[Congressional Record Volume 155, Number 46 (Tuesday, March 17, 2009)]
[Senate]
[Pages S3129-S3130]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                       AIG BONUSES AND THE BUDGET

  Mrs. BOXER. Mr. President, I rise to talk about a couple issues. The 
first is to add my voice to the outrage over the bonuses to people who 
to say don't deserve it is an understatement. I used to work on Wall 
Street a very long time ago. You got a bonus when you did something 
good, when you brought business in, when you did well for the company, 
not when you brought the company down. It is disgusting, disgraceful. 
We are hearing outrage from all quarters of society, which means we are 
going to do something about it. I wanted to make sure I am on the 
record as saying the bonuses ought to be returned voluntarily and, if 
not, they ought to be taxed as close to 100 percent as we can get. I 
will be supporting that.
  It is time to change the culture in corporate America. If you are 
going to turn to taxpayers for help, then don't squander their money. 
Work to pay it back as fast as you can and get back on your own. It is 
such an obvious point. I wish to praise the President for being clear 
on this point.
  I also came to talk about the upcoming debate we will be having on 
the budget. I was a long-time member of the Budget Committee and then 
moved off to take other assignments. But I have always respected the 
work of that committee because the budget is truly a roadmap to the 
priorities of a nation. When we look at a budget, surely there will be 
certain items in it we may not want to agree with. We may want to trim 
it here and there. I don't agree with everything in the Obama budget. 
There are a few I will work to change. In general, at this time when we 
are suffering so economically, the priorities laid out are good for 
America and good for the State of California. I wish to talk about a 
couple of these priorities.
  We know the Obama administration inherited an economic nightmare from 
George Bush's administration: 4.4 million jobs lost in the last 14 
months; an unemployment rate that is soaring--in my State it is in 
double digits--12.5 million Americans unemployed, and a Federal debt 
that is going upward very quickly.
  What is so interesting to me is that when Bill Clinton handed over 
the keys to the White House to George W. Bush, our budget was actually 
in a surplus. We actually had discussions in my household about the 
fact that the debt is going down so fast, we may not have the 
opportunity to buy any more Treasury bonds. Let's not forget what 
happened in 8 years. A budget surplus turned into outrageous deficits. 
The economy took a terrible turn for the worse. The debt began to soar.
  Now we have a new President who ran on a platform of change. As I 
watch my colleagues on the other side of the aisle, save a few, they 
are fighting for the status quo. My belief is, if you fight for the 
status quo, that is not a passive act. It is a hostile act. Because the 
status quo has to change so we can relieve some of the pain in America. 
What President Obama does with this budget, very wisely, is to continue 
the economic stimulus he started with his economic stimulus bill.
  He focuses on three priorities: education, health care, and clean 
energy. Everyone knows--and I know my friend in the chair has a young 
son--what President Obama said is true. Countries that outteach us 
today will outcompete us tomorrow. His young son and my grandchildren, 
if they don't get the education they deserve, will not have a chance to 
get that dream we had the opportunity to get in our generation. For 
every dollar invested in education, there is a $4 to $9 return in 
higher earnings, higher employment rates, less crime, less welfare, and 
in better health. The Obama plan will double the number of children 
served by Early Head Start and will expand Head Start. He will provide 
resources

[[Page S3130]]

to reward effective teachers and effective principals. He will increase 
the capacity of our young people to go to college on Pell grants. When 
we have a President who invests in education, we know we should support 
him because every dollar we invest comes back ninefold.
  Then the President invests in health care. We know the biggest cause 
of bankruptcy in America is when a family is hit with a catastrophic 
health problem and they are uninsured or their insurance is capped. We 
know premiums have grown four times faster than wages in the last 8 
years. Our President is going to finally take on the issue of health 
care. We should stand with him. Does that mean we will support every 
little thing he recommends? It may not. We may agree on 90 percent. But 
we will move on health care because not to do so, again, is a hostile 
act because the current situation is unsustainable. The cost to 
families today is unsustainable. The fear families have--what if 
somebody gets a catastrophic illness, what will happen--is 
unforgivable.
  Lastly, we see our President investing in clean energy. What he is 
doing is looking at the future and recognizing that the old energy is 
not going to sustain us. If we want to lead the world, we have to do 
what Thomas Friedman suggests in his book ``Hot, Flat, and Crowded''--
step out and invent the new clean energy technologies. In doing that, 
we will lead the world in green jobs. We will lead the world in 
exports. If we adopt the cap-and-trade plan that is recommended by our 
President, we will see a robust economy because, once you put a price 
on carbon, all the other alternatives come up behind it, and it will 
lead us out of this economic morass.
  I believed it important to come to the Chamber today to speak to 
these two issues. We cannot abide by the outrageous bonuses in a 
company led by people who took the company down. We can't abide by 
that. In addition, we need to work with our new President and bring 
about the change he promised in his campaign. That change is reflected 
in his budget.
  I yield the floor.

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