers. For too long, we have 
underinvested in science, and we will never know the resulting costs to 
our prosperity. But we know that science will be the foundation of our 
nation's future economic vitality. In his inaugural address, President 
Obama said, ``We will restore science to its rightful place.'' That 
place is at the very heart of our nation's progress. The American 
Recovery and Reinvestment Act acknowledges this fact and provides an 
important first step toward the sustained investment that will prevent 
the need for future recovery packages.
  As American workers lose their jobs, more and more face losing their 
health insurance coverage as well. Job losses have boosted Medicaid and 
SCHIP rolls, straining state budgets already stretched thin due to 
lower tax revenues. To address these problems, this bill would allow 
states to temporarily cover their unemployed workers under Medicaid and 
would increase temporarily the federal government's contribution to 
Medicaid. For workers able to continue their health coverage through 
COBRA, the bill would subsidize COBRA premiums by 65 percent. The Joint 
Committee on Taxation and Congressional Budget Office estimate that 
these two provisions will provide health insurance to more than eight 
million people.
  In addition to helping families maintain their health insurance 
coverage, the American Recovery and Reinvestment Act seeks to improve 
health care quality and its value. This bill would promote Health 
Information Technology systems, which could help reduce medical errors 
while lowering administrative costs, and accelerate their adoption and 
usage among doctors and hospitals.
  The American Recovery and Reinvestment Act of 2009 would also address 
the struggling economy by putting money back in the pockets of American 
families, workers, students and businesses through $285 billion worth 
of tax cuts. Ninety-five percent of working Americans would receive a 
tax cut through a refundable tax credit of up to $500 per worker that 
will be quickly distributed by reducing tax withholding from workers' 
paychecks. It will lower the taxes of more than 16 million families by 
increasing the child tax credit and expanding the earned income tax 
credit.
  This bill includes a number of provisions that will help businesses 
to create new jobs in this difficult economy. It will allow businesses 
to improve cash flow by allowing businesses to write off 90 percent of 
losses incurred in 2008 and 2009 against taxes assessed over the 
previous five years. In addition, it will help businesses expand by 
extending the increased bonus depreciation for businesses making 
investments in new plants and equipment in 2009. This legislation will 
help small businesses by doubling the amount they can deduct on their 
taxes for capital investments and new equipment.
  Through this comprehensive approach, we can begin to put the American 
economy back on the right track. We must approve the American Recovery 
and Reinvestment Act. We need to get America back to work and rebuild 
our economy.

                          ____________________