[Congressional Record Volume 156, Number 29 (Wednesday, March 3, 2010)]
[House]
[Pages H1069-H1071]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
AMERICA SAVES WEEK
Mr. SCOTT of Georgia. Mr. Speaker, I move to suspend the rules and
agree to the resolution (H. Res. 1082) supporting the goals and ideals
of the fourth annual America Saves Week.
The Clerk read the title of the resolution.
The text of the resolution is as follows:
H. Res. 1082
Whereas financial security is one of the most important
issues for most Americans, whether it involves saving for a
college education, an unforeseen emergency, a house, or for
retirement;
Whereas personal savings as a percentage of disposable
income has risen from 1.2 percent in the first quarter of
2008 to 4.8 percent in the fourth quarter of 2009, according
to the Bureau of Economic Analysis;
Whereas according to the Employee Benefit Research
Institute, the percentage of workers very confident about
having enough money for a comfortable retirement fell to 13
percent in 2009, down from 18 percent in 2008, and more
workers expect to work longer to supplement their income in
retirement;
Whereas older Americans are more likely to live within 200
percent of poverty than any other age group, according to the
2009 Employee Benefit Research Institute's Databook, and more
than 60 percent of the current elderly population relies on
Social Security for over three-fourths of their annual
income, according to a 2009 Social Security Administration
report;
Whereas the average savings of retirees remains at $50,000
according to the Federal Reserve Board's Survey of Consumer
Finances for 2007, and recent financial instability has
diminished those funds;
Whereas America Saves, managed by the Consumer Federation
of America, was established nine years ago as an annual
nationwide campaign that encourages consumers, especially
those in lower-income households, to increase their financial
literacy, enroll as American Savers, and establish a personal
savings goal in an effort to build personal wealth and
enhance financial security;
Whereas over 2,000 local, State, and national
organizations, including government agencies, financial
institutions, and non-profits, have motivated more than
245,000 people to enroll as American Savers through events
such as financial literacy classes, financial fairs, free tax
preparation assistance programs, and deposit campaigns; and
Whereas encouraging automatic and habitual savings is a
primary focus for this year's America Saves Week, February
21, 2010, through February 28, 2010, and that focus is
reflected in the work of the Financial and Economic Literacy
Caucus, America Saves, and American Savings Education
Council's Choose to Save Campaign: Now, therefore, be it
Resolved, That the House of Representatives--
(1) recognizes the importance of savings to financial
security;
(2) supports the goals and ideals of ``America Saves
Week''; and
(3) requests that the President issue a proclamation
calling on the Federal Government, States, localities,
schools, non-profit organizations, businesses, other
entities, and the people of the United States to observe
America Saves Week with appropriate programs and activities
with the goal of increasing the savings rates for individuals
of all ages and walks of life.
The SPEAKER pro tempore. Pursuant to the rule, the gentleman from
Georgia (Mr. Scott) and the gentlewoman from Illinois (Mrs. Biggert)
each will control 20 minutes.
The Chair recognizes the gentleman from Georgia.
General Leave
Mr. SCOTT of Georgia. Mr. Speaker, I ask unanimous consent that all
Members may have 5 legislative days within which to revise and extend
their remarks on the legislation and to insert extraneous materials
thereon.
The SPEAKER pro tempore. Is there objection to the request of the
gentleman from Georgia?
There was no objection.
Mr. SCOTT of Georgia. Mr. Speaker, I yield myself as much time as I
may need at this point.
I rise today in strong support of House Resolution 1082, which
supports the goals and ideals of the fourth annual America Saves Week,
which was held February 21 through February 28 of this year.
Mr. Speaker, the primary focus of this year's America Saves Week is
encouraging automatic and habitual savings, a great need at this time
in the history of our country. This is a theme that is reflected in the
work of our Financial and Economic Literacy Caucus; the Treasury's
Office of Financial Education; as well as the Financial Literacy
Education Commission; and Federal agencies and nonprofit community-
based groups, private sector organizations, the Consumer Federation of
America, and the Employee Benefits Research Institute and its American
Savings Education Council ``Choose to Save'' campaign, a wonderful
coalition
[[Page H1070]]
of great Americans who are focusing us on a great need today.
{time} 1715
Mr. Speaker, financial literacy is one of the most important issues
for Americans today, whether it involves saving enough money for our
children's college education, saving for an unforeseen medical or
family emergency, a house, maybe a car, or one's retirement.
The current economic instability in our Nation today highlights even
more to all Americans the necessity of having a savings plan, some
emergency savings, and the value of making savings automatic.
Research has found that there are higher- and middle- and lower-
income savers; and there are spenders, middle, higher, and lower, and
almost all have the ability to build wealth through contributions to
workplace retirement programs, building home equity, and other savings,
if nothing more than just a simple savings account starting at a very
young age for our children to get them in the habit of saving.
Older Americans are more likely to live within 200 percent of poverty
than any other age group, and more than 60 percent of the current
elderly population relies on Social Security for three-fourths of their
annual income. And what I find even more alarming, Mr. Speaker, is that
the average savings of retirees remain at $50,000, and the current
financial crisis is draining these funds every day; hence, the need to
help address the financial challenges that older Americans face.
To shed light on all of these shortcomings, as well as provide ways
to address them, America Saves, managed by the Consumer Federation of
America, was established 9 years ago as an annual nationwide campaign
that encourages consumers, especially lower-income households, to
enroll as American savers and establish a personal savings goal in an
effort to build personal wealth and to enhance financial security.
Nothing is more important than savings.
America Saves now has 53 local, State, and national campaigns working
with over 500 mainstream financial institutions that provide no-fee or
low-fee or low-opening-balance savings accounts that allow small savers
to achieve great success. Government and nongovernment entities at the
local, State, and national levels organize America Saves campaigns to
encourage individuals to open savings accounts, to participate in
workplace retirement programs, and to devise a good savings plan. As a
result of America Saves, over 1,000 local, State, and national
organizations have motivated more than 145,000 people to enroll as
American savers.
I am very pleased that Federal agencies, States and localities,
schools, nonprofit organizations, business and other entities, and the
people of the United States of America observe the fourth annual
America Saves Week with a goal of increasing the savings rate for
individuals of all ages and all walks of life.
So, Mr. Speaker, I want to take this opportunity to thank Chairman
Barney Frank and the staff of the Financial Services Committee for
their assistance in bringing this important resolution to the floor,
especially Rick Maurano and Tom Duncan.
I also want to express my sincere appreciation for all that my good
friend, Congresswoman Judy Biggert, has done. She has been at the
forefront of literacy for many years. In terms of her entire service
here in the Congress, Judy Biggert has been in a leadership role on
financial literacy and the importance of saving, and has worked over
the years to help improve the financial literacy rate of all
individuals across these United States at all stages of life. Mrs. Judy
Biggert certainly deserves our commendation. She and Congressman Ruben
Hinojosa cofounded and currently cochair the Financial and Economic
Literacy Caucus, of which I am a member.
Congressman Hinojosa could not be with us here today because
yesterday was the Texas primary. I am pleased to announce to all of us
that he won his primary yesterday. So congratulations to Congressman
Hinojosa, and we are glad to move on and carry this torch in his stead
today.
I also want to take this opportunity to thank Congresswoman Biggert's
staff, Nicole Austin and Zach Cikanek, as well as Chris Crowe on
Congresswoman Eddie Bernice Johnson's staff. The gentlewoman from Texas
(Ms. Eddie Bernice Johnson) has done an admiral job in pushing this
legislation and she deserves to be commended for all of her hard work
in this area, and what they all are doing, what we all are doing to
help the financial and economic Literacy Caucus attain its goals. This
is a tremendous bill for a tremendous purpose.
Mr. Speaker, I reserve the balance of my time.
Mrs. BIGGERT. Mr. Speaker, I yield myself such time as I may consume.
I thank the gentleman from Georgia (Mr. Scott) for his kind words and
all he does in the Financial Services Committee on this type of issue
and for his management of this resolution.
I rise today to join not only Mr. Scott but also my good friend, the
gentlewoman from Texas (Ms. Eddie Bernice Johnson), in support of this
year's resolution making the fourth annual America Saves Week. I am
pleased to join Congresswoman Johnson as a cosponsor of the resolution,
and I urge my colleagues to give it their full support.
Mr. Speaker, as most of my colleagues are aware, I have been working
for some years now to make financial literacy a top priority both in
the classroom and here on Capitol Hill. In 2005, I joined the gentleman
from Texas (Mr. Hinojosa), a cosponsor of today's resolution, to form
the Financial and Economic Literacy Caucus to help equip students and
consumers with the tools that they need to prosper in today's
sophisticated marketplace.
Since then, the term ``financial literacy'' has become an integral
part of our legislative lexicon, especially as the need for financial
literacy has become clearer than ever with more and more American
families relying on depleted savings to weather this period of
financial hardship. When it comes to preparing against economic
uncertainty, recognizing deceptive practices, building credit, or
making dozens of other day-to-day financial decisions, nothing protects
consumers and their financial security more effectively than arming
them, even as young students, with a sound foundation in financial
literacy, and that lesson begins with saving.
Sixty percent of preteens do not even know the difference between
cash, credit cards, and checks; and yet only 26 percent of students are
actively learning financial literacy from their parents. It is little
wonder why 10 million U.S. households remain completely unbanked or
without access to standard financial tools like a savings account. And
that is what makes initiatives like America Saves Week important. It
represents a special opportunity for financial leaders, from the FDIC
and the Federal Trade Commission to the University of Illinois and the
Jump$tart Coalition, to share important resources and lessons with
future savers who may be able to ride out the next financial downturn,
buy a home, or retire more comfortably thanks to the financial tools
they gained access to today.
As the text of today's resolution suggests, the national savings rate
has risen slightly as Americans spend more conservatively in the down
economy. But as we recover, the next step must be to help families set
goals, plan effectively, and invest wisely during those times when they
are most able to build an economic buffer against future needs.
Mr. Speaker, I would like to take a brief moment here to urge my
colleagues to consider joining the Financial and Economic Literacy
Caucus, if they haven't already, by contacting either me or my
distinguished cochairman, Mr. Hinojosa.
As my colleagues are aware, just last week, the FTC teamed with our
caucus to showcase consumer protection resources available to our
constituents across America. Now we are getting ready for another
exciting Financial Literacy Month, this April, with events and
briefings to help Americans of all ages educate themselves on how to
become more confident, savvy, and safe investors and consumers. I hope
every Member will be able to find time to participate or send staff to
learn more about how Members of Congress can help promote financial
literacy in their own way.
[[Page H1071]]
And I would also like to take a moment to honor a departed colleague
and friend, the late Congresswoman Stephanie Tubbs Jones. In previous
years, she championed this resolution in the House and was a strong
advocate for financial literacy through her career. I know that I am
not alone in saying that her presence is missed here on the House
floor.
Mr. Speaker, let me just say once again that I urge my colleagues to
join Congresswoman Johnson, Congressman Hinojosa, and me in supporting
this resolution and sound saving habits during America Saves Week and
throughout the year.
I reserve the balance of my time.
Mr. SCOTT of Georgia. Mr. Speaker, it is my pleasure to introduce to
you and yield to her such time as she may consume, the sponsor and
author of this bill, the gentlewoman from Texas (Ms. Eddie Bernice
Johnson), who has put in just a tremendous amount of work on this
effort. She is certainly to be commended for her hard work and
dedication to this issue.
Ms. EDDIE BERNICE JOHNSON of Texas. Mr. Speaker, I rise today in
strong support of H. Res. 1082, supporting the goals and ideals of the
fourth annual America Saves Week, which really runs from February 21
through February 28.
I want to take this opportunity to thank Chairman Frank for his
assistance in bringing this important and timely resolution to the
floor. I also would like to thank Congressman Hinojosa and
Congresswoman Biggert and Congressman Scott for their tireless efforts
for consumer protection and financial literacy.
America Saves was established 9 years ago as an annual nationwide
campaign that encourages consumers, especially those in lower-income
households, to increase their financial literacy, enroll as American
savers, and establish a personal savings goal in an effort to build
personal wealth and enhance financial security.
America Saves focuses on saving, a focus which creates a national
culture of financial responsibility, which is incredibly important in
these difficult economic times. I believe that a financially literate
public is a key component to having a strong and robust economy. We
really are only as rich as our poorest citizens.
Resolutions like America Saves promote broad-based financial literacy
initiatives and are absolutely necessary for the well-being of our
country. A recent survey done by the National Foundation for Credit
Counseling has shown that only 42 percent of adults say they keep close
track of their spending, and roughly 7 percent of the adult population,
or about 16 million people, don't know how much they spend on food,
housing, and entertainment.
Other statistics show even more distressing trends: 26 percent of the
adults, or 58 million people, admit to not paying all of their bills on
time, and 6 percent of the households carry credit card debt of $10,000
or more from month to month.
I am always surprised to hear statistics like this. It is alarming
because they are very simple things that people can do to save money
and lead more financially stable lives.
My father said to me when I was a little girl: Whatever you make,
large or small, save some of it. That really started me with a little
trend, so now for the last 40-plus years, I give a piggy bank to all
newborns of my family and friends so that saving money becomes an
institutionalized activity for small children.
{time} 1730
And there is some good news; personal savings, as a percentage of
disposable income, has risen from 1.2 percent in the first quarter of
2008 to 4.8 percent in the fourth quarter of 2009. And I might say, Mr.
Speaker, that that is one of the reasons why the economy is not that
great, because people are saving their money.
It is important to provide the public with education on financial
matters and developing unbiased and successful financial literacy
programs, and that will only increase in importance in the coming
years. I hold very frequent summits and workshops on financial literacy
with adults throughout the Dallas area, and our Dallas Independent
School District has made it now a part of the curriculum. So I want to
acknowledge and thank all the people involved.
Again, I would like to acknowledge former Congresswoman Stephanie
Tubbs Jones, who worked hard to improve the overall economic situation
for all those residing in the United States.
Mr. Speaker, I believe that together we can continue to make a
difference and help empower people to take control of their financial
lives. I thank you, I thank all of the people involved.
Mrs. BIGGERT. I reserve the balance of my time.
Mr. SCOTT of Georgia. Mr. Speaker, I would like to yield 3 minutes to
the distinguished gentleman from Indiana, Mr. Andre Carson.
Mr. CARSON of Indiana. Thank you, Representative Scott.
Mr. Speaker, I come to the floor in support of House Resolution 1082,
supporting the goals and ideals of the fourth annual America Saves
Week.
The economy in the last couple of years has increased everyone's
awareness of the need to take control of their personal finances.
Rather than spending more than they have coming in, households are
making a concerted effort to save.
Learning to be a disciplined saver is the key to building wealth. It
really does not make a difference how much your paycheck is each month
if you're not saving a portion of it for the future. Most importantly,
we should be able to teach our kids how to save. They should be able to
understand the concept of money and investment in early childhood. This
will prepare them to learn money management, especially as they grow
older and begin to think about credit cards, car loans, and mortgages.
I also have legislation that will provide grants to programs and
financial literacy education for young adults and families, as it is of
utmost importance we begin the financial literacy learning process
early in life. I applaud this resolution's core principles.
Mrs. BIGGERT. Mr. Speaker, having no further requests for time, I
would just, in closing, say I urge my colleagues to support this
resolution.
I yield back the balance of my time.
Mr. SCOTT of Georgia. Mr. Speaker, having no further requests for
time, I yield back the balance of my time, and I would urge a positive
vote on this very, very important and timely legislation.
The SPEAKER pro tempore. The question is on the motion offered by the
gentleman from Georgia (Mr. Scott) that the House suspend the rules and
agree to the resolution, H. Res. 1082.
The question was taken; and (two-thirds being in the affirmative) the
rules were suspended and the resolution was agreed to.
A motion to reconsider was laid on the table.
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