[Congressional Record Volume 157, Number 76 (Tuesday, May 31, 2011)]
[House]
[Pages H3795-H3801]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
MAKE IT IN AMERICA
The SPEAKER pro tempore. Under the Speaker's announced policy of
January 5, 2011, the gentleman from Rhode Island (Mr. Cicilline) is
recognized for 60 minutes as the designee of the minority leader.
Mr. CICILLINE. Mr. Speaker, I would like to begin our remarks today
which will focus on our Make It in America agenda, the agenda that we
put together to put the American people back to work to really support
manufacturing, and we are going to have a good discussion about that.
I would like to yield first to the gentlewoman from Alabama (Ms.
Sewell) who has some important remarks to share.
Ms. SEWELL. Thank you so much for yielding.
I rise before you today to discuss the recent disasters, natural
disasters, that have affected families, businesses and communities
across this Nation. In the aftermath of such disasters, there must be a
shared commitment to rebuilding communities across this Nation.
My thoughts and prayers are with the people of Joplin, Missouri, who
suffered the most recent wrath of nature. We in the Seventh
Congressional District of Alabama suffered massive devastation during
the April tornados. Nine out of 12 counties in my district suffered
tremendous damage. These pictures only show part of the story. Homes
were destroyed. Schools, churches, businesses, and communities were
destroyed; and many of my constituents lost the lives of their friends
and loved ones.
I want to thank the President and the First Lady for visiting my
district and seeing the devastation firsthand. Mr. President, you told
us then that you had not seen such devastation before. You also said
that you would make sure that we were not forgotten.
Thank you, Mr. President, for your commitment to rebuilding Alabama.
I want to thank your administration for responding so quickly.
Within hours, FEMA administrator Craig Fugate was on the scene to
survey the widespread damage. The emergency disaster declaration and
the major disaster declaration were approved within hours.
I also want to thank Homeland Security Secretary Janet Napolitano,
HUD Secretary Shaun Donovan, Agriculture Secretary Tom Vilsack and SBA
Administrator Karen Mills for traveling to my district days later.
As a result of the April tornados, 67 lives were lost in my district
alone; and in the State of Alabama, 238 people lost their lives. I want
to extend my deepest condolences to those who have lost their loved
ones. I want to thank all of the first responders who were on the scene
to help so many of the victims.
I also want to thank the volunteers who continue to work tirelessly
to restore the lives of families who lost all that they had. The
destruction and loss of lives has been absolutely heartbreaking. But
out of this tragedy, we will triumph. We will recover, rebuild, and
restore our communities. We will be better and stronger than before. I
am inspired every day by the resilience that my district in the State
of Alabama and the people have shown. Neighbor helping neighbor.
The response by the State and local government has been tremendous. I
want to thank Governor Bentley of Alabama for his leadership and timely
response. The coordinated efforts of my local mayors have been amazing.
I would like to thank Mayor William Bell of Birmingham, Mayor Walt
Maddox of Tuscaloosa, Mayor Cunningham of Geiger. Your leadership and
tireless efforts have been commendable.
I also would like to commend the Alabama Emergency Management Agency
under the leadership of Art Faulkner. I would be remiss if I did not
mention the incredible support and help of my colleagues within the
Alabama delegation.
What we have learned is that what affects one of us indeed affects
all of us. Together, I know we will work to rebuild Alabama.
Mr. CICILLINE. I thank the gentlewoman, and I know we all stand in
strong support of the work that is under way in your district and all
across this country and our hearts and prayers continue to go to the
families who have suffered such tragic losses during those terrible,
terrible incidents. We compliment the first responders and the mayors
and all those you have recognized tonight.
I would like now, Mr. Speaker, to turn to the agenda that we
announced several weeks ago that involves really comprehensive pieces
of legislation to really support American manufacturing.
Our country has a proud tradition of making things. We built the
world's strongest middle class because, in large part, so much of what
the world needed, we made here in America. And for millions of
Americans, our tradition of making things here has been a source of
opportunity and great pride. Today, with millions of Americans still
out of work and with an economy which is still struggling, it's time to
draw from that tradition to build a positive, job-creating agenda.
The American Dream used to mean something, that if you put in a hard
day's work you could expect good American wages, benefits, and a better
life for your family. It meant that when products said ``Made in
America,'' people knew that they were getting the highest quality
manufactured goods money could buy. It's time working Americans used
our strength in numbers to reclaim the American Dream. Working people
deserve a voice at the table; and if we lose that voice, we will lose
what our grandparents fought so hard to leave us.
We should start with manufacturing. The number of Americans involved
in producing goods is still near its lowest point since World War II.
Manufacturing is central to our economy. The National Association of
Manufacturers tells us that manufacturing stimulates more economic
activity than any other sector. It's time we started expanding
opportunity and stopped shrinking the middle class.
So this effort is to really understand that we have to start making
things again, that manufacturing matters. My friend, Mr. Garamendi,
certainly our leader in this Make It in America agenda, is someone who
has spoken so passionately and so forcefully about our ability again to
lead the world in making goods so that we can start shipping goods that
are made in this country all over the world. Instead of exporting jobs,
let's export American-made goods.
I tell my constituents--I hear from them all the time--go into a
store and try to find something made in America. It's almost
impossible, and it doesn't have to be that way. We still have the best
workers in the world, we still make the best products in the world, and
what we need are good public policies that support American
manufacturing, that support job growth in American manufacturing to
give fair trade and tax policies that give American manufacturers a
fighting chance to compete in a global economy and efforts to be sure
that our trading partners like the Chinese stop cheating and play by
the rules and are held accountable when they do.
So we put together an ambitious agenda to really make things again in
this country. Because when we make things in America, families can make
it in America.
We have a series of bills we want to talk about tonight, but think of
those days when you would go into a store and you would pick up an item
and it said ``Made in the USA'' and the kind of pride we felt because
we knew that was a product that was made well, built well, that would
stand the test of time, and we could sell it all over the world. We can
do that again.
[[Page H3796]]
We are doing it. We have some great manufacturing in this country. We
are seeing a real growth, particularly in new manufacturing, high-tech
manufacturing, which requires innovation and entrepreneurship and the
kinds of investments in technology that will help us lead the world in
this new knowledge-based economy. So this effort is to really
understand this is part of our history, it's part of the present day,
and it is part of our future as a great economic power.
I yield to the gentleman from California (Mr. Garamendi) who has been
such an important voice on the importance of rebuilding and
strengthening manufacturing in this country.
Mr. GARAMENDI. Mr. Cicilline, it does not surprise me at all that you
have a passion for this issue. You come from a part of the United
States that really started the industrial revolution, the Northeast,
and your State in particular, the industrial revolution started there.
And over the years it gave great strength to this Nation, and it was
the manufacturing that provided the economic underpinnings for the
growth of the American economy. Unfortunately, your part of the State,
perhaps for a variety of reasons, some of them having to do with
national policies, began to lose its industrial base.
But with your representation and your passion for this issue, I have
absolutely no doubt that once again the Northeast will find the
resiliency and the right national policies to rebuild the manufacturing
base there and across the rest of the Nation.
We are already beginning to see it as a result of the stimulus
program, and some of the specific laws that were built into that
program are now rebuilding the manufacturing base in the Midwest.
{time} 2050
Specifically, a requirement that for the high-speed rail systems and
the rebuilding of the American intercity rail programs, those goods,
trains, rails, electronic systems, control systems, have to be built in
America. And guess what? International companies are establishing,
reestablishing, and building manufacturing facilities in America to
take advantage of that money that was in the stimulus bill. Simple,
little things, not an increase, but rather using our Federal money
wisely. We can do it. We must do it. We will make it in America once
again, and it will be the great American manufacturing sector. And when
we do this, America will make it.
There has been a lot of discussion here on the floor today about
deficits. What are we going to do about the deficits? Are we going to
raise the debt limit? Of course we're going to raise the debt limit. We
have to. America stands behind its debts. We will pay. It will engender
a debate. Fine. Let's make this part of the debate. Let's make this
part of the debate.
In dealing with America's deficit, are we willing to put in place the
policies that will rebuild the American manufacturing sector? And I
know it is the Democratic agenda to do just that, that we will rebuild
the American manufacturing sector. And in doing so, we will rebuild the
American economy and provide one of the critical bricks in solving the
deficit problem. Without a growing economy, without a strong middle
class, the deficit will never be solved. So we ought to do it.
How can we do it? Well, how about our legislative agenda? Why don't
you start us off on a couple of the bills and see where it takes us?
Mr. CICILLINE. I thank the gentleman.
I think one of the important investments that we need to make in
supporting manufacturing that you just referenced is infrastructure.
And one of the parts of the Make It in America agenda is the making of
a national infrastructure bank which will create a public-private
partnership to finance the construction of roads, bridges, transit, and
the ability to move information, goods, and services in the 21st
century.
If we're going to successfully compete in the manufacturing sector,
we need to have an infrastructure that has the ability to move goods,
services, and information to be competitive and succeed in the 21st
century economy.
When you look at what other nations who are investing in
manufacturing, are investing in their infrastructure to support
manufacturing, in roads, in bridges, in transit, in information
technology, and the ability to move goods and services competitively,
they are racing by us, literally and figuratively. And what we need is
an infrastructure that will support this growth in manufacturing, an
infrastructure that will really allow American manufacturers to compete
successfully in the 21st century.
Mr. GARAMENDI. If you would yield, the infrastructure bank is a great
idea, and it is one which allows us to build immediately. And over
time, as those projects pay off, they repay the loans. It is a very,
very wise investment to create an infrastructure bank. Other countries
have it. And in the United States, there are certain localities and
States that also have it.
Another piece of legislation dealing with infrastructure actually is
a bill that I put together that says, we spend a lot of money. It's
part of the excise tax money that goes out to build highways, to pay
for buses, trains, light rails and the like. And my bill is pretty
simple. It's our tax money. Use that tax money to buy American-made
equipment. Why would we send our tax money off to China to buy a
Chinese bus? Hey, we make great buses. We make a great bus in the Bay
Area. The GILLIG Corporation makes a bus that is a superb bus. And we
need to spend our taxpayer money buying American-made buses, trains,
light rails and the like.
We're going to spend billions. Is the money going to be spent in
America or is the money going to be spent overseas? My legislation says
buy American-made equipment. Pretty simple. After all, it's our tax
money. One of several bills--the infrastructure bank and this
particular bill--in building the American infrastructure.
I notice one of our colleagues here from the State of Hawaii.
Mr. CICILLINE. Yes, I know she, I'm certain, is going to join the
conversation.
I think the point you made, Mr. Garamendi, is an important one. These
are not always pieces of legislation that require additional
investments of resources. It's also about ensuring that the resources
that we're expending are used in ways that support the growth of
American jobs and American manufacturing, and your bill is an excellent
example of that.
I think we also have, as part of this package, kind of as a beginning
point, the development of a national manufacturing strategy, a
legislation that would direct the President to convene the stakeholders
in industry, in labor, and manufacturers to really develop a national
manufacturing strategy with benchmarks and with ways to hold ourselves
accountable to meeting those benchmarks; because, again, all of our
competitors who are serious about growing manufacturing are doing it
pursuant to a well-conceived and developed manufacturing strategy.
We need to put the same kind of thoughtful consideration in the
development of that strategy and then really hold ourselves accountable
with good benchmarks. And I think that's a great other piece. Of
course, my favorite in the package is my very own Make It in America
block grants.
Mr. GARAMENDI. It's always good to talk about your legislation. This
is a great way to get things started. This is a great way to do it. It
came from a fellow from the East Coast, the great State of Rhode
Island, and it basically is a block grant program to jump-start the
infrastructure programs all across the Nation.
The thing that's really good about this is it's a competitive block
grant. You're just not going to go out with earmarks because somebody
has seniority, but it's going to be based on the quality of the
program, the jobs that are brought, the necessity of moving people. I
think it must have been a genius out of Rhode Island. Was it you, Mr.
Cicilline, who came up with that idea?
Mr. CICILLINE. I thank the gentleman for that excellent question. But
this legislation really grew out of my visits to manufacturers in Rhode
Island, some who have been very successful, some that are growing, some
that have not been growing. And I said, What are the impediments? What
would allow you to grow? What do you need as an American, as a Rhode
Island manufacturer? And developed this idea
[[Page H3797]]
of the Make It in America block grant that would provide resources in a
competitive process as you described, for manufacturers to retrofit
their factories to make energy improvements in their plants, to train
workers on new equipment, to buy new equipment, to engage in activities
which will allow them to increase their exports, but really a shot in
the arm to help manufacturers to compete successfully in the 21st
century by identifying what they need.
And, look, we invest lots of resources in other areas of our economy.
We don't do enough for American manufacturing. This would respond to
many of the urgent issues that Rhode Island manufacturers, American
manufacturers are facing, do it in a competitive way with real
measurement of outcomes, but really invest again in making things in
this country.
I know the gentlelady from Hawaii has now joined us, who has also
been an important part of the Make It in America agenda.
I would like to yield to Congresswoman Hanabusa.
Ms. HANABUSA. Thank you very much. It's very fascinating to watch the
both of you go back and forth on this.
Hawaii doesn't have manufacturing like the traditional form of
manufacturing. However, there is one part of our economy that is very
critical, and it's under fire. And I would like to discuss that,
because I have some statistics as to how, when we protect what is made
in America, we are able to actually see the results.
And I'm talking about the Jones Act, which has different
ramifications for all over, but for Hawaii, because we are in the
middle of the Pacific, what we tend to forget is that our oceans are
our highways. And what people think is that, gee, if we had ships
coming in from foreign-flagged vessels, we might have a reduction in
the costs. And that is exactly where we do not want to go.
Let's talk about manufacturing and how it affects us. First of all,
shipbuilding, the gentleman from California and I sit on the Armed
Services Committee, and tomorrow in one of the subcommittees, they're
going to discuss the 30-year plan of shipbuilding in the military. And
the military, I know from conversations with my own hometown people who
are in the maritime industry that they have been called to Washington
because the NAVSEA component wants them to continue to build in
America. They want them to build the ships because we can't, the
military can't continue to keep this industry alive. They need help
from the private sector. So let's look at: Why wouldn't the private
sector do this?
And one of the pieces of legislation that has been there to keep the
private sector in the manufacturing of ships has been the Jones Act.
Now, let's understand what it means for a State like Hawaii, and then
maybe we can, by going through that, understand what the ramifications
are when we talk about Make It in America, because people may not see
that actual connection to how we benefit from it.
We have, for example, in my district alone, 16,494 domestic maritime
industry jobs. This is the second highest of all congressional
districts. This is according to a PricewaterhouseCoopers Transportation
Institute survey or statistic that they did.
{time} 2100
Now, the total gross economic output from domestic maritime activity
is $3.389 billion annually for the State of Hawaii. Gross output is
defined as the sum of receipts or sales and other gross income
generated in this maritime sector. Executives and other workers related
to the domestic maritime industry receive total compensation of $785.9
million annually. The total value added for goods and services moving
by domestic waterborne transportation is $1.24 billion annually.
The State of Hawaii is a top contributor to the domestic maritime
industry, ranking basically in the top eight of four categories, top
eight. Think about how small we are: jobs, economic output, labor
compensation, and value added. There are over 23,000 domestic maritime
jobs in the State of Hawaii, and the total gross economic output for
the State is well over $4.7 billion annually. And the related labor
compensation is $1.1 billion annually, and the annual value added is
about $1.7 billion.
Now, nationally, the domestic maritime industry accounts for about
499,676 jobs; $29.1 billion in labor compensation; $100.3 billion in
economic output; $45.9 billion in value added; and $11.4 billion in
taxes. There are more than 40,000 vessels in America's domestic fleet,
one of the largest in the world. But remember something, and one of my
Senators made the statement--and I was stunned by it--he said after
World War II in terms of ruling the high seas, America had over 90
percent, over 90 percent; and we are now in the low 20s.
What does that mean for us? Think about the industry. Think about the
manufacturing. Think about the high-quality jobs that the maritime
industry represents, and what are we doing about it. We know trade. We
also know in terms of the military that the maritime industry is
critical, but the military alone cannot keep that industry alive.
That is why--let us not forget the Jones Act comes from the Merchant
Marine Statute. And what has been done in the past? In the Persian Gulf
war, for example, and in other types of areas where we don't have
enough ships, we go to the private sector; and we are able to do that
because they are American flagged, American owned, and American
manned--manned, not to be referencing other than man or woman.
But that's what it is all about. We are, no matter what, the greatest
power in the world. That's what we are. That's what we represent. And
why would we not recognize that there are many things that we do best
and we rule the high seas, as they said. And now we are willing to
sacrifice that to other countries? That should not be the case because
trade, maritime, is a major component of our success and our ability to
continue to be independent.
And we know, the gentleman from California and I as we sit through
many of our hearings, that the new military is looking at a marriage
with the commercial areas, a marriage with using all of the different
ships, plus airlines, to transport things. You know, that is the
future; but to make that future a viable future and a cost-efficient
future, we have got to continue to make it in America.
Mr. CICILLINE. I thank the gentlelady.
I think the other very important part of that conversation has to be
a continued investment in science and research and innovation. A lot of
the things you are talking about, kind of new manufacturing, we are
going to continue to rely on the knowledge economy and the brilliant
new innovators and the great new scientists and the great new
technologies and research. We need to be sure that even in these
difficult budget times, we are making investments in science and
research that will help protect those jobs of the 21st century so we
can not only develop the ideas, but then manufacture the products. I
think that is an additional important point.
Mr. GARAMENDI. I only want to take a second here. I notice one of our
colleagues from Texas has joined us. She is a strong advocate of
returning American manufacturing.
I want to thank our colleague from the great State of Hawaii for
bring to our attention the critical importance of transportation on the
sea and in the American flag. Just for a moment, she caused in my mind
a memory to return about an article that I read about where the ship is
flagged. That is where it is licensed. I recall that I think it is from
Florida, the Carnival Cruise lines, a billion-dollar operation with the
ships actually flagged, I believe, in Panama. Interestingly, the tax
that they pay to the U.S. Government, that is their corporate income
tax--zero, nada, nothing--largely because they are able to avoid the
American laws by flagging their ship offshore.
We need these ships flagged in America for many reasons, and
certainly the issue that she raised about national defense. Corporate
tax policy, the R&D tax credit, another one of the bills that the
Democratic Caucus has put forward to permanently put in place the
research and development tax credits so that we can expand the genesis,
the beginning of tomorrow's manufacturing, which actually comes through
the research. I can go on and on about that.
[[Page H3798]]
Representing California, we think research is really, really important.
That is why we supported, without any Republican support, the STEM
program, science and technology, which is research and also the
education that goes with.
One of the things that I found so disturbing was the effort by our
Republican colleagues to back off the research, to reduce the research
in America, when in fact that is where the future comes from.
Mr. CICILLINE. I thank the gentleman from California.
I think that point cannot be stated often enough, that part of our
ability to make it in America, not only manufacture but invent and
create and make the new discoveries, is understanding that we need to
maintain our investment in science and research to compete in this
global economy. I thank you for raising it.
I am delighted that we are joined by our colleague from the great
State of Texas, someone who has been a very forceful and strong
advocate for manufacturing and making it in America.
I yield to the gentlelady from Texas.
Ms. JACKSON LEE of Texas. I thank the gentleman.
It is my privilege to be able to join the gentleman from Rhode
Island, a former mayor of one of our great cities, who understands when
he looks at his constituents in city government that job creation and
manufacturing churns the economy of local government as well.
I am delighted to say to my friend from California, Texas is right
with you. I don't think any State can reject the value of research. We
have the Texas Medical Center. It has research in many different
components, but they all come together to generate jobs and a better
quality of life.
And I am amazed at how astutely correct the gentlelady from Hawaii
was on this whole idea of shipbuilding and the flags that ships fly
under and the loss of income.
But more importantly, most of us grew up, young as we are, with this
country being the grand shipbuilder. We were proud of that. We loved
those christenings; but, more importantly, to see those great ships.
So I rise today to support you and to join also, if I might, with my
colleague from Alabama, having had the opportunity to join her there in
Birmingham and Tuscaloosa. Let me say to her and to those who have lost
so much in Alabama and throughout the areas surrounding Alabama, and
certainly to our dear friends in Missouri, and the tragedy of such a
high cost of life, let me say to them that we will never give up on
helping you.
My point is this: it is interesting that today we had an example of
the lack of seriousness that my Republican friends have regarding job
creation.
{time} 2110
No matter how we voted--I voted ``aye'' on the debt relief, or the
debt increase--we all know that our commitment is to save Medicare and
Medicaid, and that it is also to generate revenue.
How do we generate revenue? We put the punch back in manufacturing.
We manufacture and we create jobs. How did FDR do it? He put people to
work. Eventually, the government got out of putting people to work, and
you saw this big manufacturing boom--shipbuilding, building homes. We
all remember the massive homebuilding that President Eisenhower engaged
in--manufacturing, making a whole bunch of things.
Let me tell you why this is so important and how sad I was that the
debt relief was, in fact, a mockery, because, if you commemorated
soldiers yesterday, let me tell you what the unemployment rate is for
veterans: 7.7 percent. The unemployment rate for those Afghanistan
veterans--and I would include Iraq--is 10.9 percent.
How do you put these folks to work? You put a boost and a punch in
manufacturing. You let these guys come back and use the skills that
they've gained in working--or soldiering, if you will--in Iraq, in
fighting for our freedom in Afghanistan and other places. You say to
these guys, I don't just mourn the loss of your comrades on Memorial
Day; I listen to the voices of your families and yourselves. When you
come back, I've got jobs for you.
Let me tell you how you do it, because I am big on making things.
Here we go. Here is one of our bills that we are very interested in,
H.R. 613. We build airports. We refurbish airports. We make them
better. We fix our highways. We build or we engage in high-speed rail--
trains, transit--and we make it in America. Let me say this: we make
sure that trains are made here in America, are assembled here in
America. We go back to making the same trains that we had to make when
everyone said, Go west, young man. Go west, young woman. That's how
Texas got here. That's how California got here.
So it saddens me that instead of spending the time today in looking
at H.R. 1730, which will be discussed, or H.R. 613 or the research tax
or the ability to give incentives for research or to help the Texas
Medical Center or Silicon Valley, we did something that we didn't take
seriously--the need of America to pay her bills.
Then, of course, what does it mean when we talk about ``making it in
America''? Boy, this is exciting to me. We begin to appreciate
chemistry and physics because we are in the business of inventing and
therefore of making. This picture shows research and what happens when
you get through with research. It is extremely important that we, in
essence, show the importance of what happens to Americans. They get to
work.
My point is that there are a lot of Americans who can be helped if we
engage in job creation by making it in America. As we have all
committed to do, I am beginning to go around to my district and am
excited about all the manufacturers I am finding. I'll tell you, you
just go around to say ``thank you'' to these manufacturers, ``thank
you'' to what's happening. If we were to invest in America and make it
in America, it would be a better deal not only for America and those
Americans here but for our young people graduating from college and for
our soldiers coming back.
So I want to thank the gentleman for, I think, the right approach,
which comes right after the mockery of a debt relief that was not
serious. For those of us who believed it was important to be serious
and who may have voted ``aye,'' we really wanted to be discussing job
creation, and we really wanted to be discussing having jobs, as well as
providing for those who are ready to work. Let's see if we can get
something done, so I join with the gentleman in working on these
important issues.
I close by simply saying: what an excitement to make ships again, to
build the trains for high-speed rail, to make America's infrastructure
in such a way of using our manufactured products. What a way to put
America back to work.
I hope we will continue to press this issue. I believe the Democrats
are going to be able to get this done--to make it in America, which
will create more jobs for America and will generate the revenue that
will really bring down the deficit.
Mr. CICILLINE. I thank the gentlelady for her passion, and I am
really hopeful that this is an issue on which we can really build some
bipartisan support.
We put forth from the Democratic Caucus a very ambitious and detailed
agenda on how we can make things again in this country and on how we
can rebuild manufacturing and can really lead the world in the
manufacturing sector again. I hope it's not a Republican or a
Democratic issue. I hope people understand this is good for our
country, is good for America, is good for American workers, is good for
our economy; and I hope we will be able to find some support on the
other side of the aisle for making it a reality.
I know a big piece of this is also supporting small businesses, which
are an important part of the manufacturing sector. I would like to
welcome the gentlelady from Alabama again and thank her for being part
of this discussion.
Ms. SEWELL. Thank you so much for allowing me to be a part of the
Make It in America Special Order hour.
I want to acknowledge the importance of small businesses in making it
in America. Small businesses play a critical role in our economy. They
provide jobs, they spur innovation, and they strengthen our economy.
Small businesses are responsible for generating half of our Nation's
gross national product and for employing half
[[Page H3799]]
of its workforce. That is why I have introduced the Small Business
Start-Up Savings Account Act. More folks would benefit if they were
provided incentives to allow them to save money to start up a business.
On average, an entrepreneur who wants to launch a new business spends
$80,000 in first-year start-up costs. Entrepreneurs often go into large
amounts of debt to start their businesses. They may even try to save
money ahead of time in order to start these businesses. Many even use
their savings from their retirement accounts to build the capital they
need to run their businesses.
This bill would allow entrepreneurs to save money tax free so that
they could start their small businesses. Similar to the retirement
accounts, this bill would allow entrepreneurs to save up to $10,000 per
year and to grow that amount tax free. Once people start their small
businesses, funds from their savings accounts can be used for operating
expenses.
In his State of the Union address, President Obama charged America
once again to spark its creativity and imagination. He reminded us that
we are the Nation that put cars in driveways, computers in offices, the
Nation of Edison and the Wright Brothers, of Google and Facebook. In
America, innovation doesn't just change our lives; it is how we make
our living.
The government can't guarantee a company's success, but it can knock
down barriers that prevent hardworking Americans from starting their
very own small businesses. Innovation is the key to keeping America
number one, and small businesses have always been at the forefront of
American innovation. We can't expect to stay competitive in a global
market without making the creation of small businesses a centerpiece in
our playbook.
In the Seventh Congressional District of Alabama and throughout this
country, the number one issue is job creation. Ordinary Americans with
dreams of starting their own businesses will create most of the jobs
that will employ the workers in America. In fact, over the past decade
and a half, America's small businesses have created 65 percent of all
jobs in this country. As we continue to build our economy, we must
again build things in America, and we can do that through innovation
and job creation through small businesses right here in America.
I look forward to working with my colleagues on both sides of the
aisle to pass this legislation and to help make things right here in
America. I want to again applaud the gentleman from Rhode Island for
leading us in this discussion tonight. It is critically important to
the people of Alabama, whom I represent, and this Nation that we make
things right here in America.
Mr. CICILLINE. I thank the gentlelady.
I think this is one of those issues where the American people are
well ahead of the elected officials because I think most Americans
recognize the importance of our making things again in this country.
This agenda, this Make It in America agenda, is really about two
things: one, rebuilding our manufacturing sector so that we can make
products here in America and can sell them from here all over the
world; and, second, creating good jobs so that more families are able
to make it in America.
Americans inherently know that manufacturing is critical to our
Nation. It is not just that manufacturing creates good-paying middle
class jobs and fosters innovation but that we've also been incredibly
proud as a country about the fact that we make things and that we make
the best products in the world.
{time} 2120
We need and want more success stories like General Motors' recent
announcement that they will be adding and preserving over 4,000 jobs
across the United States, or Ford's decision to move 2,000 jobs back to
the United States from Japan, Mexico, and India. In fact, Ford is
planning to add another 7,000 jobs here in the United States. We need
more stories like that that recognize that we make the best products
and we have the best workers in the world.
I yield to the gentleman from California.
Mr. GARAMENDI. I was just listening to you discuss the situation with
General Motors and Chrysler. That was a very courageous move that the
Democratic Congress, together with President Obama, made when they made
a decision to save the American automobile industry.
Many people, particularly the Republicans here in this House, said
don't do it, government shouldn't interfere with business, let the good
go and the bad die. Well, this was several hundred thousand small
businesses across the Nation that are supply chains that would have
died. But the decision was made--a very courageous decision by the
President--to support the foundation of one of the great industries in
this world and one of the great industries in America. And so General
Motors and Chrysler did receive a bailout. And here we are today with
two companies back at it, making cars, making it in America, and by
golly, we're going to ``Import from Detroit.'' You know, that was one
of the greatest advertisements there ever was. But that's what this is
all about, that's what this Make It in America agenda really is.
There is another piece of this agenda that we really must pay
attention to, and that is the future energy sources of America are
going to be renewables, together with gas and nuclear, but these new
industries need support in their early days. And this is a tax policy.
There has been in place for about 7 or 8 years now a very robust tax
policy to support the new renewable industries. The production tax
credit. When you put a solar panel up on your roof and you draw down
the energy, there is a tax credit available to homeowners. Those are
very, very good. We need one more little twist to it. I saw this in my
own district with those wind turbines down there. They were being made
offshore, and yet our tax money was--appropriately--supporting the
energy, but if you add to it one additional fact, and that is the tax
policy that supports a wind turbine made in America so that our tax
money uses American-made equipment.
Another piece of legislation I have simply says, in the green
technologies, wonderful, we need to do it, but let's make sure that
those solar panels, those wind turbines are made in America.
Mr. CICILLINE. One of the most frustrating parts of that is when you
look at the technology that forms the basis of those products, they
were developed in large part--sometimes exclusively--by the great
scientists and researchers at our great universities, and then they are
manufactured outside the United States, and we're using public money to
make those purchases. So you're absolutely right, having that
requirement that it be manufactured in the United States is a critical
part of it.
Mr. GARAMENDI. A pretty basic thought for me is that it's our tax
money; spend it on American-made equipment.
The other piece of this is that these tax policies, these subsidies
really work. And I want to give you an example. About a century ago,
nearly a century ago America decided it needed a new energy source
called oil. Over the years, subsidies were put in place to encourage
investment in the oil industry and it worked, it worked phenomenally,
created the best, most profitable industry in America, the petroleum
industry; $970 billion--just slightly short of $1 trillion--of profit
after taxes for the petroleum industry. And after a century of being
subsidized by taxpayers, it's time for those to end. Let that industry
help us with the deficit.
End the subsidy for Big Oil. Return the money to the American
Treasury. Bring down our deficit. There's a lot of money here.
Depending on how you count it, it's somewhere between $2 billion, $3
billion, or $12 billion a year in subsidies for this industry. Let's
end that. But unfortunately, we're involved in a debate here in
Congress over whether we keep the tax subsidy for Big Oil and shift the
burden of solving the deficit to seniors, an incredible policy put
forth by our Republican colleagues that would force seniors to pay more
for their medical insurance and literally terminate, end Medicare for
everyone that's not yet 55 years of age. Terminate Medicare, shift the
tax burden to them, and keep the tax subsidy for Big Oil. Hello? What's
that all about? Big Oil doesn't need any more help. The deficit needs
the help. Don't give the tax breaks to Big Oil. And for
[[Page H3800]]
heaven sakes, don't terminate Medicare and force today's seniors and
tomorrow's seniors to add the burden while keeping the benefit to Big
Oil.
This is about choices here. This is about choices. How do we use our
tax money? For the future energy industries? Do we use our tax money to
benefit Big Oil and force seniors and nursing homes to pay more? That's
not out there 10 years from now, that's right now, because the
Republican budget reduces Medicaid. The biggest single part of Medicare
is to subsidize seniors and nursing homes. So seniors and nursing
homes, their families would pay more while Big Oil is protected.
Mr. CICILLINE. I thank you for raising that point.
This is a very, very important question that we have to decide in
this Congress: What are our priorities? What investments are we going
to make both to rebuild our economy and get people back to work, but
also to keep our commitment of promising aid to our seniors. This
proposal that was made by the Republicans in this very Chamber to end
Medicare to people 55 and under, end Medicare, and at the same time to
reestablish the doughnut hole today so it would make prescription drugs
more expensive for seniors, make nursing home care unavailable to many
seniors, slash funding for Medicare, and really shift control to the
private insurance companies to make health care decisions for
our seniors--a terrible idea. And at the same time, as you pointed out,
preserving tens of billions of dollars in subsidies to the Big Oil
companies that have record profits, that don't need a check from the
taxpayers that adds to our debt, and at the same time not making
investments in the kinds of things we need to rebuild manufacturing and
to make it in America.
It's the wrong priorities. We've got to protect our seniors, keep the
promise we made to them, make the right investments here, and get rid
of tax subsidies for Big Oil, get rid of the waste and fraud. Make cuts
the right way, but make the right investments at the same time.
Mr. GARAMENDI. We heard a debate here earlier, and while we're on
Make It in America, this kind of moves us a little bit away, but they
were saying earlier that in the health care reform, the Affordable Care
Act, money was taken out of Medicare. Not true. Money was taken out of
the pockets of the insurance industry who were given, back in the Bush
era, an additional subsidy. It terminated a subsidy of $500 million
that the insurance companies had to participate in Medicare. Why in the
world we would subsidize the health insurance companies who this year
are showing record profits, I don't know, but the Republicans perhaps
want to keep that subsidy there for the health insurance companies just
as they want to keep a subsidy there for Big Oil, rather than taking
care of our seniors, shifting the subsidies to tomorrow's energy
sources.
These are policy choices. And the policy choice of the Democratic
Party is to protect seniors, to make sure that Medicare is there today,
tomorrow, and forevermore. Let me be very clear about this. If you want
to have a fight on this floor, then you fight with us over Medicare. We
will not tolerate the termination of Medicare, period. And we don't
want to shift costs to seniors. We want to make sure that those
companies that are profitable, the oil industry, pays its fair share
and terminate the subsidies to them.
Mr. CICILLINE. I thank the gentleman.
I yield to the gentlelady from Texas.
Ms. JACKSON LEE of Texas. There is just a whole litany of things that
I think have been mentioned today that are so very important.
One, I want to again emphasize when you invest in America, you create
jobs. Look at what is happening to the auto industry. And I am far away
from the auto industry. I happen to be in Texas. But I can assure you
that I can point to an auto dealership that is alive today because we
said ``yes'' to manufacturing and owning businesses and keeping the
doors open. Now this same auto dealership--which, by the way, is in
American-made cars, GM--is expanding, is refurbishing, will be hiring
new people, will be selling more cars because we were engaged.
{time} 2130
And I think the point that we have to create jobs to reinvest in this
community points again to preserving Medicare, which is not being done
by our friends--certainly the vote that we had today had nothing to do
with the debt ceiling, had nothing to do preserving Medicare and
Medicaid. And I truly believe there is a nexus, there is a connection--
invest in America, create jobs, have revenue returned back to the
economy, bring down the debt, and watch America churn like an engine
that is purring and doing better.
We can make it in America. We can applaud our manufacturers. We can
grow them. And I think the investment in America's auto industry is
evident by all of the jobs being brought back home.
Let me end by saying to all of those who can hear us: American
manufacturers, American corporations, bring your jobs back home and
participate with Democrats in their serious effort to enhance making it
in America and creating more opportunity. You are better off here. You
can watch your company grow, and you can support the continued growth
of America and opportunities for small businesses and the young people
who are now coming out of our many colleges and schools ready to work.
Mr. CICILLINE. I thank the gentlelady, and I thank you for your
passion on this issue and again for restating the urgency of job
creation and getting the American people back to work as our number one
priority.
The Make It in America agenda will help do that by restoring making
things again and understanding it has to have a central place in
rebuilding our economy, by building an environment in which American
manufacturers can grow and create jobs and making sure our businesses
are competitive all across the world.
Many of our Make It in America bills have won bipartisan support, and
now we can win bipartisan support in the new Congress when we work for
stronger job training partnerships, fight for a fair playing field for
American exporters, and hold China and our other trading partners
accountable for currency manipulation and unfair trade practices.
Make It in America also means recommitting ourselves to the future of
America's middle class by ensuring that we are out-educating, out-
innovating and out-building our competitors. We, of course, have to cut
wasteful spending and restore fiscal responsibility by making priority
investments that are necessary to keep our Nation competitive.
As the gentleman from California has just put forth, that board which
really does describe the issues that are part of the Make It In America
agenda: focusing on fair trade policies; tax policies which support job
creation in American manufacturing, that give American manufacturing
the tools they need to succeed; energy policies that will increase
investments in renewable energy, clean energy to make American
manufacturers more competitive; labor policies; educational
investments, educational investments; protection of intellectual
property; and investments in infrastructure. Those are really the
outlines of what we know we have to do to really support making it in
America, to support manufacturing, and to support rebuilding and
strengthening the middle class of this country.
I yield to the gentleman from California.
Mr. GARAMENDI. If anyone understands the history and the importance
of manufacturing, it's the gentleman from Rhode Island. The Black River
down through Rhode Island was the very first place that America started
its manufacturing base, using water as a source.
And today, as we look to the future of American manufacturing, we do
have to deal with the energy issues. And we probably should take a full
night here and just talk about how the American economy can benefit
from a new energy strategy.
Tax policies we've discussed here a little bit.
One of the things we didn't discuss here on tax policy was we put
forth a bill last year that took away $12 billion of subsidies that
American corporations had when they shipped jobs offshore. I have no
idea how such an incredibly stupid policy got into the Tax Code, but it
did. It's gone. It was a Democrat agenda to eliminate those
[[Page H3801]]
tax subsidies that shipped jobs offshore. Unfortunately, not one
Republican joined us in eliminating that crazy tax subsidy. That money
is now back to help deal with the deficit.
Labor policies, education--another full night can be taken on just
education. We talked a little bit about science, technology,
engineering, and mathematics, the STEM programs. But it's much, much
more. It's the reeducation of our workforce. Intellectual property,
research, how you protect that, critically important. We did have a
good discussion about infrastructure.
This is our agenda. This is the American agenda. This is the agenda
about the future. And it is so much an important part of dealing with
the deficit. There is not an economist out there that tells us we can
actually deal with the deficit unless we get people back to work. And
the people that we want to get back to work is American middle class.
The American middle class needs to be rebuilt along with our
manufacturing base, and we can do it with the set of policies that
we're putting forth here.
We ask for our Republican colleagues to join us on these smart pieces
of legislation.
Mr. Cicilline, this is your night. You've led us in this. I yield
back my remaining time for your closure.
Mr. CICILLINE. I thank the gentleman from California for your
leadership on this and your participation tonight. I thank the
gentleladies from Alabama and from Hawaii and from Texas for joining us
as well.
I'll just end by saying you're right. Rhode Island was really the
birthplace of the industrial revolution. And when you look at the role
manufacturing played in the early days of our country's economy of the
industrial age, Rhode Island played a really important role; and from
Woonsocket to Providence to Newport to Pawtucket, we have examples of
great manufacturing facilities. And what we need to do is put in place
the tools and the policies that can rebuild that strength--and not
only in Rhode Island but all across this country--that takes advantage
of the great American ingenuity, of the great American innovation and
the great American entrepreneurship to make the best products to solve
the new challenges of the 21st century, to build products and to sell
them all over the world, to create jobs as we sell American-made
products all across the world.
And we can do it. We have the best workers. We make the best
products. What we need are policies at the national level that
recognize this is a key part to rebuilding our economy, a key part to
the American--the rebuilding of the American economy, and understanding
that we can make things again in this country. And by doing so, we can
make sure that American families make it again in America.
Thank you, Mr. Speaker.
I yield back the balance of my time.
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