[Congressional Record Volume 156, Number 107 (Tuesday, July 20, 2010)]
[House]
[Pages H5804-H5810]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
FAILED POLICIES OF PREVIOUS ADMINISTRATION
The SPEAKER pro tempore. Under the Speaker's announced policy of
January 6, 2009, the gentleman from Michigan (Mr. Schauer) is
recognized for 60 minutes as the designee of the majority leader.
Mr. SCHAUER. Mr. Speaker, it's an honor to be here to address the
House of Representatives, to address the people of America, especially
to address
[[Page H5805]]
the people of Michigan. No State has suffered more under the failed
policies of the previous administration than the people of Michigan.
We are very resilient people, and I will say, for my colleagues to
understand, and for everyone watching, the people of Michigan and
Michigan's economy, never came out of the last economic recession.
This, and as a first-term Member of Congress, I remember being sworn
in just about a year and a half ago, and it was that time, this was
January of 2009, that we learned that our economy had been in recession
for a full year, for a full year.
So my freshman colleagues and I, regardless of what side of the aisle
they come from, all walked in to a year into the deepest economic
recession since the Great Depression. The closest thing I can remember
was when I was in college in the early 1980s, not being able to find a
job, and it was very, very difficult at that time. But that's the story
of many in Michigan. It has hit my family just like practically every
family in America.
So what I am here to talk about this evening, and I will be joined by
some of my Democratic colleagues, is really where are we in America
with our economy? What is the policy direction that we should be going
in? What is the choice for America?
This is the body, this is the people's House, where we discuss and
debate these choices, and the American people hear what my Republican
colleagues say and there isn't necessarily a complete partisan
difference, I don't want my constituents to feel that, because I always
look for that common ground.
But I think the choice is very clear: Does America and our economy,
our fragile economy, that is recovering, continue to move forward and
dig out of this economic hole, this economic mess that we are in, or do
we go backwards?
I would like to share a quote, and I am hoping that people can see
it, and this is a statement that one of my Republican colleagues made,
one of the Republican leaders. He was on one of the Sunday morning talk
shows. I don't get to watch these very often. I guess some of my
constituents and the American people do, but this is one of the
national shows, ``Meet the Press,'' this Sunday, July 18.
The host of the show said ``I think what a lot of people want to know
is if Republicans do get back into power, what are they going to do?''
And I think the American people deserve to know that, because we have a
new President that has helped us move in a new direction, we have a
Congress that I am a part of, that the Democrats control, that is
working to move us in a new direction.
But Congressman Pete Sessions of Texas said, here is his quote, ``We
need to go back to the exact same agenda.''
Well, that is the choice. Do we, as the House of Representatives, as
a Congress, go back to those exact same policies that created this
economic catastrophe, or do we move in a new direction, do we continue
in the direction that we are going in?
Now, I want to be clear that as a Member from Michigan, where our
unemployment rate is still slightly over 13 percent, in my district in
south central Michigan it's slightly under the State average, but we
are gradually digging out of this hole. Or do we want to go back to the
policies that created this economic catastrophe? These are very, very
important questions, and what I have been working on, my Democratic
colleagues and I have been working on, is addressing the problems that
created this economic catastrophe, and it is a catastrophe.
I will tell you a personal story. My son-in-law, a journeyman
electrician, a trade that, you know, should guarantee you employability
for sure for life, with intermittent unemployment, I understand, that's
the nature of that business, he was unemployed for the better part of a
year. He is married to our oldest daughter, who is a nurse. They had a
baby. She was on maternity leave, and our son-in-law, Paul, living in
Ypsilanti, just outside of Ann Arbor just east of my district, was laid
off from the steel mill where he had been employed for some time, for
the better part of a year. Unfortunately, that's the story that's the
result of economic policies that this Congress inherited.
But why did this happen? Unfortunately, there was an ideology under
the former administration that said, you know, we need to let the
marketplace regulate itself.
Well, I remember about a month or so before the last election, even
Alan Greenspan, the former Federal Reserve Chairman, said, I was wrong.
I thought Wall Street, I thought the markets could regulate themselves.
We saw the meltdown that resulted from that, a gambling mentality on
Wall Street that played a cruel game that affected millions of
families, and it was a game of heads I win, tails you lose, gambling
irresponsibly with the retirement savings of the American people.
So this week, this week, the President will sign a landmark Wall
Street reform bill that will crack down on the big banks, that will
protect consumers, and this is perhaps the biggest consumer protection
legislation in decades, and it will bring greater economic security to
families and small businesses across our country.
And my wife and I own a small business. She runs a business, it's her
business, she employs three people. She is thinking about employing
another person, probably part-time. That's the story of America, and
it's businesses that went bankrupt during this Wall Street meltdown and
families that lost their homes, but this Wall Street reform bill puts
in place the strongest consumer protections in history, with an
independent watchdog whose sole purpose is to enforce those protections
and look out for the American consumer.
So, let's go back to what Alan Greenspan said. He said that I thought
the markets, I thought Wall Street could regulate itself. I was wrong.
{time} 2040
Now, my colleagues on the other side of the aisle somehow are trying
to convince the American people that this legislation is somehow, to
use their words, another ``bailout.'' Well, we saw the bailout that
resulted from the Republican philosophy of deregulation. We saw the
almost complete meltdown of our economy, and we saw the results of that
and this mentality. And it's a similar approach to protecting the
environment that has resulted in this catastrophic oil spill, the BP
oil spill in the Gulf of Mexico. But the reforms in this Wall Street
reform bill will protect consumers when they take out a mortgage or
sign up for a credit card. It will prevent the kind of shadowy deals
that led to this crisis and will never again put taxpayers on the hook
for Wall Street's mistakes.
Now, let's talk about this bailout. And I want to be clear to my
constituents at home, I said when I was running for office I never
would have supported that bailout. And when I had to vote, and a number
of us took this position, voted against the second part of this
bailout, but the problem with the bailout was that it put more money in
the hands of the big banks that actually caused the economic collapse
in the first place. Those big Wall Street banks refused to lend to
small manufacturers, tool and dye shops, machine shops, auto suppliers,
those businesses that I work with every day in my district that are
diversifying into renewable energy technology, life sciences
technology, defense technology, and so many ways to create jobs. But
these big banks even that were bailed out wouldn't lend to them.
So under this Wall Street reform legislation, the American people,
the taxpayer will never be stuck with a tab again, never under any
Democratic legislation that finally passed the Senate, and I will
commend some of my Republican colleagues in the Senate that saw that
that was the right thing to do for the American people.
Despite the benefits the American people will enjoy from these
reforms, the Republican leader in the House is already calling for its
repeal. So even before the President has signed this bill, which he
will do this week, the Republican leader in the House of
Representatives has called for its repeal. But let's be clear, America
cannot afford to go backwards to the days when our financial laws were
written by the corporate lobbyists. And the fact of the matter is that
corporate lobbyists, the Wall Street banks and their lobbyists were
huddling with Republican leadership as the House was taking up this
legislation, actually trying to kill this legislation, devising a plan,
coming up
[[Page H5806]]
with language trying to fool the American people that this historic
Wall Street reform legislation was another bailout when it couldn't be
anything further from the truth. Failure to act would doom us to repeat
the same kind of economic catastrophe that the failed policies of the
Bush administration created in the first place.
So to move forward, we not only need to demand greater accountability
from Wall Street. We need to help those people who are struggling on
Main Street, those folks who are facing the loss of their home, the
loss of their business, looking for capital, for basic loans to expand
their businesses. That's why the President and Democrats in the House
of Representatives are fighting to provide emergency relief to American
workers who have been laid off in this recession due to no fault of
their own.
It is tragic that millions of workers--and 23,000 in my district
alone in south central Michigan--are facing losing their unemployment
benefits by the end of this year. And talk about a failed ideology,
even John McCain's own economist told us--us collectively, the American
people, Members of Congress--that for every dollar of unemployment
insurance--and it is insurance. It is a form of insurance, unemployment
insurance. For every dollar of unemployment insurance that is provided
to a family of a laid off worker, there is $1.61 in economic impact.
So not only were the Republicans holding hostage families who are
losing their unemployment benefits in a tough economy, in a recession
caused by the failed policies of the Bush administration, but they were
also holding our economy hostage, where these unemployment benefits of
about--it's less than the wages that people were earning, but those
dollars were actually being put into local grocery stores, local gas
stations, local businesses. And for every dollar of unemployment
benefits, there was $1.61 of economic impact. But those emergency
benefits for American workers are in jeopardy because those same
Republicans who didn't have any problem spending hundreds of billions
of dollars on tax breaks for the wealthiest Americans are now saying we
shouldn't offer relief to middle class families who really need help.
So we have an economic storm, and the choice is a very clear one: Do
we rebuild our economic foundation for a stronger future or do we
return to the failed policies of the previous administration?
Let's have a little history lesson here. When I came to office a year
and a half ago, when Barack Obama came to office a year and a half ago,
our economy was losing an average of 750,000 jobs each month; 750,000
jobs each month were being lost in this economy. During the last 5
months of the Bush administration, our economy lost an average of
almost 640,000 jobs. In the last 5 months, we have added an average of
174,000 jobs a month. So let's do the comparison.
Now, I don't want to give anyone in my district or in my State in
Michigan the idea that we are anywhere where we need to be from an
economic standpoint. Nationally, the unemployment rate is still 9.5
percent. We are digging out of this hole. We've got a long way to go.
But if you look at during the last 5 months of the Bush administration,
our economy lost an average of almost 640,000 jobs. In the last 5
months, our Nation's economy has added an average of almost 174,000
jobs. So if my math is right, that's a swing of almost 800,000 jobs,
almost 800,000 jobs a month net increase.
Let's talk about our Nation's economic health as a whole. During the
last quarter of the Bush administration, the economy shrunk by over 5
percent, almost 5.5. Almost 5.5 percent our economy was shrinking.
Hello. I think we really need to take stock--and I heard it earlier
today in the House of Representatives, my Republican colleagues, their
mantra is, ``Where are the jobs?'' Well, I don't know if they were
asking that question in January of 2009, or 1 year prior to that when
the recession began or when the economy collapsed because of Wall
Street's behavior. So where was the hue and cry when our economy was
shrinking by almost 5.5 percent and we were losing, on average, 640,000
jobs a month?
Now, during the last three quarters, so the last 9 months, there has
been economic growth. The most recent economic growth is 2.7 percent.
It's not enough, it's not nearly enough, but we are seeing the economy
gradually beginning to rebound.
{time} 2050
But the question is: Which path do we take?
The choice is very clear to me. What I have seen in my own district
in south central Michigan--and we have seen it all over the State--is a
transformation of our economy.
Now, what I have told the President of the United States personally
and have told some of his chief economic advisers is that our recovery
has one hand tied behind our back. One of the biggest reasons is that
the big Wall Street banks have refused to lend to businesses, to
manufacturers. A lot of these are small automotive suppliers, suppliers
in the aviation and aerospace industries and the defense industry.
I told a story on the House floor about a bank in my district--
Citizens Bank. I'll mention it again--that had had a relationship for
many years with a company in my district, RTD Manufacturing. This
company won an Army contract. It won an Army contract to build a
bracket to go on a mine resistant vehicle, an MRAP, in Afghanistan, to
protect our warfighters. This bank would not make the loan. Their loan
officer said that they would be fired if they made a loan to a Michigan
manufacturer. This was a bank that was bailed out by the taxpayers.
So our recovery would be much further along if these banks that were
bailed out by the taxpayer due to failed economic policies would
actually use that money and invest it in businesses that were hanging
on and had the potential to grow. Yet what I am seeing in my district
are businesses just like RTD Manufacturing, which are working hard,
which are diversifying from--in this case, they were 100 percent
automotive and had begun doing work for the Department of Defense to
protect our warfighters.
The American Recovery and Reinvestment Act is having an impact in my
district and all around our State. The American people may know that
President Obama was in Holland, Michigan, which is about an hour and a
half from where I live in Battle Creek. He was at the groundbreaking
for a new battery plant for the automotive industry--400 new jobs in
addition to all of the construction jobs that are being created for
this new technology.
Now, that's not the only battery plant in Michigan that has been
jump-started by American Recovery and Reinvestment Act dollars. There
is a company in my district, in Battle Creek, that is called Toda
America. It received $35 billion in American Recovery and Reinvestment
Act funds to attract the private investment to locate this battery
facility there. This could have gone anywhere in the world.
Because of a proactive policy to invest in clean and renewable energy
technology, in this case for the automobile industry, I think the
question we have to ask is: Are we going to continue to manufacture
here in America, or are we going to be buying everything from South
Korea, from China, from Japan, from all of our global competitors?
You know, we have put a stake in the ground in Michigan--and there
are stories like this all over the country--that we will make things
here. In this case, as a result of the American Recovery and
Reinvestment Act, we are making batteries for vehicles of the future.
We are making technology for our warfighters.
I want to tell you another great story about a wind energy cluster
that didn't just happen by accident. It happened, in part, because of
policies that the Michigan legislature adopted, some of which were put
in place when I was still in the legislature there. It happened with
investment through the Department of Energy to help wind energy
companies.
There is a new company in Eaton Rapids, Michigan, called Astraeus,
which is developing the best technology--the best technology in the
world--to develop windmill blades and windmill turbine components, and
they have actually attracted--this is a great story. You know, we often
don't hear this from colleagues on the other side of the aisle because
they don't want to
[[Page H5807]]
acknowledge some of the successes of the American Recovery and
Reinvestment Act.
There is a company based in Finland that has a U.S. subsidiary. It is
called URV USA, which is a foundry. We used to have foundries all over
my State and all over the country. This company, URV USA, whose parent
company is in Finland, is locating a foundry in Eaton Rapids, Michigan,
to manufacture some of the heavy components for windmill turbines.
So we have a cluster of wind energy companies locating in this town
of about 2,500 people, south of Lansing, that will be the home for
thousands of jobs, for thousands of renewable energy jobs; and these
companies there are positioning themselves to actually export this
technology. So it is not just about beating the competition from China,
but it is about being able to build it faster, more cheaply and to be
able to export that technology.
So, when my Republican colleagues ask, Where are the jobs? the choice
is: what policies do we put forward here, and do we continue with
policies that are creating jobs, that are transforming our economy or
do we go backwards to what Congressman Sessions says--that we need to
go back to the exact same agenda? This is the agenda that nearly
bankrupted the United States of America, that drained the retirement
funds of millions of senior citizens, that made the dream of retirement
slip away for many Americans, and that really left us with an economy
completely on its knees.
The industrial sector talked about that. It is very much a part of
Michigan's past, a part of Michigan's present and, I hope, a part of
Michigan's future. Total industrial production in America has increased
8.2 percent during the past year. That is the largest 12-month gain
since 1998. I need to repeat that because, you know, what you hear from
folks on the other side of the aisle would make you think that the
economic challenges we face magically began in January of 2009.
Total industrial production--making things, making things in
America--has increased 8.2 percent during the past year, which is the
largest 12-month gain since 1998. In June, industrial production
increased a tenth of a percent. It grew to a 7 percent annual rate in
the first quarter to a 6.6 percent rate in the second quarter, and this
rapid industrial expansion is consistent with solid growth for our
Nation's economy, and that is according to the Federal Reserve. Don't
take my word for it. That is according to the Federal Reserve.
{time} 2100
Trade, which is an issue that's very important to me. I was recently
named to the President's Export Council. So I look forward to fighting
for American companies to sell their goods abroad and to tear down
trade barriers, like I am working on with China, to make sure that
American companies can compete. But nominal exports are up 21 percent
from a year ago. In May, nominal exports grew rapidly by $3.5 billion,
or 2.4 percent. Year-to-date, exports are up 18 percent for the first 5
months of the last year.
So we've got a big hole to dig out of. Remember, the last 5 months of
the Bush administration our economy, our country lost an average of
almost 640,000 jobs. Just in the last 5 months we've added an average
of 174,000 jobs. There is a swing. We have a long way to go.
Initial unemployment insurance claims fell by 29,000 in the week that
ended July 10. Too many people are unemployed. I will not be satisfied
until everyone who is looking for a job has a job. Spending in core
retail sales rose by two-tenths of 1 percent in June. Small business
owner economic confidence increased by 2.6 percent during the second
quarter. This is the largest 3-month increase since last July. So there
are signs of progress.
I think the question, again, is do we move forward or do we go back
to the exact same agenda? That is the choice. I'm not willing to go
back. Too many people in my district are hurting. And too many families
are hurting. And candidly, many people have lost hope. But we must
continue to move forward and we must put the American people over any
political agenda. You know, this is not the time to put the next
election before the American people. The American people must come
first. Their ability to have opportunities for jobs in new economic
sectors is what the Democrats stand for and we will continue fighting
for.
I also want to talk a little bit more about manufacturing, and
particularly about Buy American provisions. I am looking forward to
having a very vigorous debate in the House of Representatives,
candidly, about whose side we are on. And we must be on the side of the
American people. I have been pushing in every way possible that we
expand and strengthen Buy American provisions.
I just received a letter from the Vice President of the United States
in response to a very real situation that a company in my district
faces, a company called Full Spectrum Solutions. They make high-tech,
energy-efficient lighting. And they have been more and more making
their light fixtures in America from suppliers all over my State and
all over the Midwest. And they have been bidding on energy-efficient
lighting contracts with municipalities. They received American Recovery
and Reinvestment Act funds.
Unfortunately, some of their competitors--and there are Buy American
provisions. I was asked by a reporter today, Why are Buy American
provisions important? Here's the point. American Recovery and
Reinvestment Act dollars are your tax dollars. So I think the American
people expect a little common sense out of their government, which
unfortunately there's not enough of. But they expect that their tax
dollars be used to create jobs here in America, not jobs in China.
And so there is a Buy American provision in the American Recovery and
Reinvestment Act. What Full Spectrum Solutions found was some of their
competitors were actually taking light fixtures made in China and
putting a label on these light fixtures that says ``Made in the USA''
to defraud the government, defraud the taxpayers, and hurt American
companies and cost us American jobs.
So I worked with Mike Nevins, the CEO of Full Spectrum Solutions, and
went down every path to find relief for this company. I went to the
Department of Energy, Department of Commerce, Customs and Border
Protection, the U.S. Attorney's office. No relief. No mechanism for
relief for complaints of competitors cheating and mislabeling their
products as made in America.
So I wrote the Vice President about 3 weeks ago, and I received a
very, very specific response that is creating a new hotline within the
Department of Energy for complaints about companies that are
mislabeling their products as made in the USA, a means to investigate
these complaints, and a notice to all grant recipients of these
American Recovery and Reinvestment Act funds to be aware that there are
some companies, unfortunately some American companies, that are
defrauding the taxpayers and cheating and using our tax dollars to buy
goods made in China rather than goods made in America.
So I received this very specific response, and it underscored just
what we should be fighting for. We need to be fighting for American
workers, American companies, and strengthen these Buy American
provisions. I look forward to taking up legislation, Democratic-
sponsored, hopefully bipartisan, but I know there are Democratic bills
that I cosponsored as a part of the House Bipartisan Trade Working
Group that will strengthen Buy American provisions.
I talked about a week ago about another fair trade bill with China.
We are letting China eat the lunches of American workers. We are
letting them do it. China, when they joined the World Trade
Organization in 2001, never signed the government procurement
agreement. This is the agreement that sets the terms for companies in
one country to bid on and compete for government contracts with other
countries.
Well, China, they know what they're doing. Just like they know what
they're doing when they manipulate their currency. Just like they know
what they're doing when they steal our patents, our intellectual
property. Just like they know what they're doing when they subsidize
their companies, tilting the playing field in their favor. And so what
they've done for the last 9 years is they have blocked our companies
from doing business with their
[[Page H5808]]
government, while for some reason, I haven't been able to figure out
yet, it's because there's no good reason, we're allowing Chinese
companies to bid on and win contracts with our Federal Government paid
for by your tax dollars. I don't think the American people have in mind
that we use their tax dollars to create jobs in China rather than jobs
in America.
So my bill, H.R. 5312, is very simple. It's a reciprocal trade bill.
It truly is a fair trade bill. It says to China that their companies
can do the same dollar amount of business with our government as our
companies can do with their government.
Now, I flew when I came to Washington from my home in Battle Creek,
Michigan, yesterday. There was a Ford Motor Company engineer on the
plane. And we talked about this issue. I talk about this issue
everywhere I go. And I said, ``Do you manufacture in China?'' He says,
``Yeah, we manufacture in China.'' And I said, ``You are not able to do
business with the government in China, right, for any of their vehicle
purchases or motor pools, whatever it might be?'' And he said, ``No,
you know, now that you mention it, we're not able to do that.'' So I
said, ``Well, you know, China can do business with our government even
though they're blocking our companies from doing business with their
government?'' Even, here is the point of the Ford conversation, even
when they're manufacturing in China. So our companies are investing
there, they're making their products there.
{time} 2110
Include, even with that, China's policy. They know what they're
doing. They didn't sign this government procurement agreement 9 years
ago when they joined the World Trade Organization, and they are playing
us for fools.
You know, according to the Economic Policy Institute, in Michigan, we
have lost 68,000 jobs due to China's unfair trade policies since 2001.
In Michigan, in my district--I represent seven counties in south
central Michigan--2,700 jobs. That's the size of a medium-sized village
within my district, wiped out completely, because of China's unfair
trade.
So I want to stop in a moment. I want to yield to an outstanding
leader, Congresswoman Debbie Wasserman Schultz from Florida, to talk
about our economy. I have been talking about the choice. I've been
talking about the choice. Do we move forward and dig out of this
economic hole that was caused by the failed economic policies of the
Bush administration? And one of our Republican colleagues on one of the
national press shows on Sunday says, when asked--they often don't like
to talk about policy. They don't like to do that. When they were asked
to talk about Medicare, their solution was to voucherize Medicare. Even
though they don't like the term that is really true about their
position on Social Security, they want to privatize Social Security.
They don't like to talk about policy ideas. But when they were asked if
Republicans get back into power what are you going to do, Pete Sessions
says, We need to go back to the exact same agenda.
We cannot go backwards. We must go forward, and we must continue to
fight for the American people. We must continue to fight for the
American workers. We must continue to fight for manufacturing, for
making things in this country. And I talked earlier about great
progress that's being made in renewable energy, battery technology,
wind energy technology, life sciences technology, the Chevy Volt. The
Chevy Volt will be the first battery electric car, will roll off the
assembly line in October in Hamtramck, Michigan. We are making things.
And if we don't have the kind of policy foresight that Democrats in
this House of Representatives have been putting forward and will
continue to put forward aggressively, we will go backwards.
So we've got a long way to go. I am not satisfied. I said I will not
be satisfied until every unemployed worker in my district that's
looking for a job has a job, until seniors again feel secure with the
promise of Social Security. You know, these are the basic values that I
hold, and this is the fight that I signed up for.
So it's been a pleasure to talk a little bit about Michigan, a little
bit about my home, a little bit about what's going on. I even talked a
little bit about my family and my son-in-law that was unemployed for
the better part of a year and, unfortunately, I don't think I finished
that story. The good news is they're still in Michigan. They moved to
the beautiful Upper Peninsula. It's where my wife, Christine, is from,
from the Upper Peninsula. They got a job there. They bought a house.
But too many families can't tell that story. And we are fighting for
the American people.
It is my pleasure to yield to my colleague, Debbie Wasserman Schultz
from south Florida, to talk about this choice.
Ms. WASSERMAN SCHULTZ. Thank you so much. And my colleague from
Michigan, Mark Schauer, who's been holding down the fort here and who
cares so passionately and so deeply about his district, about the
people that he represents in Michigan, you have fought so hard to make
sure that they have a voice because Americans are struggling, and you
know that Americans are struggling. You're in the midst of an economic
crisis in Michigan, as we all have been coming out of, and you're
absolutely right when you talk about the fact that we have a choice.
I mean, Americans in November are going to have a choice. We can go
back to the agenda of the Republicans, which now is right there in blue
and white, and where they clearly have said, making no bones about it,
that they would take us back to the exact same agenda that they pursued
before, which included focusing on tax cuts exclusively for the
wealthiest Americans, not caring in the least about working families or
the middle class or having an agenda that did anything for anyone in a
working family or the middle class, focusing on making sure that we
could only spend time worrying about the well-being of major
corporations and leaving working families to twist in the wind. Or we
can choose to continue to move in the new direction the Democrats have
taken the country under President Obama's leadership, under the
leadership of the Democrats here in the House and the Senate when we
took the majority back in 2006 and ended the culture of corruption that
literally hung over this capital under Republican leadership. We ended
the focus exclusively on the wealthy and focused on trying to turn
things around.
President Obama on his first day in office inherited an economy where
we were bleeding 700,000-plus jobs a month. And I'm not sure if Mr.
Schauer talked about this, but we have now fast-forwarded a year and a
half later and the economy is adding about 100,000 to 125,000 jobs a
month.
And if you look at manufacturing--and I know that's a particularly
important area for Michigan. American workers are so proud and have
always been so proud of the fact that we in America make things. We are
the ones that make sure that machines run, that the manufacturing that
is the proud tradition of the United States of America should continue.
We have had 11 straight months of growth in the manufacturing sector
under President Obama's leadership, under the policies, the economic
decisionmaking that we've made since he took office, and that's
incredibly important for Americans to understand. Because even though
we have a long way to go, we've begun to turn the corner. We've begun
to turn things around, and we need to continue to push hard to make
sure that we can invest in infrastructure and balance those investments
with tax cuts targeted to middle class and working families.
Last year, in the Recovery Act, the economic stimulus that has been
talked about so much in the last year, we invested $787 billion to make
sure that we could create those jobs and invest in shovel-ready
projects that were ready to go so that we could get people back to work
who literally were left twisting in the wind after the Bush
administration drove us into a ditch. And now you have the same people,
the same people who drove us into the ditch in the first place are
asking to get the keys back so that they can return to the exact same
agenda that they pursued during the time that they were in charge. Why
Americans would give them back the keys when they got
[[Page H5809]]
us into this mess in the first place is beyond me, but that is what
they are aggressively pursuing, nonetheless.
This morning, a number of us on the House floor had an opportunity to
talk about the approach of Social Security's birthday. We're
approaching the 75th anniversary of Social Security, 75 years of making
sure that Social Security provides the safety nets to Americans who are
in their retirement years, making sure that they have something to fall
back on, and making sure that they have the ability to make ends meet
each and every day.
And as Mr. Schauer so rightfully put it, under the exact same agenda
that the Republicans pursued then, we would return to an effort--and
they readily admit this, that we would return to their effort, which
was first proposed by President Bush, to privatize Social Security.
{time} 2120
What privatizing Social Security means is allowing people to invest
their Social Security in the stock market. Now, if you watched the
volatility of the stock market over the last number of years, I shudder
to think about how the seniors in my district, my seniors in south
Florida, I shudder to think how they would be able to make ends meet
over the last few years if their Social Security investments evaporated
into oblivion after the stock market downturn. We had stock market
downturn, then it went back up, then it went back down again. The stock
market is not the place for funds that are there and designed to be a
safety net. In my home State, 53 percent of seniors without Social
Security would be living in poverty, and that's just simply
unacceptable. If that's the agenda that the Republicans want to take us
back to, then Americans need to know that that's the direction that
they would go.
I want to focus on some other comments because we should make sure
that people know exactly what's being said on the other side so that
when they make a decision on which direction they want to go, when they
make a decision on which candidate for Congress, which Members they
choose to have represent them, they should know what some of the
Republican leadership on the other side has been saying.
If you recall, we had a lot of commentary on the other side about the
stimulus, about the economic Recovery Act; and I remember that Mr.
Cantor, their Republican whip, I remember he actually has consistently
said that the stimulus has not produced jobs. Now, I'm not sure what
planet he's been living on, but one thing that has been very clear is
that the economic Recovery Act, the stimulus bill, created millions of
jobs. We wouldn't have been able to go from bleeding 700,000-plus jobs
a month to adding about 100,000 private sector jobs a month without the
investment that was made under the Democratic leadership.
Now, in spite of the fact that Mr. Cantor has consistently said that
the stimulus produced no jobs, that didn't prevent him from hosting a
job fair with companies that received $52 million in his community to
create jobs from the stimulus. He actually held a job fair at a
Virginia high school with a number of private companies that were
seeking to hire and who benefited from the funds in the American
Recovery and Reinvestment Act. So he's not the only one that has
essentially tried to have it both ways, be opposed to the stimulus,
vote against the stimulus, stated it didn't do anything, but then take
credit in their community when the checks are being handed out and the
celebrations were being had for the jobs that are created in the
district by the economic Recovery Act.
And, I mean, I don't want to directly call any of our colleagues
hypocritical, but that type of action seems pretty hypocritical to me
Mr. Tonko, and I'm really pleased that we're joined this evening by my
good friend Mr. Tonko from New York who's joined us every week, week
after week, to make sure that we can help America understand and talk
to the American people about how this economy has turned around and how
we have been able to create jobs, balance investments with tax cutting
policy, and I would be happy to yield to the gentleman for his
comments.
Mr. TONKO. Thank you, Representative Wasserman Schultz. It's so
encouraging to have people see the difference in how we approach reform
here in Washington. There are those who will suggest that the 8.2
million jobs lost during the Bush recession were a tremendous blow to
this Nation's economy, to working families, to households across this
country. There are those who would suggest that the $17.5 trillion
worth of household wealth lost in the last 18 months of President
Bush's final stage of his Presidency, some of that's been recaptured,
recovered, some $6 trillion.
But that painful outcome is sometimes lost. People forget that there
were these trillions of dollars lost to the household incomes, that
there were 8 million jobs lost in this country. Why would people want
to go back to those failed policies?
And, today, we just do a litmus test based on other dynamics.
Medicare, the Republicans suggest that we should voucher the system,
allow people to have a voucher to go and invest in a private insurance
plan.
There are those in the Republican ranks, the leadership, talking
about reforming Social Security, raising the age limit, providing
savings so that they can pay for the war, wanting to adjust a system
that's very much part of the security for our Nation's retirees. To
balance a budget on the backs of our hardworking retirees, people who
have invested in the system, is telling us what their philosophy is all
about. They're not supporting Wall Street reform. Attacking it,
demeaning it, that it was an atom bomb used on an ant, totally
misrepresents the situation; the fact that they wanted our President to
apologize for coming down hard on BP and the oil spill and the failures
in the gulf.
So we see that same thinking that brought about the failure of our
economy, that brought this Nation's economy to its knees. They want us
to go back to those standards? I think what we have here are
improvements. There's a road to recovery. It's painfully slow, but it's
moving in the right direction. It's a sweep upward after several months
of a sweep downward. The V formation, that constant dip down south,
southward with the economy, now transitions upward, has told the story,
has told the story; and I see it in my district.
I see the capital region of New York responding to an innovation
economy, investing in opportunity, in innovation. Advanced Battery
Manufacturing, they're to open a new facility in our district that will
move to something that now transitions our economy because it will be
able not only to store intermittent power; it will also be able to
generate electricity and also be used for heavy fleets. This is the way
we create jobs. This is the investment of the Recovery Act that
invested in Advanced Battery Manufacturing, invested in renewable
technologies for energy generation, invested in smart grid, smart
thermostats, smart meters.
These were the opportunities that really transition our economy and
create a new day for America because we become more self-sufficient in
our energy policy, with our energy policy. We allow for generation to
be done here by embracing the American intellect. These are the
dynamics of reform that were long overdue. They're creating American
jobs to produce American power. A tour with the veterans of this
country about American power, about how we can create jobs here and not
send hundreds of billions of dollars to foreign-nation treasuries and
those nations are unfriendly to the U.S. That's the changed thinking,
not the failure of the past that drained household incomes by $17
trillion to $18.5 trillion, that lost 8 million jobs.
Do we go back to those failed policies, or do we transition over to
what has been the road to recovery, albeit not as fast as we would
like, but it's progress, it's movement in the right direction, and it's
innovation and it's embracing the American intellect.
Ms. WASSERMAN SCHULTZ. Thank you so much, Mr. Tonko, and I just
wanted to add a couple of things and then I know Mr. Schauer will close
us out.
But one of the things that I think is important to note that we also
have done--because deficits are really an issue and deficit spending is
an issue--we, when we took the majority back, reestablished the PAYGO
rules and then enshrined them in statute in this
[[Page H5810]]
Congress to make sure that legislation that we pass is paid for, that
we don't, like most families have to do, like every family I know,
can't spend more than they take in.
The Republicans let those rules which were originally adopted under
the Clinton administration and resulted in the record surpluses that
President Bush inherited, they let those rules lapse. Well, we
reestablished them because when they let those rules lapse, that's when
we ended up in a huge deficit situation.
{time} 2130
Because of that, we are able to, with the budget that we have
adopted, cut the deficit in half over the next number of years and
focus on deficit reduction while also making sure that we balance that
with investments so that we can get our economy back on track.
That's the difference between us and them, and I hate to say it like
that, but, really, there hasn't been a more stark contrast in the
choice that Americans have to make in this election, and I look forward
to spending some more time on the floor talking with my colleagues
about it.
Mr. SCHAUER. I would like to thank my colleagues, Debbie Wasserman
Schultz of Florida, Paul Tonko of New York. Our time is about up, but I
will give you two numbers that summarize the Bush policies: 8 million
lost jobs, $14 trillion in wealth lost to American households--8
million, $14 trillion. Trillion.
Now, Americans can do it. We have been through tough times before,
but we have always pulled together as a Nation to overcome our
challenges. After challenges, Americans return stronger, more
determined and more united.
Democrats came together and faced the challenges that we were handed
by mismanagement of the Bush Republicans and, together, we are pulling
our economy back from the brink of economic ruins.
As Americans, I know we can do it. That's why we are here tonight. I
received a couple of texts from folks at home. They are watching.
Americans know we can do it. We can turn our economy around and get our
economy back on track.
I will yield back. Thank you.
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