[Congressional Record Volume 155, Number 54 (Tuesday, March 31, 2009)]
[Senate]
[Pages S4104-S4105]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]


                        FINANCIAL LITERACY MONTH

  Mrs. SHAHEEN. Mr. President, I ask unanimous consent that the Senate 
proceed to the immediate consideration of S. Res. 94, submitted earlier 
today.
  The PRESIDING OFFICER. The clerk will report the resolution by title.
  The bill clerk read as follows:

       A resolution (S. Res. 94) designating April 2009 as 
     ``Financial Literacy Month.''

  There being no objection, the Senate proceeded to consider the 
resolution.
  Mr. AKAKA. Mr. President, I rise in support of a resolution to 
designate April as Financial Literacy Month. First, I would like to 
thank my cosponsors, Senators Dodd, Crapo, Kennedy, Enzi, Hagan, 
Corker, Levin, Wicker, Schumer, Inouye, Menendez, Durbin, Stabenow, 
Johnson, Cardin, Carper, Lincoln, Murray, and Gillibrand. As in past 
years, I am once again pleased to work with my colleagues on both sides 
of the aisle to promote financial literacy for people of all ages 
across America.
  This resolution highlights the need to promote financial literacy in 
our homes, schools, workplaces, and communities. Education in personal 
finance means empowerment, because it can provide people with the tools 
they need for sound decision-making and future economic opportunities. 
Unfortunately, many individuals do not understand even the basics of 
our increasingly complex economic system. Although much continues to be 
done to provide Americans with an education in personal finance and 
economics, a number of troubling indicators show that many people are 
not equipped to negotiate financial choices.
  For instance, according to the Jump$tart Coalition for Personal 
Financial Literacy, many students who graduate from high school lack 
basic skills in the management of personal finances such as the ability 
to effectively balance their checking account. The average score of 
high school students in the Department of the Treasury sponsored 2008 
National Financial Literacy Challenge was a 56 percent--an ``F.'' While 
some States have begun to recognize the need for economic or personal 
finance in their curriculum, according to a 2007 ``Survey of the 
States'' compiled by the Council for Economic Education only 22 States 
require an economics test as a high school graduation requirement. We 
must do more to invest in financial literacy now for our young men and 
women in order to ensure a knowledgeable, prosperous generation of 
future American leaders.
  On the other end of the spectrum, the 2008 Retirement Confidence 
Survey conducted by the Employee Benefit Research Institute found that 
the percentage of workers who were ``very confident'' about having 
enough money for a comfortable retirement decreased sharply, from 27 
percent in 2007 to 18 percent in 2008. This is the biggest 1-year 
decline in the 18-year history of the survey. To further illustrate 
this problem, approximately 76 million adults say they do not have any 
nonretirement savings, according to the National Foundation for Credit 
Counseling. These findings suggest a serious problem exacerbated by the 
fact that most workers have not calculated how much they need to save 
for retirement, even if they believe they are behind schedule in their 
retirement savings.
  Increased financial and economic literacy can help people navigate 
around the countless pitfalls that confront working families. In 
September 2008, consumer bankruptcy filings in the United States 
increased more than 30 percent from the same period in 2006, and there 
were more than 1,000,000 personal bankruptcy filings in the United 
States in 2008, according to the Administrative Office of the United 
States Courts. This was the highest personal bankruptcy mark since 
bankruptcy laws were amended in 2005. The current market turmoil 
underscores the critical need for improved financial literacy in the 
United States.
  As leaders and policymakers, we need to champion financial literacy 
efforts year round. However, identifying April as Financial Literacy 
Month will allow us to focus our attention on this critical issue. We 
must continue to address financial literacy by educating Americans of 
all ages throughout their lifetime to better protect consumers and 
expand access to economic empowerment opportunities. Once again, I 
thank my colleagues for their support of this resolution.
  Mrs. SHAHEEN. Mr. President, I ask unanimous consent that the 
resolution

[[Page S4105]]

be agreed to, the preamble be agreed to, the motions to reconsider be 
laid upon the table, and that any statements relating to the resolution 
be printed in the Record, without further intervening action or debate.
  The PRESIDING OFFICER. Without objection, it is so ordered.
  The resolution (S. Res. 94) was agreed to.
  The preamble was agreed to.
  The resolution, with its preamble, reads as follows:

                               S. Res. 94

       Whereas, in September 2008, consumer bankruptcy filings in 
     the United States increased more than 30 percent from the 
     same period in 2006, according to the Administrative Office 
     of the United States Courts;
       Whereas there were more than 1,000,000 personal bankruptcy 
     filings in the United States in 2008, the most since 
     bankruptcy laws were amended in 2005, according to the 
     Administrative Office of the United States Courts;
       Whereas, according to a 2008 ``Flow of Funds'' report by 
     the Federal Reserve, the net worth of households in the 
     United States fell for the 4th consecutive quarter, dropping 
     $2,800,000,000,000, the largest decline in the 57-year 
     history of the report;
       Whereas, according to a 2008 ``Flow of Funds'' report by 
     the Federal Reserve, household debt in the United States 
     reached $14,000,000,000;
       Whereas the 2008 Retirement Confidence Survey conducted by 
     the Employee Benefit Research Institute found that the 
     percentage of workers who were ``very confident'' about 
     having enough money for a comfortable retirement decreased 
     sharply, from 27 percent in 2007 to 18 percent in 2008, the 
     biggest 1-year decline in the 18-year history of the survey;
       Whereas the Department of the Treasury sponsored the 2008 
     National Financial Literacy Challenge, an examination testing 
     knowledge of high school students of important personal 
     finance concepts;
       Whereas the average score on the examination was an ``F'', 
     only 56 percent;
       Whereas the 2007 ``Survey of the States'' compiled by the 
     Council for Economic Education found that only 22 States 
     require an economics test as a high school graduation 
     requirement, 3 fewer than in 2004;
       Whereas many students who graduate from high school lack 
     basic skills in the management of personal financial affairs 
     and are unable to balance a checkbook, according to the 
     Jump$tart Coalition for Personal Financial Literacy;
       Whereas, according to the National Foundation for Credit 
     Counseling, fewer than half the people in the United States 
     accessed their credit report in 2008, despite the fact that 
     such report can be obtained for free and contains critically 
     important information for consumers;
       Whereas approximately 76,000,000 adults say they do not 
     have any non-retirement savings, according to the National 
     Foundation for Credit Counseling;
       Whereas expanding access to the mainstream financial system 
     will provide individuals with less expensive and more secure 
     options for managing finances and building wealth;
       Whereas quality personal financial education is essential 
     to ensure that individuals are prepared to manage money, 
     credit, and debt, and to become responsible workers, heads of 
     households, investors, entrepreneurs, business leaders, and 
     citizens;
       Whereas increased financial literacy empowers individuals 
     to make wise financial decisions and reduces the confusion 
     caused by an increasingly complex economy;
       Whereas a greater understanding of, and familiarity with, 
     financial markets and institutions will lead to increased 
     economic activity and growth;
       Whereas, in 2003, Congress found it important to coordinate 
     Federal financial literacy efforts and formulate a national 
     strategy; and
       Whereas, in light of that finding, Congress passed the 
     Financial Literacy and Education Improvement Act of 2003 
     (Public Law 108-159; 117 Stat. 2003) establishing the 
     Financial Literacy and Education Commission and designating 
     the Office of Financial Education of the Department of the 
     Treasury to provide support for the Commission: Now, 
     therefore, be it
       Resolved, That the Senate--
       (1) designates April 2009 as ``Financial Literacy Month'' 
     to raise public awareness about--
       (A) the importance of personal financial education in the 
     United States; and
       (B) the serious consequences that may result from a lack of 
     understanding about personal finances; and
       (2) calls on the Federal Government, States, localities, 
     schools, nonprofit organizations, businesses, and the people 
     of the United States to observe the month with appropriate 
     programs and activities.

                          ____________________