[Congressional Record Volume 156, Number 51 (Tuesday, April 13, 2010)]
[Senate]
[Pages S2216-S2218]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
EXTENDING UNEMPLOYMENT COMPENSATION
The ACTING PRESIDENT pro tempore. The Senator from Illinois.
Mr. DURBIN. Madam President, pending before the Senate is the
question of whether we are going to extend unemployment compensation to
the unemployed across our Nation. It is an issue which recurs in the
Senate with some frequency, and it baffles me why we continue to argue
over this question. We have 8 million people actively unemployed and
another 6 million long-term unemployed people. We know many of them
have lost their jobs because of this recession through no fault of
their own.
If my colleagues have taken the time, as I have, to meet with these
people, they know they are in desperate straits. There are
approximately 4 or 5 unemployed people in America for every available
job. When I sit down and listen to the stories of how they are applying
online for job after job after job--a great week for them is if one or
two potential employers even follow through with an e-mail of inquiry
about their background. It is a frustrating, fearful existence, and it
is one that is made no easier by the actions of the Senate.
We have been lurching from month to month, creating uncertainty as to
whether we are going to send these people a check to live on--a basic
unemployment benefit check of some $300 a week. Consider how any of us
could survive, and even some with families, with that meager amount of
money. The argument is made on the other side of the aisle by many that
when you give people $300 a week--$1,200 a month--it just makes them
lazy and they stop looking for jobs. I wonder how many in this Chamber
could live on $300 a week for everything--rent, utilities, maybe a
mortgage payment, school clothing, kids' shoes, food--the basics. And
don't forget that most of these people, when they lost their jobs, also
lost their health insurance. So they live not only in fear of not
finding a job but in fear that tomorrow morning a diagnosis or an
accident can devastate everything they have ever saved for in their
lives. Yet every 4 or 5 weeks we go through this drill on the floor of
the Senate about whether we are going to help these people.
Some on the other side of the aisle say this is all about the
deficit. We have to get serious about this deficit, and here is our
opportunity: unemployment benefits for those unemployed across America.
This is where we will make our stand for fiscal sanity. Where were they
when the last President asked us for a bank bailout of $800 billion?
How many on that side of the aisle were saying to President Bush: I am
sorry, we can't bail out banks because we have a deficit. I don't
remember hearing that argument. When it came to bank bailouts, the
other side of the aisle, by and large--not all of them but by and
large--voted for hundreds of billions of dollars for banks in distress.
But when it comes to unemployment compensation to help families in
distress, then we have to really consider this deficit.
I am troubled by this. We know that when natural disasters strike our
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States, we rally to the victims. We rally to their needs and we say:
Take care of the immediate challenge. We will deal with the budgetary
issues at the appropriate time, but let's take care of the emergency.
Yet when it comes to unemployment compensation and health insurance for
the unemployed, many on the other side of the aisle don't consider that
an emergency. It would be an emergency if they had to live on $300 a
week and it was cut off. It would be an emergency if they had no health
insurance. Why do we do this? I think we are a better Nation. We should
be a better Senate than to turn our backs on people truly in need, and
that is what is going on here.
We have to urge our colleagues to come forward with amendments, if
that is what they want, offer the amendments and debate them, which is
their right in the Senate.
But then let's get on with it. Let's have a final vote. Let's give
some security and peace of mind to the people who have lost their
unemployment benefits because of the objections of one Senator. That is
right. One Senator stood and objected and 21,000 Americans lost their
unemployment benefits last week; 21,000 will lose them this week, and
in my State 16,000 a week are falling off unemployment, 16,000 people
who will not receive that $300 check.
What are they going to do? Well, I think we should respond to this
need immediately, and we ought to take into consideration the fact that
when it comes to this recession, there are some positive things, some
good news, not nearly enough of it. Too many people still unemployed.
The unemployment figures, though very slightly better, show at least
we are moving on the positive side of the ledger. We need to do so much
more. Every single Senator on the other side of the aisle who is voting
against unemployment benefits also voted against President Barrack
Obama's efforts to put money into our economy and bring us out of this
recession. It is starting to work. I hope it works soon.
We know what this devastation did to us. We lost some $17 trillion in
value across America because of this recession. That is more than 1
year's gross domestic product, the sum total value of all the goods and
services produced in America in 1 year. We lost that in this recession.
Many of us felt it personally in our savings accounts and retirement
accounts. A lot of people felt it as their businesses strained and some
failed. Others felt it when they lost their jobs and had no place to
turn--$17 trillion dragged out of this economy.
The President came in and said: Let's put a stimulus bill in, a bill
for reinvestment in America. First, let's give a tax cut, the largest
tax cut to working families that we have seen in recent times. Then
let's provide a safety net for those who lost the jobs and State and
local governments still struggling and, finally, let's invest in some
projects that we will build for America's future: school construction
and highways and airports and a variety of things.
I went to Spring Valley, IL, over the break. It is a small town. But
they were celebrating because $4\1/2\ million from the President's
stimulus package was going to make it to Spring Valley, IL, to build
sewer lines which they have needed for decades.
As we had a press conference in this tiny town, where a weekly
newspaper and radio station showed up, there were people lining the
streets in front of their homes saying: Thank you. Our homes have been
flooded out every time we have had a serious rainfall in this town. Now
we are going to have storm sewers here, and local people are going to
work to build them. The jobs are not going to be exported. The jobs are
going to be right here in America, good-paying jobs.
So those investments are going to pay off for Spring Valley, for
Illinois, and for this Nation for a long time to come. When it came
right down to it, only a handful of Republican Senators would even help
us pass that important measure.
After this, we are going to have the financial regulatory reform
bill. It is going to be a fight because, you see, the very banks and
financial institutions which dragged us into this recession are
fighting tooth and nail to stop the reform and regulation we need to
avoid a repeat of this crisis.
Shame on us if, at the end of the day, we do not put enough oversight
and regulation into law to protect Americans from another recession
such as this one. A lot of mistakes were made. Some were made by
government, but a lot were made by the private sector which, in their
excitement and greed, got involved in some policies which were
indefensible.
We have read now--there are more and more books coming out analyzing
this situation--that many financial institutions took advantage of the
opportunities presented to them. They took advantage of a lot of
people.
One of the important parts of financial regulation is to make sure we
are going to have a cop on the beat, a consumer protection agency. Oh,
the business interests are howling over this. The banks are howling
over this notion that we would have an agency that literally looks out
for the consumers of America. Have you ever been through a real estate
closing with a stack of papers about this tall and they turn the corner
of each of the pages and say: Keep signing. About 20 minutes from now,
we are going to hand you a check and that home will be yours.
About halfway through you pause and you say: What am I signing?
Oh, standard forms. The government requires it. Just a lot of
paperwork. Keep rolling.
Off you go. Buried in one of those papers may be language that could
destroy you financially. I am not making this up, because prepayment
penalties on mortgages trapped a lot of people into these exploding
subprime mortgages and they could not get out. They lost their homes,
they lost their savings, they lost everything, and they filed for
bankruptcy because of one sentence in one form in a stack of papers
pushed at you at a real estate closing.
Is it too much to ask that we have one agency of government, one
agency that keeps an eye out for those tricks and traps which lure
people in and can destroy them financially? How many of us have taken
the time with our monthly credit card statement to flip it over and
read the back page, that faint print, tiny line after tiny line that is
almost impossible, even for someone who went to law school, to
understand?
Virtually none of us do that. How many of us take a careful look at
those letters you get from the credit card companies which kind of
announce maybe the interest rate is going up?
Well, the fact is, even those with good education, even with business
backgrounds, we might struggle to understand what all this means. The
terms keep changing. Is it not appropriate we have at least one agency
of government that steps back and says: This should not be allowed.
This violates public policy.
The Consumer Product Safety Commission makes sure the toaster you
bought at the store is not going to catch fire in your kitchen. The
Food and Drug Administration makes sure the food you buy at the store
is safe to eat. They make sure the pills you bought through the
pharmacy are going to be safe and effective. Is it too much to ask that
we have one agency, one watchdog oversight agency, that takes a look at
all the financial information that is thrown at American families and
businesses every single day?
My old friend, Dale Bumpers, former Senator from Arkansas, had a
saying that applies here. They say, of the financial institutions and
consumer protection, they hate this like the devil hates Holy water.
The notion that there would be one agency looking out for consumers
and families across America when it comes to financial instruments,
credit card applications and mortgages, that, to me, is very basic. I
am working on several amendments with my colleagues on financial
regulatory reform that Senator Kay Hagan from North Carolina and I are
interested in. She is going to take the lead on an issue she worked on
in North Carolina in the legislature; that is, these payday loans,
title loans, same day loans. These are awful.
The States that try to regulate them find that no matter how they
write the law, within a matter of days, these organizations and
companies find a way to scoot around it, to charge people
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outrageous interest rates for small loans which most of them default on
because it is impossible to pay back. They roll over and roll over and
finally they cannot pay them. Then they face foreclosures and the kind
of seizures of property that many of us are aware of. That, to me, is
an outrage.
Years ago, Senator Talent, a Republican from Missouri, heard from the
Pentagon that these payday loan operations, those fly-by-night loan
operations, were undermining our military because they were parking
themselves outside military installations and making these loans. When
our men and women in uniform got dragged into them, they became
financially insolvent to the point where some had to leave the
military, they were so broke.
So we made it a matter of policy across the United States that these
predatory lenders could not lend money to military families. We said:
As a matter of law and national security, we were going to stop their
business with military families. But we did not protect the rest of
America, and we should.
Senator Hagan has an amendment to deal with that. Senator Sanders of
Vermont is going to address the issue of what is a fair interest rate
in America. Should there be a limit? I think there should. I do believe
there should be. I have my own bill. He has his. Between us, we hope
one of them will pass, to establish that at least there is a limit to
how much you can be charged in interest on a loan you take out.
This is a critically important bill that is going to come up soon.
Senator Dodd, of Connecticut, has done a great job. He is the chairman
of the Banking Committee. He will be bringing this bill to the floor.
So far we have had no Republican support. There have been some
indications in the media recently that they are now interested in the
bill. We welcome them if they want to come on board and help us pass
it.
But if they do not, if they want to stand for these financial
institutions, to just say no when it comes to reform and regulation,
then that is a debate worth engaging in.
I yield the floor.
The ACTING PRESIDENT pro tempore. The Senator from Rhode Island.
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