[Congressional Record Volume 156, Number 148 (Monday, November 15, 2010)]
[Senate]
[Pages S7902-S7908]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




          STATEMENTS ON INTRODUCED BILLS AND JOINT RESOLUTIONS

      By Mrs. MURRAY:
  S. 3938. A bill to designate the airport traffic control tower 
located at Spokane International Airport in Spokane, Washington, as the 
``Ray Daves Airport Traffic Control Tower''; to the Committee on 
Commerce, Science, and Transportation.
  Mrs. MURRAY. Mr. President, I ask unanimous consent that the text of 
the bill be printed in the Record.
  There being no objection, the text of the bill was ordered to be 
printed in the Record, as follows:

                                S. 3938

       Be it enacted by the Senate and House of Representatives of 
     the United States of America in Congress assembled,

     SECTION 1. DESIGNATION.

       The airport traffic control tower located at Spokane 
     International Airport in Spokane, Washington, and any 
     successor airport traffic control tower at that location, 
     shall be known and designated as the ``Ray Daves Airport 
     Traffic Control Tower''.

     SEC. 2. REFERENCES.

       Any reference in a law, map, regulation, document, paper, 
     or other record of the United States to the airport traffic 
     control tower referred to in section 1 shall be deemed to be 
     a reference to the ``Ray Daves Airport Traffic Control 
     Tower''.
                                 ______
                                 
      By Mr. INHOFE:
  S. 3939. A bill to reform earmarking and increase transparency and 
accountability for all expenditures authorized by Congress and all 
executive agencies of the Federal Government, to the Committee on Rules 
and Administration.
  Mr. INHOFE. Mr. President, I need to tell Molly I have reduced the 
length of my speech from 1 hour to 30 minutes because of something I 
totally did not expect. However, I think it is going to have a happy 
ending.
  I think the bottom line in all this discussion of earmarks--or 
however you want to word it--is that we have to do something about 
excessive spending. It is something we cannot continue. It is not 
sustainable. I think everyone agrees with that.
  It is interesting for me when I see the President and the passage of 
such things as the $787 billion stimulus and all that to say we are 
going to form a commission to see how we can keep from spending so much 
money. Well, that is how you do it: You do not do things like that.
  Let me say, first of all, after this election, the Tea Party did play 
a big part in this thing. I have to say I was very excited about it 
early on. I think I might have been the first Republican anyway to go 
to Marco Rubio and support him in his efforts down in Florida and 
several of the others. I think it is clearly a good thing, a change, 
and I think the American people have clearly spoken.
  In spite of what you might have heard in the media, let me clear up 
one thing. Never have I once had any indication of trying to influence 
anyone from voting for or against a ban on earmarks. You will find out 
in just a minute how I can come to this conclusion and why it would not 
be necessary, and it does not make all that much difference.
  But before I do, to make sure people understand, you are hearing 
these comments not from any Member of the Senate but from someone who 
probably, I would have to say, has been declared as the most 
conservative Member of the body more times than anybody else has, most 
recently by the National Journal, and so you are hearing this from 
someone who is a conservative and someone who is also lonely.
  I go back quite a ways, but I can remember my two favorite Senators. 
My mentors, I guess I should say, were Jesse Helms and the Senator from 
Nebraska, Carl Curtis. Both of them are deceased. It has been quite 
some time since Carl Curtis was serving, but, nevertheless, I remember 
I was in the State senate--this was many years ago--and I was 
recognized as a conservative at that time. Carl Curtis was

[[Page S7903]]

serving here from Nebraska, and he is the guy, you might remember, who 
consistently, year after year after year, introduced the budget 
balancing amendment to the Constitution.
  Well, he called me one day--this is back in the 1970s--and he said: 
Inhofe, I know you and I share the same philosophy. But I can never get 
this up for a vote. The excuse the liberals use is that you will never 
be able to get three-fourths of the States to pass a resolution 
ratifying a constitutional amendment to balance the budget.
  So his idea was kind of ingenious. What he said was: I will go ahead 
and get started and stand behind you, and we will find you and enough 
other States to make up three-fourths of the States, and we will 
preratify a constitutional amendment to balance the budget.
  I did not understand how it would work, but we talked about it for a 
while. So I said: Well, let me try it. So I did. In the State senate we 
preratified a balanced budget amendment to the Constitution. It was 
kind of fun because after that I started going around to other States 
and getting them to do the same thing. We got up to within, I think, 
four States of being able to do it before it started to unravel.
  But a guy named Anthony Harrigan--he was a syndicated columnist from 
down South someplace--wrote an editorial or an op-ed piece that got 
published, and it was called ``A Voice in the Wilderness.'' He said: 
Way out in the State of Oklahoma there is one State legislator who is 
going to balance the Federal budget. So that was kind of the beginning 
of the kind of lonely ride I have had.
  Since that time, I remember serving in the House of Representatives. 
John Nance Garner--this is 80 years ago--was the Speaker of the House. 
John Nance Garner devised a system. Here is the problem he had. People 
were getting more and more informed on how people were voting in 
America. So he had all his west Texas Members, and they did not want to 
vote for the liberal agenda of the Democratic Party. Can you see anyone 
from west Texas voting for gun control? It is not going to happen. So 
he devised a system--it was kind of ingenious, corrupt but ingenious--
and that was a discharge petition so that in the House of 
Representatives if you want to take up a bill, you have to have it 
either come out of a committee or, if it is in a committee, you have to 
have a discharge petition, sign a discharge petition to force it to 
come out. He wanted his Members to be able to say that they signed the 
discharge petitions, yet they wouldn't sign them, so the bills would 
never come out.

  They kept the discharge petitions in a locked drawer, just like the 
Presiding Officer has, right up there in front of the whole House of 
Representatives, and you couldn't open the drawer unless you were 
signing a discharge petition. You couldn't copy down the names of 
anyone else. What I did was set up a system where I had people go up 
and memorize names, and then I went ahead and just disclosed all of 
this. Anyway, it is a much longer story than that, but the bottom line 
is that the punishment for doing what I did was to be expelled from the 
House of Representatives. I said: OK. That is fine. I will go ahead and 
do it anyway. They can expel me. I will run. Who is not going to vote 
for someone who was expelled because they shed light on the system? And 
it worked. It was declared by several publications as the greatest 
single reform in the House. Again, it was lonely, but it is something 
that worked.
  Then along came global warming. We all remember the Kyoto Treaty back 
then. In fact, back during the Clinton-Gore years when it first came 
up, everybody thought it was something that would be ratified until 
they looked at it to see what it would cost to do it, and the cost was 
somewhere between $300 billion and $400 billion. So I looked at that. 
We all looked at it and we thought, do we really want to ratify this? 
Well, as it turned out, we didn't. One reason we didn't was Senator 
Byrd was the primary mover of a motion to stop it from happening unless 
the developing countries had to pay the same price as the developed 
nations. Of course, they didn't do it, so it didn't happen. Then 
several people said: Well, let's just do it unilaterally.
  We had the McCain-Lieberman bill of 2003 and 2005. At that time, I 
was enjoying being in the majority. The occupier of the Presiding 
Officer's chair today has never been in the minority, so he may not 
know what I am talking about. But in the majority, you can do a lot 
more things than you can as a minority. So I chaired the committee 
called the Environment and Public Works Committee. That committee had 
jurisdiction over all the energy issues and a lot of other things but 
also over this global warming issue.
  I have to confess that I assumed back then--and this is back in about 
2002--that catastrophic global warming was a result of anthropogenic 
gases, manmade gases, CO2, methane and such, and I assumed 
that was the case until the Wharton School came out with a study that 
concluded that if we were to pass--at that time it was the McCain-
Lieberman bill--it would end up costing between $300 billion and $400 
billion.
  So my effort then as chairman of that committee was, to look to see 
where the science was. That is when we got to the realization that it 
all started with the United Nations. They developed the IPCC--the 
Intergovernmental Panel on Climate Change--and consequently they were 
going to do all this, and that was the science behind it. But we kept 
getting complaints because I would make statements on the floor 
questioning the science. Then scientists starting coming out, and the 
bottom line is this: After a period of time, up until a year ago right 
now, it looked as if people recognized that it wouldn't do any good if 
we did unilaterally pass it. Why is that? Even Lisa Jackson, the head 
of the Environmental Protection Agency, said that they would be--that 
if the United States alone passed something to stop the different 
emissions, CO2 emissions, it wouldn't have any effect 
globally because that is just the United States doing it. In fact, one 
could argue it would have just the opposite effect because companies 
seeking power would have to go to countries where they didn't have 
these restrictions and it could actually increase CO2.
  Anyway, the bottom line was that I made the comment--this has been 
now 8 years ago--that the idea that catastrophic global warming is a 
result of manmade gases is probably the greatest single hoax ever 
perpetrated on the American people. Back then, everybody hated me, and 
now it looks as if we have pretty much won that argument.
  I mention this because I am very much concerned--I understand the 
argument on both sides of the whole thing about the earmarks. I have--
Kay and I have 20 kids and grandkids. This little guy right here came 
up to me, and he said: PopI--``I'' is for Inhofe--he said: PopI, why is 
it you do things nobody else does? And I said: That is the reason--
nobody else does. So that is kind of a little bit of the background as 
to why I got into this very difficult issue.
  I have to say that it is something that needs to be talked about 
today because something is going to happen this week, and I think we 
can turn this thing into something that is very good. The tea party 
people came in. My concern has been over the last 2 years and longer 
than that, that all we have heard about is people quite frankly 
demagoguing this whole thing on earmarks, saying ``Earmarks, earmarks, 
earmarks,'' and all the time that happened, what happened? We ended up 
with the President and the majority increasing the debt to $13.4 
trillion in America--and that is a larger increase than all Presidents 
from George Washington to George W. Bush combined--and at the same time 
giving my 20 kids and grandkids a $3 trillion deficit. So we were 
trying to look at this thing and say: How can we take care of this 
situation? The increase in the debt is something that is not 
sustainable. I think we all understand that. I was going to try to 
accomplish two things--to stop the demagoguing and to solve the 
problem.
  Today, for that purpose, I have introduced--and it is at the desk 
right now--S. 3939. Now, I grant you that Senator McConnell's 
announcement changed the way in which I was going to present this, but 
the bottom line is this: It would be nothing short of criminal to go to 
all the trouble of electing great new antiestablishment conservatives 
only to have them cede

[[Page S7904]]

to President Obama their constitutional power of the purse, which is 
exactly what would happen, as has been pointed out, with the moratorium 
on earmarks.
  I wish to read one statement out of Senator McConnell's remarks that 
I think is worth repeating.

       With Republican leaders in Congress united, the attention 
     now turns to the President. We have said we are willing to 
     give up discretion. Now we will see how he handles spending 
     decisions. If the President ends up with total discretion 
     over spending--

  That is what he would have--

     we will see even more clearly where his priorities lie. We 
     already saw the administration's priorities in the stimulus 
     bill, and that has become synonymous with wasteful spending. 
     True. That borrowed nearly $1 trillion for administration 
     earmarks such as the turtle tunnels and the sidewalk that led 
     to the ditch and all this stuff about which we have been 
     hearing, which I will elaborate on in just a minute. But 
     nonetheless, I think that is important, and we have to look 
     at that.

  Now, why I thought that was wrong--let's put up chart No. 1--was I 
think that anytime you want to eliminate something, you have to define 
it first. The problem was that there was no definition until the House 
came along--and this was about a year ago. The House Republicans--not 
the whole House but the Republicans--and resolved that:

       It is the policy of the Republican conference that no 
     Member shall request a congressional earmark, limited tax 
     benefit, or limited tariff benefit, as such terms are used in 
     clause 9 of Rule XXI of the House rules.

  Well, if you look up that rule, that applies to appropriations. So 
what they were saying at that time is that they were not going to 
appropriate anything. But there is one problem with that.
  Chart 2 is article I, section 9 of the Constitution. That is what we 
are supposed to be doing here. I will elaborate on that a little bit 
because I think it fits in this debate pretty well. Chart 2. Article I, 
section 9 of the Constitution makes it very clear that we in the U.S. 
Senate and the House of Representatives are the ones who are supposed 
to be spending money: ``No money shall be drawn from the Treasury, but 
in consequence of appropriations made by law.''
  All three of these people who were driving this thing--the Senators, 
by the way, who were involved in the earmark thing, giving proper 
credit or blame depending on how you look at it--the first one who went 
back the furthest was Senator McCain, then Senator Coburn, and then 
more recently Senator DeMint. They all embrace the House definition of 
earmarks. I have a chart that shows that, but it is not necessary to do 
it. I think everyone realizes that.

  Let's go back to the Constitution. We have it right here. The 
Constitution restricts spending to only the legislative branches and 
specifically denies that honor to the President.
  We take an oath of office to uphold the Constitution. That means we 
take an oath of office to uphold article I, section 9 of the 
Constitution. It is important that we elaborate on that Constitution 
because a lot of people--if you get this in your mind, if there is any 
doubt that we are supposed to be doing it and not President Obama or 
the executive branch, then listen to this. Franklin Delano Roosevelt 
said:

       It is the duty of the President to propose and the 
     privilege of Congress to dispose.

  James Madison said:

       The power over the purse in fact may be regarded as the 
     most complete and effectual weapon with which any 
     Constitution can arm the immediate representatives of the 
     people, for obtaining a redress in every grievance . . .

  Now, why is this? He went on to explain in the Federalist Papers and 
elsewhere that the reason--they called them the direct representatives. 
At that time, I guess they didn't have Senators, but the direct 
representatives should do the spending for two reasons. No. 1 is that 
they are the ones who know their own State or province or area better 
than the President does--particularly back in those days but it is also 
true today. The second reason is that if they don't like the way they 
are doing it, they can immediately go ahead and vote them out of 
office. Look what happened November 2. That is exactly what did happen. 
So that was Madison.
  Alexander Hamilton said:

       The legislature not only commands the purse, but prescribes 
     the rules by which the duties and rights of every citizen are 
     to be regulated . . .

  Now, there is no wiggle room in that. It is supposed to be us. The 
Supreme Court Justice--I was talking with someone with the Investor's 
Business Daily, and I said: You probably never heard of this guy Joseph 
Story, the Supreme Court Justice, and he said to me--I wish I could 
remember his name because this is kind of interesting--he said: Oh, no, 
I live out here now, but when I lived in Washington, I went to a weekly 
meeting, It was the Joseph Story Fan Club or something like that.
  Anyway, in his commentaries on the U.S. Constitution in 1833, he 
states--this is Justice Joseph Story:

       It is highly proper that Congress should possess the power 
     to decide how and when any money should be applied . . . if 
     it were otherwise, the executive would possess an unbounded 
     power . . . Congress is made the guardian of the Treasury . . 
     .

  I say all this to make sure to impress upon any impartial patriot 
that the legislative branch--that is us--only the legislative branch 
has the power to spend money, according to the Constitution.
  How does a ban on earmarks cede authority to the President? This is 
significant. Although Senator McConnell didn't mention it this morning, 
let me say what he would have said had he had time, I believe. I will 
also show how this can be impacted by S. 3939. It couldn't be a more 
appropriate time to introduce this.
  President Obama--this is the way it is for any President--submits a 
budget to Congress which Congress either accepts all or part of or 
rejects all or part of. If it is rejected, we substitute what the Obama 
requests are with what we think is better for America. The cost is the 
same.
  I have often said that stopping an earmark doesn't save any money. 
Not many people understand this, but it doesn't because all we are 
doing is taking what the President would have spent on an item and 
changing it to something else. For example, in his military budget--and 
I know President Obama doesn't feel the same way I feel about the 
priorities of defending America. That should be our No. 1 priority. I 
don't think he believes that. Nonetheless, in his budget he asked for 
$300 million and something, plus or minus, for a launching system that 
is a good launching system. It was called a bucket of rockets, and it 
is one that I would like to have.
  When we went to the Armed Services Committee--keep in mind, these 
committees, such as the Senate Armed Services Committee, are staffed 
with professionals. A lot of them are former military people, 
scientists, people who really understand how we can best, with limited 
resources, defend this country. So we took the $300 million for that 
system and put that same $300 million--canceled the launching system 
and put in 6 new F-18 fighters. They are actually FA-18EF model 
fighters. This is what we all decided would be best. Now, if we 
substitute our appropriation for his budget item, it would be an 
earmark by any definition. If we place a moratorium on earmarks, we 
would have to accept Obama's original request. This is a concern I 
have, but it doesn't lead to a happy ending, as you will find out in a 
second.
  Therefore, we would not have any additional F-18s. Still there is no 
money saved. In other words, we would be doing what James Madison 
wanted us to do. So the Senate is taken out of the process and cedes 
its power to President Obama. Speaking of systems we would not have if 
we had ceded that authority previously, we would not have unmanned 
aerial vehicles. The Air Force, right now, is currently operating at 
least 36 continual combat air patrols in Southeast Asia. That was a 
congressional earmark. We would not have that. We would not have 
improved armored vehicles and add-on armor. That was a congressional 
earmark. We would not have Mine Resistant Ambush Protected vehicles. We 
would not have them. They have saved lives. We would not have had $14.2 
million for detection of landmines and detection of suspected bomb 
makers and IED makers in Iraq and Afghanistan. That was a congressional 
earmark. Actually, it was mine. We would not have had that.
  We can see that a moratorium would not allow us to change anything in 
the

[[Page S7905]]

Obama budget. It would allow the President to perform our 
constitutional duties. In a minute, I will give you a solution. 
Meanwhile, we cannot continue to do the big spending. I think a ban on 
earmarks has at least focused on this problem for right now.
  Here is another chart. I mentioned before that there are two problems 
I had with a ban on earmarks. One of the problems with a ban is that it 
cedes to the President our constitutional duties. The other is that it 
gives some protection to people who are big spenders.
  Put up chart 4. I was going to say--technically, by the definition, 
this would be true. I was going to say these are the four biggest, 
largest earmarks in 2008. They can argue they are not earmarks, that 
this wasn't the intent, nonetheless. By the definition I showed you in 
the House and Senate, these are earmarks. First is the TARP. I was one 
who opposed that $700 billion we gave to an unelected bureaucrat with 
no oversight whatsoever. There was the mortgage bailout of $300 
billion, the Pelosi-Bush stimulus check of $150 billion; PEPFAR, a 
program that does some good but not expanded to the point it is right 
now in sending money to foreign countries to fight AIDS. If we total 
that up, that is $1.2 trillion.
  I am not as smart as a lot of the guys in this Chamber. So when I see 
the millions and billions and trillions, my head starts to spin. I am 
not sure how this affects us.
  Put up chart 5. What I have developed in Oklahoma--and nobody here is 
aware of this, but they are in Oklahoma--is known as the Inhofe factor. 
I will use 2009. In 2009, $2 trillion in taxes was paid by individuals 
across the country, and $18 billion came from Oklahomans, which is 
about 1 percent of the Federal budget. The average Oklahoma individual 
tax return for that year, 2009, was $11,100. Therefore, the average 
Oklahoma taxpayer is responsible for providing--I have the percentage 
of total Federal revenue. For every $10 million in spending in 
Washington, Oklahomans pay a nickel in terms of how much each family--I 
am taking every family in Oklahoma that files a tax return. That is 
what it amounts to.
  Let's see the next one. By the way, I say to some of my friends from 
other States, other Senators: You are not going to deviate too much 
from that because Oklahoma is not that much different from other 
States. What did it cost you for the four largest earmarks? If you 
apply that to Oklahoma--each family in Oklahoma who filed a tax 
return--it would cost each family $5,683. That is each family who files 
a tax return.
  In earmarks, the total of all projects requested by me in 2008 was 
$80 million. Most of them were military projects, some of which I just 
talked about. If you apply the same factor to $80 million, it would 
cost each family in Oklahoma 40 cents. I hope you look at this--each 
family, 40 cents as opposed to the four largest things, $5,683.
  I said that because I think it is important that we look at these 
things and see how much--quit talking in terms of billions and 
trillions and know what it is for each family. Even though I am ranked 
as the most conservative member by many organizations, I am a big 
spender in three areas: national defense, infrastructure--roads, 
highways, and bridges. We have a crumbling infrastructure throughout 
America. I think we all understand that. The Governor of Pennsylvania 
and I have talked about that. He is a far leftwing liberal, and I am a 
conservative. Yet we agree that infrastructure is very important. The 
third area where I could be considered a big spender is unfunded 
mandates. I was a mayor at one time. As I often tell my friends in the 
Senate: If you want a hard job, become a mayor because there is no 
hiding things when you are a mayor. So if there is a problem and they 
don't like the trash system, it ends up in your front yard. It did. I 
was there.
  If we go back to chart 4, we have to follow this carefully. OMB 
stated that our earmarks for 2010 were $11 billion. They have their 
definition of an earmark, and people are saying that is a good 
definition. These four obligations--say they are not earmarks, but they 
could be defined as that. That would be $1.2 trillion. If we take the 
$11 billion and do the math, we would find that earmarks are one one-
hundredth of just these four spending bills. In other words, the total 
amount of the 2010 earmarks were only 1 percent of these huge spending 
bills. Of the three drivers of the earmark wagon, Senator McCain voted 
for all four of these, or supported them. Senator Coburn, my junior 
Senator, voted for half of them, $750 billion. Senator DeMint and I 
opposed all four of them.
  My point is, the public has been focusing so intently on earmarks, 
that 1 percent figure, they overlook the huge bills that spend 100 
times more than all the earmarks, and we ended up with the $13.4 
trillion increase in the debt. My 20 kids and grandkids have to pay for 
$3 trillion of the deficit increase.
  That left out Senator DeMint. I say this in love, but I think it is 
very important to understand there is a commitment on behalf of every 
Senator, all 100 Senators, to help people in the States. I have that as 
well as he does. Let's talk for a minute about Senator DeMint.
  In 2004, Republicans were in the majority. I was chairman of the 
Environment and Public Works Committee. That takes care of all the 
transportation, roads, highways, infrastructure, and that type of 
thing. At Senator DeMint's request, I flew to South Carolina to support 
his commitment to highway earmarks. He said: I am not only supportive 
of I-73 and other projects, but I have a good working relationship with 
people who can get it done.
  I guess that was me. He got 13 earmarks in places such as Myrtle 
Beach, Beaufort County; engineering design and construction of a port 
access road, $15 million; and $10 million for improvements in Beaufort 
and Colleton County to improve safety, and the list goes on.
  I tell you what. It actually gets better as we look into it because 
on September 30, 2009, there was a vote on a $2.5 billion amendment to 
add 10 additional Charleston, SC, based C-17s for $2.5 billion. The 
Citizens Against Government Waste listed this as the single largest 
defense earmark of 2009. Senator DeMint voted for it, and South 
Carolina was very appreciative. It was the single largest defense 
earmark then.
  Last week, Senator DeMint told the Greenville News that he wants to 
reform the harbor maintenance trust fund to ``get back the money South 
Carolina contributes.'' He is going after specific funding of $400,000. 
Whether the money comes from the Corps of Engineers or the harbor 
maintenance trust fund, it is still an earmark under anyone's 
definition. He wants to put that money into a fund to study and deepen 
the channel, rather an O&M. He should do that. He is doing what the 
Constitution tells him to do. He is looking after the needs of the 
people of South Carolina. I look after the needs of the people of 
Oklahoma. I am not sure that if we left this up to President Obama he 
would be very generous to South Carolina and Oklahoma. So he is 
entitled to do this. That is why Madison gave the power to spend to the 
legislature.
  All those earmarks--and you might say that Senator DeMint is 
adaptable. It reminds me of the guy who had been out of town for 2 
years and called up his dearest friend, and he said to his friend: 
Well, Mary, how are you doing? This is Tom.
  She said: Tom, it is so good to hear from you. It has been 2 years.

  Tom said: How is old Jim getting along?
  She said: Didn't you know? Jim is dead.
  He said: No, what happened?
  She said: He went down to the garden to pick some peas for dinner and 
leaned over and had a heart attack and fell on his face dead.
  He said: You poor thing, Mary. Whatever did you do?
  She said: There is only one thing we could do. We had to open a can 
of peas.
  You see, there is nothing wrong with being adaptable. I think Senator 
DeMint is. I think we are talking about not a can of peas but a can of 
worms.
  The government has a function to provide infrastructure, roads, 
highways, and all of this. I will bring this out because--I will 
mention a couple of others, but people are concerned about their 
States. There is one significant fact that needs to be elaborated on 
now. One of the arguments that was

[[Page S7906]]

not sound was that they said earmarks are a gateway drug that needs to 
be eliminated in order to demonstrate that we are serious about fiscal 
restraint. There is one problem with that; it is not true.
  According to the OMB and Citizens Against Government Waste, the 
earmarks have dramatically decreased over the past several years. OMB 
said in 2005 total earmarks were $18.9 billion. In 2008, they were 
$16.6 billion. In 2009, they were $15.3 billion. In 2010, they were 
$11.1 billion. Why do you suppose they are reducing every year? It is 
because we are demanding more light so that people can know what they 
are spending money on.
  I say that earmarks are hardly a gateway drug, a symptom of Federal 
funding run amok, or even an underlying cause to our fiscal problems. 
Why? Because we have shed light on earmarks. Let's add why a shining 
light can be a first step.
  In 2009, the Senate performed the rare action of considering many 
appropriations bills individually rather than irresponsibly lumping 
them into one like we are doing today, lumping them into one vote at 
the end of the year. The value of that--considering them individually--
is it gives Senators the opportunity to exercise oversight of 
government programs and to monitor how Federal departments spend money. 
So in 2009 Senators could offer amendments to cut spending and strike 
particular earmarks if they desired.
  From July until November of that year, 2009, there were 18 votes 
specifically targeting earmarks. All the amendments failed. Had they 
succeeded, it would not have reduced the overall amount of money the 
Federal Government is spending by a dime.
  Instead of putting money back into the pockets of the American people 
by reducing spending or shrinking the deficit, these efforts would have 
put the money into the hands of President Obama, by allowing his 
administration to spend the money as he saw fit. At the end of the day, 
no one would have saved money. President Obama is the winner and the 
American people are the loser.
  In another case Members offered amendments to strike funding from the 
program called Save America's Treasures for specific art centers 
throughout the United States. They offered amendments to strike it. Did 
it save any money? No. That went back to the unelected bureaucrats at 
the National Park Service to spend. That is the Obama administration. 
He calls the shots there. It didn't save a cent.
  In another case, a Member offered an amendment to strike a variety of 
transportation projects in quite a few States only to redirect spending 
to the Obama administration and the unelected bureaucrats in the 
Federal Highway Administration. Not one of these actions saved a dime 
but made President Obama happy because it all went back to his coffers.

  Now I point this out because there is a solution. We have clearly 
demonstrated, and we have made a point here, and the point is: No. 1--
and no one can deny this--that spending is an exclusive constitutional 
right of the Senate and the House, and killing earmarks doesn't save a 
dime but can be the first stop in a real solution.
  That gets back to S. 3939. I am very proud of that, and I wish to say 
there is a happy ending to this story mostly because of that Senate 
bill. I would like to take credit for that but I am not going to do it 
because I can't. I wasn't that smart. But there are eight great 
Americans--and let's put that chart up, if you would, Luke--eight great 
Americans and the conservative groups they represent--Tom Schatz, 
president of Citizens Against Government Waste; Melanie Sloan, director 
of Citizens for Responsibility and Ethics in Washington; Steve Ellis, 
Taxpayers for Common Sense; Craig Holman, Public Citizens; Jim Walsh, 
Rich Gold, Manny Rouvelas, and Dave Wenhold--and thanks to them we can 
put the earmarks issue to rest. They authored the ``5 Principles of 
Earmark Reform,'' and I will list these. The chart shows what they are, 
starting at the top.
  I have to say that S. 3939 will address all of these specifically. 
There are people in Washington who go through a lot of work making a 
lot of studies, and they assume we never read these things or care 
about them. But if you believe that, you are wrong because I listened, 
and this is the result--the five principles of earmark reform.
  What we are saying here is that we know--and it doesn't matter what 
you do in having a ban on earmarks, because Members are going to be 
voting and supporting things in their States; everyone is. I can assure 
you that is going to happen, by the Senator from Oregon and everyone 
here. This is going to happen. But principle No. 1 says to cut the cord 
between campaign contributions, Congress should limit earmarks directed 
to campaign contributors. Limiting total contributions from the earmark 
beneficiary and its affiliates to no more than $5,000 would help 
restore public confidence. This came from those eight great groups that 
evaluated as to what we could do to clean up this system. Well, S. 
3939, just introduced, does exactly that. Section 2 says:

       No earmark beneficiary shall make contributions aggregating 
     more than $5,000 to any requesting candidate with respect to 
     such earmark beneficiary.

  So that first one is met. The second principle is to eliminate any 
connection between legislation and campaign contributions, legislative 
staff should be barred from participating in fundraising activities. 
The attendance of legislative staff at fundraisers suggests a 
connection between campaign donations and earmarks.

  So we handled that with S. 3939. It does just that under section 3. 
Subsections (a) and (b) state:

       Limits on staff attendance of Member fundraisers. Except as 
     provided in subsection B, an employee of the personal staff 
     of a Member of Congress should not attend a political 
     fundraiser on behalf of the Member of Congress for whom they 
     are employed. A Member of Congress may designate one employee 
     who shall not be subject to the provisions of Subsection A.

  I think people know there may be a situation where someone would need 
to drive a Member or there could be threats and they may need to have 
some security.
  The third thing they came up with to increase transparency is, 
Congress should create a new database of all congressional earmarks. 
They went on to say:

       Information about lawmakers' earmark requests is scattered 
     across hundreds of web sites in a variety of formats with 
     differing levels of details. The funding levels for each 
     earmark award are listed in a chart at the end of each 
     spending bill. While the data is technically available, it is 
     virtually impossible to collect, understand and analyze all 
     of the earmark information. Congress should create a unified, 
     searchable, sortable and downloadable database on the public 
     website.

  S. 3939, which I introduced an hour ago, does exactly that. Section 4 
reads:

       The Secretary of the Senate and the Clerk of the House of 
     Representatives shall post on a public website of their 
     respective houses, a link to the earmark database maintained 
     by the Office of Management and Budget.

  Done.
  No. 4. The fourth concern is to ensure taxpayer money has been spent 
appropriately, the Government Accountability Office should randomly 
audit earmarks. Because oversight is essential to maintain integrity in 
the earmarking process, the Government Accountability Office should 
develop and implement a system to audit and report to Congress 
regularly on programs and projects funded through earmarks.
  This does that, and I am going to read our section 7. This is a more 
difficult one, but it is air tight.

       Not later than December 31, 2011, and each year thereafter, 
     the Comptroller General shall submit a report to Congress 
     that uses the OMB database--(1) to randomly select a 
     percentage of each of the programs and projects funded 
     through earmarks in a preceding fiscal year; (2) to conduct 
     an audit on each selected program or project reporting on the 
     amount, purpose, term, requesting Member and the present 
     state of completion of the program or project; and (3) if the 
     earmark contributes to an already existing program or 
     project, to provide a detailed accounting of how the earmark 
     contributed to each program or project.

  That was the request, and we came up with the section that, as I say, 
is air tight in solving the problem.
  No. 5, to promote congressional responsibility without stifling 
innovation, Members should certify earmark recipients are qualified to 
handle the project. The last language we had on that was section 6:

       And a certification that the recipient is qualified to 
     handle the project, if applicable.

  You might say that is great, we have resolved all of the problems 
that are

[[Page S7907]]

out there. This was a combination of the intellects of all the people I 
have mentioned a while back. They looked at all the problems that are 
there and how we could resolve those problems. But one thing was 
overlooked, so we have a section in S. 3939 where we go one step 
further. It demands--listen to this, Mr. President--the same 
transparency to Obama bureaucratic earmarks as it does to Senatorial 
earmarks.
  Well, that is kind of neat, if we do that. I will read section 5:

       Not later than July 1, 2011, the head of each department 
     and agency of the Federal Government shall post on the public 
     website of that department or agency a link to a searchable 
     database that lists each contract, grant, cooperative 
     agreement, and other expenditure made by the department or 
     agency listing with respect to the expenditure, the amount, 
     purpose, term and office making such expenditure.

  Why is that necessary? I can remember Sean Hannity, about 6 months 
ago, came out with a series one night where he talked about the 102 
most egregious earmarks that were brought up. Here is something that is 
interesting about that. I was so excited when I saw these that I read 
them all. I came down and stood right here on the Senate floor and I 
went over them all and described all 102 earmarks. We have a chart that 
shows some of those. Look at some of the things we are talking about 
here: $3.4 million to construct an echo passage for turtles--that is 
nice; $450,000 to build 22 concrete toilets in the Mark Twain National 
Forest; $300,000 for helicopter equipment to detect radioactive rabbit 
droppings; $500,000 for a grant to a researcher named in the Climate-
Gate scandal--I wish we had another hour, I would like to talk about 
that--and $325,000 to study the mating decisions of female cactus bugs.
  After reading all 102--and this is five of them--I asked the 
questions: What do all these have in common? What they have in common 
is that not one of them was a congressional earmark. They were all 
earmarks that were put in there by the Obama administration.
  So here is the problem you have. If you ban congressional earmarks, 
you are going to have more of this. Because as you restrict what 
Congress can do, that same amount of money goes back into the 
administration, whether it is the Department of the Interior, the Corps 
of Engineers, the EPA, or any of the rest of them. So is there any 
question why President Obama embraced the ban on the earmarks? No, 
because he wants the money to go to him.

  But S. 3939 is going to curb that. I think this actually could have a 
very happy ending, because the five principles of earmark reform 
assembled by the eight individuals I mentioned is an ingenious 
document. Even the Tea Party people recognized that we have an 
obligation to our States.
  Let me congratulate Senator Rand Paul for his statement on Sunday, 
November 7, wherein he stated that he told the people of Kentucky that 
he will work through the committee process to get things done for 
Kentucky, but it has to be under a particular overall budget. I agree. 
I am with him. I have had the same conversation with Marco Rubio. I am 
with him. They recognize the President does not have the knowledge of 
each State's needs.
  With the passage of S. 3939, it resolves the whole earmark dilemma 
and puts it to rest. The one good thing about the ban is that we have 
to tackle the deficit. As long as we continue, as we did in the last 2 
years, to stand on the floor of this Senate and go hour after hour 
after hour talking about the earmark problem, which is 1 percent of the 
total discretionary spending, we are not going to be able to address 
the real problem, and that is the increase of the debt to $13.4 
trillion--the largest increase in the history of America. It is larger 
than any of the other increases, all the way from George Washington to 
George W. Bush, and saddling my 20 kids and grandkids with $3 trillion 
of extra spending.
  That is the problem we have. I would have to say, as I learned in my 
successful battle against cap and trade, the truth eventually triumphs. 
Winston Churchill said:

       Truth is incontrovertible. Panic may resent it, ignorance 
     may deride it, malice may destroy it, but there it is.

  I believe that is what we are getting closer and closer to. The end 
result will be that a Senator will be able to continue to work for the 
needs of the States, as Senator DeMint is doing, and I am doing right 
now. But first, all of the reforms necessary to clean up the process 
will occur; and, secondly, we can limit President Obama or any future 
President from claiming or from taking our constitutional rights by 
subjecting him to the same transparency.
  I think this is very significant. I believe after all this talk, over 
all these years, particularly in the last 2 years, we are now at the 
point to satisfy everyone. If they want to ban earmarks, fine, ban 
earmarks. But at the same time, put the clarity and the transparency in 
the system that will clean it up, and I believe that is what is going 
to happen. I guess you can say we can have it both ways, and it looks 
as if we are going to be able to do that.
  Mr. President, I yield the floor.
                                 ______
                                 
      By Mr. BAUCUS (for himself Mr. Begich, Ms. Landrieu, Ms. 
        Stabenow, Mrs. Shaheen, and Mr. Brown of Massachusets):
  S. 3946. blll to repeal the expansion of information reporting 
requirements for payments of $600 or more to corporations, and for 
other purposes; to the Committee on Finance.
  Mr. BAUCUS. Mr. President, today, I am introducing a bill to help 
small businesses across America. The Small Business Paperwork Relief 
Act repeals recently enacted information reporting rules.
  Known as ``the 1099 provision,'' these rules would have required 
businesses to file Form 1099 with the IRS to report payments made to 
corporations for goods and certain services with the hope that that 
better information would help the IRS collect more of the taxes that 
are legally owed, and in turn, keep taxes lower for all taxpayers.
  Forms 1099 have been used by the IRS for decades to better track 
income. And in fact, this type of information reporting was proposed by 
the Bush administration to help better keep track of what businesses 
spend and earn, which helps better keep track of what they owe in 
taxes.
  But it has become clear the new rules went too far.
  As I traveled my home state of Montana, I listened to small business 
owners like Darrell Keck, owner of the Dixie Inn in Shelby. Darrell and 
his wife Jeanne run a tight ship, they are hard-working, and they pay 
their taxes. This is just one of many mom-and-pop businesses in Montana 
and throughout the country that told me they do not have the manpower 
or the software to make the new Form 1099 reporting rules work.
  I have listened to small businesses, I have heard small businesses, 
and I am responding to small businesses by offering this bill for full 
repeal of the new information reporting requirements.
  The time and expense for small businesses to comply with the new 
rules far exceed any benefit. Especially in these tough economic times, 
now is not the time to put additional stress on small businesses to 
meet complicated government rules. Small business is the backbone of 
the American economy--especially in Montana where more workers are 
employed by small businesses than anywhere else in the country. 
Business owners need to focus their efforts on growing their business 
and creating jobs--not filing paperwork.
  As Chairman of the Senate Committee on Finance, I remain committed to 
improving tax administration and enhancing voluntary tax compliance. 
When each person pays what he owes, our nation's system of voluntary 
tax compliance is fairer for everyone--without raising taxes on anyone. 
I look forward to working collaboratively with the small business 
community to improve the ability of small businesses to understand and 
meet their tax obligations.
  Small businesses in Montana and all across America want to comply 
with the tax laws. But these new rules stretched their ability to do 
that. I urge my Colleagues to support their full repeal.
  Mr. President, I ask consent that the text of the bill be printed in 
the Record.
  There being no objection, the text of the bill was ordered to be 
printed in the Record, as follows:

                                S. 3946

       Be it enacted by the Senate and House of Representatives of 
     the United States of America in Congress assembled,

[[Page S7908]]

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Small Business Paperwork 
     Relief Act''.

     SEC. 2. REPEAL OF EXPANSION OF INFORMATION REPORTING 
                   REQUIREMENTS.

       Section 9006 of the Patient Protection and Affordable Care 
     Act, and the amendments made thereby, are hereby repealed; 
     and the Internal Revenue Code of 1986 shall be applied as if 
     such section, and amendments, had never been enacted.
                                 ______
                                 
      By Mr. REID:
  S.J. Res. 40. A joint resolution appointing the day for the convening 
of the first session of the One Hundred Twelfth Congress; considered 
and passed.
  Mr. REID. Mr. President, I ask unanimous consent that the joint 
resolution of the bill be printed in the Record.
  There being no objection, the text of the joint reolution was ordered 
to be printed in the Record, as follows:

                              S.J. Res. 40

       Resolved by the Senate and House of Representatives of the 
     United States of America in Congress assembled, That the 
     first regular session of the One Hundred Twelfth Congress 
     shall begin at noon on Wednesday, January 5, 2011.

                          ____________________